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ScaleXtreme-Raises---$11-Million-in-Series-B-funding-Round
SI Team
Friday, July 1, 2011
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California-based ScaleXtreme, a cloud-based systems management company, raised $11 million in Series B funding led by Ignition Partners. Accel Partners who are the previous investor in the company also participated in the funding. Co-Founded by Nand Mulchandani and Balaji Srinivasa, the company is building the next generation of systems management products delivered as a cloud service. The company operates in the cloud systems management software market, which is expected to be a $2.5 billion market by 2015. The fund will be used to accelerate the rollout of additional product capabilities and expand marketing and sales for the company's innovative new way of managing hybrid clouds.

Systems management is an established market with large, legacy players. The traditional costs of implementation have been high, the learning curves steep, and the roll-out times measured in months. ScaleXtreme have effectively taken a fresh look at it, and delivered a cloud-based systems management service that is inexpensive, simple to deploy and use, and takes under ten minutes to roll-out. “Organizations that have multiple servers to manage, regardless of size, are our market. In practice, we’re seeing interest from mid-sized companies that have physical servers, virtual servers, and are starting to extend their capacity using private and/or public cloud capacity,” says Mulchandani, CEO, ScaleXtreme.

The 20 member strong company does not face any threatening competition in the stream. For the legacy competitors that provide on-premise systems management software it’s tough to migrate from their current business models, and the few open-source competitors that have emerged still require on-premise hardware and consultants to deploy. When it comes to cloud provisioning, there are existing players like Rightscale, which enable start up servers in Amazon EC2. However, once they are running they cannot manage them; just turn them on and off. ScaleXtreme provides a complete end-to-end systems management service from starting the cloud server, to managing it throughout its life, and decommissioning; as well as continuing to provide full access and management of on-premise physical servers and those in private clouds behind the firewall.

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Reader's comments(1)
1:Its not true that RightScale cannot manage servers, but just turn them on and off. With RightScale you can monitor the servers graphically for things like CPU stats, interface stats, apache stats and more and you can scale your deployment up or down based on these metrics. You can also run all sorts of scripts across a number of servers, manage EBS volumes, instigate database failover/recovery. You can sign up for RightScale for free here https://www.rightscale.com/s/create-account.p hp?sd=Free
Posted by: John Fitzpatrick - 08th Jul 2011
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