- Scope3 this week said it raised a $20 million Series B round, led by Alphabet’s GV.
- The company helps the ad industry measure its carbon emissions and root out inefficiences.
- It now plans to invest in its team to expand into new markets across Europe and APAC.
Scope3, a startup that helps businesses measure the carbon emissions generated by their advertising campaigns, announced this week that it has raised $20 million in funding, which it intends to use to grow its team and expand into markets in Europe and Asia.
Scope3 was founded in 2022 by adtech veteran Brian O’Kelley, Mike Freyberger, Emma Etherington, and Anne Coghlan, all of whom worked with him at his previous company AppNexus. Its mission is to “decarbonize advertising.”
Scope3’s platform simulates the digital advertising supply chain, from consumer mobile and desktop device energy consumption to network equipment and servers required every time a website or app makes an ad request. According to Scope3, the digital advertising industry emits 7.2 million metric tons of carbon dioxide per year, enough to power 1.4 million US homes.
Scope3 works with advertisers, agencies, adtech vendors, and publishers, including Insider, to assess their carbon footprint and identify areas for improvement.
Scope3 also publishes research on a regular basis and provides basic information about the emissions produced by advertising, publishing, and technology platforms on its website.
Alphabet-backed GV led the funding round, which valued the company at $100 million and brought Scope3’s total funding to $40 million. Room40 Ventures and Venrock were among the participants.
The round came together faster than expected, according to O’Kelley, “in one of the worst fundraising environments of all time.” He went on to say that GV was a perfect fit because of its access to Alphabet’s sustainability teams and deep understanding of the adtech market.
Scope3 intends to use the new funds to hire, particularly in countries with high inbound demand, such as France, Germany, and Japan. It also intends to strengthen its teams in areas such as engineering and policy, as well as hire more advertising experts, in order to map a company’s entire media strategy, including areas such as TV and outdoor advertising.
Scope3’s work to decarbonize the advertising industry, according to Coghlan, will serve as a “beacon for other industries” to follow.
Check out the key slides from Scope3’s pitch deck, which helped the company raise a $20 million Series B round.