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Backpage was a classified advertising website founded in by the alternative newspaper chain New Times Inc. Similar to Craigslist , Backpage let users post ads to categories such as personals, automotive, rentals, jobs and adult services. It soon became the second largest online classified site in the United States.
Craigslist closed its "Adult Services" section in in response to pressure from state attorneys general and other critics claiming the section facilitated prostitution. Craigslist's former critics focused on Backpage, which resisted moves to censor the site until January ; Backpage closed their adult section prior to a Congressional hearing. Backpage co-founder Jim Larkin joined the New Times in The New Times especially relied on classified advertising to earn money.
Due the rise of Craigslist, a classified-ads website that competed with newspapers for advertising revenue, Lacey and Larkin in founded Backpage. Backpage helped sustain first New Times', then Village Voice Media's papers, and expanded to become the second-largest online classifieds site next to Craigslist.
Craigslist and Backpage had listings for a variety of goods and services, such as real estate, yard sales, personals, work wanted and jobs offered. Backpage's adult-themed advertising section gained the most attention. After Craigslist took down its adult advertising section in , Backpage continued to maintain adult advertising on its site. As Backpage's popularity grew, the site's adult advertising section began to attract lawsuits and investigations regarding allegations of prostitution and sex-trafficking.
After Craigslist ended its adult advertising section after pressure from law enforcement and anti-sex trafficking advocates, some adult listings almost immediately migrated to the Backpage's "personals" section. In an internal email after Craigslist's takedown of its adult category, CEO Ferrer said it was "an opportunity for us. Also a time when we need to make sure our content is not illegal," he wrote.