ThousandEyes, a network intelligence company based in San Francisco, raised $35 million in a Series C funding round led by Tenaya Capital. New investor GV (formerly Google Ventures) and existing investors, including Sequoia Capital and Sutter Hill Ventures, also participated in the round. ThousandEyes’ total investment now stands at more than $60 million.
SAN FRANCISCO – Feb. 25, 2016 – ThousandEyes, the network intelligence company that delivers visibility into every network, today announced it has closed $35 million in Series C funding led by Tenaya Capital, with participation from new investor GV (formerly Google Ventures) and existing investors, including Sequoia Capital and Sutter Hill Ventures. The new funds will be used to execute on the company’s long-term growth plans, which include expanding operations in North America and worldwide, delivering a rich pipeline of network intelligence innovations and continuing to invest in customer success. With this new round of funding, ThousandEyes’ total investment now stands at more than $60 million, giving the company the resources needed to accelerate expansion.
“Business infrastructure is getting increasingly distributed and complex, and organizations need a simple way to gain visibility and insight into all aspects of their corporate network, including those parts running over the public Internet and powered by third-party service providers,” said Brian Paul, managing director of Tenaya Capital. “We were immediately impressed by the ThousandEyes network intelligence platform and the caliber of customers that have adopted it, from the world’s fastest-growing to the largest organizations. Mohit and Ricardo [ThousandEyes co-founders] have built a solution for today’s world and we are excited to lead this round and invest in the next phase of growth for the company.”
“ThousandEyes empowers CIOs by giving them unprecedented visibility into the availability of SaaS services that their customers use daily,” said Dave Munichiello, General Partner at GV. “The company’s traction with large enterprises continues to skyrocket, bringing ThousandEyes’ vision of next-generation network intelligence and monitoring to major corporations around the globe.”
The modern enterprise operates in a hyper-connected environment, relying on third-party applications, services and infrastructure connected over networks they don’t manage or control and have little visibility into. Existing network monitoring tools are narrowly focused on solving point problems, lack accurate diagnostic data and don’t scale across internal and external networks or all the way to endpoint devices. ThousandEyes gives modern businesses the ability to see their now borderless network, providing network intelligence so they can better deliver on customer service level agreements (SLAs) and ensure mission-critical services and applications are functioning as they should.
Strong Growth; Addition of Industry-Leading Customers Define 2015
This new financing follows a year of strong performance across the board for ThousandEyes, with its fiscal year having ended Jan. 31, 2016. The company achieved 130 percent year-over-year bookings growth and 115 percent year-over-year new customer growth. This includes a doubling of customers in the technology, financial services and media verticals, and entrance into manufacturing and healthcare verticals. New customers include Avera Health, CareerBuilder, DigitalOcean, Domo, Electronic Arts, iHeartMedia, Jones Lang LaSalle, Live Nation Entertainment, Lyft, MailChimp, NetSuite, NTT, Olympus, Primark, Sotheby’s, Wayfair and Weebly, as well as 12 new Fortune 500 customers.
“We’re seeing increasing demand as organizations begin running into significant visibility issues in the era of Internet-delivered cloud services,” said Mohit Lad, CEO and co-founder of ThousandEyes. “We’ve seen rapid growth while remaining capital efficient, and this latest round of funding gives us the resources to expand and scale our platform so more organizations can forecast and eliminate predictable issues and respond to unforeseen events at the speed of modern business.”
“We’re at a time and place where modern enterprise systems are just beginning to operate in hyperconnected environments,” said Jennifer Clark, vice president at 451 Research. “ThousandEyes is addressing a significant problem that will grow exponentially as more companies move more of their workloads to cloud based services.”
Product Innovation Highlights
ThousandEyes delivered a number of product innovations in the fiscal year 2016, including a redesigned user interface, more advanced reporting and more granular alerting thresholds. The company launched Voice-over-IP monitoring, expanding the portfolio of applications that network operations teams can monitor and troubleshoot. It also expanded the number of data feeds for its free Lite version from 18 to 26, now including Adobe Creative Cloud, Apple iCloud, GoToMeeting, JIRA, LinkedIn, Skype Online, Slack and WebEx. The company also completed the Service Organization Control (SOC 2) examination reinforcing its commitment to information security and customer data protection. ThousandEyes also announced a strategic collaboration with Microsoft to deliver top performance for Microsoft Dynamics CRM Online customers.
Customer Engagement Highlights
ThousandEyes hosted ThousandEyes Connect events in San Francisco and New York City, which included presentations from eBay, Twitter, Bloomberg, Oracle, DigitalOcean, Shutterstock and Credit Suisse. ThousandEyes Connect events bring together the smartest people in network operations to share practical solutions.
Cloud and Enterprise Agent Expansion Highlights
In 2015, ThousandEyes added 30 new cloud agent locations, including metro areas in Brazil, Canada, Chile, China, Greece, India, Russia, Ukraine and the United Kingdom. The company also achieved 100 percent growth in deployed enterprise agents across its customer base.
ThousandEyes is a network intelligence platform that delivers visibility into every network an organization relies on, enabling them to optimize and improve application delivery, end-user experience and ongoing infrastructure investments. Leading companies such as Equinix, ServiceNow and Twitter, as well as eBay and other members of the Fortune 500, use ThousandEyes to improve performance and availability of their business-critical applications. ThousandEyes is backed by Sequoia Capital, Sutter Hill Ventures, Tenaya Capital and GV (formerly Google Ventures), and has headquarters in San Francisco, CA. For more information, visit https://www.thousandeyes.com or follow us on Twitter at @ThousandEyes.