Virtustream Capitalizes on Strong Demand for xStream Cloud; Announces $10 Million Series B Round of Venture Capital Funding

Additional Funding from Existing Investors Enables Virtustream to Focus on New Enterprise Cloud Platform Features and Market Awareness

BETHESDA, Md.--()--Virtustream, Inc., a leading provider of cloud services and next generation infrastructure solutions, today announced additional funding, raising $10 million of Series B round financing to complement the company’s previous Series A round for a total of $59 million in equity capital raised to date. Virtustream’s Series B funding comes from existing investors: Intel Capital, Columbia Capital, Noro-Moseley Partners, and TDFunds, and supports strategic company initiatives as Virtustream enhances its cloud offerings.

“Since our launch and initial funding in January of 2009, we have been heads down in the effort to deliver critical, first-to-market Enterprise Cloud technologies,” said Rodney Rogers, chairman and CEO, Virtustream. “We believe we have accomplished this with our xStream IaaS platform and its unique 'Infrastructure Unit' consumption-based provisioning architecture. We have experienced great traction to date with our customers and felt now was the right time to invest further in our products, our markets, and in our brand awareness.”

Virtustream will use the proceeds from this new capital raise to invest in a number of key areas. The firm will productize its internal cloud provisioning platform, xStream, into a distributable end “cloud O/S” software product. This will allow customers to purchase the xStream software to place atop their own infrastructure assets to gain the unique efficiencies of xStream’s infrastructure provisioning architecture. It will also allow Virtustream to be a channel partner for service providers such as Telecommunications Carriers and Systems Integrators to facilitate the development of their cloud solutions.

Virtustream will also invest resources in the branding, marketing and advertising of its products and services, and in expanding its market presence in San Francisco and London. Finally, Virtustream will invest in growing its Cloud Advisory Services group, which supports enterprise clientele in a consultative manner to help them determine optimal cloud adoption and migration strategies.

About Virtustream

Virtustream (www.virtustream.com) is an innovative cloud provisioning firm committed to delivering next generation infrastructure services to enterprise class customers. We leverage our secure high performance platform, xStream, to deliver highly available and elastic compute resources at true consumption-based pricing. We lead our Cloud Platform Services with Cloud Advisory Services, providing expertise in the areas of cloud adoption, migration and architecture strategies and infrastructure-related integration services. We provide ongoing support for our Cloud Platform Services through two groups: our Cloud Cover team provides a managed service, from core infrastructure through enterprise applications and the Cloud Staging and Networks group that provides colocation, security and network services. Virtustream owns and operates its own data centers in the U.S. and U.K., and has offices in Washington, D.C., New York, San Francisco, Atlanta, London, Dublin and the Channel Islands. Keep tabs on us with Twitter: www.twitter.com/rjrogers87 and www.twitter.com/Virtustream360.

Contacts

Virtustream, Inc.
Sally A. Egan, 267-613-8218
sally.egan@virtustream.com
or
Schwartz Communications
Mercedes Carrasco, 781-684-0770
virtustream@schwartzcomm.com

Release Summary

Virtustream Announces $10 Million Series B Round of Venture Capital Funding

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Contacts

Virtustream, Inc.
Sally A. Egan, 267-613-8218
sally.egan@virtustream.com
or
Schwartz Communications
Mercedes Carrasco, 781-684-0770
virtustream@schwartzcomm.com