DataSphere, a Software as a Service (SaaS) Web technology and hyperlocal ad sales company focused on generating online profits for media companies, has raised $10.8 million in Series B round of venture funding. This latest round of financing was led by the existing investor Ignition Partners and undisclosed strategic partners. Previously, the company had raised $6.5 million. This new capital brings the company’s total funding to $17.3 million.

With this latest round of funding, Satbir Khanuja, President and CEO, DataSphere explains that the fund will be used to roll out its content management platform to media entities in 2010. Founded in 2006, the Bellevue, Washington headquartered company offers a simple, fast, and predictable solution for companies interested in streamlining their IT operations. According to the company, the technology platform is built up of three key components, a search and discovery engine called CORE, a site management and rendering engine named FORGE, and a behavioral tracking and response engine called CLARUS. Each of these components interacts with one another to power the products in the company’s Web Suite.

Khanuja says that the company’s offering is popular because the media companies do not need to build (hyperlocal) content from scratch. Instead, the DataSphere platform repackages existing content on the media site based on the specific neighborhood where the news takes place. The company’s customers include Fisher Communications, Eugene, Seattle, and TV station owner Cowles California Media, which embarked on a similar strategy, setting up 40 hyperlocal sites in Monterey and Santa Barbara.

Going forward to create a compelling hyperlocal experience for users and advertisers, Khanuja comments, “By segmenting the audience into geographic zones we can help advertisers better target their messages to people who actually live and work in particular areas.” Leveraging the opportunities ahead, DataSphere with its team of 70 employees plans to announce additional partnerships within the next few months.