Urban Airship Lands $5.4M Series B Led by Foundry Group
Wednesday, November 3, 2010
Posted by: Su Hawk
Urban Airship Lands $5.4M Series B Led by Foundry Group
Urban Airship, a Portland, Ore.-based startup whose technology powers mobile applications, is announcing it has raised a $5.4 million Series B round, which brings its total funding to $6.5 million. Boulder, Colo.-based Foundry Group led the financing, joined by True Ventures of San Francisco and Seattle-based Founders Co-op, led by serial entrepreneurs Andy Sack and Chris DeVore.
Urban Airship, the engine behind thousands of the world’s most successful mobile apps, today announced it has closed its Series B funding round in the amount of $5.4 million. Urban Airship’s total venture capital investment of $6.5 million will fuel the company’s ongoing growth.
The round was led by Boulder, CO-based Foundry Group and is the first investment from Foundry Group’s second fund, Foundry Venture Capital 2010, L.P. Additionally, the company announced that Jason Mendelson, Managing Director of Foundry Group, has joined Urban Airship’s board of directors. True Ventures and Seattle-based Founders Co-op, both of whom participated in Urban Airship’s Series A investment, announced in February 2010, also joined the Series B round.
Launched in June 2009, Urban Airship has found early success providing mobile developers with tools to optimize their apps, including easy-to-implement products for mobile messaging and content delivery and authorization. To date, Urban Airship has delivered more than 1 billion mobile messages across the Apple iOS, Android and Blackberry platforms. Many of the top brands in entertainment, media, publishing and gaming depend on Urban Airship to ensure their mobile marketing initiatives are profitable and scalable.
"Urban Airship really impressed us with its foresight into the mobile market. The team there knows the market better than anyone else and is consistently out in front of what customers want and need,” says Mendelson. "Urban Airship’s early traction of securing more than 4 thousand customers sending millions of messages every day and reaching 45 million devices is extremely impressive.”
Push Notifications and In-App Purchase Products Fuel Growth
Urban Airship’s line of real-time messaging products, AirMail, helps businesses significantly increase user engagement with their brand and deliver more value to users by delivering push notifications. AirMail has been big business for Urban Airship since it gained early market traction by powering push notifications for Tapulous’ runaway hit app, Tap Tap Revenge, the first app in Apple’s App Store to be enabled with push. Since then, the company has helped popular mobile app publishers such as Universal Entertainment Group, Dictionary.com, LivingSocial, and Gowalla find success — and increase revenue — from their mobile apps. Most recently, Verizon Wireless named Urban Airship its preferred provider of push notifications across the entire Verizon developer network.
Urban Airship’s in-app purchase product, StoreFront, provides users with easy one-click purchases through Apple’s iTunes, thus opening up a new mobile channel for selling existing content. StoreFront also includes functionality to enable subscriptions through the iTunes interface, a much-needed solution to publisher challenges in managing and authenticating user devices for ongoing content access.
"We’re delighted to see that the Urban Airship team has continued to excel in growing its customer base and product offering,” noted Puneet Agarwal, Partner at True Ventures and board member of Urban Airship. "The company continues to push the envelope with its innovative real-time messaging products, AirMail and StoreFront, which are squarely meeting the needs of mobile developers and publishers. We’re pleased to continue our investment in Urban Airship.”
"We’re excited to announce our funding and to continue collaborating with our existing investors at True Ventures and the Founders Co-op, both of whom have proven to be tremendously helpful. We’re looking forward to working with Jason and his team over at the Foundry Group and receiving their strategic guidance and expertise. This new funding will enable us to expand our product offering and footprint, build out our engineering team to meet customer demand and continue our leadership in the market,” stated Scott Kveton, co-founder and CEO of Urban Airship.
About Foundry Group
Foundry Group is a venture capital firm focused on investing in early-stage information technology, Internet, and software startups. In addition to providing the necessary venture capital to get a company up and running, Foundry Group is committed to leveraging its experience in starting and growing companies, expertise in the technology industry, and network of relationships to help great entrepreneurs turn great ideas into great companies. Foundry Group is based in Boulder, Colorado, and invests in companies located across the United States. For more information, visit www.foundrygroup.com.
About True Ventures
Based in the Silicon Valley, with offices in Palo Alto, CA, San Francisco, CA, and Great Falls, VA, True Ventures invests in promising entrepreneurs at the earliest stages in the highest-growth segments of the technology market. The partners at True Ventures have started over ten companies as founders, and the venture firm is designed by entrepreneurs, for entrepreneurs. The firm clearly understands both opportunities and challenges in the earliest stage of development and provides young companies with a powerful, seasoned partner. True Ventures has raised two venture capital funds to date and manages $375 million in limited partner capital. For more information, visit www.trueventures.com.
About Founder’s Co-op
Founder’s Co-op is a seed- and early-stage investment partnership based in Seattle. The firm is led by experienced entrepreneurs Andy Sack and Chris DeVore, and invests on behalf of a hands-on limited partnership including more than 20 successful startup veterans. Founder’s Co-op helps web and mobile software entrepreneurs in the Pacific Northwest from the earliest stages of venture formation, with a hands-on approach that emphasizes agility, capital efficiency, creativity and active support from our extended community of investors and portfolio company founders. To learn more, visit www.founderscoop.com.
About Urban Airship
Urban Airship powers the world’s most successful mobile apps. Providing breakthrough technology, Urban Airship makes mobile marketing far more engaging, effective, and efficient. Top brands depend on Urban Airship to ensure their mobile app initiatives are scalable and profitable. Verizon, Dictionary.com, Tapulous, and Warner Bros. are just a few of the thousands of companies that utilize Urban Airship’s innovative platform to reach and engage target audiences - and increase app revenue streams. Urban Airship puts the power of influence in marketers’ hands through push notification, rich messaging, and in-app purchases. The privately held company is based in Portland, Oregon. For more information, interested parties can visit urbanairship.com.