Accel Partners puts $1 billion aside for digital media

ACCEL PARTNERS the California-based Venture Capital firm has announced it has a hefty billion-dollar (£672 million) investment fund set aside for splashing on digital media.

Accel is best known to INQ readers for its investment in social networking site Facebook although it has also made investments in Comscore and Playfish to name a few. It is now looking to invest this $1 billion it has been saving for a rainy day in digital media.

The company plundered £350 million from its London III fund and a further £320 million from its Growth fund, all of which is to go to Internet and mobile media.

Accel has announced that the entire £350 million from the London III fund will be bunged at European and Israeli-based schemes, while the rest is distributed elsewhere.

Accel’s investment will be gladly welcomed as its announcement comes at a time when other Venture Capital firms say they can’t scrape together the funds in these tough economic times. µ