Rubrik is an American privately held company offering cloud-based solutions for protecting, storing, exchanging and analyzing data. The platform, developed by the company, brings together the solution to all the major data management problems faced by corporate clients. Typically, these problems include leakage, partial or complete loss of information, and lack of optimization and integration.
Rubrik was founded in 2014. During its operational activities, the company was able to raise more than $ 550 million in 6 investment rounds. In the last round, which took place in January 2019, the company raised $ 261 million and was valued at $ 3.36 billion. The main investors of the company are Bain Capital Ventures (one of the main investors of LinkedIn), Greylock Partners (invested in Facebook, Instagram) and IVP (invested on Twitter, Uber, Netflix). The company employs over 1.6 thousand people in more than 18 countries around the world.
In December 2020, the company expanded its unstructured data management capabilities with the Igneous IP solution and launched the Andes 5.3 application, which allows corporate customers to modernize their IT infrastructure, automate operational processes, and reduce the risks of moving to the cloud. At the end of 2020, Rubrik entered the TOP 10 companies in the Forbes Cloud 100 list. Rubrik was also recognized as the “client's choice for backup and recovery solutions for data centers” according to the Gartner Peer Insights methodology in 2021.
Rubrik reported that its fiscal fourth quarter, which ended March 31, 2021, was the best in the company's history in terms of financial results. The company currently serves 3,200 customers around the world, with more than 200 customers using the company's package of services, which costs more than $ 1 million. According to a press release, Rubrik discusses the largest Fortune 100 companies, for example, three of four companies from the telecommunications sector, two of five companies from the defense industry, two companies from three in the retail sector, one of three companies from the healthcare sector and four companies from six from the insurance sector. By the end of 2020, the company was able to switch to an annual subscription of almost 70% of its customers, which is a positive factor for the financial profile, allowing it to generate more predictable cash flows.
Cloud solutions are increasingly penetrating everyday life. The global market for cloud technologies was estimated at $ 371 billion as of 2020, but by 2025 its volume, according to analysts' forecasts, may exceed $ 800 billion. According to IDC estimates, total corporate spending in the data management market is $ 48 billion. The rapidly growing market of cloud solutions is attracting the attention of many players, therefore, there is a high level of competition in this area, which, perhaps, is the main risk for the company. However, Rubrik has a unique and innovative platform that allows you to manage all your data stores from one place. The platform also allows you to optimize data storage processes by removing duplicate data, and to identify information leaks and potential cyber threats using artificial intelligence algorithms. Rubrik uses a "self-learning system" that, according to management, can search for data in a variety of computing environments and make it available through a central hub. Rubrik's closest competitor is Cohesity, which is also planning an IPO.
Rubrik maintains a strong market position in the cloud solutions sector. We believe that geographic diversification of operating activities will strengthen the company's market position. According to the press release, the funds raised in the last round were directed to finance geographic expansion. Rubrik actively invests in new product development, including cybersecurity products. Among the new solutions of companies may be new blockbusters, which will significantly improve the financial profile. In addition, it is worth noting the company's partnership with the largest IT companies from the United States, such as Microsoft, Cisco, AWS, SAP, Nutanix, Oracle, VMware, Google Cloud, Pure Storage and others. Rubrik software will run in the cloud (including Oracle Cloud, Office 365, Azure and AWS), virtual environments (using Hyper-V, Nutanix, and VMware) and physical systems (using Windows, SQL Server, NAS , SAP HANA and Epic Cache). Joint projects can help a company grow its customer base and increase cash flows through cross-selling. The company held its last investment round in January 2019. The share price was $ 23.55, which corresponds to a capitalization of $ 3.36 billion.