M-payments firm Zong secures $15m funding

US online mobile payments outfit Zong has closed a $15 million financing round that also sees former PayPal chief technology officer Dana Stalder join the board.

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M-payments firm Zong secures $15m funding

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Launched in 2008, Zong is designed to let users make online purchases for virtual goods using their mobile phone. Customers hit the firm's button at participating Web sites when they want to make a payment. They then enter their mobile phone number and a secure PIN is sent to the handset which is entered online.

The funding round, the first since Zong was spun off from Echovox earlier this year, was led by Matrix Partners, where Stalder is a partner. It comes soon after Zong secured a deal to act as mobile payments provider for Facebook Credits, the social network's virtual currency.

Says Stalder: "Matrix's message has been clear. We are committed to helping build significant, industry leading companies and Zong fits that bill. Zong is at the forefront of the evolution of the payments space and we hope to play a key role in its continued growth and success."
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