Hybrid-Cloud Monitoring Company Sensu Raises $10 Million in Series A Financing Led by Battery Ventures
Founders Grew Open-Source Startup from Ground Up to Modernize Network, Infrastructure Monitoring on AWS and Private Cloud; Going After a $9.2 Billion Market
PORTLAND, Ore., April 13, 2018-- Sensu, which makes open-source software to help organizations monitor critical applications and other enterprise infrastructure, has raised $10 million in Series A financing in a round led by Battery Ventures. Existing investor Foundry Group, of Boulder, Colo., also participated. As part of the financing, Battery General Partner Dharmesh Thakker is joining Sensu’s board.
Sensu intends to use the proceeds to beef up its sales and marketing operations; fund product development; and continue expanding the vibrant community of open-source developers contributing to Sensu’s technology.
“As more companies start using software to deliver value to customers, the availability of that software becomes even more important—even brief periods of downtime can result in big losses in revenue,” said Caleb Hailey, Sensu’s CEO. “But monitoring all that software and related infrastructure today is challenging because of the increasingly complex workloads companies are managing across cloud and hybrid systems, often using software developed in new ways thanks to the adoption of containers and container orchestration systems. As a modern, full-stack monitoring company born in the cloud, Sensu is uniquely suited to help solve this problem.”
Sensu’s products—now in use by large organizations in sectors such as finance and technology — are deployed on customers’ own infrastructure and allow IT, development and operations teams to easily monitor and collect metrics from throughout the infrastructure stack. Then, customers can analyze that data through special dashboards to remediate IT-performance issues.
The company’s technology is like a “central nervous system” for modern IT environments, said Battery’s Thakker, who has funded several open-source companies. “As cloud deployments across Amazon Web Services, Azure, Google and the private cloud have recently exploded, ushering in new container and serverless technologies, modern monitoring solutions like Sensu’s—which are displacing legacy infrastructure technologies like Nagios—have become mission-critical for companies supporting rapid innovation cycles.”
He added that much of Sensu’s early commercial traction, and success building a following in the open-source community, has been tied to the proliferation of hybrid cloud, a trend that Red Hat has successfully leveraged lately via its OpenShift container-application platform to drive more business.
Thakker was one of the authors of his firm’s “Battery Open Source Software Index,” which was published last year and tracks 40 popular open-source projects based on several factors. Battery has also backed other technology companies in the Pacific Northwest, including Chef*, a Web-scale, IT automation company.
Historically, server- and network-level monitoring activities have operated separately in on-premise environments. Nagios, the open-source monitoring framework built in 2002, was used to stitch the two monitoring workflows together.
However, as companies moved more operations into the cloud and started using new technologies such as software containers and serverless architectures, many found they needed a new technical framework. Co-founders Hailey and Sean Porter (the original author of the open-source Sensu project), who previously worked together at a consulting firm called Heavy Water Operations, founded Sensu (the company) last year to address that need.
*For a full list of all Battery investments and exits, please click here. https://www.battery.com/our-companies/list/
Sensu mission is to obviate the need to build custom monitoring solutions. Founded in 2017, the firm aims to empower companies to deliver value to their customers faster, at a larger scale, and with full confidence that comes from deep visibility into the health of their infrastructure, applications, and business. The company maintains the free and open source Sensu Core framework as well as the commercially-supported Sensu Enterprise, which enhances the open source framework with features to simplify operations, governance, multi-datacenter support for fast-paced companies to run monitoring at scale.
Sensu currently operates as a fully distributed team, with 20 employees in the United States and Canada, and will soon open their first office in Portland, Oregon. For more information, follow Sensu on Twitter @sensu, or visit our website at https://sensu.io. And Sensu is hiring! Explore https://sensuapp.org/careers today and discover opportunities to join Team Sensu!
About Battery Ventures
Battery strives to invest in cutting-edge, category-defining businesses in markets including software and services, Web infrastructure, consumer Internet, mobile and industrial technologies. Founded in 1983, the firm backs companies at stages ranging from seed to private equity and invests globally from offices in Boston, the San Francisco Bay Area, London and Israel. Follow the firm on Twitter @BatteryVentures, visit our website at www.battery.com and find a full list of Battery's portfolio companies here.
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