2015 Advertising Opportunities - Find Out More!

Venture Capitalists Flock To Cloud Computing Startup

Venture Capitalists Flock To Cloud Computing Startup

Dell was born in a room at the University of Austin. Facebook originated from a Harvard dorm. Box.net, tracing its origin to a room in the University of Southern California, may or may not become as large as Dell and Facebook, but if recent indications are anything to go buy, people are willing to bet big money on it.

Box.net, a Silicon Valley startup that offers online file-storage and collaboration software, announced that it has obtained $48 million in fourth-round funding to finance its aggressive expansion plans. Meritech Capital Partners contributed $38 million in equity investment, with Emergence Capital Partners and Andreessen Horowitz, the fund operated by Internet pioneer Marc Andreessen, making up the balance. Hercules Technology Growth Capital Inc. has promised $10 million in debt financing. This increases the total amount raised t0 $77.5 million till date.

To put things into perspective, Meritech Capital had earlier invested in Facebook, NetSuite and Salesforce.com. Andreessen is on the boards of Facebook, eBay and HP among others. Therefore, it is clear that the investors have an established record of backing winners.

We’re going to be investing quite heavily in our infrastructure, in our R & D, and in our product, to build the next generation of the way that businesses are going to manage and share their data in the cloud,” said Aaron Levie, the 26-year old CEO of the company. He and his friend Dylan Smith founded the company in 2005 with $11,000 won in a poker game.

Since then, Box.com has grown by leaps and bounds among people desiring to store data online. While the basic version of Box’s service is free, it does charge customers $15 a month for extra features like more storage or security enhancements. As of end-2010, it has more than 5 million users at 60,000 companies, including 73% of the Fortune 500.

The company intends to use the cash to double its 140-person staff over the next 18 months, expand overseas and accelerate development of its mobile applications. It will also look to build up an enterprise sales force that will try and convert more free users into paying customers.

The CEO has big dreams and expectations for his company. “This is a revolution that is democratizing enterprise software – the cloud has dramatically leveled the playing field for the delivery of services, and for the first time, technology adoption in the enterprise is being driven by the bottom-up,” he wrote in a blog post. “….Box’s beginnings were modest..We must invest aggressively to continue this success. We are no longer a small startup, but a 140-person strong organization that must do everything in its power to bring better technology to the enterprise.”

By Sourya Biswas

sourya

Sourya Biswas is a former risk analyst who has worked with several financial organizations of international repute, besides being a freelance journalist with several articles published online. After 6 years of work, he has decided to pursue further studies at the University of Notre Dame, where he has completed his MBA. He holds a Bachelors in Engineering from the Indian Institute of Information Technology. He is also a member of high-IQ organizations Mensa and Triple Nine Society and has been a prolific writer to CloudTweaks over the years... http://www.cloudtweaks.com/author/sourya/

Sorry, comments are closed for this post.

Comics

At CloudTweaks, we're plugged into the cloud, the internet of things and all that the web has to offer. From wearable technology, to mobile computing, cloud computing and big data, CloudTweaks is your source for updates and news on the most innovative technology.

Popular

Top Viral Impact

Big Data Analytics Adoption

Big Data Analytics Adoption

Big Data Analytics Adoption Big Data is an emerging phenomenon. Nowadays, many organizations have adopted information technology (IT) and information systems (IS) in business to handle huge amounts of data and gain better insights into their business. Many scholars believe that Business Intelligence (BI), solutions with Analytics capabilities, offer benefits to companies to achieve competitive…

Cloud Infographic: The Education Of Tomorrow

Cloud Infographic: The Education Of Tomorrow

Cloud Infographic: The Education Of Tomorrow  Online Education is a very exciting topic for many as it opens up many new doors and opportunities. We’ve touched on areas such as Massive Open Online Sources (MOOC) which provides tremendous levels of cloud based interconnectivity. We’ve taken a look into higher education,  the increased demand for online courses as well as…

Are Cloud Servers The Right Choice For Your Business?

Are Cloud Servers The Right Choice For Your Business?

Cloud servers offer power, flexibility, reliability, and client friendly hosting for small and medium businesses that have outgrown shared hosting. New business hosting clients are bombarded with an incredible diversity of different choices for their site’s hosting. It can be a challenge to negotiate the range of platforms and the marketing hype that many hosting…

Cloud Computing Offers Key Benefits For Small, Medium Businesses

Cloud Computing Offers Key Benefits For Small, Medium Businesses

A growing number of small and medium businesses in the United States rely on as a means of deploying mission-critical software products. Prior to the advent of cloud-based products — software solutions delivered over the Internet – companies were often forced to invest in servers and other products to run software and store data. The…

The Industries That The Cloud Will Change The Most

The Industries That The Cloud Will Change The Most

The Industries That The Cloud Will Change The Most Cloud computing is rapidly revolutionizing the way we do business. Instead of being a blurry buzzword, it has become a facet of everyday life. Most people may not quite understand how the cloud works, but electricity is quite difficult to fathom as well. Anyway, regardless of…

Featured Sponsors

The Internet of Everything Opens Up The World

The Internet of Everything Opens Up The World

Shaping The World With New Technologies As a connected collection of intelligent objects, the Internet of Everything promises to open up those areas of the world hardest hit by economic, political and agricultural blights. Relatively inexpensive devices, paired with revolutionary energy sources and unprecedented access to information offer great promise to farmers and workers in…

Cloud Logo Sponsors

hp Logo CityCloud-PoweredByOpenstack-Blue square_logo_100x100-01
cisco_logo_100x100 vmware citrix100

2015 Advertising Opportunities - Find Out More!

Established in 2009, CloudTweaks is recognized as one of the leading influencers in cloud computing, big data and internet of things (IoT) information. Our goal is to continue to build our growing information portal, by providing the best in-depth articles, interviews, event listings, whitepapers, infographics and much more.

Contact

CloudTweaks Media
Phone: 1 (212) 763-0021

Join Our Newsletter