With demand for online video advertising forecasted to grow to more than $1.4 billion in 2007, Tremor Network, a leading provider of powerful rich media and online video advertising solutions, today announced that it has raised $8.4 million in its initial round of institutional financing to further accelerate its growth. In related news, the company also appointed industry veteran and former Dow Jones & Company Senior Vice President of Sales, Randy Kilgore as its Chief Revenue Officer.
Masthead Venture Partners and Canaan Partners co-led the Series A financing in order to support Tremor's significant market growth as a video ad network, its unique combination of advertiser and publisher partnerships, and cutting-edge proprietary video and rich media technologies.
"Our success over the last few years as a rich media and video advertising network has enabled Tremor to generate significant cash flow to operate with very little outside capital," says Tremor's CEO, Jason Glickman. "This investment will enable us to dramatically increase our future growth in the video advertising space and strengthen our position as the market leader."
As part of this financing, Richard W. Levandov, General Partner at Masthead Venture Partners, and Warren Lee, Principal at Canaan Partners, will join Tremor's board of directors. "We were fortunate to have numerous options and chose to work with partners who could best support our overall business objectives, with board members who share our vision that online video advertising will become the most powerful interactive format," adds Mr. Glickman.
Mr. Levandov has more than 20 years of senior executive and investing experience with a variety of technology companies, including Tacoda, AOL, and Phoenix Technologies Ltd. Mr. Leebrings significant operational and investment experience to the board and has invested in other successful, video-related startups, such as Arroyo Video Solutions and Broadbus Technologies.
Tremor will use the financing to expand its rapidly growing video advertising network, including in-banner and in-stream video, by leveraging its proprietary, patent-pending, ad insertion technology to offer both advertisers and publishers effective video advertising solutions. Unlike other advertising channels, in-stream video is an engaging medium where the consumer chooses to view a particular video stream. Research has shown that this increases the impact of in-stream advertising campaigns compared with other advertising mediums.
Randy Kilgore joins Tremor as Chief Revenue Officer and will be responsible for managing the company's sales and inventory growth, expanding its relationships with advertisers and publishers, and overseeing the development of new strategic initiatives. Prior to joining Tremor, Randy spent more than 16 years with Dow Jones & Company, most recently as Senior Vice President of Advertising for Dow Jones Online, which includes The Wall Street Journal Online, MarketWatch, and Barron's Online. Randy also serves on the boards at the Interactive Advertising Bureau (IAB) and the Online Publishers Association (OPA), and was named to Media Magazine's 100 Most Influential list in 2005.
"The appointment of Randy to our senior management team is an important step in moving Tremor Network to the next level," said Glickman. "Randy is one of the most highly qualified and experienced online advertising executives in the entire market. His task will be to lead our efforts to grow as quickly and as efficiently as possible with a healthy business focused on our core capabilities."
About Tremor Network
Tremor Network provides advertisers with in-banner and in-stream video advertising opportunities on 300 top-tier publisher sites with a combined 70 million unique visitors per month. Tremor provides publishers with a full suite of products and services to monetize streaming video and maximize ROI. Tremor's full service solutions provide the necessary tools for advertisers and publishers to utilize online video advertising as a powerful interactive medium. For more information visit: http://www.tremornetwork.com.
About Masthead Venture Partners
Headquartered in Cambridge, Mass., Masthead Venture Partners is a venture capital firm dedicated to providing early stage information technology, internet infrastructure and services, communications and digital media companies with the capital and hands-on operational support they need to develop into industry leaders. The firm has the advanced technical expertise, proven operating experience and deep industry knowledge and relationships to help entrepreneurs build companies with category defining potential. For more information visit: http://www.mvpartners.com.
About Canaan Partners
Canaan Partners is an early stage venture investor. The firm catalyzes the development of innovative technology and healthcare companies to build next- generation market leaders. Founded in 1987, Canaan Partners has $2.4 billion capital under management and has invested in more than 232 companies, completed 60 mergers and acquisitions, and brought over 50 companies public. Canaan invests in Internet and consumer technology, communications, semiconductor and energy, enterprise software and services, biotechnology, and medtech. Canaan was an early investor in DoubleClick (DCLK), CommerceOne (CMRC), Copper Mountain Networks (CMTN), Immunicon (IMMC), ONI Systems (ONIS), Dexcom (DXCM) and CombinatoRx (CRXX), along with dozens of other market- leading companies. Canaan has offices in Menlo Park, California, Rowayton, Connecticut and Herzliya Pituach, Israel.