Turbonomic Announces 41% YoY Revenue Growth for FY2021

Record-breaking year fueled by growing demand to optimize applications in public cloud, expansion across customer-base, and strategic alliance partnerships

BOSTON–(BUSINESS WIRE)–Turbonomic, the leader in Application Resource Management (ARM), today announced record bookings, revenues, and a full fiscal year profit for 2021. With a rapidly growing customer list that now includes 36% of the Fortune 500, Turbonomic continues to deliver the future of application performance across private, public, and cloud-native environments to the world’s largest and most innovative companies.

“Our commitment to customers, teamwork, alliance with strategic partnerships, and dedication to our mission propelled the company to new heights in an otherwise challenging year,” said Ben Nye, Chief Executive Officer at Turbonomic. “As customers accelerate their application transformation to public cloud, cloud-native, edge, IoT and 5G, Turbonomic ARM provides dynamic resourcing to assure performance at every stage of their journey.”

Market Momentum

In FY21, leading organizations partnered with Turbonomic to assure application performance through dynamic resourcing in real-time and over-time – a required capability for organizations looking to digitally transform. Many of Turbonomic’s customers are actively re-platforming critical applications away from legacy virtualization in pursuit of greater elasticity, agility, and portability. Containers hold the promise of highly scalable and flexible deployment architectures and Turbonomic ARM assures the performance of the applications, infrastructure, and networks on which they depend.

Financial Growth

• 41% Y/Y FY2021 revenue growth
• 20% Y/Y FY2021 Annual Recurring Revenue (ARR)
• 78% recurring revenues, in only the second year of transitioning from perpetual to term-based licensing

Customer Successes

• Avon is using software to automate decision-making, enabling faster innovation and improved customer experience. Turbonomic ARM provides a far more stable and performant platform, even with the challenges the world has faced over the past year.
• HauteLook anticipates and avoids performance risks resulting from resource bottlenecks and dependencies as its teams proactively manage applications using a holistic, full-stack view.
• Litehouse Foods relies on Turbonomic for finding new and innovative ways to assure the performance of their customer-facing applications, while empowering their team with AI-driven automation.

“We were constantly challenged with balancing infrastructure cost and performance. That’s what led us to look for a solution that we could automate,” said Ben Budge, Senior System Administrator at Litehouse Foods. “Turbonomic has been performing very well and has been an integral part of keeping our operations running during this pandemic. It’s nice to have the peace of mind, that we have a system that can keep our critical systems running optimally even under increased demand.”

Alliance Partnership Growth

• Cisco and Turbonomic extended their OEM partnership with the recent announcement of Cisco Intersight Workload Optimizer (IWO). Cisco IWO, delivered as SaaS, is a strategic management platform that connects application insights to real-time resourcing decisions to continuously assure application performance.
• IBM and Turbonomic announced an OEM agreement where IBM will sell ARM to enhance IBM® Cloud Pak™ for Multicloud Management. The number of IBM customers benefitting from IBM ARM is growing rapidly.
• IBM invited Turbonomic to join its IBM Edge Ecosystem and IBM Cloud for Telecommunications Partner Ecosystem, helping customers accelerate the adoption of 5G and edge technologies.
• The Red Hat Marketplace now offers Turbonomic ARM, creating broader distribution and making it easier for customers to leverage technologies that will ensure success on their journey to cloud-native.
• Microsoft announced Turbonomic as an integral component of the Microsoft Azure Well-Architected Framework, providing customers with best practices and solutions for optimizing applications on Azure.
• As an advanced AWS Technology Partner, Turbonomic worked closely with Amazon as part of the Amazon EBS gp3 private preview program, which enabled Turbonomic to accelerate the support for the gp3 storage tier.

Product Innovation

By the end of 2021, IDC states that 80% of enterprises will shift to cloud-centric infrastructure and applications twice as fast as before the pandemic (Source: IDC FutureScape: Worldwide IT Industry 2021 Predictions. Oct 2020. DOC #US46942020). With the following platform advancements, Turbonomic’s customers are well-positioned to accelerate public cloud adoption, enabling greater elasticity, agility, and return on innovation.

Cloud advancements include:

• Cloud Volumes Optimization: Turbonomic’s analytics engine understands the IOPS and Throughput for every cloud storage tier as well as pricing for cloud volumes and uses techniques such as percentile values to assess volume performance based on historical data. Customers are able to find the desired configuration for each individual volume to satisfy performance needs while minimizing costs.
• Support for Amazon EBS gp3 Storage: Support for Amazon EBS gp3 further extends Turbonomic’s unmatched ability to deliver application performance at a significantly lower cost. One Turbonomic customer, who uses the solution to optimize their AWS estate, reported savings from optimizing EBS volumes increased by 84.5% and their required investment needed to resolve EBS performance issues reduced by 93%.
• Azure SQL PaaS optimization: Turbonomic resourcing decisions match database demand to the available database tiers, while optimizing for performance, cost, and compliance.
• Turbonomic’s AIOps decision engine enhances cloud compute IOPS scaling awareness and support for the latest multicloud VMs/Instance types.
• Cloud migration experience is redesigned to leverage application consumption-based data for cloud migration planning, simulating migrations of any application to any cloud platform with scaling, BYOL, and RI purchasing recommendations.

According to IDC, 75% of the enterprises will prioritize infrastructure agility and operational efficiency, leading to a 5x increase in the adoption of cloud-native architectures for core business applications by 2024 (Source: IDC FutureScape: Worldwide Future of Digital Infrastructure 2021 Predictions. Oct 2020. DOC #US46470820). Turbonomic ARM provides advanced automation for Kubernetes-based application architectures.

Cloud-native advancements include:

• Application-centric view of Kubernetes, hybrid, and multicloud infrastructure: Persistent volume visibility allows customers to understand the resource relationships between Kubernetes pods and persistent volumes, and then correlate them to cloud storage requirements.
• Container “Prove It” Percentile charts enable customers to visualize the impact of a resize action prior to execution, delivering confidence to automating resourcing decisions.
• Merged Actions: Customers can easily integrate actions into their pipeline with new merged action support, minimizing the number of pod restarts required to achieve a healthy state.

In addition to the progress made to help customers maximize the value of their public cloud and containerization investments, Turbonomic has made multiple advancements to ensure customers can assure the performance of their applications in real-time and over-time, no matter where their applications are running:

• With the launch of Turbonomic 8, customers can enable external business indicators to be assimilated with application performance metrics. Customers can link application performance to key business indicators by highlighting the levels of dependency and correlation. The platform can capture necessary performance data through Application Performance Management (APM) solutions, and in the absence of APM, can still ingest performance metrics for applications not instrumented with APM.
• Turbonomic Data Cloud, a time-series performance data warehouse, enables high-definition analytics and reporting for Application and Operations teams. This SaaS offering ingests detailed application metrics, resource utilizations, and the prescribed actions taken to deliver a unified perspective across highly diverse data sources. Customers in diverse roles can rewind and replay time-series performance data to get accurate answers to their complex questions faster and easier.
• Turbonomic’s Network Performance Management (NPM) added highly scalable reporting and pre-defined workflows to address the latest Wi-Fi, SD-WAN, SDN, and 5G networks. Delivering comprehensive coverage enables customers to confidently adopt and maximize the benefit from the most advanced networking technologies.

Leadership in Diversity, Equity, and Inclusion

• Doubling down on its commitment to Diversity, Equity, and Inclusion (DEI), Turbonomic appointed Meg Langan as Chief People Officer, responsible for creating growth opportunities for employees, developing a new post-COVID work experience, and driving the creation of a more diverse and inclusive workplace.
• Turbonomic was a founding member of the ParityPledge in Support of People of Color to improve racial representation across companies. This commitment builds on progress in alignment with People of Color in IT (POCIT), a Turbonomic employee resource group that aims to attract top talent from more diverse sources and provide greater opportunities for advancement.
• Turbonomic committed to the ParityPledge in Support of Women to deliver more equitable gender representation in leadership positions. This pledge supports the momentum behind DevelopHer, a Turbonomic employee resource group focused on attracting, connecting, and advancing female talent while fostering a culture of inclusion and belonging.

Industry Recognition

• Inc. Magazine landed Turbonomic on their Inc. 5000 list of the fastest growing private companies. This is the fifth time Turbonomic has graced the list, reflecting the company’s consistent execution, resilience, and extraordinary customer value.
• Fast Company branded Turbonomic as a Best Workplaces for Innovators for enabling a culture that empowers employees to improve processes, create new products, and/or invent new ways of doing business. Turbonomic was recognized for fostering innovation by making significant investments in technology, research and development, and employees.
• Enterprise Management Associates (EMA) awarded Turbonomic as a Vendor to Watch for addressing a critical challenge in a revolutionary way with its unique abstraction and analytics to drive automated resourcing actions.
• TrustRadius awarded Turbonomic with a Tech Cares Award for going above and beyond to provide their communities, clients, and front-line workers with support during the COVID-19 crisis.
• G2 deemed Turbonomic a High Performer for Fall 2020 and Winter 2021, a result of strong customer reviews praising the value of the platform.

Additional Resources

• For news, updates, and executive perspectives, visit the Turbonomic Blog here
• Connect with Turbonomic via LinkedIn, Twitter, and Facebook

About Turbonomic

Turbonomic created Application Resource Management (ARM) to assure customers’ application performance and governance by dynamically resourcing applications across hybrid and multicloud environments. Together with its strategic partners, including Cisco, IBM, Verizon, DXC Technology, Microsoft, and AWS, Turbonomic serves more than 3,000 customers – including over 36% percent of the Fortune 500. We believe the Future of Performance means every application gets the resourcing it needs, and end-users should never have to wait for applications to respond. To learn more, visit turbonomic.com.

Contacts

Media:
Turbonomic

Corporate Communications

Meghan Shipp

+1 925-330-3922

Meghan.Shipp@turbonomic.com