Docker, an open-source platform, has announced that it has partnered with Sequoia Capital and raised $40 million in Series C funding; existing backers Benchmark, Greylock Partners, Insight Ventures and Trinity Ventures also participated. Coming on the heels of a $15 million Series B investment raised in January, the new financing more than triples the company's valuation, which stood at $98 million after the last round.
Launched in March 2013, Docker is an open platform for building, shipping and running distributed applications, enabling any application to be created and run as a collection of consistent, low-overhead containers that work across virtually any infrastructure. The company will use the funds to drive adoption of its platform in the enterprise and broaden its rapidly growing ecosystem of application developers, system administrators, platform providers and technology partners. Sequoia's Bill Coughran will join Docker's Board.
Docker is one of 11 application development software companies headquartered in the U.S. to receive VC funding this quarter, which has seen $165 million invested in the industry so far, according to the PitchBook Platform. 3Q has already matched last quarter's capital invested and could be the third straight quarter to see an increase in that category. Venture capital invested in the application development software space shot up from $38 million in 4Q 2013 to $165 million in 2Q 2014 (an increase of more than 430%). Additional companies in the industry that have secured VC financing so far this quarter include Xamarin ($54 million Series C), Famo.us ($25 million Series B) and Appcelerator ($22 million Series D), among others. The most active investors in such companies during the past 12 months have been Insight Venture Partners with five investments and Y Combinator with four.
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