Venture capital firms like Sequoia Capital, Globespan Capital Partners, Harbinger Venture Management and Cisco Systems have invested more than USD 28 million in the company which has yet to turn a profit after seven years after it was founded.
The site reported that it has 20 million users worldwide although it is not clear how many of them are regular users. John McCrea, VP marketing at Plaxo also told Michael Arrington of Techcrunch, that Plaxo managed to grab 15 million address book accounts from partnerships.
Unlike Linkedin or other traditional social networking sites like Facebook, Plaxo lays more emphasis on products, partners and services which left it vulnerable to newcomers as it fails to catch up with the viral nature of Social Networks.
Late last year, Plaxo joined Google's OpenSocial group and launched Plaxo Pulse which aimed at sharing content from different platform and service providers as diverse as Myspace, Twitter and Amazon.