Skytap (see previous CloudAve coverage), seattle based cloud automation provider, today announced that they have secured a Series C round of $10 Million. This marks a bright start to IaaS market in 2011 which I expect to grow strongly this year. This round is led by OpenView Venture Partners with participation from existing investors Ignition Partners, Madrona Venture Group and Washington Research Foundation.
Skytap started as a lab automation provider focussing on enterprises wanting to test out public cloud. As enterprises became more open to the idea of public clouds and wanted to move workloads other than dev & test, Skytap evolved into a cloud automation provider offering a highly configurable virtual datacenter for enterprises. The advantage Skytap has over other public cloud providers like Amazon or Rackspace is that they are VMware based provider and since most of the enterprise customers are VMware shops, Skytap is more palatable to them as they set out to explore public clouds.
Skytap will use this investment to scale their sales and marketing efforts to expand further. They will also be adding additional resources to take their cloud automation product to the next level. Even though I had some doubts about Skytap’s future in the past, I am pretty convinced that they have the right kind of evolution to meet the market needs. However, I am still worried about their reliance on a single data center to offer their cloud offering. This is something they have to address as they try to scale up further.
Update: Skytap contacted me and told me that with their Sept. 2010 partnership with CSC, they now offer services from different datacenters. I will try to get more information from then in my next briefing with them.
Note: This quarter, I am trying a different style in my blog posts. Instead of doing traditional blog posts, I am going to categorize my posts into briefs, insights and research reports. Briefs will be about a recent news with a very brief analysis from my side. Insights will be somewhat detailed look at a cloud related news, event or idea (more in tune with some of the posts I did last year). Research reports will be a more detailed look on a trend, concept, idea, philosophy, etc. related to cloud computing. This will be less frequent with 10-12 reports a year. I would like to have your feedback on this format so that I can plan on whether I should continue beyond the first quarter of this year.
- Skytap raises $10 million, puts ‘IT sandboxes’ in the cloud (techflash.com)
- After comparing apples to oranges, Skytap declares itself the winner (zdnet.com)