Moogsoft Secures $40 Million in Series D Funding
SAN FRANCISCO, March 13, 2018 —Moogsoft, a leading provider of artificial intelligence for IT operations (AIOps), today announced $40 million in Series D funding led by Goldman Sachs Growth Equity, with participation from existing investors including HCL, Northgate Capital, Redpoint Ventures, Singtel Innov8, STTelemedia and Wing VC. This round brings Moogsoft’s total funding to $90 million. Funds will be used to scale sales and marketing to meet global demand as well as R&D investment for new product development and continued innovation in their core AIOps platform.
In 2017, Moogsoft more than doubled revenue and saw the onboarding of key customers from across the Global Fortune 500. In addition to closing its fourth round of funding, Moogsoft has also recently released over 15 updates to their AIOps platform, bringing to market innovative new features such as Real-Time Service Dashboards, Collaborative Team-Based Workflows, Algorithmic Clustering Engine, Probable Root Cause Analysis, and a Mobile version. To date, Moogsoft has been awarded six patents and have filed for over 40 additional patent applications for their inventions.
“We are enormously excited to welcome Goldman Sachs Growth Equity as a partner as we dive headlong into the future of IT operations and service assurance,” said Phil Tee, chairman, CEO and co-founder of Moogsoft. “Moogsoft’s purpose-built AIOps platform is in production in the world’s most complex IT environments and is fundamentally transforming the way enterprise operations teams work. We have the intention to be the primary supplier of service assurance software for the new digital economy. With new products, additional capability in AIOps, and with significant investments in sales and marketing, Moogsoft is set to lead the next phase of the digital revolution.”
Gartner Research defines AIOps platforms as software systems that combine big data and AI or machine learning functionality to enhance and partially replace a broad range of IT operations processes and tasks, including availability and performance monitoring, event correlation and analysis, IT service management, and automation. In their 2017 Market Guide for AIOps Platforms, Gartner predicts that, by 2022, 40 percent of all large enterprises will combine big data and machine learning functionality to support and partially replace monitoring, service desk and automation processes and tasks, up from five percent in 2017.
“We have followed the Moogsoft story closely over the past several years, and have been consistently impressed with their thoughtfulness around product development and ability to deliver such a compelling value proposition to customers managing some of the most complex IT operations in the world. By leveraging intelligent algorithms to deliver true machine learning, Moogsoft’s platform addresses the human scalability challenges of using legacy rules-based monitoring technology in increasingly distributed and complicated IT environments,“ said Jason Kreuziger, a Vice President in Goldman Sachs’ Merchant Banking Division, who will join the Moogsoft board of directors in connection with the investment. “We are excited to partner with a world-class management team that has deep domain expertise and a track-record of success in this market, and look forward to working with them to help further scale Moogsoft going forward.”
To learn more about Moogsoft’s future plans, read CEO Phil Tee’s latest blog post.
Moogsoft provides AIOps solutions that help IT teams become faster, smarter and more effective. Through the application of patented AI, Moogsoft helps enterprises such as SuccessFactors, Intuit, HCL and GoDaddy avoid outages and achieve operational agility across the world’s most complex IT environments. Learn more at www.moogsoft.com.
About Goldman Sachs
Founded in 1869, The Goldman Sachs Group, Inc. is a leading global investment banking, securities and investment management firm. Goldman Sachs Merchant Banking Division (MBD) is the primary center for Goldman Sachs’ long term principal investing activity. With nine offices across seven countries, MBD is one of the leading private equity investors in the world. Since 1986, the group has invested approximately $180 billion of levered capital across a number of geographies, industries and transaction types. Within MBD, Goldman Sachs Growth Equity (GS Growth) is a dedicated platform for venture capital and growth equity investments in leading companies that have built innovative technology or processes to transform their industries. Since 1994, GS Growth has partnered with more than 200 companies and invested more than $5 billion of capital across sectors including technology, software, media, healthcare IT, and business and information services. GS Growth seeks to partner with strong management teams to help companies achieve product, customer and geographic expansion. For more information about GS Growth, please visit: www.gs.com/gsgrowth.