PicApp has raised $3.2 million funding led by Carmel Ventures, a top-tier Israeli venture capital fund with over $1.8B under management. PicApp offers online publishers and bloggers a single source for millions of premium quality and free images to use legally and enhance their sites.

“We have been assessing PicApp’s impressive business progress for a while and are confident that the company is poised to lead this growing category of copyrighted content monetization over social media,” said Rina Shainski, Carmel Ventures General Partner, who joined PicApp’s board of directors together with known angel investors Yair Goldfinger (ICQ, Dotomi) and Lenny Recanati.

News and photo agencies licensing images via PicApp include, among others, Getty Images, Corbis, Image Source and Splash News. When an image is streamed from PicApp, it comes with a non-intrusive ad that provides a monetization tool on the content owner’s behalf. PicApp also offers online publishers an enhanced tagging and traffic generation tool that is included within the images, automated image feeds and image-RSS tools to ease their publishing flow.

PicApp spun off from PicScout, the world’s leading visual content monitoring company, to an independent company following the successful development of the picapp.com platform. The product was recently named as one of top 100 undiscovered sites by PCMagazine and gained much traction within blog networks and the blogging community.