Volt Secures $3M Seed Round to Enhance SMS Messaging Operations Platform | Martech Edge | Best News on Marketing and Technology
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Volt Secures $3M Seed Round to Enhance SMS Messaging Operations Platform

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Volt Secures $3M Seed Round to Enhance SMS Messaging Operations Platform

Volt Secures $3M Seed Round to Enhance SMS Messaging Operations Platform

Business Wire

Published on : May 27, 2024

Category-defining developer suite enables software companies to save money and time by optimizing and streamlining SMS programs through a centralized platform

Volt provides proactive delivery reporting and automates number registration compliance amid an increasingly complex regulatory environment for SMS

Volt, the leading Messaging Operations (Ops) infrastructure platform, has announced the successful closure of its $3 million seed round. Led by Mercury and supported by Atento Capital, Uncorrelated Ventures, Stout Street Capital, and Yellow Rocks, this funding will drive Volt's product development and strategic team expansion.

SMS Market Growth and Challenges:

  • Market Growth: The SMS marketplace has seen a significant 20.3% compound annual growth rate from 2019 to 2025.
  • Communication Shift: SMS is becoming the preferred communication method among U.S. consumers, boasting average open rates around 98%.
  • Regulatory Changes: Recent regulations by U.S. phone carriers aimed at reducing spam have increased complexities for SMS providers and brands.

Volt's Mission and Solution:

  • Founding Story: Founded by Martin Langelo Lien and Matt Morfopoulos in mid-2022, Volt was born out of their experience in running a text marketing company and the challenges of SMS compliance.
  • Platform Capabilities:
    • Centralized API: Manages multiple SMS providers from one platform.
    • Compliance Management: Guides brands through phone number registration and ensures adherence to carrier standards.
    • Real-Time Insights: Provides real-time deliverability insights to resolve issues efficiently.
  • Operational Efficiency: Reduces engineering hours spent on maintaining SMS infrastructure.

Leadership Insights:

  • Martin Langelo Lien, Co-Founder and CEO:
    • "Volt addresses the pressing issue of compliance, helping companies avoid fines and reduce operational costs."
  • Matt Morfopoulos, Co-Founder and Head of Growth:
    • "Our goal is to drive awareness and solve our partners' biggest issues in Messaging Ops while supporting carrier goals for a spam-free SMS channel."

Impressive Growth and Partnerships:

  • Profitability and Revenue Growth: Achieved operational profitability and over 100% revenue growth in Q1 2024.
  • Strategic Partnerships: Collaborates with major programmable communications companies like Twilio, Vonage, Telnyx, and Bandwidth.
  • Message Processing: Nearly half a billion messages processed on Volt’s platform.

Investor Support:

  • Heath Butler, Venture Partner at Mercury Fund:
    • "Volt's disciplined growth and their solution to developer time waste in SMS deliverability and compliance are impressive."
  • Salil Deshpande, General Partner at Uncorrelated Ventures:
    • "Volt delivers efficiency, automation, and cost-savings, filling a critical infrastructure gap in the SMS industry."

Volt's $3 million seed round marks a significant milestone in its mission to streamline SMS Messaging Operations. With robust support from investors and a commitment to enhancing compliance and efficiency, Volt is poised to lead the way in SMS infrastructure solutions.