Redpoint Ventures joins as lead in $70 million VC round for Twilio

A $70 million Series D funding round for Twilio will support its ongoing product development and marketing efforts.

Contributions from Redpoint Ventures, Bessemer Venture Partners and Draper Fisher Jurvetson (DJF) means that cloud communications business Twilio has now raised $103 million (£86 million) of venture capital investment.

Twilio’s $70 million Series D round also sees Redpoint Ventures partner Scott Raney join the board – meaning he now has seats at Twilio, and Heroku.

San Francisco-based Twilio provides cloud infrastructure which allows web developers to use to conduct phone calls, text messages and VoIP communications using web and mobile applications.

Back in March, Twilio CEO Jeff Lawson announced that the business was following up on its European launch, which occurred at the beginning of 2012, by focusing its latest in-house investment fund on the continent.

The Twilio Fund Europe 2013 provided seed funding to start-ups throughout Europe which were making use of its cloud communication web service.

Commenting on the Series D round, Lawson says, ‘For each of the past three years, Twilio experienced more than 100 per cent revenue growth was we helped developers and corporations realise they can tap the power of the cloud for voice and messaging services.

‘This represents a multi-billion-dollar market opportunity, and we’re just beginning to see what’s made possible by the developers building solutions on top of our platform.’

The new deal has been led by Redpoint Ventures and Bessemer Venture Partners, alongside existing backer DFJ.

Twilio began its funding efforts back in January 2009 when the likes of Jeff Fluhr of K9 Ventures, Dave McClure of 500 Startups and Chris Sacca of Lowercase Capital provided seed capital.

It then followed that up by raising a $3.9 million Series A at the end of 2009, a Series B worth $12 million in 2010 and a Bressemer Venture Partners and Union Square Ventures-led $17 million Series C in 2011.

Raney of Redpoint Ventures adds, ‘The team Jeff [Lawson] has assembled is executing on [the changing communications] vision and capturing the attention of developers and companies in a range of markets.

‘We’re thrilled to now be part of that team and help Twilio accelerate new product development and further strengthen its marketing and sales efforts around the world.’

Hunter Ruthven

Hunter Ruthven

Hunter was the Editor for from 2012 to 2014, before moving on to Caspian Media Ltd to be Editor of Real Business.