Varada, a Tel Aviv-based big data inline indexing company, announced it has raised $7.5 million in seed funding led by Lightspeed Venture Partners. StageOne Ventures and F2 Capital also participated in this round. This round of funding was secured in two phases: a $2.5 million investment led by StageOne Ventures initially and F2 Capital last year.
And the completion of the round was led by Lightspeed Venture Partners and included existing investors. With this funding round, Varada is going to expand business operations and development.
Varada is helping solve a problem where enterprises are seeing exponential growth in costs due to the amount of data generated daily along with data infrastructure, data preparation and simplifying data access. And the architecture of most data infrastructures is stored in outdated hardware where the main storage media is spinning drives, network bandwidth is limited, and I/O latency is high.
The founders of Varada — Tal Ben-Moshe, Roman Vainbrand, and David Krakov — are veterans of the Dell EMC XtremIO core team.
“We know firsthand the daily struggle felt by many data practitioners who are continuously having demands placed on them, often resulting in the compromising of the quality of their work,” said Varada CEO Eran Vanounou in a statement. “I have led large data driven global organizations for the past 15 years. When I met Varada’s founding team and saw their technology, I realized immediately it’s value for enterprises – it solves the pain points that many CTOs and CIOs across the industry are experiencing. I also knew that I wanted to help them bring this technology to market.”
Varada’s data lakes are becoming the primary storage solution for enterprise data and it enables low cost. Varada’s on-demand SQL analytics tier enables data practitioners to define any dataset of interest directly on the data lake and to analyze it interactively using SQL or business intelligence tools without the need for data preparation or modeling. And Varada’s inline indexing technology can provide interactive sub-second analytics across any dimension or schemas directly on petabyte scale data lakes.
“Most of today’s’ big data software has been designed for decade old hardware assumptions,” added StageOne Ventures managing partner Tal Slobodkin. “Varada is unique in its approach, as it leverages the innovative hardware trends in SSD storage and networking to completely rethink how analytic software architecture should be built.”
David Gussarsky of Lightspeed Venture Partners explained that Varada compiled a “stellar team of data storage experts” who can use their experience to solve some of the biggest pain points for data practitioners today. And F2 Capital managing partner Jonathan Saacks pointed out that they believe “Varada has massive potential to be a real market game-changer.”