Scality, a start-up based in San Francisco, completed a $45 million Series D funding round for its software-based storage solution.
Scality’s RING platform runs on standard x86 servers powered by Linux, such as the ones of HP, Dell, Cisco, SuperMicro, or Seagate. It uses an object storage architecture to create an unlimited storage pool for file, object and OpenStack applications.
The latest funding round includes new entrant and strategic partner BroadBand Tower, Inc. (BBTower), all existing investors, led by Menlo Ventures, and 65% of the Scality staff, bringing the total investment in Scality to $80 million.
Since its last round of funding in July 2013, Scality has increased its revenue by 400%, grew its staff from 42 to 160, announced major customers, including most recently Deluxe, RTL II, and Phoenix, and signed major distribution agreements. This includes a global resale agreement with HP signed in October 2014 and a recent deal with Dell, as well as other relationships with server manufacturers. The company claims more than 50% of the server market is reselling Scality RING software.
“Over the course of the last year-and-a-half, we’ve seen an unprecedented amount of funding given to software storage startups. At the same time, we’ve seen the traditional storage vendors lose market share, change leadership and shift their business model to mimic the software-defined strategy. This latest funding round comes at a time when Scality and the software-defined storage industry are poised to attract billions of dollars from customers that are rethinking their storage strategies. Within our Series D, we are happy to welcome BroadBand Tower, and can report that all of our existing investors have contributed, as well as 65% of Scality employees,” said Jerome Lecat, CEO at Scality. “Our employees and partners believe in us, and the fact that this last funding round was done at 2x valuation speaks volumes about the overall confidence in the future of Scality. This new capital investment will allow us to massively boost our go-to-market, attract strategic new hires, continue to expand globally, and be primed for a successful IPO by 2017.”
