Wasabi Technologies, a Boston, MA-based hot cloud storage company, raised $250M in funding.
Wasabi raised $125 million in Series D equity led by L2 Point Management with participation from Cedar Pine; an affiliate of Cerberus Capital Management; and returning investors including Fidelity Management & Research Company and Forestay Capital, bringing the company’s valuation to over $1.1 billion. Kerstin Dittmar, managing partner of lead investor L2 Point, will join Wasabi’s Board of Directors. The company also expanded its existing debt facility with MGG Investment Group to $125 million Wasabi Technologies.
The company intends to use the funds to drive expansion into additional vertical markets and geographies, enhance its channel partnerships, and scale its go-to-market team and global brand strategies. Meanwhile, the debt will be used to finance capital equipment and infrastructure in its storage regions around the world, and to invest in its technology capabilities to lay the groundwork for a cloud storage architecture.
Created by Carbonite co-founders and cloud storage pioneers David Friend and Jeff Flowers, Wasabi provides hot cloud storage for businesses. In addition, the company partners with over 350 technology companies, including most of the world’s leading backup, disaster recovery, and surveillance companies. Wasabi is used to store data across a wide range of industries, including professional sports, energy and natural resources, finance, surveillance, education, manufacturing, consumer technology, healthcare, scientific research, and media and entertainment. The company’s revenues more than doubled from 2020-2021, and Wasabi now has more than 40,000 customers in over 100 countries, 13,000 partners, 250+ global employees and 13 storage regions across North America, Europe, and Asia Pacific.
The new equity will drive expansion into additional vertical markets and geographies, enhance Wasabi’s channel partnerships, and scale the company’s go-to-market team and global brand strategies. Meanwhile, the debt will be used to finance capital equipment and infrastructure in Wasabi’s storage regions around the world, and to invest in Wasabi’s technology capabilities to lay the groundwork for a new generation of cloud storage architecture.
“Closing a large up round in this environment speaks to the spectacular growth of Wasabi, the magnitude of the cloud storage opportunity, and our leadership as the industry’s largest pure-play cloud storage vendor.At Wasabi, we focus on just one thing: cloud storage. We do it better than anyone else in the industry. Because of this singular focus, our team has achieved best-in-class performance and security at the lowest prices in the industry,” said David Friend, co-founder and CEO of Wasabi Technologies.
Kerstin Dittmar, managing partner of lead investor L2 Point, will join Wasabi’s Board of Directors. “Wasabi provides a game-changing product that offers customers a simpler, faster, and significantly more economical solution to their cloud data storage needs. We believe this capital raise will allow Wasabi to continue to expand its offering across additional services and geographies to meet their global customers’ needs,” said Dittmar. “We are proud to partner with Wasabi to provide innovative solutions in cloud storage and security,” added Sam Barnett, PhD, executive chairman of Cedar Pine.
“The importance of Wasabi’s technology is increasing in every industry.” Kevin Griffin, CEO of MGG Investment Group, also commented, “We seek to partner with best-in-class entrepreneurs and companies and are excited to continue supporting Wasabi Technologies and their global expansion.” In addition to the industry-leading performance of Wasabi hot cloud storage, the company partners with over 350 technology companies, including most of the world’s leading backup, disaster recovery, and surveillance companies.
Wasabi is used to store data across a wide range of industries, including professional sports, energy and natural resources, finance, surveillance, education, manufacturing, consumer technology, healthcare, scientific research, and media and entertainment. “As our data needs continue to evolve, from player analytics, IoT, digital assets and even security, this presents an enormous learning opportunity for the organization,” said Brian Shield, senior vice president and CTO of the Boston Red Sox. “Wasabi provides a cost-effective cloud-based solution that enables us to retrieve content quickly and improve the level of video analysis and production we do here at the Red Sox.” To learn more about how Wasabi is storing the world’s data, visit wasabi.com
About Wasabi Technologies Wasabi provides simple, predictable and affordable hot cloud storage for businesses all over the world. It enables organizations to store and instantly access an unlimited amount of data at 1/5th the price of the competition with no complex tiers or unpredictable egress fees. Trusted by tens of thousands of customers worldwide, Wasabi has been recognized as one of technology’s fastest-growing and most visionary companies. Created by Carbonite co-founders and cloud storage pioneers David Friend and Jeff Flowers, Wasabi is a privately held company based in Boston.
Wasabi is a Proud Partner of the Boston Red Sox, and the Official Cloud Storage Partner of Liverpool Football Club and the Boston Bruins. Follow and connect with Wasabi on Twitter, Facebook, Instagram, and The Bucket. As the demand for cloud services continues to surge amid accelerated digital transformation, Boston-based Wasabi Technologies is gearing up to scale its technology offerings and presence across markets.
The cloud storage provider today announced it has raised $250 million in a combination of debt and series D equity funding. It plans to use the equity part of the financing to drive expansion into additional vertical markets and geographies, enhance channel partnerships, and scale the company’s go-to-market team and strategies. Meanwhile, the debt segment will go toward financing capital infrastructure and extending its technology’s capabilities, including new features and industry-specific offerings.
Wasabi and its ‘affordable’ cloud storage offering
Founded by Carbonite co-founders David Friend and Jeff Flowers in 2017, Wasabi offers “hot cloud storage,” a universal, one-size-fits-all cloud object storage service that eliminates confusing storage tiers and satisfies nearly all storage performance requirements. It treats all the data equally and makes it readily accessible, regardless of whether it is classified as hot (frequently accessed) or cold (infrequently accessed).
The company claims that its offering is significantly faster than traditional frequent-access cloud storage products, and highly affordable thanks to its pay-as-you-go and reserved storage subscription models. In fact, it enables organizations to store and instantly access an unlimited amount of data at one-fifth the cost of the competition. This includes big-name “hyperscalers” like AWS S3, Microsoft Azure, and Google Cloud Platform as well as on-premise storage.
