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Customer service ‘behavioral pairing’ startup Afiniti quietly raised $130M at a $1.6B valuation

Artificial intelligence touches just about every aspect of the tech world these days, aiming to provide new ways of making old processes work better. Now, a startup that has built an AI platform that tackles the ever-present, but never-perfect, business of customer service has quietly raised a large round of funding as it gears up for its next act, an IPO. Afiniti, which uses machine learning and behavioral science to better match customers with customer service agents — “behavioral pairing” is how it describes the process — has closed a $130 million round of funding ($75 million cash, $60 million debt) — a Series D that Afiniti CEO Zia Chishti says values his company at $1.6 billion.

If you are not familiar with the name Afiniti, you might not be alone. The company has been relatively under the radar, in part because it has never made much of an effort to publicise itself, and in part because the funding that it has raised up to now has largely been from outside the hive of VCs that swarm around many other startup deals that push those startups into the limelight.

At the same time, its backers make for a pretty illustrious list. This latest round includes former Verizon CEO Ivan SeidenbergFred Ryan, the CEO and publisher of the Washington Post; and investors Global Asset ManagementThe Resource Group (which Chishti helped found), Zeke Capitalas well as unnamed Australian investors.

The previous Series C round of $26.5 million, also has an interesting list of backers and also was not widely reported. They included McKinsey & Company, Elisabeth Murdoch, former Thomson Reuters CEO Tom Glocer, and former BP CEO John Browne, alongside Global Asset Management, The Resource Group, Seidenberg and Ryan.

That Series C was at a $100 million valuation, meaning that Afiniti’s valuation has increased more than 10 times in the last year on the back of 100 percent revenue growth each year over the last five.

That momentum led the company also to file confidentially for an IPO — although ultimately Chishti told TechCrunch that the company decided to raise privately at the potential IPO valuation since the money was easy to come by. (It’s also been one of the reasons he said he’s also rebuffed acquisitions, although at least one of the companies that’s approached him, McKinsey, now an investor.)

Now, Chishti — who is a repeat entrepreneur, with his previous company, Align Technology (which makes teeth alignment alternatives to braces), now at a $24 billion market cap — said that Afiniti has started to tip into profitability, so it seems the prospect of an IPO might be back on the table. That is possibly one reason that the company has started to speak to the press more and to make itself more visible.

Chishti and Afiniti are based out of the US, but it has roots into a range of local businesses globally in part by way of its well-connected team of advisors and local leaders. Among them, Princess Beatrice (or Beatrice York), currently 8th in line to the throne to succeed Queen Elizabeth, is the company’s vice president of partnerships. Alonso Aznar, the son of the former prime minister of Spain, runs Afiniti’s operations in Madrid.

The company itself sits in the general area of CRM, and specifically among that wave of startups that are trying to build tools using AI and other new technology to improve on the old ways of getting things done (it’s not alone: just today we noted that People.ai raised $30 million for its own AI-based CRM tools).

Afiniti on one hand calls itself a traditional AI company, but on the other, its CEO laments how overused and hackneyed the term has become. “AI is just a bubble,” he said in an interview. “The intensity of interest in AI is unwarranted because nothing has changed. It’s the same algorithms and software, and we just have faster hardware now.”

In actual fact, what Afiniti does is supply an AI layer to a process that is otherwise “ninety-nine percent human”, in the words of Chishti. The company uses AI to analyse sales people’s performance with specific types of calls and situations, and also to analyse customers in terms of their previous interactions with a company. It then matches up customer service reps who it believes will be most compatible with specific customers.

Afiniti’s pricing model has been an important lever for getting its foot in the door with companies. The company does not price its service per-seat or even per-month, but on a calculation between how well the company does when its call routing and running through Afiniti, versus how much is sold when it does not.

“We run systems on for 15 minutes, off for 5 minutes, and we do that perpetually,” Chishti said. It integrates with a company’s CRM, sales and telephony systems at the back end, in order both to route calls but also to track when those calls result in a sale. “We count the revenues, calculate the delta, and we get a share of that delta.”

If that sounds like a tricky measure, it doesn’t to customers, it seems. The zero-cost-to-try-it model is how it has surmounted the hurdle of getting used by a number of large, often slow-moving carriers and other large incumbents. “It means we have to continuously prove our value,” Chishti added.

As one example of how this works out, he used the example of Verizon (which is the owner of TechCrunch, by way of Oath). “Say Verizon makes $120 billion in revenues in a year,” he said, “and $30 billion of that is in phone-based sales. Afiniti would make $600 million on that.” Times that by dozens of customers in 22 countries, and that may point to how the company has quietly reached the valuation that it has.

Beyond its core product, the company has dozens of patents and more in the application phase in the US and other jurisdictions.

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Oracle delves deeper into blockchain with four new applications

Oracle is a traditional tech company that has been struggling to gain traction in the cloud, but it could see blockchain as a way to differentiate itself. At Oracle OpenWorld today it announced the Oracle Blockchain Applications Cloud, a series of four applications designed for transactions-based processing scenarios using Internet of Things as a data source.

“Customers struggle with how exactly to go from concepts like smart contracts, distributed ledger and cryptography to solving specific business problems,” Atul Mahamuni, VP of IoT and Blockchain at Oracle told TechCrunch.

The company actually introduced a more generalized blockchain as a service offering at OpenWorld last year, but this year they have decided to focus more on specific use cases, announcing four new applications. The blockchain comes into account because of its nature as an irrefutable and immutable record.

In cases where there is a dispute over the accuracy of a particular piece of data, the blockchain can provide incontrovertible proof. As for the Internet of Things, that provides data points you can use to provide that proof. Your sensor feeds the data and it (or some reference to it) gets added to the blockchain, leaving no room for doubt.

The four applications involve supply chain-transaction data including a track and trace capability to follow a product through its delivery from inception to market, proof of provenance for valuables like drugs, intelligent temperature tracking (what they are calling Intelligent Cold Chain) and warranty and usage tracking. Intelligent Cold chain ensures that a product that is supposed to be kept cold didn’t get exposed to higher than recommended temperatures, while warranty tracking ensures that a product was being used in a proscribed fashion and should be subject to warranty claims.

Each of these plays to the some of Oracle’s strengths as a company that builds databases and ERP software. It can draw on the information it tends to collect any way as part of the nature of its business processes and add it to a blockchain and other applications when it makes sense.

“So what we do is we get events and insights from IoT systems, as well as from supply chain ERP data, and we get those insights and translation from all of this and then put them into the blockchain and then do the correlations and artificial intelligence machine learning algorithms on top of those transactions,” Mahamuni explained.

This year perhaps even more so than the last couple, Oracle is trying to differentiate itself from the rest of the cloud pack, as it tries to right its cloud business. By building applications on top of base technologies like blockchain, IoT and artificial intelligence, while taking advantage of their domain knowledge around databases and ERP, they are hoping to show customers they can offer something their cloud competitors can’t.

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Bright Machines lands $179M to bring smarter robotics to manufacturing

Robotics has had a role in manufacturing since the 1970s, but even today they are aren’t often driven by the latest software. Bright Machines, a San Francisco startup wants to change that and it got a whopping $179 million Series A today to get this thing going. While it was at it, it also officially launched the company.

The startup wants to bring a software-driven approach to robotics, one that would let you take dumb robotics and program it in a more automated fashion to perform a set of tasks, taking advantage of artificial intelligence and machine learning in ways that they say most manufacturing companies simply aren’t equipped to handle right now.

This is clearly not your typical Series A and Bright Machines does not appear to be a typical Series A company, feeling its way trying to get a product to market. Perhaps that’s because the company began life as incubated project inside Flex, a customized manufacturing company. It was then spun out as a startup called AutoLab AI and changed the name to Bright Machines today for the big company unveiling.

It already boast over 300 employees and brought in CEO, Armar Hanspal, who was most recently co-CEO at Autodesk to run the show. Former Autodesk CEO Carl Bass is a board member. Other board members include Mike McNamara, CEO of Flex and Steve Luszo, CEO of Seagate. Eclipse led the round.

What is attracting all of this money and talent to such a young company? Bright Machines is trying to solve a hard and expensive manufacturing problem. “We’re putting together the people, the tech stack and funding and other resources to go really go tackle this big under-served environment by bringing more automation and software to the factory floor,” CEO Hanspal told TechCrunch.

While he acknowledges we have seen a move toward automating the factor floor for decades, they are attacking an area that up until now has been underserved by robotics because the technology simply wasn’t ready to handle it. “What we’re doing that’s different is going from dumb, blind and costly robots to ones that are sensor rich, have computer vision, machine learning and are adaptable,” he said.

What’s more, they are bringing a subscription model to this approach, allowing customers to set up custom manufacturing lines on the fly with what they claim is much lower cost and fuss they faced with more traditional approaches. 

They are taking on this sum of money so early because they believe it is a huge market and if they can attract the right talent, they can bring a substantive change to manufacturing that is lacking today. Time will tell if the bet pays off.

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Oracle acquires DataFox, a developer of ‘predictive intelligence as a service’ across millions of company records

Oracle today announced that it has made another acquisition, this time to enhance both the kind of data that it can provide to its business customers, and its artificial intelligence capabilities: it is buying DataFox, a startup that has amassed a huge company database — currently covering 2.8 million public and private businesses, adding 1.2 million each year — and uses AI to analyse that to make larger business predictions. The business intelligence resulting from that service can in turn be used for a range of CRM-related services: prioritising sales accounts, finding leads, and so on.

“The combination of Oracle and DataFox will enhance Oracle Cloud Applications with an extensive set of AI-derived company-level data and signals, enabling customers to reach even better decisions and business outcomes,” noted Steve Miranda, EVP of applications development at Oracle, in a note to DataFox customers announcing the deal. He said that DataFox will sit among Oracle’s existing portfolio of business planning services like ERP, CX, HCM and SCM. “Together, Oracle and DataFox will enrich cloud applications with AI-driven company-level data, powering recommendations to elevate business performance across the enterprise.”

Terms of the deal do not appear to have been disclosed but we are trying to find out. DataFox — which launched in 2014 as a contender in the TC Battlefield at Disrupt — had raised just under $19 million and was last valued at $33 million back in January 2017, according to PitchBook. Investors in the company included Slack, GV, Howard Linzon, and strategic investor Goldman Sachs among others.

Oracle said that it is not committing to a specific product roadmap for DataFox longer term, but for now it will be keeping the product going as is for those who are already customers. The startup counted Goldman Sachs, Bain & Company and Twilio among those using its services. 

The deal is interesting for a couple of reasons. First, it shows that larger platform providers are on the hunt for more AI-driven tools to provide an increasingly sophisticated level of service to customers. Second, in this case, it’s a sign of how content remains a compelling proposition, when it is presented and able to be manipulated for specific ends. Many customer databases can get old and out of date, so the idea of constantly trawling information sources in order to create the most accurate record of businesses possible is a very compelling idea to anyone who has faced the alternative, and that goes even more so in sales environments when people are trying to look their sharpest.

It also shows that, although both companies have evolved quite a lot, and there are many other alternatives on the market, Oracle remains in hot competition with Salesforce for customers and are hoping to woo and keep more of them with the better, integrated innovations. That also points to Oracle potentially cross and up-selling people who come to them by way of DataFox, which is an SaaS that pitches itself very much as something anyone can subscribe to online.

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Water Abundance Xprize’s $1.5M winner shows how to source fresh water from the air

You may remember that back in March, the Water Abundance Xprize named the five finalists in its contest to demonstrate the sustainable and scalable collection of water from the air. Interestingly, none of those finalists were the winner — after one dropped out, an eliminated team stepped in and took the prize.

The goal of the program was to  collect “a minimum of 2,000 liters of water per day from the atmosphere using 100 percent renewable energy, at a cost of no more than 2 cents per liter.” No simple task! In fact, I would have guessed it was an impossible one.

But many teams made the attempt anyway, and with a variety of approaches at that. For instance, the runner-up and $150K prize winner, Hawaii’s JMCC Wing, combined a large, super-efficient wind turbine with a commercial condenser unit.

The winner was Skysource/Skywater Alliance, which has already deployed many of its units abroad (and, apparently, at Miranda Kerr’s house). They can run off the grid or alternative power sources, and use an extremely efficient adiabatic distillation method. The one for the contest was a new prototype they call Wood-to-Energy Deployed Emergency Water, or WEDEW.

It’s cheaper and more efficient than desalination, and doesn’t require the presence of nearby water sources or rain. Skywater boxes, which range from somewhat smaller to rather larger than a refrigerator, can produce up to 300 gallons per day; that’s about 1135 liters, so two of them would meet the contest’s requirements if the cost was low enough and it was running on renewables.

That was sufficiently demonstrated to the Xprize inspection teams, it seems, and the team was this weekend awarded the $1.5 million top prize despite not making it into the finals.

“It has been pretty intense but it’s really been exciting for me to see water come out of our system, because this is connected to real lives in the world,” said team member Jay Hasty in an Xprize video.

This doesn’t mean water scarcity is a solved problem — by a long shot — but competitions like this are great ways of promoting new development in a space and also creating awareness of it. Hopefully Skywater systems will be installed where they’re needed, but development will almost certainly continue on those created by the other teams competing for the prize.

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A look at the Android Market (aka Google Play) on its 10th Anniversary

Google Play has generated more than twice the downloads of the iOS App Store, reaching a 70 percent share of worldwide downloads in 2017, according to a new report from App Annie, released in conjunction with the 10th anniversary of the Android Market, now called Google Play. The report also examined the state of Google Play’s marketplace and the habits of Android users.

It found that, despite the large share of downloads, Google Play only accounted for 34 percent of worldwide consumer spend on apps, compared with 66 percent on the iOS App Store in 2017 — a figure that’s stayed relatively consistent for years.

Those numbers are consistent with the narrative that’s been told about the two app marketplaces for some time, as well. That is, Google has the sheer download numbers, thanks to the wide distribution of its devices — including its reach into emerging markets, thanks to low-cost smartphones. But Apple’s ecosystem is the one making more money from apps.

App Annie also found that the APAC (Asia-Pacific) region accounts for more than half of Google Play consumer spending. Japan was the largest market of all-time on this front, topping the charts with $25.1 billion dollars spent on apps and in-app purchases. It was followed by the U.S. ($19.3 billion) and South Korea ($11.2 billion).

The firm attributed some of Google Play’s success in Japan to carrier billing. This has allowed consumer spending to increase in markets like South Korea, Taiwan, Thailand and Singapore, as well, it said.

As to what consumers are spending their money on? Games, of course.

The report found that games accounted for 41 percent of downloads, but 88 percent of spend.

Outside of games, in-app subscriptions have contributed to revenue growth.

Non-game apps reached $2.7 billion in consumer spend last year, with 4 out of the top 5 apps offering a subscription model. The No. 1 app, LINE, was the exception. It was followed by subscription apps Tinder, Pandora, Netflix and HBO NOW.

In addition, App Annie examined the app usage patterns of Android users, and found they tend to have a lot of apps installed. In several markets, including the U.S. and Japan, Android users had more than 60 apps installed on their phones, and they used more than 30 apps every month.

Australia, the U.S. and South Korea led the way here, with users’ phones holding 100 or more apps.

The report also looked at the most popular games and apps of all time by both downloads and consumer spend. There weren’t many surprises on these lists, with apps like those made by Facebook dominating the top apps by downloads list, and subscription services dominating top apps by spend.

App Annie also noted Google Play has seen the release of nearly 10 million apps since its launch in 2008. Not all these remain, of course — by today’s count, there are just over 2.8 million apps live on Google Play.

 

The full report is available here.

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Cowboy, the Belgian e-bike startup, raises €10M Series A

Cowboy, the Belgian startup that designed and sells a smarter electronic bicycle, has raised €10 million in Series A funding.

Leading the round is Tiger Global Management, with participation from previous backers Index Ventures and Hardware Club. The new capital will be used to scale operations and expand beyond Belgium into Germany, U.K., Netherlands and France.

Founded in January 2017 by Adrien Roose and Karim Slaoui, who both previously co-founded Take Eat Easy (an early Deliveroo competitor), and Tanguy Goretti, who previously co-founded ridesharing startup Djump, Cowboy set out to build and sell direct a better designed e-bike.

This included making the Cowboy bike lighter in weight and more stylish than models from incumbents, and adding automatic motor assistance. The latter utilizes built-in sensor technology that measures speed and torque, and adjusts to pedaling style and force to deliver an added boost of motor-assisted speed at key moments, e.g. when you start pedaling, accelerate or go uphill.

In addition, Cowboy’s “smart” features powered by the Cowboy app enables the device to be switched on and off, track location, provide “ride stats” and support remote troubleshooting and software updates. A theft detection feature is also promised soon.

“We designed the Cowboy bike to appeal specifically to people who are yet to be convinced that electric bikes are a practical and mainstream mode of transport,” says Adrien Roose, Cowboy’s CEO, in a statement.

“We focused our attention on the three main reasons people are reluctant to purchase electric bikes: high cost, poor design and redundant technology — or a combination of the above — and we set about fixing them all.”

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Lime will open brick-and-mortar scooter ‘lifestyle stores’

How can Lime differentiate its scooters and bikes from the piles of Birds and Spins filling Los Angeles sidewalks? Apparently with a physical storefront where it can convince customers of the wonders of on-demand mobility. According to a job listing from Lime seeking a “Retail Store Manager,” the startup plans to open a “lifestyle brand store in Santa Monica”.

[Update: Following the publication of this article, Lime responded to our inquiry, telling TechCrunch “In the coming year, Lime will be opening brick & mortar storefronts in major US and international markets, starting with Santa Monica, California. Locations will place heavy importance on community engagement, rider education, and brand experience.”]

Lime will rent vehicles directly from the store as well as charge them, with the full-time manager’s role including “monitoring inventory levels” as well as daily operations, and employee recruiting. They’ll also be throwing live events to build Lime’s hype. Given the company is calling this a lifestyle store, the focus will likely be on showing how Lime’s scooters and bikes can become part of people’s lives and enhance their happiness, rather than on maximizing rental volume.

A rendering of Lime’s new office it’s building in San Francisco. The design could hint at what Lime wants to do with its retail store branding.

TechCrunch has confirmed Lime’s plans for the store, and that the deal to build it came through Lime’s investor Fifth Wall Ventures that arranges partnerships between tech companies and real estate developers. As for what will happen at the store, Fifth Wall’s Adam Demuyakor tells me “There will be deployment of scooters, charging of scooters, and some sales of apparel and accessories that are related. There will be demos, tutorials, and presentations on how to be safe.” Growing Lime’s traction is critical to Fifth Wall, which led the startup’s $70 million Series B extension in February, and joined its $335 million Series C in July.

The big motive here is for Lime to repair relationships with the local community. Demuyakor tells me “when e-mobility companies appeared, some people really loved it, but some people said ‘you dropped a bunch of scooters on my sidewalk’” in what he called a “really irresponsible manner”. But with a physical store front, Lime will have human faces to push its side of the story. “Lime would have an opportunity to control the narrative, engage with the local community, and invest in Santa Monica. They can make it clear that they care about the constituency there . . . Educate them on the benefits, educate them on safety, and provide helmets.” That could counter the idea that scooters just get in the way and are an urban eye sore. “The narrative took on legs of its own” Demuyakor explains.

Fifth Wall worked on the Lime retail store deal with one of its core LPs, Macerich, the third-largest owner of shopping malls in the US. Lime will become the exclusive distributor of scooters at the Macerich-owned open-air mall Santa Monica place. The idea is that by linking up with Macerich, Lime will be able to deploy and charge scooters “where people are coming and going from the mall” Fifth Wall co-founder and managing partner Brendan Wallace tells TechCrunch. He explains that scooter companies have thought about expansion too purely from the standpoint of acheiving market saturation. “You have to partner with local organizations both public and private, and real estate organizations because real estate developers are typically the most politically influential.”]

The listing was first spotted by Nathan Pope, a transportation researcher for consultancy Steer, and later by Cheddar’s Alex Heath. We’ve reached out to Lime and will update if we hear back from the company. Glassdoor shows that the store manager job was posted more than 30 days ago, and the site estimates the potential salary at $41,000 to $74,000.

The sheer number of Lime scooters in Santa Monica where the store will arise is already staggering. Supply doesn’t seem to be bottlenecking as it is in some other cities. Instead, it’s the fierce competition from hometown startups like local favorite Bird that Lime wants to overcome through brick-and-mortar marketing. Often you’ll see scooters from Lime and Bird lined up right next to each other. And with similarly cheap pricing, the decision of which to use comes down to brand affinity. According to Apptopia, Bird’s monthly U.S. downloads surpassed Lime’s in July for the first time ever, despite Lime offering bikes as well as scooters.

There are plenty of people who still have never tried an on-demand electric scooter, and going through the process of renting, unlocking and riding them might be daunting to some. If employees at a physical store can teach people that it’s not too difficult to jump aboard, Lime could become their default scooter. This, of course, comes with risks too, as electric scooters can be dangerous to the novice or uncoordinated. More aggressive in-person marketing might pull in users who were apprehensive about scooting for the right reason — concerns about safety. And there’s also the issue of overhead costs. Beyond charging and repair facilities near its major markets, brick-and-mortar stores could crank up the burn rate on Lime’s $467 million in funding.

As cities figure out how to best regulate scooters, I hope we see a focus on uptime, aka how often the scooters actually function properly. It’s common in LA to rent a scooter, then discover the handlebar is loose or the acceleration is sluggish, end the ride and rent another scooter from the same brand or a competitor in hopes of getting one that works right. I ditched several Lime scooters like this while in LA last week.

Regulators should inquire about what percentage of scooter company fleets are broken and what percentage of rides end within 90 seconds of starting, which is typically due to a malfunctioning vehicle. Cities could then award permits to companies that keep their fleets running, rather than that litter the streets with massive paper weights, or worse, vehicles that could crash and hurt people. Scooters are fun, cheap and therefore accessible to more people than Ubers, and reduce traffic. But unless startups like Lime put a bigger focus on helmets and cautious riding behavior, we could trade congestion on the roads for congestion in the emergency room. Hopefully the retail store will drive closer ties between Lime and city governments to prioritize safety.

This article has been updated to include Lime’s statement as well as comments from Fifth Wall Ventures.

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Minds, the blockchain-based social network, grabs a $6M Series A

Minds, a decentralized social network, has raised $6 million in Series A funding from Medici Ventures, Overstock.com’s venture arm. Overstock CEO Patrick Byrne will join the Minds Board of Directors.

What is a decentralized social network? The creators, who originally crowdfunded their product, see it as an anti-surveillance, anti-censorship, and anti-“big tech” platform that ensures that no one party controls your online presence. And Minds is already seeing solid movement.

“In June 2018, Minds saw an enormous uptick in new Vietnamese of hundreds of thousands users as a direct response to new laws in the country implementing an invasive ‘cybersecurity’ law which included uninhibited access to user data on social networks like Facebook and Google (who are complying so far) and the ability to censor user content,” said Minds founder Bill Ottman.

“There has been increasing excitement in recent years over the power of blockchain technology to liberate individuals and organizations,” said Byrne. “Minds’ work employing blockchain technology as a social media application is the next great innovation toward the mainstream use of this world-changing technology.”

Interestingly, Minds is a model for the future of hybrid investing, a process of raising some cash via token and raising further cash via VC. This model ensures a level of independence from investors but also allows expertise and experience to presumably flow into the company.

Ottman, for his part, just wants to build something revolutionary.

“The rise of an open source, encrypted and decentralized social network is crucial to combat the big-tech monopolies that have abused and ignored users for years. With systemic data breaches, shadow-banning and censorship, people over the world are demanding a digital revolution. User-safety, fair economies, and global freedom of expression depend on it – we are all in this battle together,” said Ottman.

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Pulumi raises $15M for its infrastructure as code platform

Pulumi, a Seattle-based startup that lets developers specify and manage their cloud infrastructure using the programming language they already know, today announced that it has raised a $15 million Series A funding round led by Madrona Venture Group. Tola Capital also participated in this round and Tola managing director Sheila Gulati will get a seat on the Pulumi board, where she’ll join former Microsoft exec and Madrona managing director S. Somasegar.

In addition to announcing its raise, the company also today launched its commercial platform, which builds upon Pulumi’s open-source work.

“Since launch, we’ve had a lot of inbound interest, both on the community side — so you’re seeing a lot of open source contributions, and they’re really impactful contributions, including, for example, community-led support for VMware and OpenStack,” Pulumi co-founder and CEO Eric Rudder told me. “So we’re actually seeing a lot of vibrancy in the open-source community. And at the same time, we have a lot of inbound interest on the commercial side of things. That is, teams wanting to operationalize Pulumi and put it into production and wanting to purchase the product.”

So to meet that opportunity, the team decided to raise a new round to scale out both its team and product. And now, that product includes a commercial offering of Pulumi with the company’s new ‘team edition.’ This new enterprise version includes support for unlimited users, integrations with third-party tools like GitHub and Slack, as well as role-based access controls and onboarding and 12×5 support. Like the free, single-user community edition, the team edition is delivered as a SaaS product and supports deployments to all of the major public and private cloud platforms.

“We’re all seeing the same things — the cloud is a foregone conclusion,” Tola’s Gulati told me when I asked her why she was investing in Pulumi. “Enterprises have a lot of complexity as they come over the cloud. And so dealing with VMs, containers and serverless is a reality for these enterprises. And the ability to do that in a way that there’s a single toolset, letting developers use real programming languages, letting them exist where they have skills today, but then allows them to bring the best of cloud into their organization. Frankly, Pulumi really has thought through the existing complexity, the developer reality, the IT and develop a relationship from both a runtime and deployment perspective. And they are the best that we’ve seen.”

Pulumi will, of course, continue to develop its open source tools, too. Indeed, the company noted that it would invest heavily in building out the community around its tools. The team told me that it is already seeing a lot of momentum but with the new funding, it’ll re-double its efforts.

With the new funding, the company will also work on making the onboarding process much easier, up to the point where it will become a full self-serve experience. But that doesn’t work for most large organizations, so Pulumi will also invest heavily in its pre- and post-sales organization. Right now, like most companies at this stage, the team is mostly composed of engineers.

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