This is perhaps the biggest venture funding in the digital media sector in a long time…180solutions, a Bellevue, WA-based online ad company that was on the brink of bankruptcy just two years ago, has landed $40 million in venture capital.
The financing, which closed earlier this month with backing from Spectrum Equity Investors, is one of the biggest first-round deals in the Washington state in the past decade. It will help fuel an aggressive expansion at the 5-year-old company that includes the introduction of two new business units, the hiring of 150 employees and plans to top $50 million in sales this year. The money will also be used for acquisitions and to attract senior management.
The company’s search marketing and ad technology solution has been at the center of controversy, and has been dubbed as a spyware, the technical lingo for ad systems that install without user’s permission…
Consumer advocates claim that n-Case–the company’s solution–which is being phased out and replaced by newer software called Zango, tracks what Internet sites people visit and then delivers pop-up advertisements based on those visitations.