Demo attendee Magnify Networks scored $1.2 million from NextStage Capital LP and the New York Angel Network. The first thing it needs to do with the money is differentiate itself from YouTube, Roo, Brightcove and the many other sites that allow users to manage and embed videos. Magnify's service allows a Web site owner to easily find a video channel to post on his or her site.

If you can't find a topic already listed it's fairly simple to create a topic tailored to the videos you would like to post. Then as others use your video channel on their sites, you get a cut of the revenue generated by ads running with the videos. Founder Steve Rosenbaum is a producer and filmmaker who helped create the idea of user-generated content back in the late 90s with his work on MTV Unfiltered.

Who uses it: Web site developers
Who pays for it: Advertisers
Ease of Use (10 is so easy my dog could do it): 7
Likelihood of more funding: 7
Chance for a VC home run: 2
Management Cred: 5

—Stacey Higginbotham