Silver Peak has announced a $90 million strategic investment from TCV.
This investment enables Silver Peak to expedite execution of its go-to-market expansion plans and cement its position as a global leader in SD-WAN and cloud-first WAN edge solutions. TCV is one of the largest providers of capital to growth-stage private and public companies in the technology industry and has backed industry-leading companies including Airbnb, ExactTarget, Genesys, Netflix, Rapid 7, Redback Networks, Splunk, Spotify, and Zillow.
With the investment, TCV general partner Tim McAdam will join the Silver Peak board of directors.
As applications migrate to the cloud, it’s become clear that enterprise networks must evolve in order for geographically distributed companies to benefit from the increased agility, flexibility and simplicity the cloud promises. Users connect to applications via the Wide Area Network (WAN), which was originally designed when applications resided exclusively in the data center. To truly realize the full benefits of the cloud, enterprises need to move beyond legacy router-centric approaches that are manual, error-prone and ineffective in a cloud-first environment. Only Silver Peak delivers all the necessary functions of the new WAN edge in a single device – advanced SD-WAN capabilities, routing, security and integrated WAN optimization – that simplifies the WAN edge, delivers new levels of agility and automation, and improves productivity.
“It’s rare that we see an opportunity to disrupt a massive, entrenched $100 billion technology category supporting mission critical applications and communication,” said Tim McAdam, general partner at TCV. “After researching all the players in the multi-billion-dollar SD-WAN market and speaking with enterprise CIOs, it is clear that Silver Peak has the most complete solution, clear market differentiation and traction, and a unique vision for the future of the new WAN edge. We look forward to working with the team to rapidly grow the business.”
“With more than $100 billion spent on the WAN every year by enterprises, much of it on technology that pre-dates the cloud, Silver Peak has an enormous opportunity as we deliver disruptive new WAN edge solutions for enterprises,” said Silver Peak Founder and CEO, David Hughes. “TCV has a proven track record for identifying high-growth markets and investing in those innovative companies with the right solution and the right team in place to achieve market leadership. Our partnership with TCV will help accelerate our growth trajectory, increase our competitive advantages and extend our market leadership. We are excited to work with the TCV team.”
J.P. Morgan served as exclusive placement agent to Silver Peak on the transaction.