Founded by Brocade’s Executives, AlephCloud Raises $7.5 MillionStart-up in security cloud sharing
This is a Press Release edited by StorageNewsletter.com on 2013.05.27
AlephCloud Systems, Inc., a start-up developing a new technology for managing content privacy and provenance in public clouds, announced that it has closed a $7.5 million Series B round of financing.
The funding was led by Handbag, LLC, a new wave venture capital firm created by noted Silicon Valley investor and former Crosspoint general partner Seth Neiman.
The new investment brings the total amount raised to $9.5 million.
The firm also announced that Neiman has joined the company's board of directors. His investing group, which provides institutional investments without the institution, is composed of VCs and CEOs who helped create much of the technology used to build Internet and data center infrastructures.
"With the advent of personal devices and data sharing in public clouds, the traditional 'moat and citadel' approach to content protection is broken," said Neiman. "AlephCloud technology will redefine content and device management for the cloud era."
Recently AlephCloud was one of six start-ups selected from a pool of more than 100 companies for Orange Fab, the technology accelerator program managed by Orange Silicon Valley.
According to a report from Gartner, "Personal cloud services are simple, available free of charge and elegantly solve sync and share problems, which is why smart-device users are adopting these services. They represent a serious security and compliance threat for an IT organization, because employees can share corporate documents with third parties, or store documents on home PCs and other personal devices, completely out of an IT organization's control." (Gartner, Inc., MarketScope for Enterprise File Synchronization and Sharing, February 12, 2013, by Monica Basso, Jeffrey Mann)
"IT consumerization, which is characterized by BYOD and BYOC (bring your own cloud), is making it almost impossible for enterprises to manage the OSs and devices that employees use to access corporate information," said Jieming Zhu, CEO of AlephCloud. "To maintain privacy, control, and compliance, organizations must be able to protect their content wherever it resides. We have the opportunity to completely change the dynamics of trust in public clouds."