Demand for hybrid storage solutions is skyrocketing. Tegile, one of the fastest growing players in this space, revealed that it has improved its sales from doubling every two quarters to doubling every quarter before opening the $35 million Series C funding round it closed today.
The round was led by late-stage venture firm Meritech Capital Partners. Original investor August Capital also participated, alongside flash behemoth SanDisk and Western Digital Capital. The latter is a subsidiary of Western Digital, a leading provider of enterprise-grade disk storage that also owns HGST, which supplies the hard drives and SSDs that power Tegile’s flagship Zebi lineup.
Tegile touts that it is the only hybrid storage provider to have generated more revenue than it has taken in outside financing. The company said that it will use the new capital to boost product development and its strengthen sales and marketing efforts across North America and Europe, where it established an official presence in May this year.
“Our investment philosophy is to fund companies that have a unique product, have a proven business model and are gaining traction within the industry – all traits exhibited by Tegile,” said Paul Madera, the Meritech director who is joining Tegile’s board. “But more than that, we are very careful to consider the management team behind this success. Like many of the best tech companies we’ve invested in during the past decade, Tegile has the leadership and the innovative potential to be quite transformative.”
The channel is central to Tegile’s long term strategy. Less than two weeks before expanding to Europe, the company partnered with a co-location provider called Voonami to make its remote replication service available for Zebi users. The integration builds on an existing client-vendor relationship between the two.