The McClatchy Company (NYSE: MNI), which owns The News & Observer in Raleigh, is investing in startups.

“This is a very exciting partnership and opportunity for McClatchy,” said Pat Talamantes, McClatchy president and CEO, about McClatchy’s decision to join the “Matter,” a San Francisco-based venture capital firm and incubator that supports promising media startups and entrepreneurs.. “In the midst of our company’s own digital transformation, Matter and the startups it nurtures will provide ideas, innovation and potential new business models for successful media companies of the future.”

The Associated Press, A.H. Belo Corporation and Community Newspaper Holdings Inc. will join founding media partners KQED Public Media for Northern California, the John S. and James L. Knight Foundation and Public Radio Exchange support Matter.

McClatchy last week announced its decision to fold its Raleigh-based interactive media division (McClatchy Interactive) into the rest of the company.

“Matter invests seed capital and provides an intensive, five-month program for the budding entrepreneurs to refine their business plans, develop prototypes, work collaboratively with other entrepreneurs and learn from leaders in media and technology,” McClatchy noted in the announcement.