SimpliVity Readies for Hyper-Growth: Raises $25 Million in Series B Venture Capital Funding, Led by Kleiner, Perkins, Caufield & Byers

SimpliVity’s groundbreaking OmniCubeTM attracts world renowned investors to complete Investor Dream Team joining existing backers Accel Partners and Charles River Ventures.

WESTBOROUGH, Mass.--()--SimpliVity Corporation, a provider of simplified Software Defined Data Center in a Box solutions, today announced that it has secured $25 million in Series B funding led by world-renowned Silicon Valley-based Kleiner Perkins Caufield & Byers (KPCB). Existing investors Accel Partners and Charles River Ventures also participated in this financing round, which brings the total funding to date to $43 million. Completing just four weeks after SimpliVity emerged from stealth mode, the funding serves as further validation of the transformational value of SimpliVity’s flagship offering, OmniCubeTM, the world’s first truly assimilated IT infrastructure platform.

“SimpliVity is at the forefront of the convergence trend that is transforming enterprise IT,” said Matt Murphy, partner at KPCB. “Its flagship offering, OmniCube, leapfrogs competitive products in breadth of functionality and introduces a highly efficient, and novel data architecture. The result is an ultra-functional yet low cost data center in a box solution that addresses the most pressing issues in the data center today: cost and complexity.”

Having recently launched OmniCube, SimpliVity will use the Series B proceeds to fuel its global go to market activities as it prepares for a rapid growth year in 2013. “The customer demand that resulted from our recent launch has demonstrated that the market is starved for a solution like OmniCube,” said Doron Kempel, CEO of SimpliVity. “We are thrilled to have the backing of KPCB to help fund what we expect to be a transformation in IT infrastructure. In joining Accel and CRV, KPCB helps to form a dream team of investors who provide capital, expertise and access. Based on the unprecedented early demand for OmniCube, the first order of business is to prepare for imminent hyper-growth.”

OmniCube is a simple to manage, 2U rack-mounted IT infrastructure building block that delivers the functionality of more than 10 products for the virtual machine environment—all at a fraction of the acquisition and operating cost compared to traditional infrastructure offerings. Two or more OmniCube systems are deployed together to form an OmniCube Global Federation, a massively scalable pool of shared resources that enables efficient data movement, extensive scalability, and enterprise-class system availability--all managed globally from a single interface.

“Standing out among the many vendors to recently introduce a converged offering is SimpliVity,” said Laura DuBois, Program Vice President for Storage Systems, Software and Solutions with IDC. “SimpliVity’s OmniCube excels along two vital dimensions: scope of converged functionality that encompasses what would otherwise be delivered by as many as 10 separate products; and resource efficiency, in that all of the functionality is assimilated within a single stack, running atop virtualized shared resources. According to IDC research, customers are moving to converged offerings such as SimpliVity's to increase time to market, improve IT staff efficiency and increase IT resource utilization.”

Consulting Analyst and Founder of the Taneja Group, Arun Taneja explains, “The amount of activity in the emerging infrastructure HyperConvergence market is high and accelerating, and for a good reason. Complexity is still the number one issue in IT, especially in mid-size enterprises, where staffs and budgets are limited. HyperConvergence holds great promise for such customers. In fact, at Taneja Group we believe it holds promise for customers of all sizes that are seeking to simplify. Taneja Group research has found, however, that despite similar messages from vendors, not all HyperConvergence offerings are created equal. We are starting to look at two metrics: Scope of Functionality on one axis and Degree of Efficiency along the other. On that basis SimpliVity’s OmniCube stands tall, in our view. It is no surprise that Kleiner decided to invest heavily in SimpliVity after assessing the strengths and differentiation of its product.”

About SimpliVity Corporation

SimpliVity is a private company, established in 2009, with the mission of simplifying IT. Its novel technology, OmniStackTM, includes 10 patent pending innovations and powers a new assimilated, IT infrastructure platform. SimpliVity’s OmniCube™ provides enterprise computing, storage services and network functionality, inclusive of WAN optimization, Unified Global Management, Seamless Cloud Integration, Primary Storage Deduplication, Backup Deduplication, Caching, Global Scale Out—all at a fraction of today’s traditional operating costs and with a game-changing reduction in complexity.

Information on SimpliVity Corporation is available at www.simplivity.com, tel: +1-855-788-4636 or e-mail at info@simplivity.com.

About Kleiner Perkins Caufield & Byers

Kleiner Perkins Caufield & Byers (KPCB) has backed entrepreneurs in more than 500 ventures leading to 150 IPOs, 350,000 jobs and a deep strategic network. The firm has helped build pioneering companies like Amazon, Electronic Arts, Genentech, Google, Intuit, Juniper Networks, Netscape, Symantec and VeriSign. KPCB partners serve on the boards of Amazon, Apple, Bloom Energy, Flipboard, Google, Hewlett-Packard, Nest, Square and Zynga, among others. KPCB accelerates the success of entrepreneurs with a team of partners delivering company-building services including strategy, operational scaling, recruiting, business development and product delivery. The firm invests in all stages from seed and incubation to growth companies. KPCB operates from offices in Menlo Park, San Francisco, Shanghai and Beijing. For more information visit www.kpcb.com

About Charles River Ventures

Founded in 1970, Charles River Ventures is bi-coastal venture firm. With a 42-year history, it is one of the nation's oldest and most successful early-stage venture capital firms. CRV is dedicated to helping exceptional entrepreneurs turn their ideas into the next category leaders in high growth technology and media sectors. Over the past 20 years, CRV funds have been ranked among the industry's top performers. CRV has offices in Cambridge, MA and Menlo Park, CA. For more information visit www.crv.com.

About Accel Partners

Founded in 1983, Accel Partners has a long history of partnering with outstanding entrepreneurs and management teams to build world-class businesses. Accel today invests globally using dedicated teams and market-specific strategies for local geographies, with offices in Palo Alto, California, New York City, London and Bangalore, as well as in China via its partnership with IDG-Accel. Accel has helped entrepreneurs build over 300 successful companies, many of which have defined their categories, including Angry Birds (Rovio), ComScore, Facebook, Groupon, Kayak, Playfish, QlikTech, Spotify, and Wonga. For more information visit www.accel.com or www.facebook.com/accel.

Note to Editors: SimpliVity, SimpliVity’s logo, OmniCube, and OmniStack are trademarks of SimpliVity Corporation. All other trademarks are the property of their respective owners.

Contacts

SimpliVity Corporation
Tom Grave, +1-508-310-0132
tom.grave@simpliVity.com
or
LVA Communications
Dina Petrosky, +1-860-739-5598
dina@lva.com

Release Summary

SimpliVity raises $25 Million in Series B Venture Capital Funding, Led By Kleiner, Perkins, Caufield & Byers

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Contacts

SimpliVity Corporation
Tom Grave, +1-508-310-0132
tom.grave@simpliVity.com
or
LVA Communications
Dina Petrosky, +1-860-739-5598
dina@lva.com