Parler Raises $20M in Funding - Right-Wing Social App

Parler Secures $20 Million in New Funding

A recent SEC filing reveals that the social media platform Parler has obtained $20 million in funding. This investment was formalized on January 6th, coinciding with the anniversary of the events at the U.S. Capitol last year.

Platform Overview and Stated Mission

Parler, which reports over 16 million registered users, positions itself as a defender of free speech. Its core objective is to provide protection “against the authoritarian powers of Big Tech, Big Government, and cancel culture.”

Despite claims of nonpartisanship, organizations dedicated to monitoring extremist activity – including the Anti-Defamation League and the Southern Poverty Law Center – have identified Parler’s significant role within the far-right online landscape. This includes its involvement in the Capitol insurrection and the spread of misinformation regarding vaccines.

Investor Details

Parler has not yet publicly disclosed the identities of its new investors. However, the SEC filing indicates the involvement of ten investors who do not meet the criteria of being accredited.

Previous financial support came from Rebekah Mercer, a prominent Republican donor, in an undisclosed angel round. Mercer currently serves as both an executive officer and a director of the company, as documented in the filing. Seth Dillon, the CEO of the conservative satire website the Babylon Bee, is also listed as a director.

Initial Reporting

Axios was the first news outlet to report on the SEC filing, but has not yet received a statement from Parler regarding the new funding.

Rise and Removal from App Stores

Parler gained prominence in early 2021 following the bans imposed on former President Donald Trump by major social media platforms like Twitter and Facebook. These actions were taken due to concerns about Trump’s use of the platforms to potentially undermine the peaceful transfer of power.

Many of Trump’s supporters subsequently migrated to Parler, attracted by its more lenient content moderation policies. The app quickly reached the top of the App Store charts after the January 6th attack on the Capitol.

Platform Restrictions

However, Parler faced swift removal from both Google Play on January 8, 2021, and subsequently from Amazon and Apple. These removals were attributed to violations of the platforms’ terms of service.

The companies cited concerns that Parler was being utilized by Trump supporters and other far-right individuals to incite violence and coordinate plans related to the Capitol breach.

Apple explained to TechCrunch that “Parler has not taken adequate measures to address the proliferation of these threats to people’s safety” and suspended the app until improvements were made.

Leadership Changes and Moderation Efforts

John Matze, Parler’s CEO at the time, announced the app would not comply with the App Store’s requests for a content moderation plan. He was subsequently terminated by Parler’s board, which was controlled by Rebekah Mercer.

By April, under the leadership of new CEO George Farmer, the app was reinstated to the App Store. Farmer clarified in an interview with The New York Times that, prior to his tenure, Parler lacked any form of AI moderation and its human moderation system – a jury-based approach – was still in its nascent stages.

Under Farmer’s direction, Parler has implemented AI-powered content moderation. The new $20 million in funding is expected to facilitate further development of this technology, which is used in conjunction with human moderators.

Parler’s current community guidelines explicitly state that the platform “will not knowingly allow itself to be used as a tool for crime, civil torts, or other unlawful acts.”

App Download Statistics

Data from Sensor Tower indicates that Parler’s mobile app has been downloaded approximately 11.3 million times worldwide since its launch. Since its return to the App Store in May 2021, the app has seen only 141,000 additional downloads.

If Parler’s reported figure of over 16 million registered users is accurate, it suggests that the majority of users access the platform through its native mobile application.

Future Competition

Parler may soon encounter competition from TRUTH Social, a new social network spearheaded by former President Donald Trump, which is slated to launch on President’s Day, February 21st.