D-Day for DataSynapse

NY-based grid software startup has secured a Series D funding round

December 2, 2004

2 Min Read
Network Computing logo

Grid software startup DataSynapse has completed a Series D funding round, with an eye on breaking into new markets and geographies.

The mezzanine round was led by Goldman Sachs & Co. and included previous investors Bain Capital, Intel Capital, NeoCarta Ventures, New York City Investment Fund, Silicon Alley Venture Partners, Stonehenge Capital, and Wand Partners.

Unlike most American startups, which locate themselves in Silicon Valley, DataSynapse is based on Broadway, right in the heart of Manhattan. The company appears to be making the most of its Wall Street roots.

But, after raising a total of $26.3 million in its previous three rounds, DataSynapse has refused to disclose the value of the latest investment. Kelly Vizzini, the companys VP of marketing, did tell NDCF what the money will be used for.

Primarily, it will fuel expansion into EMEA and Asia/Pacific, she says, as well as helping the company launch into new vertical sectors. These include energy, utilities, and manufacturing, such as aerospace and the automotive industry. The money will also be used to develop partnerships.And DataSynapse’s relationship with Goldman Sachs is very much a two-way street. As well as announcing its Series D funding yesterday, DataSynapse also unveiled a strategic partnership with the financial giant. Goldman has selected DataSynapse’s flagship GridServer software for its global risk management business.

This deal played a key role in the current funding round, according to Vizzini. “We did not solicit the investment,” she says. “It came about after Goldman Sachs had evaluated our product.”

GridServer enables applications to be used on a shared computing infrastructure.

Interest in grid computing continues to grow, as users attempt to make the most effective use of their servers and storage. But DataSynapse is not the only specialist vendor looking to exploit this need. Other companies include Cassatt Corp., Tsunami Research Inc., and U.K.-based Paremus Ltd. (see Paremus Plays Its Hand).

So, who are the people behind DataSynapse? The company was founded in 2000 by Peter Lee, a former investment banker at J.P. Morgan Chase & Co., and Jamie Bernardin, who cut his technology teeth at Barclays Global Investors, Bank of America, and Risk Management Technologies.— James Rogers, Site Editor, Next-Gen Data Center Forum

Stay informed! Sign up to get expert advice and insight delivered direct to your inbox

You May Also Like

More Insights