Cloud based mobile service provider ItsOn has raised $12.5 million in a Series D funding round led by Delta Partners Capital Limited with follow-on investments from Verizon Ventures, Andreessen Horowitz and Tenaya Capital.

ItsOn’s technology aims to make mobile commerce a more enjoyable and secure experience through a range of services, content and apps. It currently runs its Smart Services primarily from North America data centres but the cash injection will help it fund regional data centres as it launches into markets in South America, Middle East, Africa and Europe.

ItsOn says it gives mobile customers better ways to buy wireless services and interact with their service providers. Its service is described as a ‘digital transformation platform for wireless operators’ that includes an integrated cloud service, on-device software and a mobile operator interface, the Service Design Center. These three components connect to IT and business systems, so operators can provide better experiences with a faster time to market for services, offers and mobile commerce growth.

Mobile operators desperately need to improve their social skills with end users and that requires a digital transformation according to Kristoff Puelinckx, co-founder at one of ItsOn’s investors, Delta Partners. Puelinckx said ItsOn’s mobile commerce platform is ‘at least five years ahead’ of every other player in this space, thanks to its engagement skills and contextual marketing for new products, services and incentives.

The ‘great digital experience’ is generally lacking among mobile operators, who rely on time-consuming and inconvenient store visits and call centre based cold callers in order to sell new services. Operators have suddenly woken up to the fact that they need to show greater transparency and more compelling service, according to Puelinckx.

Verizon Ventures started investing in ItsOn when it invented a virtual end-to-end carrier IT system, and it poured even more money in when it then created a cloud solution for OSS, BSS and user engagement, said Verizon Ventures director Ed Ruth. “It moved the mobile service market forward and we are pleased to continue investing in ItsOn,” said Ruth. The new system, he says, will help operators sell a lot more services to consumers, SMBs and IoT companies.

“There’s a rapidly growing demand for our technology as wireless service providers face increasing end-user expectations, new opportunities and new competition,” said ItsOn CEO Dr Greg Raleigh.