Sumo Logic, known for its ability to delve into operational log files, find patterns and detect anomalies, announced a $75 million funding round led by Sapphire Ventures. The seven-year-old, Redwood City-based startup has now raised $235 million in venture capital as it charts a clear path to an initial public offering.
Sumo Logic said its platform is analyzing 100 petabytes of data every single day for the company's 1,500 paying customers and 30,000 active daily users. The company plans to use the latest funding round to fuel additional sales growth, improve its AI and machine learning capabilities, and grow its services that support the Internet of Things and digital transformation efforts.
In terms of investor appeal, Jai Das, managing director at lead investor Sapphire Ventures, said Sumo Logic has the ability to win major market share at a time when analytics sector "is being turned upside down by the tectonic shifts in cloud computing, mobile and machine learning."
"Sapphire invested in Sumo Logic because we believe it has many of the dynamics we feel are required for long-term, sustainable leadership -- a proven product/market fit, differentiated solution, clear vision, category leadership position, an experienced team, and an addressable market that is rapidly growing," Das said.
A prestigious list of Silicon Valley investors participated in the round, including Accel Partners, DFJ Growth, Greylock Partners, Institutional Venture Partners (IVP), Sequoia Capital, and Sutter Hill Ventures.