OpenCandy Gets $5M in Round Led by Google Ventures
OpenCandy co-founder Darrius Thompson confirms in an e-mail that the San Diego-based startup, which operates a kind of online marketplace for open-source software, just raised $5 million in a series B round of venture funding, which was reported today by TechCrunch.
The new $5 million round was led by Google Ventures, and in a winking sort of way, Thompson tells me, “I think you hinted in the past that you could see us having a deep relationship with Google. Good insight!” Also participating in the round are existing investors Bessemer Venture Partners and O’Reilly AlphaTech. (The company raised $3.5 million in its first round.)
As I reported previously, OpenCandy operates a Web-based network that allows a software publisher to advertise its product—and to offer it as optional download—while a user is installing another program available through OpenCandy’s website. During the installation, OpenCandy’s system suggests other software that the user might want, with the idea of helping software publishers to distribute their products and services. OpenCandy also emphasizes that its system is consumer friendly because users must actually choose to download the optional software offer. It’s not an automated process that installs additional software whether you want it or not.
So how will OpenCandy use its proceeds?
Thompson says in his e-mail: “It’s all about scaling now. As mentioned… scaling in our current market and segment and then beyond. A good portion of the proceeds would be utilized to hire great individuals that can help us scale in a way that reinforces and builds upon the great foundational culture we’ve set. Finding great talent in San Diego is a key focus for us right now.”
Thompson also says he’ll have more to say in a few weeks, so stand by.