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Enterprise Wiki Maker SocialText Raises $9.5 Million Third Round; Mayfield Makes Way For New CEO

Palo Alto-based SocialText, a maker of wiki software for enterprise users, has raised a $9.5 million third round from Draper Fisher Jurvetson, SAP Ventures and Omidyar Network, all of which were previous investors. Along with the new funding news, SocialText founder and CEO Ross Mayfield is stepping aside and will be replaced by Eugene Lee, formerly of Adobe (NSDQ: ADBE) and Cisco. Mayfield will continue on as company chairman and president, working alongside Lee. In June, the company raised $3 million of what was intended to be a $6.5 million round. Prior to that, it had raised $4 million in a two-part second round, along with an unspecified first round, for a total of more than $13.5 million. SocialText was an early mover in the space, although it now faces competition from established enterprise software firms and other startups, as well Google (NSDQ: GOOG) via its JotSpot acquisition. Release.

More from Ross Mayfield on his blog: “I’ve actually worked with Eugene for about a month now, and we waited until the technical close of the round to go public. Its been an absolute delight and I’m learning a lot. We had the whole company fly in for a face to face meeting and the energy is amazing. Now comes the challenge. Socialtext is in a fantastic position in the market that is ours to execute. And I’m confident that Eugene is the guy to take us there.”