Startups Posts

Betterment raises $60 million in funding

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Betterment is an automated investing service that has raised $60 million in funding. Francisco Partners led this round of funding with participation from Bessemer Venture Partners, Menlo Ventures and Northwestern Mutual Capital. More details below:

PRESS RELEASE

NEW YORK – February 19, 2015 – Betterment, the largest and fastest growing automated investing service, today announced the close of a $60 million round of growth funding. Global private equity firm Francisco Partners led the financing, which includes participation from previous investors Bessemer Venture Partners, Menlo Ventures, and Northwestern Mutual Capital.

“Our growth has continued to accelerate,” said Jon Stein, Betterment Founder and CEO. “More people are becoming Betterment customers every day, and our existing customers continue to invest more with us. This new capital will allow us to grow even faster and increase the development of new products that will continue to reinvent investing around what customers want: a seamless, personalized experience that is aligned with their best interest and optimized for the highest expected returns net of all costs.”

Launched in 2010, Betterment manages more than $1.4B of assets in tax-efficient, personalized portfolios for more than 65,000 customers, by far the largest customer base of any automated investing service. The company offers a seamless, technology-enabled platform that helps people better manage, protect, and grow their wealth.

“We’ve created a new product category over the last five years,” Stein added. “While we’re excited with where we are today, we’re really just getting started. There are millions of people in need of better financial advice and services, and we’re building the smartest technology and making it accessible to anyone.”

In addition to raising the new round of funding, Betterment is welcoming Peter Christodoulo of Francisco Partners to its Board of Directors. Francisco Partners brings significant experience in financial technology, with previous investments that include Prosper Marketplace, eFront, PayLease, Paymetric, Avangate and Hypercom among others.

“We have long felt that the wealth management space was overdue for a solution that could better serve the majority of Americans through smarter technology,” Christodoulo said. “Betterment’s unique, vertically integrated architecture allows its platform to be lightning fast, which is proving to be compelling with customers as thousands fund new accounts each month.”

In the past year, Betterment has unveiled a variety of new features to help improve investor returns, including Tax Loss Harvesting+TM and Tax Impact Preview. The company also recently unveiled Betterment Institutional, a digital solution that allows financial advisors to better serve their clients and make their practices more efficient.

For more information, please visit www.Betterment.com and follow @Betterment on twitter.

About Betterment

Betterment is the largest automated investing service, helping people to better manage, protect, and grow their wealth through smarter technology. The service offers a personalized, goal-based, globally diversified portfolio of ETFs, designed to help provide you with the best possible expected returns for retirement planning, building wealth, and other savings goals. Betterment is a CNBC Disruptor 50 and Webby award winner and has been featured in the New York Times, Forbes, and the Wall Street Journal. Betterment helps people to achieve a smarter financial future with minimal effort and for a fraction of the cost of traditional financial services. Learn more here.

About Francisco Partners

Francisco Partners is a global private equity firm that specializes in investments in technology companies. Since its launch fifteen years ago, FP has raised approximately $10 billion and invested in more than 150 technology companies, making it one of the most active investors in the industry. The firm invests in transaction values ranging from $50 million to over $2 billion, where the firm’s deep sub-sector knowledge and operational expertise can help a company realize its full potential. For further information, visit www.franciscopartners.com.

Wooplr raises $5 million in funding

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Wooplr is an India-based shopping app that has raised $5 million in Series A funding. Helion Ventures led this round of funding. Rahul Chandra of Helion Ventures will be joining the Wooplr board of directors. More details below:

PRESS RELEASE

Bangalore, February 18 2015: Wooplr, India’s first mobile fashion discovery and shopping platform,today announced their Series A funding round of US$ 5 million led by Helion Ventures.

The Wooplr app helps people decide what to buy and where to shop based on their interests, location and social circle. It gives the user a personalized feed of curated fashion products. Wooplr’s fast growing community of shoppers of which 80% are women, share fashion inspirations and the latest trends on the go.

The company was founded by Arjun Zacharia, Soumen Sarkar, Praveen Rajaretnam and Ankit Sabharwal and is based out of Bangalore.

The funds will primarily be used to hire top talent, expand the team and grow the Wooplr community as a whole. This infusion of funds will see Mr. Rahul Chandra, Co-Founder and Managing Director, Helion Ventures join Wooplr’s Board of Directors. The Series A financing builds on an exceptional year for Wooplr which saw a rapidly growing roster of clients and market momentum in the fast burgeoning area of m-commerce.

“Wooplr’s offering is well-timed with the rapidly increasing demand for solutions in m-commerce that brings together both, online and offline retailers on a common platform,” said Mr. Rahul Chandra, Co-Founder and Managing Director, Helion Ventures. “We believe the market will continue to see a shift towards m-commerce. Wooplr is a powerful solution for the industry and we are excited to collaborate with and support them as they work to build a great company in an exciting category” he added.

Commenting on the funding, Mr. Arjun Zacharia, CEO said, “Wooplr has just scratched the surface of the potential that m-commerce has to offer in India to both consumers and merchants. The financial support and domain expertise of Helion Ventures and our angel investors will help us execute our vision even more rapidly and with focus.”

The company previously raised $225,000 from a group of angel investors including Rahul Khanna, Sunil Kalra, Vivek Pandit and Jaspreet Bindra.

The Wooplr mobile app was released in December, 2013 and is currently available for Android, iOS and the mobile web.

About Helion Ventures

Helion is a multi-stage, technology focused venture fund with over $600 million under management. Helion invests in technology and technology-powered businesses such as eCommerce, online services, mobility, enterprise software and outsourcing. Founded in 2006, Helion has over fifty portfolio companies and has backed companies like MakeMyTrip, RedBus, TaxiForSure, YepMe, Ezetap and others. Helion has its offices in Bangalore, Gurgaon (NCR) and Silicon Valley.

Pindrop Security raises $35 million in Series B

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Pindrop Security is a phone fraud prevention and call center authentication company that has raised $35 million in Series B funding. Institutional Venture Partners (IVP) led this round of funding. Return investors Andreessen Horowitz, Citi Ventures, Felicis Ventures, Redpoint Ventures and Webb Investment Network also participated in this round. Somesh Dash of IVP has joined the board of directors at Pindrop. More details below:

PRESS RELEASE

ATLANTA – Feb. 19, 2015 – Pindrop Security, the pioneer in phone fraud prevention and call center authentication, today announced a $35 million Series B round of financing, one of the largest Series B rounds in the history of the security industry. Institutional Venture Partners (IVP) led the round with reinvestment from existing investors Andreessen Horowitz, Citi Ventures, Felicis Ventures, Redpoint Ventures and Webb Investment Network. IVP’s general partner Somesh Dash will join the Pindrop Security board of directors.

This round of financing reinforces Pindrop’s leadership in the fast-growing voice anti-fraud and authentication market. Financial institutions, retailers and other enterprises are overwhelmed with identity theft and social engineering attacks from organized, professional attackers. Pindrop’s patented Phoneprinting technology, combined with voice biometrics, is the first and only solution to provide significant relief from these attacks, reducing fraud losses and authentication expenses.

“Over six billion individuals across the globe have access to a phone, yet there has been little security innovation in phone or voice,” said Somesh Dash, general partner at IVP. “Pindrop has revolutionized phone and call center security and is poised for impressive growth. Already Pindrop is protecting hundreds of millions of bank and retail customers.”

“Large financial institutions have traditionally invested heavily to protect themselves against physical and online attacks but now the bad guys have moved to the phone channel. This phone-based crime costs companies billions of dollars, which has made the demand for Pindrop products incredibly high”, said Paul Judge, Ph.D., executive chairman and co-founder, Pindrop Security.

“We are thrilled to have several of the largest US financial institutions and retail companies as customers. This additional investment will enable us to expand operations globally while continuing to serve our current customers with excellence,” said Vijay Balasubramaniyan, Ph.D., co-founder and CEO, Pindrop Security. “As the clear leader in the market, Pindrop is establishing the standard for how enterprises secure the call center.”

About Pindrop Security:

Pindrop Security, headquartered in Atlanta, Ga., is a privately-held company that provides enterprise solutions to secure phone and voice communications. Pindrop solutions reduce fraud losses and authentication expense for some of the largest banks, brokerages and retailers in the world. Pindrop’s patented Phoneprinting technology can identify, locate and authenticate phone devices uniquely just from the call audio thereby detecting fraudulent calls as well as verifying legitimate callers. Named SC Magazine 2013 Rookie Security Company of the Year, a Gartner “Cool Vendor” in Enterprise Unified Communications and Network Services for 2012 and one of the 10 Most Innovative Companies at the 2012 RSA conference, Pindrop Security’s solutions restore enterprises’ confidence in the security of phone-based transactions.

About Institutional Venture Partners (IVP)

With $4 billion of committed capital, Institutional Venture Partners (IVP) is one of the premier later-stage venture capital and growth equity firms in the United States. Founded in 1980, IVP has invested in over 300 companies, 101 of which have gone public. IVP is one of the top-performing firms in the industry and has a 34-year IRR of 43.2%. IVP specializes in venture growth investments, industry rollups, founder liquidity transactions, and select public market investments. Since its inception, IVP investments include such notable companies as AppDynamics, ArcSight (HPQ), Buddy Media (CRM), ComScore (SCOR), Datalogix (ORCL), Dropbox, Dropcam (GOOG), Fleetmatics (FLTX), HomeAway (AWAY), Kayak (PCLN), LegalZoom, LifeLock (LOCK), Marketo (MKTO), MySQL (ORCL), ngmoco (DeNA), OnDeck (ONDK), Pure Storage, RetailMeNot (SALE), Shazam, Snapchat, Supercell, Synchronoss (SNCR), The Honest Company, Twitter (TWTR), and Zynga (ZNGA). For more information, visit http://www.ivp.com or follow IVP on Twitter: @ivp.

About Andreessen Horowitz

Andreessen Horowitz backs bold entrepreneurs who move fast, think big and are committed to building the next major franchises in technology. Founded by Marc Andreessen and Ben Horowitz, we provide entrepreneurs with access to our deep expertise and insights in innovation, business development, market intelligence, executive and technical talent, and marketing and brand building. Find us in Menlo Park, Calif., and at www.a16z.com.

About Citi Ventures

Headquartered in Palo Alto, with offices in New York and Shanghai, Citi Ventures is a unit of global financial services company Citigroup. The Citi Ventures team partners with Citi businesses internally and with leading companies externally to identify, invest in, develop, and commercialize the highest new growth opportunities around the world that directly support Citi’s global business strategy. For more information visit ventures.citi.com.

About Felicis Ventures:

Founded in 2006 by Aydin Senkut, Felicis Ventures is a super angel fund backed by institutional as well as high profile individual investors. It is focused on supporting the best and brightest technology entrepreneurs with capital, mentorship and connections. Felicis Ventures’ portfolio is comprised of innovative mobile and consumer Internet companies including Brightroll, Bump, Crowdflower, Erply, Imageshack, Meraki, Milo, Posterous, Rapleaf and Richrelevance. Recent exits include Aardvark (acquired by Google), GeoAPI (acquired by Twitter), Mint (acquired by Intuit), Mob.ly (acquired by Groupon), Mochi Media (acquired by Shanda Games), Plusmo (acquired by AT&T), Powerset (acquired by Microsoft) and Tapulous (acquired by Disney). For more information, visit http://www.felicisvc.com/.

About Redpoint Ventures

Redpoint Ventures focuses on creating franchise and platform companies for the next generation and broadband Internet, currently focused on communications infrastructure and Enterprise infrastructure software. Redpoint was founded in the fall of 1999 by three partners each from Brentwood Venture Capital and Institutional Venture Partners (IVP), two of the top ten Silicon Valley venture firms. http://www.redpoint.com/

6sense raises $20 million in Series B

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6sense is a service that predicts who will buy what products when and where. 6sense has raised $20 million in Series B funding led by Bain Capital Ventures. The company has now raised a total of $36 million in funding. More details below:

PRESS RELEASE

6sense Raises $20 Million – Predictive Intelligence Platform Uncovers In-Market B2B Buyers

Series B Funding Led by Bain Capital Ventures

SAN FRANCISCO, Feb. 19, 2015 – 6sense today announced a $20 million Series B funding round led by new investor Bain Capital Ventures, bringing the company’s total financing to $36 million. The new funding comes less than a year after launching the company’s SaaS-based predictive intelligence platform and closing Series A funding. Early investors Battery Ventures and Venrock also contributed to the round. BCV partner Indy Guha will join the 6sense board.

6sense has quickly emerged as an early leader in the fast-growing market for predictive B2B marketing and sales intelligence. Founded in April 2013 by CEO Amanda Kahlow, 6sense has assembled an impressive enterprise customer roster including Cisco, Dell, NetApp, VMware, NetSuite, CSC, Lenovo, CBS Interactive and more.

The 6sense platform is used by B2B sales and marketing leaders to identify net-new, in-market buyers while prioritizing known prospects – predicting with 85 percent accuracy who will buy, when and how much. Early results include:

• 9X increase in marketing-to-sales qualified lead conversions;

• 2/3 fewer sales touches to convert leads to opportunities;

• 2X increase in opportunity size with 70% new prospects found by 6sense; and

• Identification of a $900K prospect that was about to buy from a competitor, but instead became the company’s third largest deal in their history.

The 6sense platform combines robust data science and machine learning with a groundbreaking one-of-a-kind “Buyer Intent Network” that captures time-based, structured and unstructured behavioral data from thousands of sources. The platform currently processes billions of rows of buyer intent data every month from search engines, industry trade publications, blogs, forums and communities. As a result, 6sense is uniquely equipped to help its customers identify prospects in new markets and verticals – or find buyers with a need for products in new market categories.

“B2B lead generation is grossly broken, and it’s time to replace guesswork with real intelligence,” said 6sense’s Kahlow. “In today’s cross-channel digital world, your prospects are self-educating – most buyer activity is anonymous and 70% of the buyer’s journey takes place before a prospect hits your web site or fills out a lead gen form and agrees to be called or emailed. Unlike simple predictive lead scoring tools that wait for a lead to come in, 6sense proactively identifies new buyers early in the buyer’s journey – so our customers can get ahead of their competition and hyper-target their sales and marketing efforts to accelerate growth.”

“Predictive intelligence will fundamentally transform B2B marketing and sales, and 6sense is uniquely positioned with major enterprise customers that have demonstrated what’s possible,” said BCV’s Guha. “We believe enterprise software is moving to a 3.0 model – which we call Adaptive Software – where machine learning and data science are embedded in the solution. Modern marketers are feeling the pressure of trying to harness the data exhaust from increasingly digital buyer journeys. 6sense’s ability to analyze the entire buyer journey is a powerful differentiator.”

6sense will use the new funding to grow its development and data science team, accelerate marketing and sales investments, and expand customer engagement in new vertical markets. 6sense will also host its first annual “INmarket” user conference in July – details to be announced in March.

About 6sense

6sense predicts who will buy what products when and where they are in the buyer’s journey. The company’s predictive intelligence platform helps B2B marketing and sales leaders uncover net-new, in-market prospects based on powerful data science and billions of time-sensitive intent interactions. Headquartered in San Francisco, 6sense is backed by Bain Capital Ventures, Battery Ventures, Venrock and Salesforce.

InDinero raises $7 million in funding

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InDinero has announced that it has raised $7 million in a new round of funding. The investors in this round include Coyote Ridge Ventures, SaaS Capital, and Streamlined Ventures. InDinero has announced a relaunch of its all-in-one accounting and tax service for small business. InDineo is a leading financial software with services (SwS) solution for small businesses to automate accounting, tax, and payroll activities.

PRESS RELEASE

SAN FRANCISCO, Feb. 18, 2015 /PRNewswire-iReach/ — inDinero today announces its re-launch as the premiere all-in-one accounting and tax service for small business. Backed by $7M in new capital and $10M overall from 50+ different angel investors and small funds, inDinero can now replace all three back office disciplines (accounting, tax and payroll) for one flat fee. Co-founders Jessica Mah and Andy Su remain the only official board members as no board seats or observer rights were given out. Notable investors in this round include Kevin Hartz, Bobby Yazdani, Hank Vigil, Fritz Lanman, Coyote Ridge Ventures, SaaS Capital, Streamlined Ventures, among many others.

inDinero’s re-launch just says “No” to the old SaaS scalability model by providing customers with the brightest minds in accounting to walk them through all of their financial needs. Running at near break-even, inDinero is padding their bank account with the new funds as they plan to double headcount and office locations over the next 18 months. Focusing primarily on customers with 2-100 employees, inDinero is making it easier for small business to grow faster.

“Now we’re a pain killer for any small business that wants to focus on themselves instead of having to build out their own accounting staff,” said Jessica Mah, CEO at inDinero. “The Mint.com for businesses idea was horrible, and now we are doing so much more by actually doing the accounting and taxes. A business no longer needs to hire a bookkeeper and tax person anymore; inDinero just takes care of it all.”

Unconventional and Innovative

With $10M now in total funding, inDinero has been gathering and managing various waves of cash since 2010 and last year even turned away many larger offers from VCs. inDinero’s pioneering concept of “pseudo bootstrapping” allows it to remain independent while prioritizing revenue and profits and to only accept appropriate levels of funding. “We are a 30 year old company in the making,” said Mah.

“There’s no reason for us to take on more capital than necessary and at what cost?” In addition to its funding methodology, inDinero’s innovative SwS approach is making a huge impact on the startup world. Now a growing business can hold off on hiring an in-house controller well into the 100th employee mark. inDinero also makes sure its developers work right along side of its own tax, accounting and payroll experts so that real time best practices reach customers seamlessly.

“As a rapidly growing business, we face a lot of challenges and having inDinero’s support and good humor has been indispensable,” stated Kate Bertash, operations services manager at Move Loot. “Now we enter a new phase of our company after raising our Series A and we are definitely more prepared going into it with inDinero’s help.”

Covet Thy Customer

Back in 2010 it was hot and seemingly lucrative to be every businesses’ sexy little financial dashboard. But at $20 per month, it became clear that doing so little for so many was not going to be a sustainable and growing business model. inDinero customers were even begging for more services stating that if you are already keeping track of my money, you might as well file my taxes and do my payroll while you are at it; oh, and charge me more for it all. However, inDinero could not just become a more user-friendly version of Intuit. Instead, inDinero began hiring the best and brightest minds in the accounting world to help customers in need and take great care of them as if they were their own dedicated accountants. Now inDinero charges customers between a few hundred to several thousands of dollars per month and customers are glad to make the change. Finally, inDinero realized they are the ideal solution for the growing startup company. By clearly identifying their target customer, inDinero is helping growing startups to grow even faster.

“inDinero solved a huge problem for us and saved me hundreds of hours of work and worry,” stated Brian Bosche’, CEO and co-founder at TernPro. “I don’t know what I would have done without inDinero, and I hope more businesses like theirs can make it easier for startups to focus on building products and customers versus worrying about accounting, payroll and taxes.”

About inDinero

inDinero is the leading financial software with services (SwS) solution for small businesses to automate accounting, tax and payroll activities for a flat fee. inDinero has over 80 employees with offices in San Francisco, Portland, and Manila. For more information go to www.inDinero.com or call 855-463-4637.

Sindeo raises $5 million in Series A funding

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Sindeo is a San Francisco, California based mortgage marketplace company that has raised $5 million in Series A funding. The lead investor in this round is Renren. More details below:

PRESS RELEASE

SAN FRANCISCO–(BUSINESS WIRE)–Sindeo, a modern mortgage marketplace, today announced it has raised $6.5 million in funding through a $5 million Series A round, which follows an earlier $1.5 million Seed round. Sindeo will use the funds to provide consumers with the proper guidance, information and tools to find the right mortgage and lender through its mortgage marketplace and fuel its expansion to major markets in the United States.

The company’s funding is led by Renren, the largest real name social networking site in China, with James Liu, Co-Founder and COO of Renren, joining the Sindeo Board of Directors. Liu is a pioneer of the Chinese Internet industry, including being Co-Founder and CEO of UUMe.com, one of the earliest social networking service websites in China, which Renren acquired in 2005.

Renren is also an investor in SoFi, a lending marketplace and the largest provider of student loan refinancing. Renren’s investment in Sindeo, like SoFi, is due to its interest in FinTech marketplaces that leverage technology to scale. Due to such significant funding and support, Sindeo is advancing its suite of social mortgage tools and technology in the second half of 2015.

“Sindeo is one of the most promising players in the financial technology space because it has amassed a highly talented team to propel the growth and innovation of its cutting-edge mortgage marketplace,” said Liu. “We have seen firsthand the power of leveraging technology to transform financial services and are looking forward to working with the Sindeo team to redefine the mortgage industry.”

Arkadi Kuhlmann, an entrepreneur and a category disruptor by nature, joins Renren as an investor in Sindeo. Before his current role as Founder and CEO of ZenBanx, Kuhlmann was Founder and CEO of ING Direct, the largest direct bank in the United States. Kuhlmann has built a career on transforming financial services through new business models, and Sindeo is no exception.

“I am pleased to support Nick and his team’s mission to empower consumers with the right information and technology to make financing a home as transparent and easy as possible,” said Kuhlmann. “Sindeo is raising the bar for mortgage lending, giving consumers a new level of choice and service, and this funding will speed up the expansion of its mortgage model to markets outside of California.”

Liu joins Kuhlmann on Sindeo’s Board of Directors and both work in conjunction with the executive team to expand Sindeo’s imprint on the mortgage industry.

“As the investors leading our Series A, Kuhlmann and Renren represent an important endorsement of our business model and our mission to provide consumers with a new and simple way to get a mortgage,” said Sindeo’s Founder and CEO, Nick Stamos. “We’re dedicated to maintaining our growth and transforming the mortgage industry by harnessing impressive technology and providing consumers peace of mind when financing their home.”

Since the company’s founding in 2013, Sindeo has grown its San Francisco operations to more than 40 employees. Stamos, along with Co-Founder Ori Zohar, started the company to revolutionize the way people plan, shop and secure a mortgage. The company can close loans in as few as 15 days with consumers able to save more than $20,000 over the life of their loan.

About Sindeo

Sindeo’s modern mortgage marketplace provides borrowers with expert, unbiased advice and helps them find the Right Loan at the Right Time. Charting a new path for the mortgage industry, Sindeo uses technology to streamline the mortgage process, connect people with the right lenders and provide unparalleled guidance from its full-service, local mortgage advisors. Sindeo is headquartered in San Francisco and privately held. For more information, visit sindeo.com.

Springpath raises $34 million

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Springpath is a provider of enterprise-grade and data management software that has raised $34 million from Sequoia Capital, New Enterprise Associates and Redpoint Ventures. Springpath also recently launched an enterprise-grade data platform software application called the Springpath Data Platform. More details below:

PRESS RELEASE

SUNNYVALE, Calif., Feb. 18, 2015 – Springpath today launched the company and its Springpath Data Platform, an enterprise-grade data platform software that enables standard servers hosting applications to reliably store, manage and protect data. Available on a low-cost annual subscription basis, the platform brings public-cloud economics and maximum simplicity to enterprise data centers.

“Today’s data centers are forced to choose inflexible and expensive silos of dedicated appliances, converged systems and arrays to meet their data storage needs,” said Mallik Mahalingam, CEO, CTO and cofounder of Springpath. “Modern data centers require a versatile and elastic data platform software that runs on a common hardware infrastructure based on standard servers and supports the data management needs of virtualized, containerized, big data and other emerging environments.”

VMware alumni and Springpath co-founders Mallik Mahalingam and Krishna Yadappanavar have a proven track record of pioneering technology including VXLAN, the basis for today’s Software-Defined-Networking (SDN), and VMFS, the most-widely deployed file system in VMware environments. Operating in stealth since May 2012, the seasoned Springpath team has captured the attention of leading venture capitalists, securing $34 million from investors Sequoia Capital, New Enterprise Associates (NEA), and Redpoint Ventures.

“Springpath Data Platform is based on Springpath’s patent pending Hardware Agnostic Log-structured Objects (HALO) architecture, which was engineered from the ground up to deliver superior data services, storage efficiency, high performance and scalability without caveats,” said Yadappanavar.

Springpath Data Platform for VMware vSphere has been in beta for over a year, and became generally available in January 2015 on a subscription basis for as low as $4,000 per server per year end-user pricing. The platform is supported on server models from Cisco, Dell, HP and Supermicro. It is currently deployed in close to two dozen customers for a wide variety of use cases.

“With Springpath’s Data Platform software we are able to rapidly provision high-performance virtual machines that meet the demanding needs of our users and help accelerate the time-to-market for our products,” said Scott Anderson, IT director at Sigma Designs. “As software running on our choice of servers, Springpath provides maximum simplicity through its seamless integration with VMware. This simplicity, combined with the cloud-like subscription pricing, dramatically lowers the total cost of ownership for our virtual infrastructure to levels we have never seen before.”

Empowering Independent Infrastructure

Springpath dubs its unique approach “Independent Infrastructure,” where applications are delivered to business users and supported a common server-based infrastructure that feeds data to increasingly transient applications.

“The datacenter’s move to a server-based ecosystem is well on its way, and Springpath’s software platform enables enterprises to support their diverse application environments utilizing standard servers and appears to fit well into this macro trend,” said Patrick Moorhead, founder, president and principal analyst at Moor Insights & Strategy. “We were impressed with their solution’s ability to deliver the value of enterprise features and performance on a variety of top brand servers, offering enterprises choices without compromising on their expectations.”

To expand its reach, Springpath also announced a distribution agreement with Tech Data. Through this agreement, solution providers will have access to servers pre-loaded with Springpath software, enabling a fast and smooth deployment experience.

About Springpath

Founded in 2012 by VMware veterans, Springpath is the pioneer of an enterprise-grade storage and data management software that provides reliable and scalable storage services and runs on a variety of standard servers. Available on an annual subscription basis and powered by Springpath’s patent pending Hardware Agnostic Log-structured Objects (HALO) architecture, the Flash-optimized platform delivers high performance, rapid provisioning and fine-grained scale-out, with unparalleled storage efficiency—empowering enterprises to innovate on a server-based Independent Infrastructure. This can be deployed as a hyperconvergence solution, as well as in non-hypervisor environments like containers and physical servers. For more information, visit www.springpathinc.com or follow us on Twitter @SpringpathInc.

Message Systems raises $27 million in funding

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Message Systems is a leader in e-mail infrastructure that has raised $27 million in a new round of funding. New investor Hercules Technology Growth Capital and existing Message Systems’ investors LLR Partners and NewSpring Capital participated in this round. Message Systems also secured a new $8 million line of credit for working capital purposes. More details below:

SAN FRANCISCO, Feb. 18, 2015 /PRNewswire/ — Message Systems, the global leader in email infrastructure, today announced it has raised $27 million in funding, for a total amount of $65 million to date. New investor Hercules Technology Growth Capital and existing Message Systems’ investors LLR Partners and NewSpring Capital participated in this round. Separately, Message Systems secured a new $8 million line of credit for working capital purposes, also from Hercules.

The capital infusion will be used to drive adoption of SparkPost, Message Systems’ new public cloud email service, via accelerated development and expanded sales and marketing. Launched in November 2014, SparkPost makes available to developers and companies of all sizes the same reliable and robust email platform used by the world’s largest email senders.

“This funding sends a clear signal that Message Systems is extending its leadership position in email infrastructure into the cloud,” said Message Systems CEO Phillip Merrick. “Today, Message Systems provides the world’s largest senders with the most advanced email platform available on the market. In 2015, we are excited to offer the same email capabilities in use at Twitter, Groupon, LinkedIn and other leading enterprises to businesses of all sizes through our SparkPost cloud offering.”

The funding follows a year of record financial results for Message Systems, which moves 25 percent of the world’s legitimate email — more than 3 trillion emails a year — for well-known global brands, including LinkedIn, Facebook, Groupon, Twitter, Epsilon, Oracle and Salesforce.com.

“We are very excited to partner with Message Systems at this important and critical stage to help them accelerate the market adoption of the SparkPost service,” said April Young, managing director at Hercules Technology Growth Capital. “Email remains the most important engagement channel in the world for effective customer communication. By working closely with the Message Systems team, we are able to fund their growth objectives which will help extend their leadership position in the email market.”

About Message Systems

Message Systems is the world’s #1 email infrastructure provider. Collectively, Message Systems customers, including Facebook, LinkedIn, Twitter, Groupon, Salesforce, Marketo, Oracle, Comcast, Time Warner, AT&T and American Express, move over 3 trillion messages a year — more than 25 percent of the world’s legitimate email. These prestigious companies choose Message Systems because our software outperforms any cloud or on-premises alternative, and provides the flexibility, deliverability and control they need to drive the highest possible customer engagement for their business. For more information, follow us on Twitter @MessageSystems or go to messagesystems.com.