Hybrid Cloud Management Startup HyperGrid Snags $25M Round

HyperGrid, a hyper-converged startup that has refocused its technology on hybrid cloud management, said Wednesday it secured $25 million in new funding to further scale the business.

The funding will drive go-to-market efforts, including expanding the company's channel with a wider breadth of VARs and MSP partners, HyperGrid co-founder and Chief Product Officer Manoj Nair told CRN.

The Mountain View, Calif.-based company, called Gridstore before its 2016 acquisition of management platform developer DCHQ, has seen strong growth since decoupling its software and hardware earlier this year, Nair said.

[Related: The 10 Top Hyper-Converged Platforms Of 2018 (So Far)]

The latest C Round was led by HighBar Partners, a new investor, and existing investor Atlantic Bridge Capital, bringing total funding to $49 million.

HyperGrid will scale globally with the cash infusion while also investing in innovation, looking to differentiate its portfolio in analytics and orchestration capabilities, as well as predictive AI that learns from usage patterns and data accumulated on different clouds.

Since releasing in February the software-only solution for multi-cloud management, HyperGrid has signed more than 100 customers using that HyperCloudTM platform to orchestrate and manage deployments in the public cloud.

HyperGrid, launched as a hyper-converged solution combining Gridstore hardware with DCHQ software, now dedicates most of its energies to sales of the Software-as-a-Service product, Nair said.

"Essentially, we're a software company now, a software and SaaS company now," he told CRN.

The technology is gaining traction among both enterprises and MSPs using it to optimize public cloud usage, migration planning, cost management, security and governance, and intelligent application management.

That business should expand when HyperGrid formally announces next week the platform is available on the AWS Marketplace. HyperGrid expects smaller users, or enterprises starting small with its technology, to self-provision from Amazon's cloud store to tackle challenges like usage optimization and planning, Nair said.

HyperGrid has traditionally been selective about the kind of partners it works with, he told CRN.

That will continue, he said, even as the company looks to start onboarding more VARs with database and analytics chops that are transitioning to cloud practices.