ProfitBricks Lands $19.5M More in Funding

The cloud computing provider says it's growing fast and is ready to "aggressively push" for greater market share.

Channel Partners

March 20, 2013

1 Min Read
ProfitBricks Lands $19.5M More in Funding

ProfitBricks, a channel-centric cloud computing provider that competes against Amazon and Rackspace, said on Wednesday it has landed $19.5 million in funding from its founders and a United Internet AG, a European Internet services provider.

ProfitBricks said it will use the money to keep developing its so-called virtual data center, as well as expand its cloud infrastructure offerings into new vertical markets.

“In the six months since we launched our cloud offering ProfitBricks has experienced tremendous growth,” said Bob Rizika, CEO of ProfitBricks USA. Were ready to aggressively push for greater market adoption and this investment represents the confidence in our continued success.”

ProfitBricks, which was founded in Berlin in 2010 but last year established its U.S. presence in Cambridge, Mass., previously received $18.8 million from the same entities that provided this investment round.

Earlier this year, ProfitBricks launched and then expanded its channel program. The company works with MSPs, VARs, systems integrators, IT consultants and referral partners. Qualified resellers can receive up to a 25 percent discount on ProfitBricks’ cloud computing services, depending on the partners’ monthly recurring revenue of IaaS services. Meantime, referral partners who enroll sales leads by March 31 can earn recurring compensation as high as 25 percent of a customer’s net revenue. In the second quarter, ProfitBricks will pay up to 20 percent of net revenue. The higher-than-usual returns will continue for the length of the end-user contract, up to three full years.

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