pdf

O’Melveny Advises Spectro Cloud in $20 Million Series A Funding Round

July 29, 2021

FOR IMMEDIATE RELEASE

SILICON VALLEY—July 29, 2021—O’Melveny advised Spectro Cloud, a next-generation Kubernetes enterprise management platform, in in the completion of a $20 million Series A funding. The financing round was led by Stripes, a prominent investor in software and consumer products.

Among investors funding the Series A raise were T-Mobile Ventures and Alter Venture Partners, as well as a number of backers from Spectro Cloud’s recent seed funding round. The company plans to use the proceeds to expand sales efforts nationally and internationally.

Spectro Cloud’s fully integrated next-generation platform allows users to manage multiple diverse clusters of Kubernetes environments in any data center or cloud, with complete control and high-level security.

The Spectro Cloud representation was led by O’Melveny partners Warren Lazarow, one of one of the market’s leading advisors to technology-focused companies and investors, and Brian Covotta, who advises growth-oriented companies on financing transactions in industries including software, biotech, telecom, medical devices, and gaming. Other O’Melveny team members included associate Amit Itai and counsel David Ribner.

About O’Melveny

It’s more than what you do: it’s how you do it. Across sectors and borders, in board rooms and courtrooms, we measure our success by yours. And in our interactions, we commit to making your O’Melveny experience as satisfying as the outcomes we help you achieve. Our greatest accomplishment is ensuring that you never have to choose between premier lawyering and exceptional service. So, tell us. What do you want to achieve? Visit us at www.omm.com or learn more in our firm at-a-glance, annual report, and on LinkedIn, Twitter, Facebook, Instagram, and YouTube. Visit The Boardroom for our insights on pressing issues facing global corporations.

Contact:

Christopher Rieck
O’Melveny & Myers LLP
+1 212 326 2218
crieck@omm.com

Spectro Cloud issued the following release:

Spectro Cloud Announces $20M Completion of Series A Funding to Unleash Full Potential of Kubernetes in Production Environments with Next-gen Management Platform

  • Series A funding round to be led by Stripes, whose previous software investments include Monday.com and Snyk
  • Spectro Cloud platform harnesses both the power of open-source and unique extensions to make Kubernetes accessible and manageable to empower enterprise IT teams and developers
  • Spectro Cloud enterprise Kubernetes management platform supports businesses whether simple or complex and makes complex Kubernetes environments simple

SANTA CLARA, Calif.—July 27, 2021—Spectro Cloud, a next-gen Kubernetes enterprise management platform that makes it easy for teams to manage the full lifecycle of any combination of new and existing Kubernetes environments on any data center or cloud environment, today announced the completion of its Series A funding round, amounting to $20M, which is led by Stripes, a leading investor in software and consumer products.

Prior to this current investment round, Spectro Cloud had previously raised $7.5M in seed funding from Sierra Ventures, boldstart ventures, WestWave Capital and Firebolt Ventures, all of which also participated in the current Series A funding round. Additional Series A investors include T-Mobile Ventures and Alter Venture Partners. Spectro Cloud will use the current investment to fuel the continued expansion of its direct and partner sales and support channels both in the U.S. and internationally. Further, Spectro Cloud will continually focus on adding top engineering talent to improve its product and services for customers — arming them with the features they need to grow and capitalize on cutting-edge technologies that enable them to leverage new innovation for businesses and markets.

“We have seen Kubernetes rapidly evolve from primarily developer-focused DIY projects, followed by the entrance of large vendors offering siloed Kubernetes platforms, to finally, today’s desire by organizations to unleash the true potential of Kubernetes in a way that is highly accessible, manageable and scalable in real production environments,” said Spectro Cloud CEO and Co-founder Tenry Fu.

Next-Gen Platform Delivers Kubernetes Management Without Operational Headaches

Organizations today are using containerization to accelerate application development and delivery and continuously build competitiveness, customer intimacy and business resiliency. Kubernetes, which has emerged as the de facto container orchestration technology, promises to free applications from the constraints of infrastructure, allowing them to be developed and deployed anywhere — across data centers, public clouds and edge locations. While the timing is ideal for open source technology, the reality is that it is still challenging for organizations to operationalize and integrate with important adjacent tools and processes including security, compliance, and governance, especially in production environments.

“Cloud native is a central component of enterprise DevOps, with containers deemed most critical to application development and deployment processes (55%),” according to Jay Lyman, senior research analyst with the Cloud Native and Applied Infrastructure and DevOps Channels at 451 Research, part of S&P Global Market Intelligence. “The main challenges of cloud native are security and compliance concerns (54%), cost (42%) and complexity (40%).”

Spectro Cloud changes all of this. It provides a complete and integrated platform that enables organizations to easily manage the full lifecycle of any combination of new or existing, simple or complex multi-cluster, multi-distribution Kubernetes environments — whether in data center, cloud, bare metal or edge environments. Spectro Cloud gives IT teams complete visibility, control and production-scale efficiencies to deliver highly-curated, IT-administered or self-service Kubernetes stacks and tools to developers based on their specific needs while maintaining granular governance, access control and security the business requires. Its approach harnesses the power and scale of open source technologies such as Cloud Native Computing Foundation’s Cluster API, which is uniquely extended and incorporated within Spectro Cloud’s platform, to directly address enterprise requirements at scale.

Investor Perspectives on Series A Funding Round

“At Stripes, we are continually looking for truly amazing products and teams that are obsessed with disrupting big and important markets that can in turn help their customers fundamentally transform their businesses,” said Stripes Founder Ken Fox. “We look at Spectro Cloud as residing within the unique intersection between novel Kubernetes technology coupled with its delivery akin to consumer products. This allows Kubernetes to become approachable and manageable to a tremendously large addressable market that has, to date, had much of its adoption throttled by limited access to scarce Kubernetes skills.”

“In many ways, Kubernetes can be viewed as the bridge between a company and the applications it uses to create a lasting and positive experience with its customers,” said Mark Fernandes, managing partner at Sierra Ventures. “It is clear that Kubernetes has not yet reached its full potential due to being viewed as a complex and hard-to-operate black box. We are very pleased with the tremendous progress that Spectro Cloud has made from the time we led the Seed financing to the current Series A round. We saw a unique differentiated technology approach coupled with the domain experience of a proven team that is now finally bringing Kubernetes to the masses.”

About Spectro Cloud

Spectro Cloud was founded in 2019 by a team of seasoned technology leaders with a proven track record of creating solutions that enable and simplify transformational technologies. This includes cloud, a focus of the team’s previous company CliQr (which has since been acquired by Cisco), as well as Kubernetes, a priority area of focus for Spectro Cloud. With headquarters in the heart of Silicon Valley and operations in India and the U.K., our vision is to unlock the full potential of container-based development. For more information, visit www.spectrocloud.com or follow us on LinkedIn or Twitter.

About Stripes

Stripes is a leading growth equity firm that partners with founders who are building the best products in the software and consumer markets. Stripes' software practice invests in leading horizontal and vertical software platforms servicing customers from SMB to Enterprise around the world. Stripes strives to serve its partners by delivering valuable resources to create transformative companies. For more information please visit Stripes.