June 08, 2010 09:00 ET
TRUSTe Receives $12 Million in Series B Funding
Cash Infusion Rings in New Era of Leadership and Drives Product Focus for Online Privacy Innovator
SAN FRANCISCO, CA--(Marketwire - June 8, 2010) - TRUSTe, provider of the leading online privacy trustmark, today announced that it closed a Series B funding round of $12 million, led by new investor Jafco Ventures. The round also included a new investment from DAG Ventures and follow-on investments from returning Series A investors Accel Partners and Baseline Ventures. TRUSTe will put the new funding toward enhancing sales and marketing in order to expand its existing enterprise foothold, while capitalizing on the booming small business market and new certification initiatives in social networking, mobile and advertising.
"The completion of our funding is perfectly timed to allow us to meet the ever-growing concern for online privacy and trust," said Chris Babel, CEO of TRUSTe. "Recent events have shown that consumer privacy remains a hot button for usage of any online service -- whether it is social tools or the purchasing of business goods. I am proud to lead the company as we raise the bar and broaden the scope of TRUSTe's online privacy services to address new levels of transparency, accountability and control."
"Building business credibility and gaining customer confidence are absolute requirements for the success of online businesses and we view trust and privacy as the next big wave of online security," said Jeb Miller, General Partner at Jafco Ventures. "We invested in TRUSTe because it demonstrated a deep understanding of market requirements and had vision and execution to capitalize on this massive market need. In particular, Jafco sees tremendous growth potential for small and medium businesses and it is our belief that TRUSTe is the company best able to guide the industry for online privacy requirements across this and other key market segments."
As a leader in enhancing online trust between consumers and businesses, TRUSTe certifies companies to its online privacy standards rewarding the companies with the leading trustmark thereby driving consumer confidence and better business results. According to a 2009 survey conducted by TNS, more than 82 percent of consumers who recognize TRUSTe's privacy seal, use it to decide how and when to disclose personal information.
"Our initial Series A investment in TRUSTe and continued support through the Series B round proves the strong belief we have in the company's success," said Andrew Braccia, General Partner at Accel Partners. "We consider the TRUSTe executive management team the most experienced Internet authority on consumer privacy protection today and remain bullish in its unique ability to capitalize on the opportunity at hand and move the market forward to the next level."
Thousands of companies rely on TRUSTe's leading privacy trustmark to enhance consumer trust, drive increased registrations and transactions, and comply with complex privacy requirements. Consumers know that when they see the TRUSTe seal they can "Click with Confidence" because the certified website is responsible with their personal information. TRUSTe has certified more than 40 percent of the top fifty websites including Yahoo, Microsoft, eBay, AOL, Adobe, AT&T, Comcast, Disney, Weather.com, Apple, LinkedIn, Web MD, and Yelp. TRUSTe also certifies many of the top advertising and technology service providers for websites. For additional information on TRUSTe and its services, please visit http://www.truste.com.