Blues, a leader in IoT connectivity solutions, has secured an $8 million follow-on funding round led by XYZ Venture Capital, following a $25 million raise from Sequoia Capital in May 2025. Increased investor demand after the previous round’s oversubscription drove this expedited funding.
This timely investment aligns with rapid customer adoption and a growing market need for Blues’ connectivity solutions. The company aims to make actionable insights more accessible and affordable for product makers, accelerating the launch of new revenue-generating services and enabling a shift toward intelligent products for all, not just those with large R&D budgets.
How the funding will be used: The funding will be used to support the company’s growth, advance further product innovation, and enable Blues to deliver on its mission to help the world’s physical product makers transform their offerings into data-driven intelligent services.
KEY QUOTES:
“We had more investor demand than we could accommodate in our last round, making it clear there was an opportunity to move faster. IoT adoption is accelerating across industries, from refrigeration manufacturers, logistics providers, to automotive battery vendors. For product makers of all kinds, Blues simplifies secure, seamless cloud-connectivity for physical products. This is the ideal time to expand our reach, capitalize on our unique offering, and help our customers deploy intelligent services to generate new revenue streams.”
Ian Small, CEO of Blues
“We’ve been big believers in Ray Ozzie’s vision and in Blues’ technology for years. Watching customer trials start to turn the corner into scaled production rollouts convinced us that this was the right moment to boost our investment in Blues and support the company’s increased go-to-market focus.”
Ross Fubini, Managing Partner at XYZ Venture Capital
“I founded Blues because of my deeply held belief that there’s tremendous opportunity in helping every physical product become connected and intelligent. It’s exciting to see our customers transform their own customers’ experience with new, intelligent services, all made possible by Blues’ tapping the data that lies within their physical products.”
Ray Ozzie, Founder and Executive Chair of Blues
