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It became a web-based service in 1996 and expanded into other classified categories. Having observed people helping one another in friendly, social, and trusting communal ways on the Internet via the WELL, Mind Vox and Usenet, and feeling isolated as a relative newcomer to San Francisco, Craigslist founder Craig Newmark decided to create something similar for local events.In early 1995, he began an email distribution list to friends.Craigslist's main source of revenue is paid job ads in select American cities.The company does not formally disclose financial or ownership information.The move came shortly before e Bay's planned spin-off of Pay Pal, and an effort to divest other units to focus on its core business.

Craig Newmark began the service in 1995 as an email distribution list to friends, featuring local events in the San Francisco Bay Area. Some Craigslist sites cover large regions instead of individual metropolitan areas—for example, the U. states of Delaware and Wyoming, the Colorado Western Slope, the California Gold Country, and the Upper Peninsula of Michigan are among the locations with their own Craigslist sites.Craigslist said that there is some indication that those who posted ads in the adult services section are posting elsewhere.Sex ads had cost initially and it was estimated they would have brought in million in 2010 had they continued., 2010, after pressure from Ottawa and several provinces, Craigslist closed 'Erotic Services' and 'Adult Gigs' from its Canadian website, even though prostitution was not itself illegal in Canada at the time."If you impose liability on Craigslist, You Tube and Facebook for anything their users do, then they're not going to take chances.

It would likely result in the takedown of what might otherwise be perfectly legitimate free expression." Craigslist announced on September 15, 2011, that it had closed its adult services in the United States, however, it defended its right to carry such ads.

People trying to get technical positions filled found that the list was a good way to reach people with the skills they were looking for. User demand for more categories caused the list of categories to grow.