Cloud backup and storage provider Symform announced on Wednesday that it has closed an $8 million Series B investment round to fund the global expansion of the Symform Cloud Storage Network. It has closed $8 million, and reserved up to $3 million to add a strategic investor in 2012.
Led by WestRiver Capital, the series includes full participation from existing investors OVP and Longworth Venture Partners. As part of the investment, Erik Anderson of WestRiver Capital joins the Symform board of directors.
This news comes as Google launched its cloud storage service Drive after years of speculation that it would enter the cloud storage market alongside Box, DropBox, and others. So while the cloud storage market is becoming increasingly competitive as the big guys like Google move in, there is still a need for additional cloud services like cloud backup, which is part of what Symform provides. Web hosts can offer their clients cloud storage, but can upsell clients additional services like backup as well. Recently, Symform released a study with StorageCraft that shows more companies are using cloud to backup files and store data.
Symform has active users in 138 countires, up from 46 countries at the end of 2011. In the first qurater of 2012, it grew customer accounts by more than 100 percent quarter-over-quarter, and the number of data files stored on its network jumped by 50 percent during that same period.
According to the press release, Symform also announced the launch of a new Advisory Board that includes Jon Gacek, CEO of Quantum; Dimitris Achiloptas, professor of computer science at the University of California Santa Cruz; and Grant Peterson, CTO and vice president of engineering at DocuSign. (DocuSign is one of the third-party apps available through Google Drive).
Symform responded to the Google Drive launch in a blog post, identifying a few key points on why it won’t change cloud storage, including the fact that the only way to get data into Google Drive is through uploading it through a browser, which “can be a painfully slow process if you have big files.”
“Symform is a fundamentally superior way to store data in the cloud, and our continued strong growth and access to growth capital further validates that Symform is uniquely positioned to permanently disrupt the global cloud storage and backup market,” Matthew J. Schiltz, CEO, Symform said in a statement. “We have an amazing team of employees, investors and advisory board members who are building Symform into a global standard for cloud storage and backup.”
With its Series B funding, Symform has raised a total of $20 million.
Talk back: What do you think of this announcement? What is your opinion on what the impact of Google Drive will be? Let us know in the comments.