successions B rounds used to be about establishing a product-marketplace fit, but for some startups the whole process seems to be accelerating. Harness, the startup founded by AppDynamics co-founder and CEO Jyoti Bansal is one of those companies that is putting the pedal the metal with his second startup, taking his learnings and a $60 million circular to build the company much more quickly.
Harness already has an eye-popping half billion dollar valuation. It’s not terribly often I hear valuations in a successions B discussion. More typically CEOs want to talk growth rates, but Bansal volunteered the information, excited by the startup’s rapid development.
The circular was led by IVP, GV (formerly Google Ventures) and ServiceNow Ventures. Existing investors big Labs, Menlo Ventures and Unusual Ventures also participated. Today’s investment brings the total raised to $80 million, according to Crunchbase data.
Bansal obviously made a fair bit of cash when he sold AppDynamics to Cisco in 2017 for $3.7 billion and he could have rested after his impressive properity. Instead he turned his attention almost immediately to a brand-new compete, helping companies move to a brand-new continuous delivery version more rapidly by benefaction Continuous Delivery as a service.
As companies move to containers and the cloud, they face challenges implementing brand-new app delivery models. As is often the case, big web scale companies like Facebook, Google and Netflix have the resources to dispatch these kinds of solutions quickly, but it’s much more arduous for most other companies.
Bansal saw an opportunity here to package continuous delivery approaches as a service. “Our come in the marketplace is Continuous Delivery as a service, and instead of you trying to engineer this, you get this platform that can unravel this problem and bring you the best tooling that a google or Facebook or Netflix would have,” Basal explained.
The come has gained traction quickly. The company has grown from 25 employees at launch in 2017 to 100 today. It boasts 50 enterprise customers including Home Depot, Santander Bank and McAfee.
He says that the continuous delivery piece could just be a starting point, and the cash from the circular will be plowed back into engineering efforts to extend the platform and unravel other problems DevOps teams face with a modern app delivery come.
Bansal admits that it’s unusual to have this kind of traction this early, and he says that his growth is much faster than it was at AppDynamics at the same level, but he believes the opportunity here is enormous as companies look for more efficient ways to dispatch app. “I’m a tiny bit surprised. I thought this was a big problem when I started, but it’s an even bigger problem than I thought and how much pain was out there and how prepared the marketplace was to look at a very dissimilar route of solving this problem,” he said.