Pivot3 bags $54.6m. What'll it do now? Try to take over all-flash hyperconverged world

Ageing startup Pivot3, fresh from buying all-flash and hybrid array startup Nexgen has taken in a whopping $54.6m of fresh funding. It's a mix of equity and bank financing and takes its total funding, since being founded in 2003, to almost a quarter of a billion dollars – $247.04m by our reckoning – with this latest financing …

[Throatwarbler Mangrove]

I'm pretty dialed into the storage and hyperconverged space, and I've never heard of these guys. It sounds like they're not exactly marketing themselves effectively, regardless of how good their technology may be. The phrase "good money after bad" leaps to mind.

[Anonymous Coward]

Their marketing was into the video space

They were building large clustered storage arrays out of commodity hardware for storage of massive amounts of video data. Thing is that, as with Intransa, they discovered that video surveillance gets lots of publicity, but it's lip service only -- nobody is willing to put their money where their mouth is, especially when talking about the storage for the video. Everybody is like, "why don't I just buy another Dell commodity server and record a few dozen cameras to it, instead of investing in some professional grade equipment." Then they get upset a few years later when the Dell dies and takes out all their data but (shrug). You get what you pay for, and nobody's willing to pay.

So anyhow, best of luck to Pivot3 in their new, well, pivot. As someone in the video surveillance space (thus why I am posting anonymously), I will attest that nobody is getting rich in video surveillance and it doesn't seem like that's going to change anytime soon with the current mentality out there.

[Anonymous Coward]

They didn't buy Nexgen, they are both backed by the same VC money so they consolidated the companies. Technologically, this makes no sense whatsoever. And I am very familiar with both technologies.