This week both TechCrunch and Mashable picked up a story from the pligg blog relating to the pligg development team launching a Ning, CoRank like service that is based on pligg. CoRank has a head start on fraxi but if marketed properly it could be a success else it might just turn into a hive of spam sites looking for back-links.

mashable.com
Pligg, which makes software that allows anyone to setup their own Digg-like site, will soon be launching a new service that will let users without any development skills setup their own social news community.

The service, dubbed “Fraxi,” will essentially be like Ning for Digg clones. It will feature web-based tools for creating Pligg-powered sites, so you can setup a social news site for cats, dogs, celebrity gossip, or whatever else tickles your fancy. You’ll also get your own Fraxi sub-domain: yourname.fraxi.com. The service will be free, and the company plans to announce more details

TechCrunch also picked up on the fact that the Pligg project does not seem to have been sold, we previously wrote an article on this subject a few weeks back you can read that article here.

What worries me about the launch of Fraxi.com is the added workload it will add to the pligg development team, lets just hope it doesnt slow down the development of pligg rather than push it.

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