Check out the breakout sessions at TC Sessions: Mobility

Source: Microsoft more

TC Sessions: Mobility on July 10 in San Jose is fast approaching. Get ready for a superb lineup of speakers like Dmitri Dolgov (Waymo), Eric Allison (Uber) and Summer Craze Fowler (Argo AI). See the full agenda here.

In addition to the outstanding main stage content, TechCrunch is proud to partner with today’s leading mobility players for a full day of breakout sessions. These breakout sessions will give attendees deeper insights into overcoming some of mobility’s biggest challenges and answering questions directly from today’s industry leaders.

Breakout Session Lineup


How much data is needed to make Autonomous Driving a Reality?
Presented by: Scale AI

We are in the early days of autonomous vehicles, and what’s necessary to go into production is still very much undecided. Simply to prove that these vehicles are safer than driving with humans will require more than 1 billion miles driven. Data is a key ingredient for any AI problem, and autonomy is the mother of all AI problems. How much data is really needed to make autonomy safe, reliable, and widespread, and how will our understanding of data change as that becomes a closer reality? Sponsored by Scale AI.


Think Big by Starting Small: Micromobility Implications to the Future of Mobility

Presented by: Deloitte

A host of new micromobility services have emerged to address a broader range of transportation needs – bikesharing, electric scooters and beyond. The urban emergence of micromobility offers powerful lessons on finding the right balance between fostering innovations that will ultimately benefit consumers and broader transportation systems, while safeguarding public interests. Sponsored by Deloitte.


If You Build It, Will They Buy? – The Role of the FleetTech Partner in the Future Mobility Ecosystem with Brendan P. Keegan
Presented by: Merchants Fleet

The future will bring a convergence of new technologies, services, and connectivity to the mobility space – but who will manage and connect it all? Explore how FleetTech is creating the mobility ecosystem to help organizations embrace technologies – adopting your innovations through trials and pilots and bringing them to market. Sponsored by Merchants Fleet.


The Economics of Going Electric: Constructing NextGen EV Business Models
Presented by: ABB

How do we make the rapidly growing EV industry operational and scalable? Join ABB, HPE and Microsoft for a discussion on how government, industry, providers and suppliers are addressing market shifts and identifying solutions to build successful business models that support the future of mobility. Moderated and sponsored by ABB.


Bringing Efficiency to Closed-Course AV Testing with Atul Acharya
Presented by: AAA Northern California, Nevada & Utah

Looking to jump-start or accelerate your automated vehicle test operations? AAA has built its expertise by operating GoMentum Stations and performing safety assessments on multiple AVs and proving grounds. Join AAA as it shares its collective technical and operational learnings and testing results that will bring efficiency to your testing efforts. Sponsored by AAA Northern California, Nevada & Utah.


Friction-Free Urban Mobility
Presented by: Arrive

What does the future of seamless, urban mobility look like? How do mobility-as-a-service providers and connected vehicles work together to power transportation in a smart city? And which platform will aggregate all of the providers? In what promises to be a thought-provoking discussion, Arrive’s COO Dan Roarty will lay the foundation for what a city’s connected future will look like and outline key steps needed to achieve it. Sponsored by Arrive.


Michigan’s Mobility Ecosystem
Presented by: PlanetM

Revolutionary things can happen when some of the brightest minds in technology come together in one room. This Breakout Session will offer key insights into Michigan’s mobility ecosystem: the people, places and resources dedicated to the evolution of transportation mobility. Following a brief discussion, attendees will have the opportunity to connect with the people and companies moving the world forward through technology innovation and collaboration. Sponsored by PlanetM.


We hope to see you at TC Sessions: Mobility on July 10. Tickets are still on sale but selling fast. Book your $395 general admission ticket here. Students, grab a $45 here.


Check out the breakout sessions at TC Sessions: Mobility

Synergy Research finds enterprise SaaS revenue hits $100B run rate, led by Microsoft, Salesforce

Source: Tech News – Enterprise

In its most recent report, Synergy Research, a company that monitors cloud marketshare, found that enterprise SaaS revenue passed the $100 billion run rate this quarter. The market was led by Microsoft and Salesforce.

It shouldn’t be a surprise at this point that these two enterprise powerhouses come in at the top. Microsoft reported $10.1 billion in Productivity and Business Processes revenue, which includes Office 365, the Dynamics line and LinkedIn, the company it bought in 2016 for $26.2 billion. That $10.1 billion accounted for top spot with 17 percent

Salesforce was next with around 12 percent. It announced $3.74 billion in revenue in its most recent earnings statement with Service Cloud alone accounting for $1.02 billion in revenue, crossing that billion dollar mark for the first time.

Adobe came in third, good for around 10 percent market share, with $2.74 billion in revenue for its most recent report. Digital Media, which includes Creative Cloud and Document Cloud, accounted for the vast majority of the revenue with $1.8 billion. SAP and Oracle complete the top companies

SaaS Q119

A growing market

While that number may seem low, given we are 20 years into the development of the SaaS market, it is still a significant milestone, not to be dismissed lightly. As Synergy pointed out, while the market feels mature, if finds that SaaS revenue still accounts for just 20 percent of the overall enterprise software market. There’s still a long way to go, showing as with the infrastructure side of the market, things change much more slowly than we imagine, and the market is growing rapidly, as the impressive growth rates show.

“While SaaS growth rate isn’t as high as IaaS (Infrastructure as a Service) and PaaS (Platform as a Service), the SaaS market is substantially bigger and it will remain so until 2023. Synergy forecasts strong growth across all SaaS segments and all geographic regions,” the company wrote in its report.

Salesforce is the only one of the top five that was actually born in the cloud. Adobe, an early desktop software company, switched to cloud in 2013. Microsoft, of course, has been a desktop stalwart for many years before embracing the cloud over the last decade. SAP and Oracle are traditional enterprise software companies, born long before the cloud was even a concept, that began transitioning when the market began shifting.

Getting to a billion

Yet in spite of being late to the game, these numbers show that the market is still dominated by the old guard enterprise software companies and how difficult it is to achieve market dominance for companies born in the cloud. Salesforce emerged 20 years ago as an early cloud adherent, but of all of the enterprise SaaS companies that were started this century only ServiceNow and WorkDay show up in the Synergy list lumped in “the next 10.”

That’s not to say there aren’t SaaS companies making some serious money, just not quite as much as the top players to this point. Jason Lemkin, CEO and founder at SaaStr, a company that invests in and supports enterprise SaaS companies, says a lot of companies are close to that $1 billion goal than you might think, and he’s optimistic that we are going to see more.

“We will have at least 100 companies top $1 billion in ARR, probably many more. It is just math. Almost everyone IPO’ing [SaaS company] has 120-140% revenue retention. That will compound $100 million or $200 million to $1 billion. The only question is when,” he told TechCrunch.

SaaS revenue numbers by company

Chart courtesy of SaasStr

He adds, that annualized numbers are very close behind ARR numbers and it won’t take long to catch up. Yet as we have seen with some of the companies on this list, it’s still not easy to get there.

It’s hard to develop a billion dollar SaaS company, and it takes time and patience, and perhaps some strategic acquisitions to get there, but the market trajectory continues to move upward. It will likely only grow stronger as more companies move to software in the cloud, and that bodes well for many of the players in this market, even those that didn’t show up on Synergy’s chart.


Synergy Research finds enterprise SaaS revenue hits 0B run rate, led by Microsoft, Salesforce

Synergy Research finds enterprise SaaS revenue hits $100B run rate, led by Microsoft, Salesforce

Source: Microsoft more

In its most recent report, Synergy Research, a company that monitors cloud marketshare, found that enterprise SaaS revenue passed the $100 billion run rate this quarter. The market was led by Microsoft and Salesforce.

It shouldn’t be a surprise at this point that these two enterprise powerhouses come in at the top. Microsoft reported $10.1 billion in Productivity and Business Processes revenue, which includes Office 365, the Dynamics line and LinkedIn, the company it bought in 2016 for $26.2 billion. That $10.1 billion accounted for top spot with 17 percent

Salesforce was next with around 12 percent. It announced $3.74 billion in revenue in its most recent earnings statement with Service Cloud alone accounting for $1.02 billion in revenue, crossing that billion dollar mark for the first time.

Adobe came in third, good for around 10 percent market share, with $2.74 billion in revenue for its most recent report. Digital Media, which includes Creative Cloud and Document Cloud, accounted for the vast majority of the revenue with $1.8 billion. SAP and Oracle complete the top companies

SaaS Q119

A growing market

While that number may seem low, given we are 20 years into the development of the SaaS market, it is still a significant milestone, not to be dismissed lightly. As Synergy pointed out, while the market feels mature, if finds that SaaS revenue still accounts for just 20 percent of the overall enterprise software market. There’s still a long way to go, showing as with the infrastructure side of the market, things change much more slowly than we imagine, and the market is growing rapidly, as the impressive growth rates show.

“While SaaS growth rate isn’t as high as IaaS (Infrastructure as a Service) and PaaS (Platform as a Service), the SaaS market is substantially bigger and it will remain so until 2023. Synergy forecasts strong growth across all SaaS segments and all geographic regions,” the company wrote in its report.

Salesforce is the only one of the top five that was actually born in the cloud. Adobe, an early desktop software company, switched to cloud in 2013. Microsoft, of course, has been a desktop stalwart for many years before embracing the cloud over the last decade. SAP and Oracle are traditional enterprise software companies, born long before the cloud was even a concept, that began transitioning when the market began shifting.

Getting to a billion

Yet in spite of being late to the game, these numbers show that the market is still dominated by the old guard enterprise software companies and how difficult it is to achieve market dominance for companies born in the cloud. Salesforce emerged 20 years ago as an early cloud adherent, but of all of the enterprise SaaS companies that were started this century only ServiceNow and WorkDay show up in the Synergy list lumped in “the next 10.”

That’s not to say there aren’t SaaS companies making some serious money, just not quite as much as the top players to this point. Jason Lemkin, CEO and founder at SaaStr, a company that invests in and supports enterprise SaaS companies, says a lot of companies are close to that $1 billion goal than you might think, and he’s optimistic that we are going to see more.

“We will have at least 100 companies top $1 billion in ARR, probably many more. It is just math. Almost everyone IPO’ing [SaaS company] has 120-140% revenue retention. That will compound $100 million or $200 million to $1 billion. The only question is when,” he told TechCrunch.

SaaS revenue numbers by company

Chart courtesy of SaasStr

He adds, that annualized numbers are very close behind ARR numbers and it won’t take long to catch up. Yet as we have seen with some of the companies on this list, it’s still not easy to get there.

It’s hard to develop a billion dollar SaaS company, and it takes time and patience, and perhaps some strategic acquisitions to get there, but the market trajectory continues to move upward. It will likely only grow stronger as more companies move to software in the cloud, and that bodes well for many of the players in this market, even those that didn’t show up on Synergy’s chart.


Synergy Research finds enterprise SaaS revenue hits 0B run rate, led by Microsoft, Salesforce

The rise of the new crypto “mafias”

Source: Microsoft more

In the early 2000s, journalists popularized the term “PayPal mafia” to describe the PayPal founders and employees who left to start their own wildly successful tech companies, including Peter Thiel, Reid Hoffman, and Elon Musk. Drawing from that idea, this article seeks to cover the formation and flow of talent within the crypto landscape today.

The crypto world is in a constant state of flux, with new startups entrants joining the industry every single day. These new startups have the potential either to be superstars within a portfolio company or to start the next Coinbase. Additionally, there are already impressive spin-outs from some of the more established crypto companies.

For ease of framing, I’ve separated these early-forming mafias into four categories: CryptoTechWall Street, and Academia. Since 2009, there have been 186 spinout companies originating from those four categories (33% from Academia, 28% from Crypto, 24% from Tech, and 15% from Wall Street).

crypto mafias

Obvious but important disclaimer: this article does not intend to promote organized crime within crypto.

Criteria

We’re talking Kubernetes at TC Sessions: Enterprise with Google’s Aparna Sinha and VMware’s Craig McLuckie

Source: Tech News – Enterprise

Over the past five years, Kubernetes has grown from a project inside of Google to an open source powerhouse with an ecosystem of products and services, attracting billions of dollars in venture investment. In fact, we’ve already seen some successful exits, including one from one of our panelists.

On September 5th at TC Sessions: Enterprise, we’re going to be discussing the rise of Kubernetes with two industry veterans. For starters we have Aparna Sinha, director of product management for Kubernetes and the newly announced Anthos product. Sinha was in charge of several early Kubernetes releases and has worked on the Kubernetes team at Google since 2016. Prior to joining Google, she had 15 years experience in enterprise software settings.

Craig McLuckie will also be joining the conversation. He’s one of the original developers of Kubernetes at Google. He went on to found his own Kubernetes startup, Heptio, with Joe Beda, another Google Kubernetes alum. They sold the company to VMware last year for $505 million after raising $33.5 million, according to Crunchbase data.

The two bring a vast reservoir of knowledge and will be discussing the history of Kubernetes, why Google decided to open source it and how it came to grow so quickly. Two other Kubernetes luminaries will be joining them. We’ll have more about them in another post soon.

Kubernetes is a container orchestration engine. Instead of developing large monolithic applications that sit on virtual machines, containers run a small part of the application. As the components get smaller, it requires an orchestration layer to deliver the containers when needed and make them go away when they are not longer required. Kubernetes acts as the orchestra leader.

As Kubernetes, containerization and the cloud-native ethos it encompasses has grown, it has helped drive the enterprise shift to the cloud in general. If you can write your code once, and use it in the cloud or on prem, it means you don’t have to manage applications using different tool sets and that has had broad appeal for enterprises making the shift to the cloud.

TC Sessions: Enterprise (September 5 at San Francisco’s Yerba Buena Center) will take on the big challenges and promise facing enterprise companies today. TechCrunch’s editors will bring to the stage founders and leaders from established and emerging companies to address rising questions, like the promised revolution from machine learning and AI, intelligent marketing automation and the inevitability of the cloud, as well as the outer reaches of technology, like quantum computing and blockchain.

Tickets are now available for purchase on our website at the early-bird rate of $395; student tickets are just $245.

Student tickets are just $245 – grab them here.

We have a limited number of Startup Demo Packages available for $2,000, which includes four tickets to attend the event.

For each ticket purchased for TC Sessions: Enterprise, you will also be registered for a complimentary Expo Only pass to TechCrunch Disrupt SF on October 2-4.


We’re talking Kubernetes at TC Sessions: Enterprise with Google’s Aparna Sinha and VMware’s Craig McLuckie

How to create a Failover Cluster in Windows Server 2019

Source: Veeam

This article gives a short overview of how to create a Microsoft Windows Failover Cluster (WFC) with Windows Server 2019 or 2016. The result will be a two-node cluster with one shared disk and a cluster compute resource (computer object in Active Directory).

Preparation

It does not matter whether you use physical or virtual machines, just make sure your technology is suitable for Windows clusters. Before you start, make sure you meet the following prerequisites:

Two Windows 2019 machines with the latest updates installed. The machines have at least two network interfaces: one for production traffic, one for cluster traffic. In my example, there are three network interfaces (one additional for iSCSI traffic). I prefer static IP addresses, but you can also use DHCP.

 

Join both servers to your Microsoft Active Directory domain and make sure that both servers see the shared storage device available in disk management. Don’t bring the disk online yet.

The next step before we can really start is to add the “Failover clustering” feature (Server Manager > add roles and features).

 

Reboot your server if required. As an alternative, you can also use the following PowerShell command.

Install-WindowsFeature -Name Failover-Clustering –IncludeManagementTools

 

After a successful installation, the Failover Cluster Manager appears in the start menu in the Windows Administrative Tools.

After you installed the Failover-Clustering feature, you can bring the shared disk online and format it on one of the servers. Don’t change anything on the second server. On the second server, the disk stays offline.

After a refresh of the disk management, you can see something similar to this:

Server 1 Disk Management (disk status online)

 

Server 2 Disk Management (disk status offline)

Cluster readiness check

Before we create the cluster, we need to make sure that everything is set up properly. Start the Failover Cluster Manager from the start menu and scroll down to the management section and click Validate Configuration.

 

Select the two servers for validation.

 

Run all tests. There is also a description of which solutions Microsoft supports.

 

After you made sure that every applicable test passed with the status “successful,” you can create the cluster by using the checkbox Create the cluster now using the validated nodes, or you can do that later. If you have errors or warnings, you can use the detailed report by clicking on View Report.

Create the cluster

If you choose to create the cluster by clicking on Create Cluster in the Failover Cluster Manager, you will be prompted again to select the cluster nodes. If you use the Create the cluster now using the validated nodes checkbox from the cluster validation wizard, then you will skip that step. The next relevant step is to create the Access Point for Administering the Cluster. This will be the virtual object that clients will communicate with later. It is a computer object in Active Directory.

The wizard asks for the Cluster Name and IP address configuration.

 

As a last step, confirm everything and wait for the cluster to be created.

 

The wizard will add the shared disk automatically to the cluster per default. If you did not configure it yet, then it is also possible afterwards.

As a result, you can see a new Active Directory computer object named WFC2019.

 

You can ping the new computer to check whether it is online (if you allow ping on the Windows firewall).

 

As an alternative, you can create the cluster also with PowerShell. The following command will also add all eligible storage automatically.

New-Cluster -Name WFC2019 -Node SRV2019-WFC1, SRV2019-WFC2 -StaticAddress 172.21.237.32

 

You can see the result in the Failover Cluster Manager in the Nodes and Storage > Disks sections.

 

The picture shows that the disk is currently used as a quorum. As we want to use that disk for data, we need to configure the quorum manually. From the cluster context menu, choose More Actions > Configure Cluster Quorum Settings.

 

Here, we want to select the quorum witness manually.

 

Currently, the cluster is using the disk configured earlier as a disk witness. Alternative options are the file share witness or an Azure storage account as witness. We will use the file share witness in this example. There is a step-by-step how-to on the Microsoft website for the cloud witness. I always recommend configuring a quorum witness for proper operations. So, the last option is not really an option for production.

 

Just point to the path and finish the wizard.

 

After that, the shared disk is available for use for data.

 

Congratulations, you have set up a Microsoft failover cluster with one shared disk.

Next steps and backup

One of the next steps would be to add a role to the cluster, which is out of scope of this article. As soon as the cluster contains data, it is also time to think about backing up the cluster. Veeam Agent for Microsoft Windows can back up Windows failover clusters with shared disks. We also recommend doing backups of the “entire system” of the cluster. This also backs up the operating systems of the cluster members. This helps to speed up restore of a failed cluster node, as you don’t need to search for drivers, etc. in case of a restore.

 

 

The post How to create a Failover Cluster in Windows Server 2019 appeared first on Veeam Software Official Blog.


How to create a Failover Cluster in Windows Server 2019

Fellow raises $6.5M to help make managers better at leading teams and people

Source: Tech News – Enterprise

Managing people is perhaps the most challenging thing most people will have to learn in the course of their professional lives – especially because there’s no one ‘right’ way to do it. But Ottawa-based startup Fellow is hoping to ease the learning curve for new managers, and improve and reinforce the habits of experienced ones with their new people management platform software.

Fellow has raised $6.5 million in seed funding, from investors including Inovia Capital, Felicis Ventures, Garage Capital and a number of angels. The funding announcement comes alongside the announcement of their first customers, including Shopify (disclosure: I worked at Shopify when Fellow was implemented and was an early tester of this product, which is why I can can actually speak to how it works for users).

The Fellow platform is essentially a way to help team leads interact with their reports, and vice versa. It’s a feedback tool that you can use to collect insight on your team from across the company; it includes meeting supplemental suggestions and templates for one-on-ones, and even provides helpful suggestions like recommending you have a one-on-one when you haven’t in a while; and it all lives in the cloud, with integrations for other key workplace software like Slack that help it integrate with your existing flow.

Fellow co-founder and CEO Aydin Mirzaee and his co-founding team have previous experience building companies: They founded Fluidware, a survey software company, in 2008 and then sold it to SurveyMonkey in 2014. In growing the team to over 100 people, Mirzaee says they realized where there were gaps, both in his leadership team’s knowledge and in available solutions on the market.

“Starting the last company, we were in our early 20s, and like the way that we used to learn different practices was by using software, like if you use the Salesforce, and you know nothing about sales, you’ll learn some things about sales,” Mirzaee told me in an interview. “If you don’t know about marketing, use Marketo, and you’ll learn some things about marketing. And you know, from our perspective, as soon as we started actually having some traction and customers and then hired some people, we just got thrown into it. So it was ‘Okay, now, I guess we’re managers.’ And then eventually we became managers of managers.”

Fellow Team Photo 2019

Mirzaee and his team then wondered why a tool like Salesforce or Marketo didn’t exist for management. “Why is it that when you get promoted to become a manager, there isn’t an equivalent tool to help you with that?” he said.

Concept in hand, Fellow set out to build its software, and what it came up with is a smartly designed, user-friendly platform that is accessible to anyone regardless of technical expertise or experience with management practice and training. I can attest to this first-hand, since I was a first-time manager using Fellow to lead a team during my time at Shopify – part of the beta testing process that helped develop the product into something that’s ready for broader release. I was not alone in my relative lack of management knowledge, Mirzaee said, and that’s part of why they saw a clear need for this product.

“The more we did research, the more we figured out that obviously, managers are really important,” he explained. “70% of customer engagements are due to managers, for instance. And when people leave companies, they tend to leave the manager, not the company. The more we dug into it the more it was clear that there truly was this management problem –  management crisis almost, and that nobody really had built a great tool for managers and their teams like.”

Fellow’s tool is flexible enough to work with specific management methodologies like setting SMART goals or OKRs for team members, and managers can use pre-set templates or build their own for things like setting meeting talking points, or gathering feedback from the colleagues of their reports.

Right now, Fellow is live with a number of clients including Shoify, Vidyard, Tulip, North and more, and it’s adding new clients who sign up on a case-by-case basis, but increasing the pace at which it onboard new customers. Mirzaee explained that it hopes to open sign ups entirely later this year.


Fellow raises .5M to help make managers better at leading teams and people

Fungible raises $200 million led by SoftBank Vision Fund to help companies handle increasingly massive amounts of data

Source: Tech News – Enterprise

Fungible, a startup that wants to help data centers cope with the increasingly massive amounts of data produced by new technologies, has raised a $200 million Series C led by SoftBank Vision Fund, with participation from Norwest Venture Partners and its existing investors. As part of the round, SoftBank Investment Advisers senior managing partner Deep Nishar will join Fungible’s board of directors.

Founded in 2015, Fungible now counts about 200 employees and has raised more than $300 million in total funding. Its other investors include Battery Ventures, Mayfield Fund, Redline Capital and Walden Riverwood Ventures. Its new capital will be used to speed up product development. The company’s founders, CEO Pradeep Sindhu and Bertrand Serlet, say Fungible will release more information later this year about when its data processing units will be available and their on-boarding process, which they say will not require clients to change their existing applications, networking or server design.

Sindu previously founded Juniper Networks, where he held roles as chief scientist and CEO. Serlet was senior vice president of software engineering at Apple before leaving in 2011 and founding Upthere, a storage startup that was acquired by Western Digital in 2017. Sindu and Serlet describe Fungible’s objective as pivoting data centers from a “compute-centric” model to a data-centric one. While the company is often asked if they consider Intel and Nvidia competitors, they say Fungible Data Processing Units (DPU) complement tech, including central and graphics processing units, from other chip makers.

Sindhu describes Fungible’s DPUs as a new building block in data center infrastructure, allowing them to handle larger amounts of data more efficiently and also potentially enabling new kinds of applications. Its DPUs are fully programmable and connect with standard IPs over Ethernet local area networks and local buses, like the PCI Express, that in turn connect to CPUs, GPUs and storage. Placed between the two, the DPUs act like a “super-charged data traffic controller,” performing computations offloaded by the CPUs and GPUs, as well as converting the IP connection into high-speed data center fabric.

This better prepares data centers for the enormous amounts of data generated by new technology, including self-driving cars, and industries such as personalized healthcare, financial services, cloud gaming, agriculture, call centers and manufacturing, says Sindu.

In a press statement, Nishar said “As the global data explosion and AI revolution unfold, global computing, storage and networking infrastructure are undergoing a fundamental transformation. Fungible’s products enable data centers to leverage their existing hardware infrastructure and benefit from these new technology paradigms. We look forward to partnering with the company’s visionary and accomplished management team as they power the next generation of data centers.”


Fungible raises 0 million led by SoftBank Vision Fund to help companies handle increasingly massive amounts of data

Cathay Innovation leads Laiye’s $35M round to bet on Chinese enterprise IT

Source: Tech News – Enterprise

For many years, the boom and bust of China’s tech landscape have centered around consumer-facing products. As this space gets filled by Baidu, Alibaba, Tencent, and more recently Didi Chuxing, Meituan Dianping, and ByteDance, entrepreneurs and investors are shifting attention to business applications.

One startup making waves in China’s enterprise software market is four-year-old Laiye, which just raised a $35 million Series B round led by cross-border venture capital firm Cathay Innovation. Existing backers Wu Capital, a family fund, and Lightspeed China Partners, whose founding partner James Mi has been investing in every round of Laiye since Pre-A, also participated in this Series B.

The deal came on the heels of Laiye’s merger with Chinese company Awesome Technology, a team that’s spent the last 18 years developing Robotic Process Automation, a term for technology that lets organizations offload repetitive tasks like customer service onto machines. With this marriage, Laiye officially launched its RPA product UiBot to compete in the nascent and fast-growing market for streamlining workflow.

“There was a wave of B2C [business-to-consumer] in China, and now we believe enterprise software is about to grow rapidly,” Denis Barrier, co-founder and chief executive officer of Cathay Innovation, told TechCrunch over a phone interview.

Since launching in January, UiBot has collected some 300,000 downloads and 6,000 registered enterprise users. Its clients include major names such as Nike, Walmart, Wyeth, China Mobile, Ctrip and more.

Guanchun Wang, chairman and CEO of Laiye, believes there are synergies between AI-enabled chatbots and RPA solutions, as the combination allows business clients “to build bots with both brains and hands so as to significantly improve operational efficiency and reduce labor costs,” he said.

When it comes to market size, Barrier believes RPA in China will be a new area of growth. For one, Chinese enterprises, with a shorter history than those found in developed economies, are less hampered by legacy systems, which makes it “faster and easier to set up new corporate software,” the investor observed. There’s also a lot more data being produced in China given the population of organizations, which could give Chinese RPA a competitive advantage.

“You need data to train the machine. The more data you have, the better your algorithms become provided you also have the right data scientists as in China,” Barrier added.

However, the investor warned that the exact timing of RPA adoption by people and customers is always not certain, even though the product is ready.

Laiye said it will use the proceeds to recruit talents for research and development as well as sales of its RPA products. The startup will also work on growing its AI capabilities beyond natural language processing, deep learning, and reinforcement learning, in addition to accelerating commercialization of its robotic solutions across industries.


Cathay Innovation leads Laiye’s M round to bet on Chinese enterprise IT