& cplSiteName &

It Takes $280M to Tango

Sarah Thomas
3/20/2014
50%
50%

Mobile messaging services provider Tango has pulled in $280 million in fresh funding, surpassing Uber as one of the most massive cash grabs in the past decade. (See Tango Waltzes Off With $280M From Funding Round.)

The firm announced Thursday it has closed a $280 million round of funding, led by Alibaba Group at $215 million, along with $65 million from some of its prior investors, including Qualcomm Ventures. Today's funding brings its total to $367 million in venture capital raised to date. (See Tango Gets Cash, $40M in Series C VC.)

For a point of comparison, popular black car and taxi service Uber pulled in $258 million last September. Fellow over-the-top communication app WhatsApp was just acquired by Facebook for $16 billion. (See Facebook to Acquire WhatsApp for $16B, Baby, You Can Fund My Car: Uber Drives August VC, and Mobile Services Are Next Uber Trend.)

Tango (not to be confused with the wacky soft drink) offers a free video and text app that works across 3G, 4G, and WiFi, as well as on phones or computers. The app is in the heart of one of two of the biggest trends in mobility today: free over-the-top communications and social networking. In addition to its free chat services, Tango lets users share songs via Spotify integration and play games online with friends. (See Operators Can't Kik the OTT Habit.)

The company says that, since rolling out social networking features in July 2013, daily engagement on its app has doubled and "hundreds of millions" of songs have been shared among members. The multilingual app counts 200 million registered users across 224 countries, double what it had a year ago, along with 70 million monthly active users.

"A whole new level of connection and sharing of experiences is available through messaging apps that fundamentally affects the way content gets distributed on mobile," CTO and co-founder Eric Setton said in a statement on the funding. "This round of funding will enable us to continue to innovate, hire the best talent, aggressively expand our content partnerships, and build a world-class platform as we go after what is truly a big opportunity."

— Sarah Reedy, Senior Editor, Light Reading

(29)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Page 1 / 3   >   >>
nasimson
50%
50%
nasimson,
User Rank: Light Sabre
3/26/2014 | 1:15:12 PM
Tango, good luck.
I used to use Tango on my tablet & really liked it. Its simple, it works and its awesome. I am happy that they got the funding to go the next level. Video chats always make social sense in so many contexts across many countries. So its a popular area being competed by many services but I am confident Tango can find & maintain its unique place in the competition.
Ariella
50%
50%
Ariella,
User Rank: Light Sabre
3/25/2014 | 2:01:12 PM
Re: $$$!
@Sarah I'm certain you're right about that.
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
3/24/2014 | 2:47:01 PM
Re: $$$!
I'm sure Tango and others like it are inspired by WhatsApp in that regard.
Ariella
50%
50%
Ariella,
User Rank: Light Sabre
3/24/2014 | 2:05:01 PM
Re: $$$!
@DanielCawrey, yes, that's exactly how some startups made money. They didn't have a monetization plan, but they were bought up by a big company for a lot of money. 
danielcawrey
50%
50%
danielcawrey,
User Rank: Light Sabre
3/23/2014 | 4:09:24 PM
Re: $$$!
Mitch is right, and I think that my thinking is that it's not entirely clear how this company is going to make money.

What's common these days is that another larger company will likely swoop in and buy Tango down the line, integrating userbases or other synergistic opportunities That's my best guess. 
DanJones
50%
50%
DanJones,
User Rank: Blogger
3/21/2014 | 10:07:46 AM
Re: Takes 3 to Tango
I was getting it confused with Turner and Hooch.

https://www.youtube.com/watch?v=a4RAg-iCSc0
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
3/21/2014 | 10:03:55 AM
Re: Takes 3 to Tango
hmm You mean Cop Dog? There are almost as many movies with Tango in the title as there are wireless companies called Tango.
DanJones
50%
50%
DanJones,
User Rank: Blogger
3/21/2014 | 9:58:00 AM
Re: Takes 3 to Tango
Oh wait, I thought it was the one with the cop and his dog.
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
3/21/2014 | 8:17:31 AM
Re: $$$!
I can think of one big group that will pay for that (operators), especially if it's of the software-defined variety. Tango does monetize its product, but a lot of the OTTs don't. I wonder what the VCs see in the ones they back in such a crowded market -- acquisition potential, IPO? Because it can't always be the potential to make tons of money...
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
3/21/2014 | 8:15:47 AM
Re: Takes 3 to Tango
A missed opportunity: http://www.imdb.com/title/tt0098439/...
Page 1 / 3   >   >>
Educational Resources
sponsor supplied content
Educational Resources Archive
Light Reading’s Upskill U is a FREE, interactive, online educational resource that delivers must-have education on themes that relate to the overall business transformation taking place in the communications industry.
NEXT COURSE
Friday, September 30, 1:00PM EDT
Gigabit & the Great Migration
Robert Howald, Vice President, Network Architecture, Comcast
UPCOMING COURSE SCHEDULE
Wednesday, October 5, 1:00PM EDT
Gigabit & Smart Cities
Joe Kochan, COO & Co-Founder, US Ignite
Friday, October 7, 1:00PM EDT
Gigabit & DOCSIS 3.1
Ty Pearman, Director, Access Architecture, Comcast
Wednesday, October 19, 1:00PM EDT
Securing a Virtual World
Rita Marty, Executive Director, Mobility and Cloud Security, Chief Security Office, AT&T
in association with:
From The Founder
Light Reading today starts a new voyage as part of a larger Enterprise.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Interviews
CenturyLink: SD-WAN Customers Looking for Value Not Cost Savings

9|30|16   |   5:31   |   (0) comments


At NFV & Carrier SDN in Denver, CenturyLink's Eric Nowak told Light Reading that when customers launch SD-WAN, they aren't necessary looking to save money, but instead they are looking for more value from what they're spending. He also shared some unique case studies and lessons learned from launching SD-WAN services.
LRTV Custom TV
Flexible Deployment Approaches for the Gigabit Services Evolution

9|29|16   |     |   (0) comments


For many operators, the gigabit evolution begins with the shift from DOCSIS 3.0 to DOCSIS 3.1. But that move represents a change not only in the protocol itself, but in the approach to architecting their entire DOCSIS delivery chain -- from the headend to the outside plant and home gateway components.

Jonathan Ruff, senior director of global technical ...

LRTV Interviews
Level 3 VP: Enterprises Need More for Less

9|29|16   |   05:27   |   (0) comments


Andrew Dugan, Level 3 group vice president of global technology and IT, says enterprises need more bandwidth and they need it faster and with greater security, but they want to spend less, if possible. They are looking to carriers to reduce their network complexity and help protect them from cyberattacks as well.
LRTV Interviews
CenturyLink: SDN/NFV Pose New Interconnection Possibilities

9|28|16   |   04:37   |   (0) comments


Network operators should develop new APIs and business processes for reselling virtual assets to each other, says CenturyLink's Bill Walker. That will enable them to build digital business portfolios that help them avoid becoming commodity transport providers.
LRTV Interviews
Level 3: Overcoming Terror of Being Supplier, Integrator & Developer

9|28|16   |     |   (0) comments


At Light Reading's NFV & Carrier SDN event in Denver, Travis Ewert of Level 3 Communications said there is terror in becoming supplier, integrator and developer, but it can be overcome and be cost effective.
LRTV Custom TV
Introducing IoT World News

9|27|16   |   01:43   |   (0) comments


Self-driving cars, medical sensors, smart cities... and refrigerators. In order to address the huge scope of IoT, KNect365 has created a unique online community that will help businesses to understand and monetize the opportunities that live within the IoT market. We look forward to welcoming you to IoT World News -- your gateway to a better connected future.
LRTV Interviews
AT&T: Reusable Functions Next NFV Key

9|27|16   |   06:03   |   (0) comments


The next generation of NFV has to break functions down into reusable software chunks, making everything much more cloud-like.
LRTV Interviews
Masergy on Security: Attackers Gaining Upper Hand

9|27|16   |   5:10   |   (2) comments


At Light Reading's NFV & Carrier SDN event in Denver, Ray Watson, vice president of Global Technology at Masergy, says that because of the growth in virtualization, the threat landscape is shifting in favor of the attackers. As a result, service providers need to think beyond just defending the perimeter and take a more holistic approach to security.
LRTV Interviews
Verizon Takes Next Step on Biz Virtualization Journey

9|26|16   |   4:38   |   (2) comments


At September's NFV & Carrier SDN event in Denver, Light Reading sat down with Victoria Lonker, director of Product and New Business Innovation at Verizon, to chat about where the carrier is with delivering virtualized services to business customers.
LRTV Interviews
Global Services: The $40B Face-Off

9|26|16   |   05:53   |   (1) comment


More service providers than ever before are battling it out to win a slice of what is now a $40 billion global communications services pie, explains Ovum Principal Analyst David Molony.
LRTV Documentaries
MEC Congress: The Key Takeaways

9|22|16   |   03:25   |   (3) comments


Three key takeaways from the Mobile Edge Computing (MEC) Congress in Munich, Germany.
Wagner’s Ring
Time to Shut Up About 'Dumb Pipes'

9|22|16   |     |   (20) comments


Service providers can't compete with OTT players. It just isn't in their DNA. Instead, service providers need to embrace what they're good at -- providing reliable, secure connectivity.
Upcoming Live Events
November 3, 2016, The Montcalm Marble Arch, London
November 30, 2016, The Westin Times Square, New York City
December 1, 2016, The Westin Times Square, New York, NY
December 6-8, 2016, The Westin Excelsior, Rome
May 16-17, 2017, Austin Convention Center, Austin, TX
All Upcoming Live Events
Infographics
Hot Topics
Eurobites: Telefónica Taps Juniper for Network Security
Paul Rainford, Assistant Editor, Europe, 9/26/2016
Powell Kills the Cable Show
Mari Silbey, Senior Editor, Cable/Video, 9/29/2016
Telstra Sees Quadrupled Data Capacity by 2020
Carol Wilson, Editor-at-large, 9/28/2016
Open Source Getting on My Nerves
Carol Wilson, Editor-at-large, 9/26/2016
Upskill U Kicks Off Gigabit Courses With Orange
Kelsey Kusterer Ziser, Editor, 9/26/2016
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Light Reading CEO Steve Saunders and UXP Systems CEO Gemini Waghmare discuss the strategic importance of digital identity for operators in the midst of transformation.
Join us for an in-depth interview between Steve Saunders of Light Reading and Alexis Black Bjorlin of Intel as they discuss the release of the company's Silicon Photonics platform, its performance, long-term prospects, customer expectations and much more.
Animals with Phones
There's Nothing Like Missing a Full Minute of Pokémon Go Click Here
Live Digital Audio

A vital part of increasing the number of women in comms is transforming the ways companies can support and empower women. While progressive company policies that support both men and women in achieving work-life balance are a step in the right direction, creating a company culture that supports those policies can at times be more challenging.

During this show, we'll talk to Lynn Comp, Senior Director of Industry and Sales Enabling (ISE) in the Network Platforms Group at Intel, about why those challenges exist and how companies can overcome them. She'll provide insight into how Intel has worked to create a culture that supports work-life balance, and provide steps and guidance for other companies wishing to do the same. We will also leave plenty of time to get your questions answered live on the air.