HashiCorp, which offers a number of tools that help developers write and deploy their applications (including the popular open-source Vagrant tool for setting up development environments), today announced that it has raised a $24 million Series B round. This new round, which brings the company’s total funding to $34 million, was led by GGV Capital. Mayfield, True Ventures and new investor Redpoint also participated in this round.
“HashiCorp is focused on the entire application delivery spectrum with a focus on development, operations, and security,” the company’s co-founder and CTO Armon Dagar told me when I asked him about what the company’s plans for the funding are. “Our immediate focus continues to be the 7 tentpole projects we have, and the corresponding Enterprise applications we are building to solve the workflow challenges around the open source tools. We distilled the application delivery process to the necessary and sufficient steps and built our tools to solve those problems. We will continue to focus on those problem areas and add new features to the open source and enterprise products.”
As Dagar told me, the company is seeing its strongest growth in verticals that operate at a very large scale. “This includes financials, media, retail, and webmonster internet companies,” he said. The company says its current paying user base in the enterprise includes teams at Conde Nast, Cisco and Mozilla. Other companies like Stripe, Uber, Twitch, OpenAI, Pinterest and Capital One use its open-source tools like Vagrant, packer, Terraform, Serf and Nomad.
Like similar companies that offer their core tools under an open source license, HashiCorp’s main source of income is its enterprise services. For them, the company offers HashiCorp Atlas, a suite of services that includes enterprise versions of tools like Terraform for writing, updating and provisioning resources, and Vault (which is coming out of beta today) for enforcing security settings.
The core idea here is to offer enterprises a set of tools to manage their DevOps workflow independent of the underlying infrastructure they use. Because of this, its services work with virtual machines and containers and also support many public cloud suppliers (Azure, AWS, and Google Cloud Platform) as well as private cloud technologies like OpenStack.
“HashiCorp builds world-class tools for development, operations, and security teams to manage distributed applications and infrastructure. The adoption of these tools in global enterprises has been tremendous,” said Glenn Solomon, a managing partner at GGV Capital and a HashiCorp board member, in a statement. “We are extremely pleased to continue our partnership with them as they continue their mission to accelerate software application delivery.”