Its cloud-based service, intended for web publishers, is said to improve performance over mobile and Wi-Fi networks.
Investors include Andreessen Horowitz, Greylock Partners, Sutter Hill Ventures and Tenaya Capital. The financing round brings the company's investment total to $26 million.
Instart Logic aims to address the deterioration of web application performance—and therefore user engagement and revenue—as web applications grow in size and complexity, dependence on "the cloud" increases and wireless networks become more congested. The company calls this a "last mile problem" for the customer experience.
Instart Logic has not yet officially launched its product—it came out of "stealth mode" only yesterday—and so information on how its technology actually works is hard to come by. But the pedigree is there: the company's founding executive team—Manav Mital, Hariharan Kolam and Raghu Venkat—comes from Aster Data, the big data analytics company acquired by Teradata in 2011 for $263 million.
So is the testing. Instart Logic completed a beta program in December 2012, and "the vast majority of beta customers—including a Fortune 500 company—are now using the service in production for mission-critical applications." Paying customers span the retail, travel and hospitality, enterprise SaaS, online gaming, and media industries.
"This is a breakthrough technology that will disrupt the market," Tenaya Capital partner Brian Melton said.. "Early customers of Instart Logic reported dramatic results."