Boston, Massachusetts-based cloud file services company Nasuni announced it has raised $25 million in growth equity funding and the company saw a record-breaking year of revenue and customer expansion in 2018. This round of funding was led by Telstra Ventures.
Existing investors Goldman Sachs, Sigma Prime Ventures, North Bridge Venture Partners, and Flybridge Capital Partners also participated in this round. With this funding round, it will accelerate Nasuni’s go-to-market strategy and fuel expansion into new markets. Including this round, Nasuni has raised $145 million total.
“In 2018, we continued to experience phenomenal growth,” said Nasuni president and CEO Paul Flanagan in a statement. “And in addition to seeing record expansion within our current customer accounts we also signed market-leading enterprises in numerous industries. At the same time, we are also making investments in our people, our product and partnerships that are the foundation of the great company that we are building.”
Last year, Nasuni also hired Cheryle Cushion as VP of marketing. Cushion previously held similar roles at Hospital IQ, OneCloud Software, Infinio Systems, Dell, Seahorse BioScience, EqualLogic, and Pelago Networks.
Nasuni’s software subscription revenue increased by 52% year-over-year in 2018 compared to 2017. And the company’s annual recurring revenue (ARR) continued accelerating as it hit a five-year compounded growth rate of 66% with an increase of 120% in the last two years. Plus the fourth quarter of 2018 marked 19 consecutive quarters of positive subscription software revenue growth.
What does Nasuni do? The company provides a cloud scale software platform that combines the performance of an on-premise network attached file storage solution (NAS) with cloud economics as it integrates with public cloud object storage providers like Amazon Web Services (AWS), Microsoft, Google, and on-premise solutions from IBM, Dell EMC, and Hitachi.
In terms of product innovation, Nasuni launched the industry’s first multi-cloud solution that combines primary and archive file storage and automatically reduces costs as files age. This eliminates the need for IT departments to constantly move files to less expensive and slower storage tiers. And cold files are automatically reclassified to a lower cost-per-terabyte rate, but remains in the same location for analytics and can be immediately accessed by users in the need arises.
And Nasuni offers NAS, backup, archive, remote office replication, and disaster recovery in a single platform that is highly scalable. As a result, CIO’s can consolidate their legacy NAS and save up to 60% on hardware while distributed teams can utilize global file sharing and collaboration. Some of Nasuni’s customers include AECOM, Cushman & Wakefield, Jabil, TBWA, and Ulta Beauty.
“Application files, from documents and spreadsheets to CAD and creative files, are the lifeblood of most companies. However, traditional approaches to file management are prohibitively expensive and cannot keep pace with the growth of unstructured data,” added Telstra Ventures partner Steve Schmidt. “Nasuni offers a modern, future-proof alternative that radically decreases costs, eliminates the need for costly legacy systems and makes new levels of collaboration possible. Those are outcomes all enterprises need and want.” Telstra Ventures is the venture capital arm of Telstra, an Australian telecommunications giant.
