What’s Next for RockYou?

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crystalball1.jpgADOTAS – Is RockYou really rocking? Well, the social networking widget maker certainly isn’t dying, especially with a spanking new $35 mill in their coffers – the third round of funding was led by venture capitalists DCM, with a handful of private backers also throwing money into the pot.

But they’re still not on top – Slide holds that coveted spot. (Slide rang in the New Year with a $50 million infusion). And this new round come amid whisperings online and offline that RockYou is in the throes of the big decision all burgeoning onliners must face: bail out now with a respectable, but relatively minor valuation, or push ahead and hope it can beat out Slide and other up-and-comers (like Meebo and Ning) in the social networking ad game?

While widgets have been installed on zillions of users’ pages, monetizing the space with ads has proved to be an almost Sisyphean task. Also, Facebook is about to unveil a significant redesign, making it harder for applications and widgets to go viral – which could be good or bad news for more established brands (it will definitely stymie the small fries).

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