Thumbplay wrangles $6M for mobile content distribution

Thumbplay, provider of ringtones, wallpapers, games and other content specifically tailored to mobile phones, announced that it brought in $6 million in a sixth round of funding to cushion its business against the downturn. Based in New York, the company says that with the funds, it should find itself poised to expand rapidly once the slump ends sometime next year.

Not that Thumplay isn’t already pretty well positioned to take advantage of the opportunities that do exist in the market. In the past, it has benefited from sizable rounds of capital — $40 million raised to date — and valuable partnerships with brands like Facebook, AOL, Sony and wireless carriers like AT&T and Verizon.

At the same time, it has weathered some legal entanglements in the past year, and is still dealing with allegations that it charges some users for unwanted mobile content. According to the suit, the company has no checks and safeguards built into its billing system to prevent unauthorized charges.

Thumbplay also offers MP3s, video clips and other forms of mobile entertainment. It competes with other mobile content aggregators like Zed and GetJar.

The company says that this recent round should be enough to push it to profitability. Bain CapitaliHatch VenturesMeritechNew Enterprise Associates and Softbank Capital Partners provided the round. Brookside Capital PartnersCross Creek Capital and Redwood Venture Partners.

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Camille was the lead writer for GreenBeat until August 2010. To reach VentureBeat's current writers, email tips@venturebeat.com.

  • http://www.microslurps.com/2009/08/us-start-up-finds-way-to-pay-via-twitter/ US start-up finds way to pay via Twitter | microslurps.com

    [...] the idea and relationships with mobile operators after serving as business development manager for Thumbplay, a ringtone and games provider that raised $6 million in March.Dundas came up with the idea while serving as the business development director for ringtone and [...]

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