Investment signals growing need for Upsolver’s cloud-native solution
Upsolver tripled overall company ARR in one year, seeing increased demand during pandemic
SUNNYVALE, Calif. & TEL AVIV, Israel--(BUSINESS WIRE)--Upsolver, which provides software that eliminates the high engineering overhead of operating cloud data lakes, raised $13 million in Series A financing. Vertex Ventures US led the round with participation from new investor Wing Venture Capital (Wing) and existing investor Jerusalem Venture Partners (JVP).
The investment signals a growing need for Upsolver’s cloud-native solution. Upsolver has tripled overall company ARR and seen increased demand during the pandemic, having low churn, and significant expansions amongst customers.
Modern enterprises use cloud data lakes to analyze large volumes of structured and unstructured data by breaking the traditional database into three pieces: storage, compute, and metadata. This separation dramatically reduces both cost and dependency on one database vendor, but it introduces a new engineering complexity — each piece must get configured, optimized, and synchronized with the rest. This time-consuming and cost-prohibitive process could historically only be completed by big data engineers who code and operate open source software like Apache Spark or Hadoop.
“Big data engineers are a unicorn hire,” said Ori Rafael, Upsolver’s CEO and co-founder. “They should spend their time solving an organization’s hardest data problems instead of performing repetitive tasks like job orchestration, ETLs, and IT management. Upsolver helps automate repetitive tasks with a powerful tool that can be used by existing data practitioners. Our customers see an average of 95% reduction in the data lake management effort.”
In Sik Rhee, General Partner and co-founder at Vertex Ventures US, who founded Opsware (acquired by HP for $1.6 billion) and made early-stage investments in both Cloudera and Couchbase, will join Upsolver’s board of directors and so will Gadi Porat, Partner at JVP. Additional investors include Wing, which made an early-stage investment in Snowflake, Jeff Rothschild, founder of Veritas and First Senior Technology Executive at Facebook, and Sohaib Abbasi, former CEO and Chairman of Informatica.
“We see Upsolver creating a cloud-native standard for data lake computing,” said Rhee. “Upsolver succeeded in abstracting away the engineering complexity of data pipeline management so that enterprise customers can quickly solve their modern data challenges in real time and at any scale, without having to build another silo of expertise within the organization.”
Upsolver founders Ori Rafael and Yoni Eini first met in Israeli intelligence, where Rafael was Head of Data Integration Platforms, and Eini was CTO of a large data science group. They came up with the idea for Upsolver while struggling with a data lake they built for advertising optimization. Being their users from the start has led to their product’s success.
Upsolver’s status as an Amazon Web Services (AWS) Partner Network (APN) Advanced Technology Partner also fueled its momentum. Through the APN program, Upsolver’s platform gets deployed and bought via the AWS marketplace. The Upsolver platform natively plugs into services like AWS Athena and Redshift, making it easy to set up a data lake on AWS. Upsolver is the only partner formally recommended to customers by AWS Athena, as listed on the product page.
Upsolver has raised a total of $17 million to date, with a global team working across Israel, California, and New York. Its customers include Asurion, Cox Automotive, IronSource, Sisense, and more. Upsolver will use the funds to expand its R&D and Sales teams and enhance its multi-cloud capabilities.
About Vertex Ventures US
Vertex US is an early-stage venture capital firm that backs companies transforming industries through software and data. With investments including LaunchDarkly, PerimeterX, and Desktop Metal, Vertex US brings pioneering experience to pioneering enterprises. In Sik Rhee and Jonathan Heiliger co-founded Vertex US in 2015. For more information, visit vertexventures.com
About Wing Venture Capital
Founded in 2013, Wing works with ambitious founders to enable the Modern Enterprise, which is an agile workplace built on data and powered by AI. We invest early, before it’s obvious, leading Seed and Series A financings and engaging deeply with our signature company-building skills and resources. The current Wing portfolio includes some of today’s most important enterprise technology companies such as Snowflake, Cohesity and Gong.
About Jerusalem Venture Partners
Jerusalem Venture Partners (JVP), an internationally renowned venture capital fund, founded and led by Dr. Erel Margalit. JVP has raised $1.4 billion, has built over 140 companies, and has been listed numerous times by Preqin, as one of the top-ten consistently performing VC firms worldwide.