Total amount raised
$283.9 Millions
Latest funding date
01/01/2020
Location
Segment has successfully raised significant funding over multiple rounds, culminating in its acquisition by Twilio for $3.2 billion. The company offers a robust customer data platform that integrates and manages customer data to provide real-time insights and personalized experiences.
Keep reading to explore the intricacies of Segment's fundraising journey and the investors backing this innovative platform.
What Is Segment?
Segment, founded in 2011, is headquartered in San Francisco, California. The company was established by Calvin French-Owen, Ian Storm Taylor, Ilya Volodarsky, and Peter Reinhardt.
Segment provides a customer data platform that collects, unifies, and connects first-party customer data to over 200 marketing, analytics, and data warehouse tools. Their products include Customer Data Platform (CDP), Identity Resolution, Data Collection & ETL, Data Privacy, Compliance & Governance, Audience Segmentation & Activation, and Profile Enrichment.
With a workforce of 501-1000 employees, Segment helps businesses prioritize their customers by offering real-time insights and personalized experiences.
How Much Funding Has Segment Raised?
- Pre-Seed Round
- Amount Raised: $120K
- Date: Sep 2011
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To kickstart the development of their customer data platform.
- Seed Round
- Amount Raised: $214.7K
- Date: Feb 2011
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To further develop their product and begin initial market testing.
- Seed Round
- Amount Raised: $600K
- Date: Jan 2013
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand their team and enhance product features.
- Seed Round
- Amount Raised: $2M
- Date: Oct 2014
- Lead Investors: Headline
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and increase market reach.
- Series A
- Amount Raised: $15M
- Date: Oct 2014
- Lead Investors: Accel
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To accelerate product development and expand the customer base.
- Series B
- Amount Raised: $27M
- Date: Oct 2015
- Lead Investors: Thrive Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance their data infrastructure and support rapid growth.
- Venture Round
- Amount Raised: Not publicly disclosed
- Date: Mar 2016
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To continue scaling operations and product development.
- Series C
- Amount Raised: $64M
- Date: Jul 2017
- Lead Investors: Google Ventures, Y Combinator
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand their global footprint and enhance their product offerings.
- Series D
- Amount Raised: $175M
- Date: Apr 2019
- Lead Investors: Accel, Google Ventures, Meritech Capital Partners
- Valuation at Round: $1.5 billion
- Motivation Behind the Round: To open new offices, expand the team, and further develop their Customer Data Infrastructure.
- Secondary Market
- Amount Raised: Not publicly disclosed
- Date: Jan 2020
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To provide liquidity to early investors and employees.
Total Amount Raised: $283.9M
Current Valuation: $1.5 billion
Key Investors
- Accel
- Details: Accel is a venture capital firm that invests in early and growth-stage technology companies. They have been involved with Segment since leading its Series A round in 2014.
- Investment Focus Areas: Technology, Internet, Software, SaaS, Consumer Services
- Notable Investments: Facebook, Dropbox, Slack, Spotify
- Google Ventures (GV)
- Details: Google Ventures, the venture capital arm of Alphabet Inc., focuses on technology and innovative companies. They co-led Segment's Series D funding round.
- Investment Focus Areas: Life Sciences, Healthcare, Artificial Intelligence, Robotics, Transportation, Cybersecurity
- Notable Investments: Uber, Nest, Slack, Medium
- Meritech Capital Partners
- Details: Meritech Capital Partners is a growth-stage venture capital firm. They joined Segment as a new investor during the Series D round.
- Investment Focus Areas: Technology, Software, SaaS, Internet, Consumer Services
- Notable Investments: Facebook, Salesforce, Tableau, Snowflake
- Thrive Capital
- Details: Thrive Capital is a venture capital firm that invests in internet and software companies. They participated in Segment's Series D funding round.
- Investment Focus Areas: Technology, Internet, Software, Financial Services, Consumer Services
- Notable Investments: Instagram, Stripe, GitHub, Robinhood
- Y Combinator
- Details: Y Combinator is a startup accelerator that provides seed funding, advice, and connections. They have been involved with Segment since its early stages.
- Investment Focus Areas: Early-stage startups across various sectors including Technology, Internet, Software, Consumer Services
- Notable Investments: Airbnb, Dropbox, Reddit, Stripe
What's Next for Segment?
Segment's future is brimming with opportunities as it plans to expand into new markets across North America, EMEA, and Asia-Pacific. This global expansion, coupled with the development of their Customer Data Infrastructure (CDI), positions Segment to capture a significant share of the growing demand for integrated customer data solutions.
With a recent $175 million funding round, Segment is well-poised for future fundraising to support its ambitious growth plans. The company may attract additional investments to further enhance its platform and expand its partner network, ensuring sustained growth and innovation.
However, Segment will face challenges such as managing rapid expansion, ensuring data privacy, and staying competitive in a dynamic industry. Balancing these factors will be crucial as Segment navigates its path forward.
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