Arrcus Raises $50M to expand its cloud-to-edge networking platform and boost engineering teams
Arrcus, Inc, a cloud networking technology provider, has announced it raised $50 million in Series B funding. The company’s cloud-based networking platform is used by companies such as data center providers and telecoms companies, with a new version of its platform enabling multi-cloud networking, 5G edge and cell-site routing.
Prosperity7 Ventures led the round with participation from existing investors Clear Ventures, General Catalyst, Liberty Global and Lightspeed, and Silicon Valley Bank. With this new funding round, Arrcus’ says its valuation nearly doubled in a climate where many companies are struggling.
The company says this latest financing will expand its global go-to-market presence and further strengthen its engineering and R&D teams. As of the end of 2022, Arrcus had seen over 100% CAGR in bookings, a over 100% customer expansion YoY and a 70% increase in global headcount, all indicators of strength and sustained success during a challenging economic period, the company says.
“Arrcus’ latest round of funding is a testament to the versatility of the ACE platform that enables multiple use cases for enterprises and network operators, helping them modernize their networks from edge to multi-cloud,” said Brad Casemore, research vice president of data center and multi-cloud networks at IDC. “This is especially impressive in the current macroeconomic climate as customers are looking to control network infrastructure costs, along with improved ability to launch new monetizable network services.”
Arrcus is a San Jose-based company offering networking solutions with flexible consumption options, the company says. Its team consists of experienced technologists, industry thought leaders, operating executives, strategic partners and top-tier VCs.
The Arrcus Connected Edge (ACE) platform is their flagship product. The company says the platform and solutions based on ACE, such as SRv6 mobile user plane for 5G networks, virtualized distributed routing (VDR), hyperscale datacenter switching and FlexMCN for multi-cloud connectivity, are experiencing increasing adoption across customers in various industries. Additionally, its Arrcus Partner with ACE (PACE) program (PACE) has also seen an increase in adoption rates from partners in the infrastructure and network applications space.
Arrcus will showcase its networking solutions at Mobile World Congress in Barcelona from February 27 to March 2.
“Modern networks that can flexibly leverage private infrastructure as well as public clouds and 5G will be key to unlocking the fourth industrial revolution and driving the next wave of digital transformation in critical industries that power the world,” said Aysar Tayeb, executive managing director of Prosperity7.
In 2021, Arrcus made headlines for debuting the aforementioned Arrcus Connected Edge (ACE), which the company said would transform the way communications and compute infrastructure meet at the edge.
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