An article published on the Wall Street Journal’s website on Sunday (and mentioned in a Reuters report released late Sunday night) claims that Foursquare, a social networking site that allows users to share their location, is about to receive funding that will allow it to expand. According to the article, the investment deal is led by the venture-capital firm Andreessen Horowitz and could be formally announced this week.
The social networking service lets users “check in” to various venues including restaurants and other businesses in cities worldwide, providing a way to alert friends about their whereabouts. The site is frequently used in conjunction with other networking sites like Twitter and Facebook and gives users the opportunity to earn badges and prestigious titles (i.e. “Mayor”) based on the number of times they frequent establishments.
Last March, Foursquare introduced an analytical feature that allowed businesses to gain access to information about their customers. And according to a February New York Times article, the founders of the networking site are also hoping to haul in profits that could (should) result from sharing information with businesses that use the service. (N.B. the Times is one of those businesses).
But the details of this “funding” seem to be shrouded in mist: not only were the specifics of the deal kept secret, but the WSJ article about the deal itself requires interested readers to subscribe for further viewing.