Israeli AI cloud optimization co Spotinst raises $35m

Spotinst Photo: PR
Spotinst Photo: PR

The company helps businesses to manage their compute infrastructure across different cloud providers, while also achieving savings of 80% on average.

Israeli AI cloud optimization company Spotinst has raised $35 million in a Series-B financing round led by Highland, with participation from existing investors Leaders Fund, Intel Capital, and Vertex Ventures. Spotinst has raised $52m to date including the latest financing round.

With offices in Tel Aviv, New York and San Francisco, Spotinst was founded in 2015 by CEO Amiram Shachar, chief architect Liran Polak and CTO Aharon Twizer. The company has 100 employees and plans to double that number in the next 12 months. Spotinst has developed an AI based workload management platform, which helps companies to manage and optimize their cloud computing spend across several cloud providers.

The company helps businesses to manage their compute infrastructure across different cloud providers, while also achieving savings of 80% on average on regular cloud computing costs, by tapping into excess compute capacity in data centres operated by Amazon Web Services, Microsoft Azure and Google Cloud.

Shachar said, “We’re enabling enterprises and startups to run their production and mission critical applications for a fraction of the regular price. We enable cost optimization through AI. It means that our customers can be proactive in managing their cloud usage, rather than reactive. Our workload management platform helps customers dramatically reduce their cloud costs.”

Spotinst has gained over 1,000 customers in only two years including Sony, Samsung, Unilever, Qualcomm and Ticketmaster. The majority of Spotinst customers are in North America, while Europe is the second largest market.

Spotinst has yet to start spending the $15m it raised in series A in 2017, but has decided to raise additional funds. “This is a business that can live on its operating cash flows but the time is right to capture the large opportunity in front of us and begin a period of hyper-expansion and grow across multiple markets and cloud providers,” Shachar said.

Spotinst will use the new funds to increase its market share of the cloud optimization space, and double-down on its Serverless and Containers platform. “The world is consolidating around Containers and Kubernetes APIs, and our next big mission is to enable dev and ops engineers to deploy ‘Serverless’ Containers. Our platform provides the next generation and the nirvana that everyone was waiting for, it fits and right-sizes compute infrastructure dynamically based on containers and application needs.” Shachar said.

Published by Globes [online], Israel business news - www.globes-online.com - on August 28, 2018

© Copyright of Globes Publisher Itonut (1983) Ltd. 2018

Spotinst Photo: PR
Spotinst Photo: PR
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