Summary:

Here’s one of the most anticipated fundings in a while… RockYou, a maker of social networking widgets, has raised a $35 million third roun…

Here’s one of the most anticipated fundings in a while… RockYou, a maker of social networking widgets, has raised a $35 million third round led by DCM, with participation from several private backers. Dollar figures for the San Mateo, CA-based company’s two previous rounds have not been reported. The funding is the latest in a sting of big late-stagers over the past month or so, including rounds for WetPaint, Ning and Meebo. And back in January, RockYou’s arch-rival Slide took in $50 million. The relative size of this round, as well as the fact that it came several months after Slide’s will probably stoke the narrative that RockYou remains a pace or two off the leader.

The raise comes amid unconfirmed reports that the company faced a strategic fork in the road, weighing whether to cash out now at a modest valuation, or raise a big one and go for broke. As successful as the company has been at getting its apps installed onto user’s social networking pages, making money is still a tough task. Like a number of its competitors, the company runs a social networking ad network, though when I spoke to CEO Lance Tokuda back in March (a lifetime ago, arguably) he said that 30 percent of its inventory went to in-house ads, while many of the other advertisers were actually other companies pushing their apps. Recent reports have said total revenue for widget-based ads remains fairly thin — just like the ads that run against the broader social network.

Pic of CEO Tokuda courtesy Tychay

You’re subscribed! If you like, you can update your settings

Comments have been disabled for this post