San Francisco-based Teridion, a company that claims to make the Internet faster for businesses, today announced a $15 million Series B round led by Singtel, Innov8, JPVC, and Magma, bringing total funding to $20 million. Teridion also announced the general availability of its cloud technology to speed Internet traffic.
“We’re not a software defined network (SDN) per se, even though we separate the control and data plane,” says Elad Rave, founder and CEO of Teridion. He explains that SDN networks have a set amount of nodes they manage, but Teridion adds and deletes nodes on the public cloud.
“We want to use public infrastructure,” he says. “We’re doing SDN with an infinite number of nodes with some and them coming and going.”
Teridion has worked with the IBM Global Entrepreneur Program and used IBM’s SoftLayer cloud to run its technology. But customers can choose any cloud provider they want. Relying on cloud providers also helps Teridion serve end users from different locations around the globe, without the need for hardware.
Teridion brings its routing technology to the cloud via proprietary algorithms that provide a real-time congestion map of the Internet to find the best possible path for traffic. Its cloud routers are created on-demand. The company says the data is secure across its cloud network because it does not use caching, and it uses end-to-end SSL encryption.
Teridion says it can improve Internet performance for its business customers by a factor of 20.
The technology is in use by at least 15 companies that have heavy bandwidth applications and services. One example is file-sharing company Egnyte, which is using Teridion to help its enterprise customers connect faster regardless of their geographical location.
Rave says the genesis for the company came back in 2005 when he was running a startup doing peer-to-peer technology. He always scratched his head wondering why he supposedly had 100 Mb/s Internet from his provider, while in reality he usually only got 5 Mb/s.
“I spent about 18 months learning how networks work,” he says. “Then, the problem was very obvious, but there was no solution; there were just Band-Aids.”
Rave considers content delivery networks (CDNs) to be Band-Aids. He believes caching content is not that helpful in speeding Internet traffic for businesses because the vast majority of business traffic is personal and bi-directional. It’s not like users are all watching one popular movie that can be cached close to them.
Ultimately, Rave determined that cloud and overlay networks would be a “good way to do things” and formed Teridion in 2013.