Amp'd Mobile announced today investments from Universal Music Group, Highland Capital Partners, Columbia Capital and Redpoint Ventures, bringing their total funding to date to $67 million.
The financing will be used for launch operations, content licensing and marketing activities. Amp'd Mobile is slated to begin services later this year.
Amp'd Mobile's investors are some of the industry's most renowned and have proven track records with consumer technology, entertainment and youth companies, adding strength to the expertise of the Amp'd management team. Some key past deals for these groups include highly remunerative investments in TiVo, NetFlix and MySpace for Redpoint Ventures; Lycos, MapQuest and Starent Networks for Highland Capital Partners; and XM Satellite Radio, Nextel and MetroPCS for Columbia Capital.
"We've had incredible interest from the investment community and we've worked hard to find the best of the best in the venture capital and strategic investment worlds to add value and help us deliver a completely unique, broadband wireless experience," said Peter Adderton, CEO/founder, Amp'd Mobile. "Our new shareholders bring together some of the most experienced executives from the music and technology industries to give us the support we need to get to market quickly and maintain a competitive edge.
As well as its investment in Amp'd, Universal Music Group (UMG), the world's leading music company with key artists like Eminem, Gwen Stefani, The Killers, 50 Cent, Black Eyed Peas, and 3 Doors Down, among others, will also provide content for Amp'd Mobile's music channels. In addition to Universal's artists, Amp'd Mobile plans to offer a wide range of music content, including other music labels, independent artists, and user-generated content to its subscribers. Complementing their audio content, Amp'd will have the latest music videos available and programming from UMG's IMF-International Music Feed channel currently available nationally on the DISH satellite television network.
"Amp'd is leading the way in developing exciting opportunities for 3G mobile technology for young people," stated Doug Morris, chairman and chief executive officer of Universal Music Group. "It's proven executive team has uniquely positioned the company to capitalize on the exciting new marketplace that the advent of 3G technology opens up. Because Amp'd Mobile will be a key player in the global entertainment market for 3G applications, we decided to invest as well as provide content for the service."
Amp'd Mobile will leverage the power of broadband wireless (3G EV-DO-Evolution-Data Optimized) and will offer traditional wireless phone services plus a completely fresh proprietary user interface and fully customizable experience designed specifically for the 18-35-year-old audience. Focusing largely on mobile content, Amp'd plans to offer the best in entertainment, music and gaming as well as a wealth of original and user-generated content.
"By approaching this space as a mobile entertainment company and focusing on the user experience and branding, we see Amp'd Mobile bringing together all the right elements for the U.S. to truly embrace 3G technology," said Jon Auerbach, general partner, Highland Capital Partners. "Adderton's experience and previous success in the youth MVNO space and his management team's expertise in both entertainment and wireless industries helped make our decision to invest an easy one."
