Craigslist and eBay sitting in a tree

Craigslist, a scrappy free classified advertising site that gets 1B page views per month and is in the Top 25 for web traffic, just sold a 25% stake of their 15 employee company to eBay.

Update: An interesting SF Gate interview with Craig Newmark, founder of Craigslist. One particularly cool excerpt on how their community-based moderation reduces the need for editors:

A: If anyone sees an ad they feel is wrong, they can flag it for removal. If enough people agree with them, it's removed.

Q: So how does that work?

A: It's automated. I'm oversimplifying it a bit, but if you see an ad that's inappropriate, you flag it. If a few other people see that, they flag it, and it's removed.

Update: Another good interview, this time in Wired.