Sep
05
2021
--

Quantum Machines plans to expand quantum orchestration platform with $50M investment

Quantum Machines, an Israeli startup that is building the classical hardware and software infrastructure to help run quantum machines, announced a $50 million Series B investment today.

Today’s round was led by Red Dot Capital Partners with help from Exor, Claridge Israel, Samsung NEXT, Valor Equity Partners, Atreides Management, LP, as well as TLV Partners, Battery Ventures, 2i Ventures and other existing investors. The company has now raised approximately $83 million, according to Crunchbase data.

While quantum computing in general is in its early days, Quantum Machines has developed a nice niche by building a hardware and software system, what they call The Quantum Orchestration Platform, that helps run the burgeoning quantum machines, leaving it plenty of room to grow as the industry develops.

Certainly Quantum Machines co-founder and CEO Itamar Sivan, who has been working in quantum his entire career, sees the vast potential of this technology. “Quantum computers have the promise of potentially speeding up very substantially computations that are impossible to complete in reasonable time with classical computers, and this is at the highest level the interest in the field right now. Our vision specifically at Quantum Machines is to make quantum computers ubiquitous and disruptive across all industries,” he said.

To achieve that, the company has created a system that relies on classical computers to power quantum computers as they develop. While the company has designed its own silicon for this purpose, it is important to note that it is not building quantum chips. As Sivan explains, the classical computer has a software and hardware layer, but quantum machines have three layers: “The quantum hardware, which is the heart, and on top of that you have classical hardware […] and then on top of that you have software,” he said.

“We focus on the two latter layers. So classical hardware and the software that drives it. Now at the heart of our hardware is in fact a classical processor. So this is I think one of the most interesting parts of the quantum stack,” he explained.

He says that this interaction between classical computing and quantum computing is one that is fundamental to the technology, and it’s a mix that will last well into the future, possibly forever. What Quantum Machines is building is essentially the classical cloud infrastructure required to run quantum computers.

Quantum Machines founding team.

Quantum Machines founding team: Itamar Sivan, Nissim Ofek, Yonatan Cohen. Photo Credit: Quantum Machines

So far the approach has been working quite well, as Sivan reports that governments, researchers, universities and the hyper scaler operators (which could include companies like Amazon, Netflix and Google, although the company has not said they are customers) are all interested in QM’s technology. While it isn’t discussing specific metrics, the company has customers in 15 countries at the moment and is working with some large entities that it couldn’t name.

The money from this round helps validate what the company is doing, enabling it to continue building out the solution, while also investing heavily in research and development, which is essential as the industry is still in early development and much will change over time.

They have been able to create this solution to this point with just 60 employees, and with the new funding should be able to build out the team in a substantial way in the coming years. He says that when it comes to diversity, he comes from an academic background where this is the norm and he has carried this forth to his company as he hires new people. What’s more, the pandemic has allowed him to hire from anywhere and he says that the company has taken advantage of this opportunity.

“First of all, we’re not hiring just in Israel, we’re hiring globally, and we’re not limited to hiring in specific geographies. We have people [from a number of countries],” he said. He adds, “Diversity for me personally means involving as many people as possible in hiring processes. That is the only way to ensure that there is diversity.”

Even throughout the pandemic, the hardware team has been meeting in person in the office with necessary precautions when it has been allowed, but most employees have continued to work from home, and that is an approach he will continue to take even when it’s safe to return to the office on a regular basis.

“Of course, work in a post-COVID era will include a substantial amount of remote work. […] So even in [our] headquarters, we anticipate allowing people to work remotely [if they wish].

Feb
03
2021
--

Granulate nabs $30M for software to optimize workloads and latency

Services like video streaming, gaming, media-intensive advertising and marketing technology are putting more strain on bandwidth and backend latency than ever before due to the surge of online traffic in the last year. But for most organizations in today’s usage-based cloud world, that can represent a huge cost in compute power — or a major investment in a company’s own latency technology — to try to address that.

This has created an opportunity for startups building optimization tools. Today, one called Granulate — which has built software for organizations to handle those loads more intelligently and cost-effectively — is announcing a round of funding after seeing a huge boost in business in the last 10 months, with customer growth up 360% and revenues growing 570%.

The Tel Aviv startup has picked up $30 million, a Series B, led by Red Dot Capital Partners, with previous backers Insight Partners, TLV Partners and Hetz Ventures, and new backer Dawn Capital, also participating.

The timing of this Series B speaks to the demand in the market right now: It comes on the back of Granulate closing a $12 million Series A only in April last year. Investors say that its business growth is what prompted them to re-up so soon.

“Granulate’s unique technology and impressive growth since their last funding round reflects a rising market demand for their game-changing optimization solution,” said Yaniv Stern, managing partner at Red Dot Capital Partners, in a statement. “For companies facing rising infrastructure costs or focusing on operating cost reduction, Granulate offers a solution that can drive additional improvement regardless of any other solutions already deployed by their clients.”

Granulate is not disclosing its valuation with this latest round, which brings the total raised by the startup to $45 million. 

The opportunity in the market that Granulate is targeting is the fact that media-heavy content, and services like e-commerce that rely on efficient responsiveness on sites and apps to keep people from abandoning their shopping carts, are all on the rise.

But as companies look to keep customers happy with better-quality services, they are also trying to keep an eye on margins and therefore want to keep infrastructure and computing costs low.

Granulate’s solution is software that sits at the server layer — either in the cloud or on-premises, as a customer prefers — that uses AI to detect workloads that a customer tags as important and prioritize them so that they work more efficiently. Granulate said that its software can improve response times by up to 40%, and throughput up to five times, while reducing costs by up to 60%. The company today has partnerships with AWS and Microsoft’s Azure and is in the “early stages” of talks with Google Cloud Platform.

Bigger tech companies like Netflix, Google and Amazon typically invest huge sums to build their own optimization technology, but it’s an area that smaller organizations (and you can still be huge while still being smaller than companies like Google) will not have the bandwidth — pun intended — to address in the same way.

“We are aware of similar things going on inside of Netflix as what we have built,” Asaf Ezra, co-founder and CEO of Granulate, said in an interview. “But to us, it’s a testament of how large you need to be to address this issue and the talent you need to hire to address the lowest-level issues.”

The company’s customers include at least one major retailer (which it can’t name), AppsFlyer, Period and PicsArt.

What will be interesting to watch is how the growth of 5G will affect the bigger problem: As Ezra notes, it will undoubtedly improve front-end latency.

“5G will not cannibalize Granulate,” he said. “In fact, when it becomes standard, the round trip time will be reduced for data, but the front end will be less of the ratio of the time, while the back-end latency will become more of the problem. 5G would solve only the access to your server, but not latency at the server itself.”

Longer term, it’s likely that Granulate will add more optimization and management solutions around those it already offers for latency, Ezra said, while also looking for ways to stand out apart from others in the same space. Competitors are in the process of some consolidation — witness Spot acquired by NetApp last June — so features based around a wider platform will likely be a key way to keep customers interested.

Sep
30
2020
--

Coralogix lands $25M Series B to rethink log analysis and monitoring

Logging and monitoring tends to be an expensive endeavor because of the sheer amount of data involved. Companies are therefore forced to pick and choose what they monitor, limiting what they can see. Coralogix wants to change that by offering a more flexible pricing model, and today the company announced a $25 million Series B and a new real-time analytics solution called Streama.

First the funding. The round was led by Red Dot Capital Partners and O.G. Tech Ventures, with help from existing investors Aleph VC, StageOne Ventures, Janvest Capital Partners and 2B Angels. Today’s round, which comes after the startup’s $10 million Series A last November, brings the total to $41.2 million raised, according to the company.

When we spoke to Coralogix CEO and co-founder Ariel Assaraf last year regarding the A round, he described his company as more of an intelligent applications performance monitoring with some security logging analytics.

Today, the company announced Streama, which has been in Alpha since July. Assaraf says companies can pick and choose how they monitor and pay only for the features they use. That means if a particular log is only tangentially important, a customer can set it to low priority and save money, and direct the budget toward more important targets.

As the pandemic has taken hold, he says that companies are appreciating the ability to save money on their monitoring costs, and directing those resources elsewhere in the company. “We’re basically building out this full platform that is going to be inside-centric and value-centric instead of volume or machine count-centric in its pricing model,” Assaraf said.

Assaraf differentiates his company from others out there like Splunk, Datadog and Sumo Logic, saying his is a more modern approach to the problem that simplifies the operations. “All these complicated engineering things are being abstracted away in a simple way, so that any user can very quickly create savings and demonstrate that it’s [no longer] an engineering problem, it’s more of a business value question,” he explained.

Since the A round, the company has grown from 25 to 60 people spread out between Israel and the U.S. It plans to grow to 120 people in the next year with the new funding. When it comes to diversity in hiring, he says Israel is fairly homogeneous, so it involves gender parity there, something that he says he is working to achieve. The U.S. operation is still relatively small, with just 12 employees now, but it will be expanding in the next year and it’s something he says that he will need to be thinking about as he hires.

As part of that hiring spree, he wants to kick his sales and marketing operations into higher gear and start spending more on those areas as the company grows.

Powered by WordPress | Theme: Aeros 2.0 by TheBuckmaker.com