It's a good time to be in hyper-converged, eh, Pivot3?
Long-in-the-tooth startup climbs revenue growth rate peak
Pivot3's had its highest-ever revenue growth rate in 2016's first quarter.
The company hyperconverged appliance company bought Nexgen, an all-flash and hybrid array starup spun out of SanDisk, earlier this year, and gained $54.6m in funding. Now we see why the VCs were excited about Pivot3's prospects.
Pivot3 saw a greater than 50 per cent revenue increase from the final 2015 quarter to this latest quarter. Its development team has doubled in size this quarter and its go-to-market organisation has grown by almost 50 per cent. The channel partner number has also grown, by almost 400 per cent. Clearly its sales funnel now has a much wider mouth, a great big gaping maw.
The company operates in 53 countries and supports more than 2,000 customers.
It says it "saw 50 per cent of its revenue in Q1 coming from use cases outside of the single use case of video surveillance data management," the company’s historic focus, with customers buying systems for virtual desktops, remote offices, database, business continuity and server virtualisation.
The video surveillance business grew by more than 50 per cent in the quarter, and many existing customers buying more Pivot3 kit to expand beyond their video surveillance application.
The company says it is "integrating NexGen Storage with Pivot3, as well as completing initial work on a new series of products leveraging the technology from both companies". This technology includes adding dynamic Quality of Service capabilities to help ensure workload performance.
The rising hyper-convergence tide is floating Pivot3's boat and it must be hoping that the revenue acceleration continues for the rest of 2016 and beyond, so it can give the market a good old Pivot1-2-3.
If the interest in hyper-convergence is widespread and cross-vendor then we can expect many more stories of booming quarterly growth. ®