Cockroach Labs’ cloud database gets $160mn push
New York-based software firm Cockroach Labs offers a cloud SQL database for critical data management.
The company’s principal offering is CockroachDB, a database capable of operating across cloud, on-premise and hybrid environments, and supporting application, analytical and transactional data. Cockroach Labs says it has a failure-resistant architecture, with customers including the likes of Comcast, WeWork, Lush, Bose and Baidu.
Since its 2015 foundation, the company has raised across seven funding rounds. Its latest round alone saw the company raise $160mn, cementing its status as a tech unicorn with a valuation of $2bn. The round was led by Altimeter Capital, alongside Greenoaks Capital, Lone Pine, Benchmark, BOND, FirstMark, GV, Index Ventures, and Tiger Global.
In , Neil Mehta of Greenoaks Capita said: "The story of transactional SQL workloads moving to the cloud is still largely unwritten and represents a tremendous opportunity for the next Oracle-like business to emerge. CockroachDB's high availability, strong consistency, and low latency allows them to address the lion's share of these relational workloads.”
The company said it would use the funding to fuel growth as the way companies interact with data evolves.
"As business continues to move to the cloud, a new set of technologies has emerged as the foundation for how all software will run in this era of cloud computing. Cockroach Labs has quickly become the cornerstone database for all transactional workloads by offering a disruptive leap forward in scalability, reliability, and performance," said Kevin Wang of Altimeter Capital. "Cockroach is proving to be a key piece of the multi-cloud reference architecture of the future. We are excited to partner again with the Cockroach team as we build an iconic and generational company."
At the time of the company’s last funding round, it cited the current COVID-19 pandemic, which has increased online demand for many businesses, as prompting companies to move to more efficient and cloud-native tools such as its CockroachDB platform.
IT Employees Predict 90% Increase in Cloud Security Spending
As companies get back on their feet post-pandemic, they’re going all-in on cloud applications. In a recent report by Devo Technology titled “Beyond Cloud Adoption: How to Embrace the Cloud for Security and Business Benefits”, 81% of the 500 IT and security team members surveyed said that COVID accelerated their cloud timelines. More than half of the top-performing businesses reported gains in visibility. In fact, the cloud now outnumbers on-premise solutions at a 3:1 ratio.
But the benefits are accompanied by significant cybersecurity risks, as cloud infrastructure is more complex than legacy systems. Let’s dive in.
Why Are Cloud Platforms Taking Over?
According to Forrester, the public cloud infrastructure market could grow 28% over the next year, up to US$113.1bn. Companies shifting to remote work and decentralised workplaces find it easy to store and access information, especially as networks start to share more and more supply chain and enterprise information—think risk mitigation platforms and ESG ratings.
Here’s the catch: when you shift to the cloud, you choose a more complex system, which often requires cloud-native platforms for network security. In other words, you can’t stop halfway. ‘Only cloud-native platforms can keep up with [the cloud’s] speed and complexity” and ultimately increase visibility and control’, said Douglas Murray, CEO at cloud security provider Valtix.
Here’s a quick list of the top cloud security companies, as ranked by Software Testing Help:
What are the Security Issues?
Here’s the bad news. According to Accenture, less than 40% of companies have achieved the full value they expected on their cloud investments. All-in greater complexity has forced companies to spend more to hire skilled tech workers, analyse security data, and manage new cybersecurity threats.
The two main issues are (1) a lack of familiarity with cloud systems and (2) challenges with shifting legacy security systems to new platforms. Out of the 500 IT employees from Devo Technology’s cloud report, for example, 80% said they’d sorted 40% more security data, suffered from a lack of cloud security training, and experienced a 60% increase in cybersecurity threats.
How Will Companies React?
They certainly won’t stop investing in cloud platforms. Out of the 500 enterprise-level companies that Devo Technology talked to throughout North America and Western Europe, 90% anticipated a jump in cloud security spending in 2021. They’ll throw money at automating security processes and investing in security upskilling programmes.
After all, company executives will find it incredibly difficult to stick with legacy systems when some cloud-centred companies have found success. Since moving from Security Information and Event Management (SIEM) offerings to the cloud, Accenture has saved up to 70% on its processes; recently, the company announced that it would invest US$3bn to help its clients ‘realise the cloud’s business value, speed, cost, talent, and innovation benefits’.
The company stated: ‘Security is often seen as the biggest inhibitor to a cloud-first journey—but in reality, it can be its greatest accelerator’.