Groove Mobile Announces Additional $6 Million in Funding to Expand Mobile Music Market Presence
BEDFORD, Mass.--(BUSINESS WIRE)--Groove Mobile, the world’s leading mobile music service provider, announced today that it has received an additional $6 million in funding from ORIX Venture Finance, bringing its total capital raised to date to $32 million. With 35 million transactions completed since launching its service in 2004, Groove Mobile, which provides solutions for consumers to download music directly onto their mobile phones, has strengthened its command of the marketplace through recent deals with Vodafone, MTS Allstream and Sony BMG. This latest round of funding will help grow Groove’s market position as the company continues to expand its presence in the global mobile music marketplace.
“At ORIX, we look to support growing companies backed by strong, experienced sponsors, and Groove has the partnerships in place that will help the company continue on its path as a leader in mobile entertainment.”
“Since the company’s launch three years ago, Groove Mobile has enjoyed numerous successes, and we continue to boast the largest mobile music catalog and the world’s most deployed mobile music solution,” said Eric Giler, chairman and chief executive officer for Groove Mobile. “With this additional funding from ORIX, we will continue to expand our services and seek out new opportunities for wireless carriers and record labels to provide the latest mobile entertainment solutions to consumers.”
As consumers are becoming increasingly comfortable using their mobile phones as their music players of choice, Groove Mobile has evolved its scope of services to include both carrier-driven and off-portal, direct-to-consumer music services. A pioneer in the mobile music industry, Groove Mobile sold 400,000 audio singles in its first year alone and in July of this year enabled nearly three million downloads in a single month.
“We are delighted to help strengthen Groove Mobile’s financial position as it continues to compete successfully in an exciting marketplace, both in the U.S. and abroad,” said William D. Bishop, Principal, ORIX Venture Finance. “At ORIX, we look to support growing companies backed by strong, experienced sponsors, and Groove has the partnerships in place that will help the company continue on its path as a leader in mobile entertainment.”
Groove Mobile serves a dozen carriers on three continents to deliver a compelling music experience for subscribers. The company supports the leading U.K. mobile music platform powering the U.K.’s top rated 3MusicStore and also launched the first mobile music service in the U.S. Groove Mobile continues to drive the digital music business forward with its proprietary text trigger service designed with consumer ease of use in mind. Groove Mobile is backed by leading venture capital firms Egan Capital, Charles River Ventures, Kodiak Venture Partners, and Star Ventures.
About Groove Mobile
Groove Mobile is the world's leading mobile music service. Groove Mobile's Complete Music Gateway includes Full Track Mobile Downloads, Peer-to-Peer Sharing and Personalized Music Recommendations, in addition to providing Personalized and Programmed Streaming Radio, Music Subscriptions, and more. Groove Mobile powers 3UK, the UK’s top rated mobile music service and the Sprint Music Store, the first over-the-air song-download service in the U.S. Groove Mobile launched the world's first secure peer-to-peer distribution in the mobile space, with its pioneering Tell-a-Friend feature. Groove Mobile's direct download service is available in the U.S., Canada, the UK, Europe, and Australasia and provides access to music from all the major labels and the top independent labels and distributors. www.groovemobile.com
About ORIX Venture Finance
ORIX Venture Finance provides enterprise financing to mid- and late-stage venture capital-backed companies via acquisition financing, expansion capital, working capital term loans and credit lines, and equity co-investments. The Venture Finance team, staffed with highly seasoned venture lending professionals, meets the challenges facing growth companies by structuring flexible financing packages that meet your unique needs. We are a stable and reliable partner dedicated to supporting the growth and success of professionally backed companies with a range of debt products. Please visit www.orixventurefinance.com for more information.