CloudHealth Gets $46M as IT Management Sector Heats Up
CloudHealth Technologies says today it has snapped up $46 million in funding, continuing a surge of investments in companies that help businesses manage their cloud storage.
The Series D funding round was led by new backer Kleiner Perkins Caufield & Byers, with contributions from Meritech Capital Partners, .406 Ventures, Sapphire Ventures, and Scale Venture Partners. Boston-based CloudHealth says it has raised $86 million total from investors over the past four years.
In a press release, CloudHealth says it will use the money to continue growing its international operations and expand to more than 250 employees. CloudHealth employed about 100 people as of May 2016.
CloudHealth says its revenue increased by more than 130 percent last year. (As a private company, it doesn’t share exact figures.) Its customers include Amtrak, Dow Jones, Acquia, and Sumo Logic.
As businesses shift their data storage to the cloud, they often take a “hybrid” approach that uses some combination of private and public storage options. Companies like CloudHealth aim to help businesses manage their increasingly complex computing environments with software that analyzes their operations and provides recommendations that, ideally, will lower their costs, boost computing performance, and enhance security.
There’s a lot of money pouring into cloud management and analytics. Rochester, NY-based CloudCheckr raised a $50 million round in March, and Fremont, CA-based Rackware secured $10 million last September, for example.
There has also been consolidation. This year, Kaseya bought Unigma, HPE announced plans to acquire Cloud Cruiser, and Microsoft reportedly was in talks to purchase Cloudyn, although that deal hasn’t been confirmed.
CloudHealth, for its part, is considering going public at some point, according to a spokeswoman. But who knows if it will follow through with that. If CloudHealth continues growing its business, perhaps a bigger company will swoop in with a tantalizing acquisition offer.