A new investor group has announced they have created a $100 million USD fund geared towards developing services that utilise RSS.

The fund will focus on news aggregation, blogs, and new classes of search engines. It will also look at RSS applications that aggregate data in the financial and medical industries.

The investors include John Palfrey and Jim Moore, both of the Berkman Center for Internet & Society at Harvard Law School; Steve Smith and Tom Crowley of alternative investment firm Ritchie Capital Management; and Richard Fishman, head of technology investing for MacAndrews & Forbes Group.

According to Red Herring, members of the investing team said that RSS has enough potential in both personal communications and in business efficiencies that it could in turn create new business models.