Kongregate: Casual gaming meets social networking

Sometimes, I like playing stupid mind-wasting internet games.

To the extent, Kongregate makes it easier to find a decent silly distraction and helps me keep track of distractions that I have liked in the past. I like it.

Kongregate is targeting a potentially lucrative market niche:

Kongregate operates with an understanding of how difficult it can be for talented game developers - from the aspiring gamesmith to the independent studio - to get the recognition and compensation that they deserve. That's why Kongregate shares microtransaction and advertising revenue with contributing developers, who retain the full rights to their games.
From the Kongregate About Page

Game developers, dedicated gamers and occassional time wasters could form a powerful Digg-like ecosystem around Kongregate. I am curious to see how the cost of scaling (hosting more games for more users) compares to revenue generation. Given that they have raised $6m in captial this year (according to Techcrunch here), they seem wisely focused on using their current buzz to raise the funds required to get the business to break-even.