Platform.sh provides $ 140 million for web application development tools – TechCrunch

The growing complexity of web infrastructure is a challenge that many organizations face today. When creating and deploying web applications, IT teams have to contend with multiple choices, from choosing which back-end system to use to deciding which framework to encode. According to a recent According to software developer Infragistics, more than a third (40%) of developers face increased customer demands, while 39% work with limited resources, including limited budgets.

There is no silver bullet. But Fred Place claims that his service, Platform.sh, can help make developers’ lives easier by abstracting much of the basic web application infrastructure. In support of this vision, Morgan Stanley Expansion Capital, Revaia and Digital Partners jointly led a $ 140 million Series D series on Platform.sh that ended today with BGV, Eurazeo, Hiinov, Eurozeo and Partech. This brings the total amount of Platform.sh, raised to $ 187 million, which, according to Plais, is aimed at hiring and “doubling” automation.

Before co-founding Platform.sh with Damien Turnu and Ori Pekelman, Plais co-launched Infoclic, a French-language search engine, and Commerce Guys, an e-commerce platform powered by the Drupal open source project. Pekelman previously co-founded two consulting firms, Internet Patrol and Constellation Matrix, and was a board member of Commerce Guys. As for Tournoud, he helped launch Commerce Guys and was an IT strategy consultant at Fontaine Consultants.

“I created Platform.sh in 2015 with my partners Tournoud and Pekelman to make life easier for web developers,” Place told TechCrunch in an email interview. “Managing web infrastructure takes a long time and we knew we had a solution to make the process more efficient and cost-effective. Seven years later, the cloud has not become simpler. On the contrary, it has become even more complex due to the advent of containers, microservices – not to mention the ever-present need for faster and better performance and the ability to manage more and more applications. ”

Platform.sh

Developers can use Platform.sh tools to deploy and test web applications. Image credits: Platform.sh

To the point of Place, a questionnaire conducted by the low-code tool provider OutSystems found that for almost half of the companies, the average delivery time for a web or mobile application was five months or more in 2019. An estimate pegs the price between 20,000 and 60,000 dollars – depending on the possibilities, of course.

With Platform.sh, websites and web applications can be built by different development teams in different languages ​​and using different frameworks. From a dashboard, developers can manage databases and workflows and create production replicas for work, testing, and sharing with stakeholders. The ideas can be piloted and integrated into production before being deployed to multiple cloud vendors. Infrastructure changes are versions and auditable, while compilation dependencies and tests are resolved by the platform automatically.

Plais sees Heroku as one of Platform.sh’s main competitors, followed by smaller players, including Vercel, Netlify and Acquia (Drupal sales division). Highlighting the demand for web application development tools, Vercel recently raised $ 150 million – about the same time as Netlify received $ 105 million. Acquia, meanwhile, was acquired by private equity firm Vista Equity Partners for $ 1 billion in 2019.

Plais claims that Platform.sh is “highly competitive” despite the lack of funding, which is supported by its support for a combination of web development solutions (eg frameworks) – which not all competitors match.

“Platform.sh offers companies an end-to-end platform that helps build, host and scale the fleet of websites and web applications, while eliminating the need for IT and cloud operations,” Place said. “C-suites, especially CIOs, are well aware of the investment in time and resources needed to manage website infrastructure, especially when multiplied by dozens or even hundreds of websites. Platform.sh is the perfect solution for budget-savvy IT leaders who want to be a pilot – to manage and allow teams to do real innovation, instead of investing all their “innovation tokens” in the core machine. “

Plais was refreshingly transparent when asked about Platform.sh’s financial results, revealing that its current annual recurring revenue is $ 45 million – 50% more than in 2021. The company has an approximately 5,000-strong customer base that includes organizations such as Adobe , Nestlé, the Financial Times and the US Chamber of Commerce, as well as universities and government organizations such as the French Army and the Ministry of Culture.

Platform.sh

Image credits: Platform.sh

“While it is clear that the market will have some obstacles to which we will have to adapt, we are actually well positioned to take advantage. As a company, we have always been frugal and efficient with capital, with very sparing operations and a focus on sustainable growth, ”said Place. “At the beginning of the pandemic, we froze quarterly hiring to assess the situation and make sure we could adjust our costs to the changing market. It was a difficult call, but it was probably the right one at the time – otherwise we weren’t affected promptly. “

Platform.sh plans to expand its workforce from about 340 employees to more than 400 next year, focusing on North America and Western Europe. The company has offices in France, Germany, USA and UK

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