Splunk Raises $5 Million Series A
Company Founders Rappel into Underground Caves and Emerge with Series A Funding
Moaning Cavern, CA, December 16, 2004 -- A band of entrepreneurs and partners from August Capital and Sevin Rosen Funds descended 165 feet yesterday to explore the deep chambers and passages of the California underground. The team emerged from its venture capital presentation with a $5M investment in their new company Splunk Technology.
"Navigating today's IT infrastructure is like exploring underground caves. You wander around in the dark, crawling systems, sifting through lots of data to try and understand what's going on," said Michael Baum, Chief Executive Splunker. "IT is different these days. It's decentralized, componentized, open source, iterative, slightly broken, borderless and constantly changing. We wanted our investors to experience the physical demands of spelunking and explain to them the technical challenges of seeing inside today's IT systems."
The company's technology will allow people to splunk IT systems, meaning find and follow important paths through the infrastructure by locating and analyzing very large amounts of operational IT data.
IT systems used to be laid out like well-planned cities. What got connected to what and who talked to who was all tightly controlled. But today's infrastructure is distributed, loosely coupled and the potential connections and paths through the infrastructure are endless. As a result, the amount of operational data has grown rapidly and the structure and location of the data can change regularly.
A typical server today can log more than a gigabyte a day and a small data center can generate over a terabyte of operational data a week. In addition to the problems of scaling traditional solutions to data of this magnitude, variety and frequency of change, making meaning out of the data is still a difficult task for even the most experienced technical staff.
"We backed the Splunk team because they have built and managed some of the largest distributed IT infrastructures on the planet at places like Yahoo!, Disney, eBay, Infoseek, Bank of America and Wells Fargo," said David Hornik of August Capital.
"Splunking is a disruptive new technology and approach to managing IT infrastructure. The market for IT management products is one of the largest software markets in the world, but is currently stagnated with old, out-dated technologies and solutions--it is ready to be reinvented," said general partner Nick Sturiale of Sevin Rosen Funds.
Splunk (www.splunk.com) is a new company focused on turning one of the largest software markets in the world on its head with a disruptive approach to managing IT infrastructure. The company founders have built and managed some of the largest distributed IT infrastructures on the planet at places like Yahoo!, Disney, eBay, Infoseek, Bank of America and Wells Fargo. The company was founded in 2004 and is based in San Francisco, CA. Splunk is backed by August Capital and Sevin Rosen Funds, two world-class venture capital firms.
Splunk> is a pending trademark of Splunk Technology, Inc.
About August Capital
Founded in 1995, August Capital is a leading venture capital firm that invests in entrepreneurial teams throughout the information technology market spectrum. With more than 50 years of combined venture capital experience and dozens of successful IPOs and public company board relationships, August Capital partners have financed technology companies with an aggregate market capitalization of more than one-half trillion dollars.
About Sevin Rosen Funds
Sevin Rosen Funds is a top-tier venture capital firm with a track record of funding successful companies since 1981. The partnership has consistently made early-stage investments in pioneering technologies and companies with the potential to create new markets. The partners' broad range of venture and operating experiences in successful technology companies translates into a sustained commitment and contribution to the development of the ventures funded. Compaq, Lotus, Cypress, Electronic Arts, SGI, Citrix and CIENA are representative of some of the firm's successful IPOs.
Splunk, Splunk>, Listen to Your Data, The Engine for Machine Data, Hunk, Splunk Cloud, Splunk Storm and SPL are trademarks and registered trademarks of Splunk Inc. in the United States and other countries. All other brand names, product names, or trademarks belong to their respective owners. © 2014 Splunk Inc. All rights reserved.
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