1. Can you set the stage? How did you first connect with Verizon Ventures and why did you choose Verizon?
CloudBees was founded in 2010, offering the first Platform as a Service (PaaS) that could support the entire application lifecycle from development to deployment. For developers, we provided a cloud platform in which they could more efficiently develop Java applications and then instantly deploy them, when ready. As PaaS matured, we had to not only match the requirements of developers, but also adapt to the needs of IT and the business. IT was becoming more and more of a strategic partner with the line of business in driving positive business results. As we evolved to focus more on IT organizations, we began looking for investors who could help us scale our business model and offerings. Verizon Ventures was a clear choice for us, given its broad experience with scaling technology for the enterprise. As we were raising our C round we knew it had to be a part of it.
2. Late last year you announced a pivot associated with Jenkins, how is that shaking out?
The market is embracing Continuous Delivery at a rapid pace, both on-premise and in the public cloud. As such, there was strong interest in the “lifecycle orchestration” part of our offering, while the runtime/deployment part, which was only available as a service in the public cloud, was more a specific case that wouldn’t necessarily fit all customers. As such, the growth in our continuous delivery products, based on Jenkins, was skyrocketing. Consequently, we realized the need for our business to really focus on our continuous integration and continuous delivery products. In regular consultation with our Verizon investor team we discussed a few scenarios and ultimately decided to sunset our runtime PaaS called RUN@cloud. That decision has more than paid off. Jenkins has become the clear leader in the continuous delivery market. Adoption has been astounding and has enabled us to deliver strong business results, 170% revenue growth from 2013 to 2014, a baseline that we aim to beat in 2015.
3. CloudBees just closed a rather large funding round. Can you share more?
We were very excited to close our most recent funding round of $23.5 million in January and we were also thrilled that Verizon joined us for this Series D round. We’ve now raised nearly $50 million in capital since our founding. With this latest round, we are planning some strategic investments in development and services and will be increasing our investment in sales and marketing to fund our growth.
4. In your experience, what’s the best way to work with an investor like Verizon Ventures?
Verizon has become an invaluable partner to CloudBees, especially seeing us through the big changes to our business that I just described. Its high-touch approach, accessibility and guidance have helped us as we position ourselves for much larger growth in the near future.
5. What’s next for CloudBees in 2015?
We have seen explosive demand so far for our Jenkins-based solutions around the globe. For us, 2015 will be all about serving this growing demand, capturing more market share and solidifying our position as the continuous delivery leader.
Photo Courtesy of the Boston Business Journal