thor culverhouse skytap ceo
(Skytap CEO Thor CulverhouseSkytap) Amazon Web Services is the big behemoth of cloud computing, followed by Microsoft Azure and Google Cloud.
The economies of scale of cloud services mean that it's very difficult for any new players to compete unless they have theglobal reach and resourcesof those tech titans.
Difficult, but not impossible, especially if you zero in on an underserved part of the market. Take, for example, Skytap, a 10-year-old cloud computing service provider based in Seattle.
Skytap started as a project out of the University of Washington. It focuses exclusively on helping huge companies update their existing, old-school software for the modern age. By devoting all its energies to that one corner of the market, Skytap believes it can thrive even under Amazon's shadow.
"It doesn't make sense for us to go head-to-head with Amazon in their areas of expertise," Skytap CEOThor Culverhouse said.
Skytap already has name-brand customers includingGE Healthcare and NBCUniversal. And investors are on board too.
The companyjust announced a $45 million round of funding led by Goldman Sachs. That brings its total funding to over $100 million. If all goes according to plan, the investment will start an 18-to-24 month countdown to an eventual IPO,Culverhouse said.
Amazon Web Services got its start by focusing on winning over individual developers and small startups, including Slack and Airbnb, and reaping the benefits as those companies grew and expanded their usage.To that end, Amazon as well as chief rivals Google and Microsoft prides itselfon supporting the most up-to-date developer tools and methods.
By contrast, Skytap's sales pitch is it offers a cloud computing platform that's designedto behave like an old-school, legacy data center, makingit easier for enterprises to bring their existing large-scale applications to the cloud. And once those applications areinthe cloud, the company can offer customers a slew of benefits,Culverhouse said.
(Amazon Web Services CEO Andy JassyAmazon)
Similar to AWS, Skytapallows customers to easily add or remove computing capacity in line with their needs. And its support for trendy technologies like Docker software containers allows customers toslowly but surely modernize their software.
Skytap is starting to catch on with customers.The company's second-quarter revenue this year was three times higher than in the same period last year, Culverhouse said, although he declined to disclose the actualnumbers. Contributing to the company'sgrowth has beena resale arrangement with IBM, where Big Blue provides Skytap technology to its own customers.
As it ramps up for its IPO, Skytap is doubling down on what it's already doing, Culverhouse said. Currently, the company employs about 170 people; Culverhouse expects that number to double in the next year, with a focus on sales and engineering. Similarly, Skytap plans to grow its international presence.
microsoft scott guthrie
(Microsoft Executive VP of Cloud and Enterprise Scott GuthrieMicrosoft)
What Skytap won't be doing is making moves that will put it more directly into Amazon's path, Culverhouse said. Instead, Skytap will continue to focus its energies on helping big enterprise customers bring their existing software into the cloud.
"That's where we can deliver the most value," he said.
Goldman Sachs has been busy in the tech sector of late. In addition to investing in Skytap, the venerable financial firm announced Monday that it also led a $44 million investment in database provider Redis Labs.
NOW WATCH: How to make 'cloud eggs' Instagram's newest obsession
More From Business Insider
- Microsoft may be all-in on cloud computing, but Azure ... - May 8th, 2019
- What is cloud computing? - Definition from WhatIs.com - March 4th, 2019
- Cloud - Wikipedia - February 19th, 2019
- Cloud computing: A complete guide | IBM - February 7th, 2019
- FusionCloud Full-Stack Private Cloud - Huawei Enterprise - February 4th, 2019
- What is cloud computing? | IBM - January 24th, 2019
- What Is Cloud Computing? | The Basics of Digital Outsourcing - January 22nd, 2019
- Cloud Computing - Yahoo - January 13th, 2019
- Best Sellers in Cloud Computing - amazon.com - January 2nd, 2019
- Cloud Computing Explained by Common Craft (VIDEO) - January 2nd, 2019
- Cloud Computing Trends: 2017 State of the Cloud Survey - December 25th, 2018
- Cloud Computing Overview - tutorialspoint.com - December 25th, 2018
- 15 Top Cloud Computing Service Provider Companies - December 25th, 2018
- Cloud computing: Hardware & Software Security: Online ... - December 23rd, 2018
- Cloud Solutions from Cisco - Cisco - December 23rd, 2018
- Cloud Computing | The MIT Press - December 23rd, 2018
- Learn Cloud Computing Tutorial - javatpoint - December 23rd, 2018
- Standards - IEEE Cloud Computing - December 23rd, 2018
- Benefits of cloud computing | IBM Cloud - November 10th, 2018
- Cloud Computing Trends: 2018 State of the Cloud Survey - November 10th, 2018
- What is cloud computing? - LinkedIn - November 5th, 2018
- What is cloud computing? | TechRadar - September 25th, 2018
- Cloud Computing 2nd Edition: 2018: Mr. Ray Rafaels ... - September 23rd, 2018
- Cloud Computing - Articles & Whitepapers | Oracle Technology ... - September 23rd, 2018
- Cloud Computing: Theory and Practice: Dan C. Marinescu ... - September 23rd, 2018
- Programming Lesson Plan: Program Your Partner - September 5th, 2018
- Cloud Computing | Definition of Cloud Computing by Merriam ... - July 26th, 2018
- Cloud computing information, news and tips ... - April 30th, 2018
- Cloud computing - A simple introduction - Explain that Stuff - March 15th, 2018
- Doug H. - Boston Cloud Computing Meetup (Boston, MA) | Meetup - December 16th, 2017
- Cloud computing at Ifes, IFs, and hospitals | RNP - December 16th, 2017
- Cisco and Google Find Mutual Interest in Cloud Computing ... - October 28th, 2017
- How to Invest in Cloud Computing -- The Motley Fool - October 28th, 2017
- What is cloud computing? Everything you need to know now ... - September 19th, 2017
- How The Automotive Industry Is Leveraging Cloud Computing - CXOToday.com - September 7th, 2017
- Huawei ups its bet on cloud computing with broader support for Microsoft apps - GeekWire - September 7th, 2017
- Cloud computing to drive Billabong's omnichannel experience - Chain Store Age - September 6th, 2017
- Cloud Computing Testbed Chameleon Renewed for Second Phase - HPCwire - September 6th, 2017
- The Software Alliance Advances Discussion on India's Cloud Computing Policy - ETAuto.com - September 6th, 2017
- Assessing Alibaba's Cloud Computing Opportunity - Market Realist - Market Realist - September 2nd, 2017
- 3 No-Brainer Stocks to Buy in Cloud Computing - Motley Fool - September 1st, 2017
- Telecom ponders future amid surging cloud computing popularity - TechTarget (blog) - September 1st, 2017
- Heads in the cloud: banks inch closer to cloud take-up - Risk.net (subscription) - August 31st, 2017
- Walmart Taps Nvidia for Massive Cloud to Take on Amazon - Fortune - August 31st, 2017
- Guest Commentary: Cloud computing tackles emerging cyber threats - Security Systems News - August 31st, 2017
- It's Only the Early Innings for Cloud Computing - Morningstar.com - August 29th, 2017
- What are the key benefits of cloud computing? - Information Age - August 29th, 2017
- VMworld 2017: Everything you need to know about VMware's hybrid cloud strategy - ZDNet - August 29th, 2017
- Saudi Telecom Company creates cloud computing giant - ComputerWeekly.com - August 29th, 2017
- Now with VMware and Pivotal, the Cloud Native Computing Foundation is becoming the hub of enterprise tech - GeekWire - August 29th, 2017
- Cloud Computing | HHS.gov - August 27th, 2017
- Oppo, Vivo plan to move cloud storage to India - Economic Times - August 27th, 2017
- Top 2 aspects of cloud computing you need to consi - Accountingweb.com (blog) - August 27th, 2017
- Biz Cloud Computing - Four States Homepage - August 27th, 2017
- Marketo decides to go all-in on cloud computing, and picks Google as its home - GeekWire - August 27th, 2017
- Cloud Computing Confirmed for Travers | TDN | Thoroughbred Daily ... - Thoroughbred Daily News - August 27th, 2017
- Why 2017 Is The Year To Understand Cloud Computing - Nasdaq - August 23rd, 2017
- Microsoft acquires cloud computing firm Cycle Computing to boost ... - The News Minute - August 23rd, 2017
- The Benefits of Multi-Cloud Computing Architectures for MSPs - MSPmentor - August 23rd, 2017
- VMware shares to surge more than 20% because the Amazon cloud threat is overblown: Analyst - CNBC - August 23rd, 2017
- Cloud Computing confirmed for Travers Stakes 2017 - Horse Racing ... - Horse Racing Nation - August 23rd, 2017
- Cloud computing in focus at e-Commerce forum - Oman Tribune - August 21st, 2017
- World's Largest Open Source Cloud Computing Summit to be Hosted in Sydney - Business Wire (press release) - August 21st, 2017
- AT&T, GE and Oracle offer juiciest cloud salaries, new data reveals - Cloud Tech - August 21st, 2017
- Cycle Computing will make Microsoft Azure more appealing to more enterprises - TechRepublic - August 21st, 2017
- Manage containers in cloud computing to prevent sprawl, cut costs - TechTarget - August 19th, 2017
- Business continuity is the ultimate killer application for cloud - ZDNet - August 19th, 2017
- Thailand urged to opt for cloud computing - The Nation - August 19th, 2017
- Cyberattacks Rain Down on Cloud Computing Infrastructure ... - Bloomberg BNA - August 19th, 2017
- Brown to decide Monday if Cloud Computing runs in the Travers - Horse Racing Nation - August 19th, 2017
- Cloud computing reversal: From 'go away' to 'I can't miss out' - InfoWorld - August 18th, 2017
- Alibaba Stock: Why Cloud Computing Could Be Equivalent to AWS - BNL Finance (press release) (registration) (blog) - August 18th, 2017
- Microsoft Acquires A Cloud Technology Company From Right Under Google And Amazon's Noses - Inc.com - August 18th, 2017
- Alibaba's cloud computing revenue almost doubles - SiliconANGLE News (blog) - August 18th, 2017
- Big Data and Cloud Computing Software, Platforms, and Infrastructure 2017 - 2022 - Markets Insider - August 18th, 2017
- Microsoft acquires cloud-computing orchestration vendor Cycle Computing - ZDNet - August 16th, 2017
- Cloud computing decision guide: Breaking down 7 top solutions for healthcare - Healthcare IT News - August 16th, 2017
- Amazon: Earnings Are Not The Holy Grail - Seeking Alpha - August 16th, 2017
- Notes: Cloud Computing still in running for Travers - Albany Times Union - August 14th, 2017
- Assessing the key reasons behind a multi-cloud strategy - Cloud Tech - August 14th, 2017