Storage Soup

Jan 13 2016   4:57PM GMT

HPE puts equity stake in Scality and its Ring software

Sonia Lelii Sonia Lelii Profile: Sonia Lelii

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Scality just got a bigger endorsement — and a cash infusion — from Hewlett Packard Enterprise.

The object storage software company said HPE has made an equity investment in the startup and the two companies have forged a tighter partnership in engineering, go-to-market and sales. HPE has had a reseller relationship with the San Francisco-based Scality since October 2014 when the two signed a formal agreement that paired the Scality Ring

Now Ring software is available with the HPE storage portfolio.

“The difference between now and before is we didn’t have an equity stake in Scality,” said Patrick Osborne, senior director of product management and marketing, HP Storage Division at HPE. “And the Ring software was only sold with the server line. Now it’s been expanded to the storage channel.

Scality announced it raised $45 million in funding last August to expand its North American sales force, continue international expansion and build out its reseller channel. The company, which is targeting an IPO in 2017, has raised a total of $80 million since its founding in 2009.

Scality also scored its second major server reseller deal last year when Dell added the object storage vendor to the Blue Thunder program that combines software-defined storage with Dell servers.

Osborne would not disclose how much Hewlett-Packard Ventures has invested in Scality but other reports put the figure at $10 million.  Erwan Menard, president and CEO of Scality, said the HPE investment is part of a new D round of funding that brings total funding to $92 million.

Osborne said the Scality partnership will focus on sales that require large capacity compared to its HPE 3PAR SAN array product line that focuses on latency and performance sensitive configurations.

“This is for applications that require capacity optimization,” he said. “Workloads that have unstructured data and rich media that create large amounts of data that is static and need dense servers with Apollo servers. This creates a great solution for capacity-oriented solutions.

Menard said the two companies also now have a joint engineering partnership that will focus on leveraging hardware upgrades and enhancements for faster time-to-market releases.

“We are an application that runs on standalone servers so we will be able to leverage hardware innovations very quickly,” Menard said. “People say that no one cares about hardware but customers do care about hardware, especially petabyte-scale customers. Hardware if very important and we will get access to hardware innovations a lot quicker.”

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