Reddit cofounder Alexis Ohanian will join Reddit's board Business Insider Conde Nast announced it is spinning out Reddit, the social news site it purchased in 2006, Peter Kafka reports.

Originally, the publishing company considered selling some of Reddit at a $200 million valuation but scrapped that plan at least for now.

Steve Newhouse, head of digital operations for CN parent company Advance Publications, said there was no reason to "take in outside funding."

Conde will retain full ownership of the new entity Advance will have full ownership of the new entity, but Reddit will publish as a stand-alone operation. Conde Nast president Bob Sauerberg and CTO Joe Simon will join the new board.

Kafka offers All Things D, which is owned by News Corp., as an example. He writes, "I can tell you that from an employee’s perspective it’s a pretty effective setup."

It's a smart move. Reddit, which generates 1.5 billion page views per month and is growing like crazy, has been a success at least in part because the Conde Nast executives have pretty much left it alone.

You have to think that Reddit's loyal but fickle community will grow more dedicated if they perceive less influence from any corporate overlords.