On the back of annual triple-digit growth, CloudZero has closed a $32m Series B funding round to expand its cloud cost intelligence platform, in a booming cloud cost observability market.
The round was led by Innovius Capital and Threshold Ventures, with continued support from existing investors Matrix Partners, Underscore VC, and G20 Ventures. As part of the financing, CloudZero welcomes Justin Moore from Innovius Capital to its board of directors, and Arpit Mittal from Threshold Ventures as a board observer.
“In a world where every business is focused on driving cost savings, CloudZero is addressing one of the largest and most opaque expense buckets for modern organisations, cloud spend, which will reach nearly $600 billion worldwide in 2023,” said the firm. “That is why three-quarters of companies identify cloud costs as a board-level issue.”
CloudZero is able to provide granular insights for any cloud provider, empowering software teams to collaboratively manage cloud spend down to how a specific product feature or customer impacts margin.
This means engineering teams can see real-time, hourly data showing the consequences of software development decisions and can proactively optimise costs before waste occurs.
"Cost management is a challenge for every business that leverages the cloud. Most vendors in the market address small pieces of the overall problem, only providing surface-level insights into underlying cost drivers," said Justin Moore, CEO of Innovius Capital.
"We were looking to invest in a company that unified all sources of cloud costs into a single platform that was granular enough to help an individual engineer identify the exact line of code or SQL query that was spiking costs, yet broad enough to help finance and operations accurately understand and forecast the company's unit economics.”
