JumpCloud announces an additional $66 million in funding from investors, including Jira developer Atlassian. The round brings Series F at $225 million, the company’s total capital to over $400 million, and its valuation to $2.625 billion.
JumpCloud is a US-based software corporation providing cloud directory services. The company regards itself as an alternative to Microsoft’s Active Directory since it allows for a single pane of glass for IT to securely manage all users, devices, and resources. It works in diverse environments, consisting of Macs and Linux devices and Windows kits.
Several megatrends led to the need for a modern cloud directory, says JumpCloud. The sudden transition to remote work, the rise of Mac, Linux, and mobile devices in the workplace, and the explosion of the cloud infrastructure are all worthy of mention.
With its additional resources gathered from its latest funding round, JumpCloud will accelerate small and midsize enterprise adoption of its directory platform.
It’s a wrap! We closed our series F at $225M at a $2.625B valuation with additional investments from @Atlassian, @CrowdStrike Falcon Fund, NTT @DocomoVentures, @STEADFAST_VC, @watermanvc, and @OurCrowd. 🎉
— JumpCloud (@JumpCloud) October 19, 2021
Sapphire Ventures leads the Series F round, including investments from Atlassian Ventures, CrowdStrike Falcon Fund, NTT Docomo Ventures, STEADFAST Capital Ventures, Waterman Ventures, and OurCrowd. Other parties participating in the financing include Owl Rock, Whale Rock Capital, Sands Capital, Endeavor Catalyst, General Atlantic, BlackRock, and H.I.G. Growth Partners.
Rajat Bhargava, who serves the role of a CEO at JumpCloud, had this to say:
Atlassian and CrowdStrike share our vision for delivering IT teams a modern directory platform that simplifies how they secure their organizations and Make Work Happen. Across each of our customer bases, IT teams are looking for an alternative to Microsoft for managing and securing infrastructure. With this new investment, we can do deep integration work with both Atlassian and CrowdStrike to make JumpCloud’s open, cloud directory the obvious choice for all our customers.
The investors believe that companies need to address rising IT issues quicker, including severe limits and dangers posed by legacy Microsoft directories and using many point solutions to address those constraints.
Michael Sentonas, who serves the role of a CTO at CrowdStrike, had this to say:
The threat landscape becomes increasingly more complex by the day. To reduce the risk of cyberattacks, small and midsize organizations must accelerate the adoption of enterprise-grade security and IT solutions. To do this, organizations of all sizes must have access to scalable, easy-to-deploy, and cost-effective solutions. JumpCloud’s cloud directory platform protects against the weaknesses found in similar legacy products that are being actively exploited by threat actors and is designed to meet the needs of today’s SMEs. We are excited to support JumpCloud’s efforts and look forward to exploring ways to deliver meaningful integrations for the market.
Yuko Sasahara Watanabe, who serves the roles of President and CEO at NTT DOCOMO Ventures, had this to say:
I am excited to invest in and join the JumpCloud journey to provide a better way for companies, mainly IT teams in small- to medium-sized enterprises, to manage remote work environments more securely and efficiently. In late September 2021, NTT Group announced our plans to transform operational and management styles for sustainability towards making a more positive impact on society. As part of this initiative, NTT employees will be able to work remotely. This challenge is not easy, but together with JumpCloud, we can provide more flexibility in a distributed remote work environment. We look forward to supporting JumpCloud in the Japanese market. NDV would like to expand various security options to Japanese enterprise customers regardless of the size of the company, and working with JumpCloud is a way to do that.
Still, JumpCloud is not the only player in the game. Its competitors, including other cloud-based identity providers, have also benefitted from the shift to remote working. For instance, many users think of Okta when it comes to Identity-as-a-Service.