SAN FRANCISCO, Sept. 26, 2019 /PRNewswire/ -- HONEYCOMB.IO, the leader in observability solutions for modern developer teams to rapidly understand and better debug production systems, today announced it has closed $11.4 million in funding led by Scale Venture Partners, with participation from existing investors including Storm Ventures, eVentures, NextWorld Capital, and Merian Ventures. In addition to the investment, Ariel Tseitlin from Scale Venture Partners will be joining Honeycomb's Board of Directors. This investment brings Honeycomb's total funding to $26.9 million.
Building upon the company's early success in creating a better approach to maintaining cloud-based, business-critical systems, Honeycomb will use the investment to grow teams across all business functions, particularly sales, marketing, and customer success, to support customers and drive revenue growth. Honeycomb has doubled ARR in the last six months, doubling the number of six-figure contracts, and is on track to triple ARR by the end of 2019. By slashing time to value for self-serve customers, the company has seen significant growth in new customers quickly onboarding within days of trialing the product.
As companies across all industries develop their own customer-facing applications, reliability and performance of those systems are critical to revenue growth and customer loyalty. Traditional system-level monitoring and log management tools do not help developers understand exactly how their code is behaving in production, at scale, and through the experience of the end-user. Honeycomb is committed to helping developers spend more time innovating and less time debugging in order for systems to advance and for customers to remain loyal and happy.
"Honeycomb is enabling a long-overdue shift in the way developers interact with and operate the software they build," said Ariel Tseitlin, Partner at Scale Venture Partners. "As production systems become more complex and distributed, the company is taking advantage of the massive market opportunity and establishing itself as a leader in real-time observability. It's no wonder developers say they can't live without it after they try it."
"Looking ahead, we're very excited for this next chapter in our history and we remain committed to delivering value to our customers," said Christine Yen, CEO of Honeycomb. "We have learned so much over the last few years, and with the combination of our deep market understanding, the close relationships we have with our customers, and a rock-solid group of employees, we are very well positioned in this growing observability market. We will continue to listen to our customers' needs and deliver the highest quality product so they can be successful and delight their customers."
Charity Majors and Christine Yen founded Honeycomb in 2016 with the mission to empower engineering teams to ask new questions of their production systems and gain a deep understanding of their systems to quickly resolve issues with minimal impact. Honeycomb's difference lies in the way data is stored and queried, which helps cross-functional teams inspect and conduct real-time analysis on the state of production.
"Modern systems are dynamic and ephemeral, far flung and loosely coupled; every problem is a high cardinality problem, and it is impossible to predict in advance which questions you will need to ask," said Charity Majors, Co-Founder and CTO of Honeycomb. "Honeycomb gives users the power to understand any system state without shipping new code to handle or describe that state, and that is why users love Honeycomb."
About Scale VP Scale Venture Partners (@scalevp) invests in software companies that are transforming the future of work. Investments include: Box (BOX), Chef, Cloudhealth, DataStax, Demandbase, DocuSign (DOCU), ExactTarget (ET), HubSpot (HUBS), JFrog, Lever, and WalkMe. ScaleVP partners with entrepreneurs to support accelerated growth from the first customer to market leadership. Founded in 2000, ScaleVP has over $1 billion under management and is located in Silicon Valley. For more information, visit www.scalevp.com.
About Honeycomb Honeycomb defined Observability, and its solution is designed for modern Engineering and DevOps teams to observe, debug, and improve their production systems more efficiently so that business-critical apps perform with minimal disruption to users. Honeycomb's growing customer base includes Intercom, Optimizely, Shipt, Meetup, and Fender among others that rely on the product for fast incident response, performance optimization and a streamlined dev-to-production cycle. Learn more at www.honeycomb.io and twitter