Cloud video conferencing company Zoom has closed $30 million in Series C funding. Emergence Capital led the round with participation from return backers that included Horizons Ventures, Jerry Yang and Qualcomm Ventures.
(Santa Clara, CA) February 4, 2015: Zoom, the cloud video conferencing company, today announces that it has raised $30M in Series C funding, led by Emergence Capital, with participation from Zoom’s existing investors Li Ka-shing’s Horizons Ventures, former Yahoo! CEO and co-founder Jerry Yang, Qualcomm Ventures, and medical entrepreneur Dr. Patrick Soon-Shiong. The investment more than doubles the funding Zoom had received in prior rounds and represents confidence from investors that Zoom can continue its impressive triple digit growth and pioneer the future of business-grade cloud video collaboration. Zoom will use the funding to scale its sales and marketing teams and expand its business worldwide.
Market Research firms are predicting that the global cloud collaboration market will reach $21.3 billion by 2019. That growth, coupled with increased demand for easier-to-use SaaS-based solutions, creates a ripe opportunity for Zoom.
“Zoom is a perfect fit with Emergence Capital’s mission of investing in the cloud visionaries who are building the most important business applications. The company’s explosive growth over the past year shows that they are primed to emerge as the industry’s market leader, and Eric’s key role at WebEx makes him the ideal entrepreneur for this opportunity. Zoom truly is one of the most capital efficient and fastest growing SaaS companies,” said Santi Subotovsky, Partner, Emergence Capital.
“Businesses aren’t fully satisfied with the status quo in video conferencing,” said Eric Yuan, Zoom’s CEO and Founder. “Zoom’s cloud-based video conferencing has a richer feature set and better user experience at a much more affordable cost. With this funding, we can reach a broader global audience through new sales and marketing initiatives.”
Zoom has made incredible strides since its 2013 Series B funding, including:
· Increased business customer base from 4,500 to 65,000 companies
· Grew meeting participants from 3 million to 40 million individuals
· Surpassed 1 billion meeting minutes
· Gained 2,500 educational institution customers
· Introduced the industry’s first iPhone/iPad screen sharing and co-annotation
· Created the Cloud Room Connector, a platform for connecting H.323/SIP video endpoints to the cloud
· Developed ZoomPresence, the world’s first software-based conference room system built on Mac and iPad
· Launched Zoom Video Webinars, which can feature 25 video panelists and 3,000 viewers
“With Zoom we have seen a huge increase in video calling at a dramatically lower cost. Zoom’s easy-to-use platform has enabled fast adoption and it even decreased our IT support calls. If we ever have the slightest issue or question, Zoom’s support team is always just an instant meeting away. I recommend Zoom to any company that wants a true business-grade collaboration platform,” said Leo Gomez, AV Systems Engineer at SolarCity Corporation.
About Emergence Capital
Emergence Capital (@emergencecap), based in San Mateo, Calif., is the leading venture capital firm focused on early and growth-stage enterprise cloud companies. Its mission is to invest in the cloud visionaries who are building the most important business applications. The firm’s investments include companies such as Salesforce.com (CRM), SuccessFactors (SFSF, acquired by Oracle), Veeva Systems (VEEV), Yammer (acquired by Microsoft), and Box (BOX). More information on Emergence Capital can be found at http://www.emcap.com.