Today, on our three year anniversary, we announced that Pivotal has raised a Series C investment round, highlighted by $253 million in new cash, led by Ford, in conjunction with Microsoft and previous investors GE, EMC, and VMware.
These additional resources position us even better to make our mission—to transform how the world builds software—become a reality.
This news follows additional recent milestones, including:
- First-quarter 2016 revenue of $83 million, up 56% year over year
- Annualized recurring revenue* (ARR) of $116 million at March 31, 2016, up more than 200% year over year for Pivotal’s subscription software products
- Pivotal Cloud Foundry and Pivotal Big Data Suite crossed the $200 million and $100 million annual bookings run-rate milestones, respectively
I wanted to take a moment to say thank you to our partners who chose to invest in and support our mission, but most importantly to thank our broad and growing community of Pivots for making this happen. We are on a tremendous journey, and it is your hard work that is at the heart of what makes our lofty mission become a reality.
Three years ago, under the stewardship of Paul Maritz, Bill Cook, Scott Yara and myself, Pivotal was founded. We built it based on a culture inspired by Pivotal Labs and expanded by the power of the Pivotal Cloud Foundry platform, the Pivotal Big Data Suite of products, and our Spring technologies used by millions of developers around the world. This combination of technology and people gives customers the tools to innovate at startup speeds, and has helped accelerate the digital transformation of some of the world’s largest and most admired companies.
Our community starts with employees, but also includes our customers and a diaspora of alumni. Today, Pivotal works with nearly one-third of Fortune 100 companies. Our customers are enterprises and startups that are doing some of the most exciting, interesting, and impactful work in technology, using the Pivotal approach. Industry leaders like GE, Ford, Verizon, Home Depot, Comcast, Humana, Lockheed Martin, and Allstate all use Pivotal’s products and services to digitally transform their businesses and disrupt established markets.
While anyone can employ the Pivotal approach, being a Pivot means embracing the principles at the core of this approach. Pivots teach and learn from each other, demonstrating empathy, trust, respect, communication, feedback, and collaboration at every turn. Thousands of Pivots work in over 17 cities around the globe and are embedded within every major industry vertical. Pivots have helped the largest enterprises and most innovative startups build radical new experiences—from personalized healthcare to networked industrial machines to the connected car—all on top of Pivotal technology.
Pivots and the core principles for our community will continue to inform the way we solve complex problems. We Pivots have a relentless will to adapt to change, which is a fundamental requirement of continuous innovation. We will continue to shape our approach through the lens of our core principles, and collaborate with organizations to develop meaningful software solutions in a rapidly evolving, increasingly connected world.
Pivots are what set Pivotal apart, so on behalf of the entire executive team, thank you and congratulations to Pivots around the world.
* Annual Recurring Revenue (“ARR”) is an operational performance metric. ARR is calculated as the value of contracted recurring revenue of term subscriptions which includes both current subscriptions and contracted subscriptions with a future start date, adjusted by the actual churn in the period. ARR should be viewed independently of revenue and any other GAAP measure.