VeloCloud Networks Announces $21 M in Funding Led by NEA, Venrock and The Fabric
Company seeks to greatly simplify and slash costs of Wide Area Networks (WAN)
LOS ALTOS, Calif., Jun 17, 2014-- VeloCloud Networks, Inc., a pioneer in Cloud-Delivered WAN, today announced it has raised $21 million in funding led by leading venture capital firms New Enterprise Associates (NEA) and Venrock as well as incubator firm, The Fabric.
VeloCloud dramatically simplifies the WAN by delivering virtualized services from the cloud to branch offices and mobile users everywhere. The company provides services that deliver enterprise grade performance, visibility and control over both Internet and private networks, combining the economy of the Internet with the flexibility of the cloud.
Typically, enterprises have been locked into a rigid WAN architecture that delivers services piecemeal on hardware appliances over difficult-to-provision network connections. At the same time, businesses are experiencing an explosive growth of rich, bandwidth hungry applications, increasingly distributed and mobile employees and the growing migration of business critical apps to the cloud. This changing environment compounds the IT complexity in a rigid WAN architecture that is no longer able to meet the budget, performance or control needs of the enterprise.
"VeloCloud aims to fundamentally alter the economics of the WAN while simplifying and automating network operations for distributed enterprises," said VeloCloud co-founder and CEO, Sanjay Uppal. "We are delighted to have the support of top-tier venture partners and are poised to build our channels, scale business development activities and create a strong ecosystem."
The combined Enterprise WAN Equipment and Private WAN Services market is approximately $32 billion based on estimates by Gartner and Forrester Research.
"We are thrilled about the opportunity to partner with the team as they pioneer virtualized, application-driven and Cloud-Delivered WAN," said Kittu Kolluri, general partner at NEA. "VeloCloud is a bona fide disruptor of today's WAN architecture, and we look forward to working with them to transform the network."
"A huge market. An elegant new approach. A savvy team that is focused on executing a vision. These are the tenets of a great startup and that's what we see in VeloCloud," said Doug Dooley, venture investor at Venrock. "Whether it's provisioning new branch sites or cloud data centers, VeloCloud's Cloud-Delivered WAN gives enterprises the agility to compete, increases application policy controls and reduces the cost of business grade connectivity."
"We share a common vision with VeloCloud of enabling direct access to any application, whether on-premises or in the cloud at significantly lower costs, without compromising performance, visibility and control," said Rajan Raghavan, co-founder and CEO of The Fabric. "We want IT managers to have their cake and eat it too. Led by a team with a strong background in innovative networking, cloud and virtualization, VeloCloud is well positioned for great success."
The company will be a showcase sponsor at Gigaom Structure and several VeloCloud executives will be present at the event in San Francisco on June 18 and 19th.
VeloCloud is a pioneer in Cloud-Delivered WAN. VeloCloud dramatically simplifies the WAN by delivering virtualized services from the cloud to branch offices and mobile users everywhere. VeloCloud services deliver enterprise grade performance, visibility and control over both Internet and private networks, combining the economy of the Internet with the flexibility of the cloud. VeloCloud is headquartered in Los Altos, CA with a development center in Chennai, India and is venture-backed by NEA, Venrock and The Fabric. For more information, visit www.velocloud.com and follow us on Twitter @Velocloud
New Enterprise Associates, Inc. (NEA) is a leading venture capital firm focused on helping entrepreneurs build transformational businesses across multiple stages, sectors and geographies. With approximately $13 billion in committed capital, NEA invests in information technology, healthcare and energy technology companies at all stages in a company's lifecycle, from seed stage through IPO. The firm's long track record of successful investing includes more than 175 portfolio company IPOs and more than 300 acquisitions. In the U.S., NEA has offices in Menlo Park, CA; Boston, MA; New York, NY; Chicago, IL; and the Washington, D.C. metropolitan area. In addition, New Enterprise Associates (India) Pvt. Ltd. has offices in Bangalore and Mumbai, India and New Enterprise Associates (Beijing), Ltd. has offices in Beijing and Shanghai, China. For additional information, visit www.nea.com.
Originally established as the venture capital arm of the Rockefeller family in 1969, Venrock continues a tradition of partnering with entrepreneurs to establish successful, enduring companies. With a primary focus on technology and healthcare, portfolio companies have included Adify, Apple Computer, Athenahealth, Centocor, Check Point Software, DoubleClick, Endeca, Gilead Sciences, Idec Pharma, Imperva, Illumina, Intel, Millennium Pharma, SlideShare and Tudou. For more information, please visit Venrock's website at www.venrock.com and follow the firm on Twitter at @venrock.
About The Fabric
The Fabric, a company co-creator, is a unique approach to inspire, incubate, and invest in the next generation of innovative technology companies that are creating a new flexible and efficient network architecture. The Fabric partners with entrepreneurs at early stages, most often starting at the concept stage. We engage with entrepreneurs who have deep domain experience (technology, product, or business) and a desire to develop breakthrough, disruptive, next generation solutions. We seek concepts that have the potential to result in innovative companies in large markets that can leverage creative, new business models to drive explosive, rapid growth. For more information, please visit The Fabric's website at www.thefabricnet.com and follow the firm on Twitter at @thefabricnet
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