VC funded entertainment news site launched

TheWrap.com, out of Hollywood, CA launches with VC funding from Maveron

TheWrap.com, a news site focused on entertainment industry news, announced that it launched this week. Hollywood, Ca.-based TheWrap is a startup backed by VC firm, Maveron.

TheWrap, founded by Sharon Waxman, former Hollywood correspondent for The New York Times, claims to be independent and aims to change the face of entertainment industry news.  

With their extra large, bolded headline, “MICHAEL JACKSON'S BACK; AND IN LEGAL TROUBLE AGAIN,” one may get the impression the site is another TMZ or Star Magazine, focusing on coverage of the wild antics of Hollywood stars.  But if you actually click on the article, it’s surprisingly investigative and provides links to relevant sources.  

Other headlined stories include, “The Obama Era: Digital TV Switch Delayed Until June,” and “Netflix’s Streaming Video Boosts Revenue,” proving the site isn’t all about Hollywood star coverage.  Reporters at the site include Kim Masters from NPR, Johanna Neuman from USA Today, and Mark Lisanti, from Defamer, part of the Gawker Media Network.

Other contributors include, Peter Mehlman, former co-executive producer of Seinfeld who posted his first blog yesterday, “Why They Hated Seinfeld,” where he shared his nostalgia for the show.  

As for business model, TheWrap plans on making its revenue by display advertisements and sponsorships.  Perhaps not the best of plans during a year where the advertising business model is said to suffer throughout the recession.  

There is no information on how much has been invested into the company yet.