Online ad startup Tremor Media announced today that it has raised a $40 million financing round led by Draper Fisher Jurvetson Growth Fund, with participation from DFJ, Triangle Peak Partners and other existing investors. Tremor had previously raised a total of $40 million over three rounds of financing, including an $18 million round announced in February 2009 that was led by Meritech Capital Partners and included previous investors Canaan Partners, Masthead Venture Partners and European Founders Fund.
Tremor has doubled the size of its network over the past year, and is now the nation’s largest online video network, according to comScore (S SCOR). The company also claims to have been profitable in 2009… So why raise all that new cash?
Tremor CEO Jason Glickman said in a phone interview that the new funding will be used to advance the company’s plans to expand its ad platform to new screens, enabling Tremor to serve ads to mobile and other consumer electronics devices. That seems like a pretty solid strategy, considering the amount of convergence that is coming up. Glickman, for instance, sees a world in which we don’t talk about “online video” anymore but about “digital video,” which could be delivered to a PC, mobile device, set-top or other connected device.
The funding will also be used to increase headcount, particularly overseas. Glickman wouldn’t say exactly how many employees the ad startup had, other than that its headcount was “above 100 employees,” but that it was looking to ramp up personnel on the technology side and the sales side. Internationally, Tremor has offices in Germany (Munich) and the U.K. (London), and expects to use the funding to increase headcount in Europe, according to Glickman.
Tremor may also look to improve support for new ad formats and targeting technology. The startup recently rolled out new ad formats, such as its vChoice unit, which allows an end user to choose between two different types of ads. It also introduced real-time targeting through a partnership with measurement firm Quantcast.
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