Who Ya Gonna Call?

We’ve been following the growth of post Web 2.0 applications. They are web based applications that allow end users to highly customize the interaction with a third party. They’re neat, easy and extremely powerful. Most recently one of these application has received some significant funding.

Twilio, a web based service API has just announced that it raised its first round of funding (amount not disclosed) but it comes from an interesting source. The round was headed by the Founders Fund (founders of PayPal, Facebook, and Napster) and Mitch Kapor of Lotus 1-2-3 fame (also the Freedom Foundation).


Imagine, if you will, a web based Asterisk—a fully programmable PBX in the cloud; this is Trilio’s modus operandi. Twilio’s business model is interesting, and one which we think is a good long term strategy. For cloud based phone calls within the US it charges 3 cents per minute, 5 if it’s an 800 call. We like the idea of a company in the Support System space riding its revenues on the rails of the per minute transaction model.


There are competitors around Twilio, but in IMHO it seems that they have made the business of dealing with them dead simple. They have an open ended capability and have demonstrated that capability to a number of fortune 500 companies already.

Caveat Emptor

However like any Web 2.0 service one must consider whether you want your business to ride on a beta application, which might or might not make a go of it. As long as you approach Twilio with a knowledge of it vulnerabilities (business sustainability, scalability, reliability —all unknowns) and do not put mission critical processes on it you should have an interesting ride.

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