Machine data analytics startup SumoLogic raises $110 million to accelerate growth and expansion
Sumo Logic, a cloud-based machine data analytics platform startup that delivers deliver real-time IT insights for organizations, has closed a $110 million funding round to fuel its business, spanning engineering, sales, and global operations, with an emphasis on extending the platform analytics capabilities of its service. The round, which was led by Battery Ventures, brings total funding to date to $325 million.
Other contributions came from new investors including Tiger Global Management and Franklin Templeton, as well as participation from existing investors. With a current valuation over $1 billion, a record FY19 achievement of more than $100 million in revenue, and over 2,000 customers and more than 100,000 users worldwide leveraging its service, Sumo Logic is firmly positioned as the SaaS machine data analytics leader of choice for the cloud era.
Founded in April 2010 by ArcSight veterans Kumar Saurabh and Christian Beedgen, the Redwood City, California-based Sumo Logic is the world’s leading platform for DevSecOps. More than 1,600 enterprises around the world rely on Sumo Logic to collaborate, develop, operate, and secure their applications at cloud scale. Sumo Logic is a secure, cloud-native, machine data analytics service, delivering real-time, continuous intelligence from structured, semi-structured and unstructured data across the entire application lifecycle and stack.
With its software, customers gain a multi-tenant, service-model advantage to accelerate their shift to continuous innovation, increasing competitive advantage, business value and growth. Sumo Logic is a privately held company based in Redwood City, Calif. and is backed by Accel Partners, DFJ, Greylock Partners, IVP, Sapphire Ventures, Sequoia Capital and Sutter Hill Ventures.
“Sumo Logic’s growth is driven by the shift to digital business and cloud adoption across all industries and companies of all sizes,” said Ramin Sayar, president and CEO, Sumo Logic. “We have proven that we are the platform of choice for not only cloud-native companies, but also enterprise companies and their cloud migration initiatives. It’s great to have such a powerful set of leading investors and ecosystem partners as we accelerate our category leadership.”
This $110 million in funding brings total funding to date to $325 million. The investments will continue to fuel Sumo Logic’s business – spanning engineering, sales, and global operations – with an emphasis on extending the platform analytics capabilities of its service. These new capabilities address the operational, security and business requirements of modern businesses as they rapidly adopt new multi-cloud and hybrid-cloud infrastructure, architecture, tools, and processes.
“We have been tracking the Sumo Logic team for some time, and admire the company’s early understanding of the massive cloud-native opportunity and the rise of new, modern application architectures,” said Dharmesh Thakker, general partner, Battery Ventures. “The company’s fast-growing business dovetails with Battery’s larger thesis on “OpenCloud”—open-source and cloud-native technologies working with, not against, new cloud distribution models—and we are thrilled to partner with the team to capture the significant opportunity ahead.”
“We are excited to join Sumo Logic at this important moment in the industry-wide transition to cloud computing,” said Jonathan Curtis, Vice President, Franklin Templeton. “As the only cloud-native DevSecOps platform built to address the challenges of digital businesses, we believe Sumo Logic is well positioned to capture a significant share of its market.”
Since the last funding round in June 2017, Sumo Logic’s business has scaled significantly as a result of its focused multi-year growth strategy including:
Rapid revenue growth and customer acquisition – The company increased its customer count to over 2,000 with more than 100,000 active users globally, representing every major vertical and company size, from born-in-the-cloud leaders like Airbnb, Pinterest, The Pokemon Co. International, Samsung SmartThings, and Zuora, to digital transformation enterprises such as ABinBev, Adobe, Alaska Airlines, BBC, Genesys, Hearst Media, Infor, Levi’s, Marriott, Pitney Bowes and USA TODAY NETWORK.