Double-digit growth in annual recurring revenue highlights accelerated transition to a subscription business model and continued success as Veeam embraces Act II of its company evolution
Veeam® Software, the leader in Backup solutions that deliver Cloud Data Management™, today announced results from Q2 2019.Having recentlyexceeded $1 billion in annual bookings, joining an elite group of software leaders, Veeam’s annual recurring revenue (ARR) increased 26 percent year-over-year (YoY) in Q2 2019, a testament to the success of a unique subscription pricing model introduced earlier this year for all new Veeam products, including new Veeam Availability Suite™ 9.5 Update 4. Hailed as one of the most important releases in Veeam company history, Veeam Availability Suite U4 is approaching 350,000 downloadssince its release in January.
“As we continue to heavily invest in our R&D, sales and marketing, and partner ecosystem, we’re seeing increased adoption of Veeam’s Subscription licensing among our customers across all regions worldwide,” said Ratmir Timashev, Co-Founder and Executive Vice President (EVP) of Sales & Marketing. “Each geography reported growth, which shows that, and as we move into Act II of our evolution — the Hybrid Cloud — it’s an exciting time to be at Veeam. Seventy-two percent of organizations are looking to embrace Cloud Data Managementand are transitioning to cloud strategies. We’re excited to support their journey and meet data expectations as the No. 1 player in Cloud Data Management.”
“Collaboration with strategic technology partners has never been stronger or in higher demand,” Timashev continued. “We expect to make additional partner announcements in 2H 2019 to further feed the demand of our partners to combine Veeam backup and data protection software with industry-leading hardware, storage and hyperconverged solutions. Our new “with Veeam” program, which is receiving overwhelming positive response, is just one strategy of how Veeam will innovate and collaborate with its technology partners to deliver a combined hardware plus software solution to enhance customer choice and flexibility.”
Customer, Product and Partner Highlights
- Veeam Backup for Microsoft Office 365, the fastest growing product in Veeam history, reported 270 percent ARR growth YoY. Veeam Backup for Microsoft Office 365has now been downloaded by more than 75,000 organizations, representing over 8 million user mailboxes. Veeam released version 3 of the product in early Q2,further solidifying the company’s dominance in the Microsoft Office 365 backupmarket, providing businesses with 30x faster backup, improved security and enhanced customer visibility and analytics.
- With more than 355,000 customers worldwide, new Veeam customers includeMake-A-Wish Foundation, Mundo Cuervo, Porsche Informatik, Vancouver Canucks, ABM, Ferrari Agroindustria, Schleswig-Holstein Netz AG, Premier Bank and Ducks Unlimited Canada.
- The Veeam Cloud & Service Provider (VCSP) program has more than 23,500 partners with 4,100 of those also qualified to provide Cloud Backup & DRaaS using Veeam Cloud Connect.
- Veeam technology alliance resell agreements with Hewlett Packard Enterprise(HPE), Cisco, NetApp and Lenovo reported 327 percent total transaction growth YoY and 123 percent YoY bookings growth, together completing the overall data management story for global alliance resell partners.
- Veeam was awarded the HPE 2019 Global Technology Partner of the Year, recognized for excellent financial performance, innovative solutions, and driving meaningful business results for shared customers.
- Veeam announced the new “with Veeam”program in Q2, partnering with premier enterprise storage vendors to provide customers with comprehensive secondary storage solutions that combine Veeam software with industry-leading storage and HCI infrastructure hardware and management stacks. Solutions have already been announced with ExaGridand Nutanixwith availability planned for 2H 2019.