Accel Partners, which has invested in Cloudera, Fusion-io and RelateIQ, is making a further big push into big data, as it announces the creation of a second fund focused on startups that are storing, analyzing and harnessing the power of data analytics.
The funding for the $100 million Big Data Fund 2 will come from Accel’s other investment vehicles worldwide, including Accel London IV, a new $475 million European and Israeli tech-focused fund that was announced in April.
In late 2011, the firm announced the creation of its first $100 million big data fund. Since then, Accel has hired Jake Flomenberg, formerly with big data company Splunk, as a partner. Meanwhile, others in the industry have ramped up efforts to go after big data plays. IA Ventures has raised $105 million for its second fund, and Data Collective in San Francisco has launched to also focus on the sector.
Ping Li, an Accel partner who heads the firm’s big data fund, tells peHUB that some of the first fund remains in reserve for follow-on deals, but that the firm has invested in 10 big data companies from the first fund, including two-seed stage investments that may raise Series A rounds. In December, Accel also led the $65 million round of Cloudera Inc., a provider of Apache Hadoop software for distributed computing and analysis of data sets, which included Greylock Partners, Ignition Partners, Meritech Capital Partners and In-Q-Tel. Cloudera has now raised about $140 million in total funding.
Li says that the Accel fund will continue to invest in infrastructure companies, such as Cloudera, but the second big data fund will focus on more data-driven software investments in the space.
“More startups are working on ways to extract the most value out of all the big data being collected, especially on mobile phones,” he tells peHUB. “There are so many areas today where data is being extracted, such as at work on the phone, that the focus now is on capturing the data, processing it and providing the right intelligence on how to act on it.”
Li expects the first deal from the second fund to come within the next month.
And as part of the firm’s new fund, Accel has announced that it has added Anthony Deighton, CTO of Qlikview, and Shlomo Kramer, CEO of Imperva, to its Big Data Fund Advisory Council.
Photo from Shutterstock.
Take your pick!
- Buyouts delivers exclusive news and analysis about private equity deals, fundraising, top-quartile managers and more. Get your FREE trial or subscribe now.
- VC Journal provides exclusive news and analysis about venture capital deals, fundraising, top-quartile investors and more. Get your FREE trial or subscribe now.