As per PC Mag
FunnyOrDie also features user-generated comedy videos, allowing anyone to upload their clips. But unlike YouTube and other popular user-generated sites, the viewers' ratings for the videos determine their fate—thus the name of the site—with only the highly rated staying on. Those with negative reviews are banished to the "Crypt" section of the site.
Sources said FunnyOrDie.com has been in the works for months, following an overture by venture capital firm Sequoia Partners to Creative Artists Agency, which represents Gary Sanchez Prods., the company run by Ferrell and McKay.
Sequoia knows a thing or two about successful user-generated website having provided early rounds of funding to YouTube. The company also delivered venture capital for YouTube's parent, Google, as well as Yahoo! PayPal, and Meebo. Sequoia also was one of the first investors in Cisco Systems, Oracle and Apple.
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