Advertising startup Media6Degrees has raised $17 million in a second round of venture funding for what it calls a4��Asocial targeting.a4���

The New York-headquartered company says it uses anonymous social data to go beyond normal online ad targeting, which is traditionally based on audience demographics or the content on a website. Instead, Media6Degrees finds a4��Abrand loyalistsa4��� or other audience members who have a strong connection to the advertiser, and it builds a customized audience for advertisers based on the loyalists&' closest social connections.

In the funding press release, the company says that it has 110 active brand-name clients, and that ita4��a4�s on $30 million annual revenue run rate for the fourth quarter of the year (meaning that it will make $7.5 million between October and December). It seems like therea4��a4�s a huge opportunity for growth here, since advertising on social networks is at such an early stage.

AllThingsDa4��a4�s Peter Kafka notes that the investment comes as the federal government wants Web browsers and websites to offer more user control when it comes to online privacy. The deal suggests investors arena4��a4�t too worried about a government crackdown, Kafka argues.

The new round comes Menlo Ventures and previous investors US Venture Partners and Venrock. Media6Degrees initially raised funding in the form of convertible notes from Coriolis Ventures, then it raised a $9 million round last year.

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Tags: ad targeting, privacy, Social networks, social targeting

Companies: Media6degrees, Menlo Ventures, U.s. Venture Partners, Venrock

Tags: ad targeting, privacy, Social networks, social targeting

Companies: Media6degrees, Menlo Ventures, U.s. Venture Partners, Venrock

Anthony is VentureBeat's assistant editor, as well as its reporter on media, advertising, and social networks. Before joining VentureBeat in 2008, Anthony worked at the Hollister Free Lance, where he won awards from the California Newspaper Publishers Association for breaking news coverage and writing. He attended Stanford University and now lives in San Francisco. Reach him at anthony@venturebeat.com. (All story pitches should also be sent to tips@venturebeat.com) You can also follow Anthony on Twitter.

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