Chronosphere Raises $115M in Additional Series C Funding at a $1.6 Billion Valuation
Following a year of record growth, Chronosphere welcomes new investors GV (formerly Google Ventures) and Geodesic Capital as existing investors double down on company’s cloud native observability platform
NEW YORK, Jan. 10, 2023 /PRNewswire/ -- Chronosphere, the only cloud native observability platform that puts engineering organizations back in control by taming rampant data growth and cloud native complexity, has raised an additional $115 million Series C funding. New investors include GV (formerly Google Ventures) and Geodesic Capital, bringing Chronosphere’s total funding to $343 million, and increasing the company’s valuation to $1.6 billion. Existing Chronosphere investors also participated in the round including: Addition, Founders Fund, General Atlantic, Greylock, Glynn Capital, and Lux Capital. The round will support continued innovation and go-to-market efforts for its market-leading cloud native observability platform.
The funding comes on the heels of a record year for Chronosphere. As of their most recent quarter, Chronosphere tripled its ARR and headcount, attained greater than 145% net revenue retention,retained 100% of its customers, and was named to Otta’s “ROCKET LIST 2022 - 100 of the fastest-growing companies to accelerate your career.”
Chronosphere also chalked up key wins at Robinhood, Snap, Obsidian Security, and Astronomer who join Chronosphere’s growing list of enterprise customers that include DoorDash, Zillow, and Visa.
“Chronosphere’s game-changing platform gives us the visibility and control to manage our observability data, especially with our unprecedented growth,” said Ryan Sokol, VP of Engineering at DoorDash. In fact, customers that use Chronosphere’s cloud native observability platform, which enables customers to transform their data based on the need, context, and utility to optimize costs, improve user experience, and solve problems faster. The average customer optimizes their data set by 48% for significant additional cost savings.
DoorDash’s success is in line with results from a recent Total Economic Impact™ (TEI) study, conducted by Forrester Consulting on behalf of Chronosphere. The study examined cost savings and business benefits enabled by Chronosphere, and found that customers using the company’s cloud native observability platform returned on average $7.9 million in benefits over three years. During the same timeframe, companies on average also saw $4.9 million in cost savings for 165% return on investment, with an average payback period of less than six months.
“In a cloud native world where businesses are looking for both efficiency and effectiveness, there’s a dire need for organizations to get observability right,” said Sangeen Zeb, Partner at GV. “Chronosphere has cracked the code to tame the data deluge in complex environments and provides better tools that quickly sift through the most meaningful data for better customer experiences and business outcomes.”
“This funding underscores the crucial market need for powerful cloud native observability solutions to generate positive business outcomes–especially critical now as companies seek more efficient and effective ways to improve customer experiences,” said Chronosphere CEO and co-founder, Martin Mao. “We plan to use this latest investment to bring our forward-looking observability solution to the broader market as we continue to disrupt legacy solutions that provide too little, too late for too much cost.”
Chronosphere is the only cloud native observability platform that puts engineering organizations back in control by taming rampant data growth and cloud native complexity while accelerating innovation. Faster alerts and issue resolution ensures responsive and reliable cloud native workloads underlying the most valuable services at leading organizations like DoorDash, Robinhood, and Abnormal Security. Teams at organizations of all sizes trust Chronosphere to help them drive competitive advantage and world-class customer experiences while reducing engineering burnout and eliminating lock-in. Chronosphere is a remote-first company, backed by Geodesic Capital, GV, Glynn Capital, Greylock, Lux Capital, General Atlantic, Addition and Founders Fund. For more information, visit https://chronosphere.io or follow @chronosphereio.
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