$963 Million in Total Bookings for Veeam in 2018, Up 16% Y/Y

Veeam Software, Inc. announced results from fiscal year 2018, fresh off of a $500 million investment from Insight Venture Partners and Canada Pension Plan Investment Board (CPPIB) in early January – one of the largest investments in the history of storage software.

It delivered $963 million in total bookings – 16% growth Y/Y and its 12th consecutive year of organic double-digit bookings growth, as it added 48,000 new customers in 2018, an average of 4,000 new customers each month. This customer momentum and bookings growth builds on 2017 validates the growing demand for Veeam Intelligent Data Management solutions in businesses of all sizes across the globe.

“Opportunities of data management, compliance and risk, data theft and cybercrime, are expected to continue to present businesses with challenges throughout 2019, and into the next decade. What we have seen in 2018 is that no data is entirely secure. Customers are looking for an approach to manage data that unlocks its use and potential to drive business transformation but doesn’t lock their data into one vendor or increase their risk exposure,” said Ratmir Timashev, co-founder and EVP of sales and marketing.

He added: “By strengthening our offering via our most powerful partnerships with Hewlett-Packard Enterprise, NetApp, Cisco, and now Lenovo, Veeam has done just that. We are leading the industry by empowering businesses to do more with their backups, providing new ways for organizations to generate value from their data, while solving other business opportunities. Veeam has yet again achieved consistent company growth and profitability in this transformative market of data management in Hybrid-Cloud – and Veeam will continue to dominate. Together, with our partners, customers and alliances, and with our recent announcement of availability for new cloud data management capabilities as part of Veeam Availability Suite 9.5 Update 4, our most important product launch in company history, we have solidified our position as the dominant leader in Intelligent Data Management and one of the largest private software companies in the world.“

2018 Customer, Product and Partner Highlights

Announced Rfor cloud data management capabilities as part of Veeam Availability Suite 9.5 Update 4, followed by recent availability. This release provides simple, flexible and reliable solutions to help customers migrate to and keep data available in the hybrid cloud regardless of its location. These new capabilities – Cloud Tier, Cloud Mobility, and new data governance capabilities – allow to deliver virtual, physical, and cloud data management, for any application, and any data, across any cloud.
Veeam for Windows and Linux physical servers and workstations (Veeam Agents) and Veeam Backup for Microsoft Office 365 were the fastest growing products in company’s history with 129% and 549% Y/Y respectively. Veeam Backup for Microsoft Office 365 has now been downloaded by more than 55,000 organizations, representing over 7 million user mailboxes.
Now with 330,000 customers worldwide, new include Welch’s, Anheuser Busch Employee Credit Union, Fravega, Dorel Juvenile, Mizuno, Rabobank, KLM Royal Dutch Airlines, Norfolk & Suffolk NHS Foundation Trust, James Cook University and DKSH Corporate Shared Services Centre.
The Veeam Cloud & Service Provider (VCSP) segment grew 23% Y/Y, now with 21,700 cloud service providers, 3,800 licensed to provide Cloud Backup & DRaaS using Veeam Cloud Connect.
Cloud has been the fastest growing segment of business for the past 8 quarters. The firm reported 46% Y/Y growth in its overall cloud business for 2018.
N2WS, a Veeam company and a provider of cloud-native backup and DR for AWS, grew annual recurring revenue by 83% Y/Y.
Recognized twice as Microsoft ISV Partner of the Year, it is now generating 1.9 million hours of Microsoft Azure consumption every month.
As the most impactful and profitable Veeam alliance in 2018, Hewlett-Packard Enterprise achieved the highest magnitude of revenue growth Y/Y for joint closed deals in 2018, supported with a move to a global supply chain agreement increasing, the resell capabilities for resellers and customers. Mutual investments by both companies are expected to fuel continued commitment and accelerated pipeline growth in 2019.
Through participation in Cisco Solutions Plus program, Veeam and Cisco deals grew 967% Y/Y, an example of how easy it is for partners to quote and configure Veeam and Cisco data center solutions through a single ordering system. Veeam expanded its collaboration with Cisco to deliver Veeam Availability on Cisco HyperFlex – a new, highly resilient data management platform that provides seamless scalability, ease of management, and support for multi-cloud environments through Cisco support services.
Expanded the success of the NetApp alliance from product integration to a full resell agreement that includes NetApp Data Fabric solutions. Veeam launched its Global Resell agreement with NetApp in 1Q18 and followed that by enabling NetApp customers to purchase joint NetApp ONTAP and Veeam Availability solutions from joint resell partners around the globe.
Expanded and strengthened its partnership with Nutanix by launching Veeam Availability for Nutanix AHV in July 2018. After 2 quarters of this product being available, downloads have increased 500%.
Announced a new global partnership with Lenovo to offer customers integrated solutions combining high-performance storage with data protection which is sold directly from Lenovo and its resellers in a single transaction.

Operational Investments and Executive Appointments
Veeam invested in its team throughout 2018, most notably announcing a plan to invest $150 million to expand its main R&D center in Prague, Czech Repubic, as it continues its history of trailblazing innovation. The investment allows to attract an additional 500 software developers, adding to its current workforce of more than 3,500 employees worldwide with plans to add an additional 1,000 employees this year.

Two Veeam executive roles were recently appointed to accelerate the company’s geographical expansion.

Paul Strelzick, GM and SVP sales, Americas, most recently served as an advisor and consultant to Insight Venture Partners. Prior to this, he was the EVP of WW sales at SolarWinds for 10 years. Having specialized in building efficient and seamless marketing and sales pipeline operations, he is placed to drive Veeam’s Americas business in line with priorities.

Previously retired from Veeam in 2017 as the SVP sales and marketing, EMEA, French Daniell Fried has returned to the company as GM and SVP, EMEA, and will now oversee EMEA’s strategic direction and expansion across all segments, working to enhance partner opportunities and increase share in emerging markets.

“The data protection and replication software market remains a dynamic, competitive industry with global revenue exceeding $7 billion and forecast to grow 4.3% annually,” said Phil Goodwin, research director, IDC. “Veeam has continued to expand the depth and breadth of its data availability solutions as evidenced by today’s Cloud Data Management announcement. Additionally, Veeam intends to use the recent Insight Venture Partners investment to help fuel continued double-digit growth.”