Twilio Raises $3.7 Million For Powerful Telephony API

Startup Twilio has raised $3.7 million in Series A funding from Union Square Ventures. The startup previously raised $600,000 in seed funding from The Founders Fund, David Cohen, Mitch Kapor, Manu Kumar Chris Sacca, and other angel investors. Twilio creates a powerful API for phone services that allows developers to quickly integrate telephony functionality into their apps. The company plans to use the new funding for growth in sales and marketing and to further the development of new products. Union Square Ventures’ Albert Wenger and Founders Fund’s Dave McClure will be joining the startup’s board.

The Twilio service allows developers to integrate common phone actions (like placing calls or playing back a recording) using a small set of basic API commands. Building basic projects, like this Rick Roll app, takes only a few lines of code, though developers can create far more advanced applications. In fact, Twilio’s early customers include Cheetos, Earth911, Tumblr, and Sony Music. Twilio’s CEO Jeff Lawson says that the service has also gained traction in the political world. Lawson says that one of the major political parties (he declined to name which one), is using Twilio for advocacy efforts.

As we’ve said in the past, Twilio has a solid business plan and technology. Founded in 2007, Twilio is still relatively young but has seen some major customer growth. Of course, there are other enterprise-focused solutions that offer similar functionality, but Twilio’s offering and pricing seems to be appealing to many organizations and businesses, including a few Fortune 500 companies.