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Reddit's Alex Ohanian Won't Invest In Facebook Due To CISPA Support

Business & GovernmentNews
by Mariel Norton, 08 May 2012News

Facebook began their IPO roadshow in New York yesterday, ready to show the world what they had in store - but they've already lost a potential investor, in the form of Reddit co-founder Alexis Ohanian.

Ohanian revelaed in an interview on Monday that he would not be expressing any such interest in Facebook due to their backing of cybersecurity bill CISPA, but added that he understood the value of Facebook's operations.

"We've never seen a company like this before, ever. It knows things about our private lives that no one else does, and one of the big issues a lot of us in the tech community has had with Facebook of late, has been their support of bills like CISPA," Ohanian said. He added that CISPA will make it very easy for a company like Facebook to hand over that private information to the government without any due process.

"So, that's why I'm going to be holding off," he explained.

Estimated to bring between $9.4 billion and $11.8 billion (£5.8 billion and £7.3 billion) to the social networking giant's pockets, Facebook probably won't mind too much that Ohanian won't be investing - but with billionaire Warren Buffett also bowing out of the potential investment picture, who knows if this will create a knock-on effect for other high-profile investors.

Source: VentureBeat

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