TERRACOTTA CLOSES NEW FINANCING TO BUILD ON MARKET MOMENTUM IN FIRST YEAR OF OPEN SOURCE STRATEGY January 30, 2008
DAG Ventures Joins Accel Partners, Benchmark Capital, and Goldman Sachs as Strategic Investor in Pioneer of Enterprise Java Infrastructure Solutions
San Francisco—January 30, 2008—Terracotta, a leader in infrastructure software for enterprise Java high availability and scalability, today announced it has closed a $10 million round of venture financing. In this latest round, DAG Ventures made its initial investment in Terracotta, and was joined by existing investors Accel Partners, Benchmark Capital, and Goldman Sachs. This latest investment from top tier investment firms highlights an enormously successful 12 months since Terracotta launched its open source business and product strategy. Terracotta will use the funds to expand its operations to meet the needs of its rapidly growing customer base, and to broaden its reach and impact in new markets.
"Terracotta's disruptive technology solves a fundamental problem in the market; scaling mission-critical Java applications while reducing the need for expensive database licenses," said Nick Pianim, a partner at DAG Ventures. "We are impressed by Terracotta's accomplishments in 2007 and look forward to working with Amit and the Terracotta executive team to build on their innovation and market momentum."
In 2007, the company signed over 30 new customers including PartyGaming and Comcast, solidifying its leadership of the market for Java availability and scalability solutions. These Terracotta customers have realized tremendous ROI by reducing database license costs and custom development effort. Terracotta also experienced significant growth across a number of developer community measures, with both website traffic and downloads increasing more than tenfold. 2007 was also a strong year for product innovation culminating in the release of Terracotta 2.5 last month, the latest upgrade to Terracotta's flagship product.
In the last year, Terracotta has also established strategic partnerships with systems integrators in a number of key markets, including China, India, Europe, and the Americas, and the company plans to continue to expand its international presence in 2008.
"The combination of breakthrough product and our open source strategy has resulted in enormous demand for Terracotta," said Amit Pandey, CEO of Terracotta. "Both Terracotta and our investors expect 2008 to be an even bigger year for the company and this latest round of funding will enable us to respond to rapidly increasing demand."
About Terracotta, Inc.
Terracotta is infrastructure software that provides affordable and scalable high availability for Java applications. Companies use Terracotta to offload work from databases and application servers and to reduce their development efforts. Founded in 2003, Terracotta, Inc. is a private firm headquartered in San Francisco. More information is available at www.terracottatech.com. Terracotta's open source community is available at www.terracotta.org.
