Pivot3, a provider for virtual servers and scalable storage in a single platform, has raised US$25 million in a new funding round led by Focus Ventures, the investor firm behind storage companies EqualLogic (acquired by Dell) and Isilon. Participation in this round also included existing investors InterWest Partners, Lightspeed Venture Partners, Mesirow Financial Capital Partners IX, and Silver Creek Ventures. The sizable investment will be used to expand sales operations beyond the Americas, as well as to develop and promote innovations that open up new markets for Pivot3 Serverless Computing platform.
"We see storage as a major growth market and Pivot3 has unique technology, a rock-solid product and a blue-ribbon customer base that are poised to scale," said James Boettcher, General Partner at Focus Ventures. "Pivot3 demonstrated strong revenue growth even in last year's tough economy and is the ideal blueprint for growth-stage investment."
"Pivot3 is developing storage and server virtualization technologies, growing rapidly, and gaining substantial market share," said Ron Nash, partner with InterWest Partners. "That record of achievement makes it easy for us to support them again as we look forward to their future success."
“With this overwhelming investor support, Pivot3 will aggressively expand its sales and marketing efforts to accelerate our rapid market share growth,” said Bob Fernander, CEO of Pivot3. “We now have the resources to expand our lead in the surveillance vertical and also take our product into new markets.”
Pivot3 serverless computing is the first scale-out storage solution offering integrated server virtualization to enterprise customers. Integrated server virtualization consolidates physical servers into Pivot3 storage appliances for high availability while realizing significant savings in power, cooling and rack space. The compelling value proposition led the company's quick rise to No. 1 market share in the IP SAN market for video surveillance, as recently reported by IMS Research.