Pre-IPO Storage Companies Getting Additional Funding – Pivot3 and Exablox27 Feb 2015, Posted by Blog in
VC money keeps flowing into high growth storage start-ups that have a compelling value proposition. Below are some details on what Pivot3 and Exablox have to offer that is exciting enough in such a competitive market to receive additional support and funding in 2015.
Pivot3 receives $45 million
Pivot3, Inc., in hyper-converged infrastructure (HCI) solutions, announced a $45 million equity and bank financing closing.
Argonaut Private Equity, a new investor in the company, joins S3 Ventures, InterWest Partners, Mesirow Financial Private Equity, and the Wilson Sonsini Goodrich & Rosati investment fund in providing additional equity in this closing.
As a part of this round, Steve Mitchell, MD of Argonaut Private Equity, will join the board of directors.
“We invest in premier companies that can transform large and important industries,” said Steve Mitchell, MD, Argonaut Private Equity. “Pivot3 is on the leading edge of a once-in-several-decades transformation of the underlying technology that operates IT data centers globally.”
Industry analysts predict dramatic market growth in hyper-converged systems. According to the Technology Business Research quarterly webinar series in October 2014, “Converged systems are the go-to alternative to complicated piece-part infrastructure, sparking a $17.8 billion global market opportunity.”
“The pervasive need to address unmanageable IT complexity while providing lower cost and improved service on a global scale has created an environment for explosive growth in the HCI market,” said Ron Nash, chairman and CEO, Pivot3. “Pivot3 now has the opportunity to go from being an original innovator of hyper-converged infrastructure to becoming a global leader in providing transformative IT infrastructure technology to our customers, who are leaders in IT and security organizations.” Click here for more.
Exablox receives $16 Million
Exablox Corp. has received a $16 million Series-C funding round.
This investment validates Exablox’s vision for delivering scale-out object storage to every organization.
The company has now received $38.5 million in total funding.
The recent IDC Worldwide Object-Based Storage 2014-2018 Forecast Report projects that the file-and-object-based storage market will be $43.4 billion in 2018. IDC also states that by 2018 scale-out solutions will account for approximately 80% of the FOBS market.
With traditional models storage often has been purchased on a three- to four-year refresh cycle, forcing IT organizations to overprovision storage in anticipation of future business needs, which often results in forklift upgrades as business requirements change. This antiquated approach does not fit in an era of overwhelming growth in unstructured data, big data and the Internet of Things. Exablox’s OneBlox scale-out architecture provides a scalable solution that eliminates forklift upgrades and enables IT organizations to nearly instantaneously scale storage capacity, performance and/or availability to exactly meet their current business needs. Click here for more.