Zoom Raises $6.5 Million for Cloud Collaboration
Zoom Video Communications is the latest cloud-based collaboration company to raise more funding, announcing another $6.5 million that officials say will be used to expand its global reach and increase its focus on the education and health care markets.
Officials with the 2-year-old company, which previous had raised $6 million, said the latest round of funding was led by Li Ka-Shing's Horizon Ventures Hong Kong, which in the past had invested in such companies as Facebook, Skype and Siri. Patrick Soon-Shiong and Jerry Yang, an existing investor, also participated in the Series B financing.
Zoom officials have said their cloud-based platform is a cost-efficient way for users to get high-quality, multiparty video conferencing anytime, anywhere and on any device they're using. The cloud service offered by Zoom enables businesses to get such features as high-definition video and audio, as well as screen sharing and meetings with up to 25 participants, all for $9.99 a month.
The company has more than 4,500 businesses and 3 million participants using its cloud collaboration service, which covers video, audio and screen sharing, according to officials. Zoom in August announced a partner program, called "Works with Zoom," which is designed to encourage third parties to build hardware and software for the platform. The program kicked off with a dozen partners that provide everything from cameras and speakers to PCs, microphones and software.
The new funding will help Zoom extend its reach even more, according to founder and CEO Eric Yuan.
"Zoom's mission is to develop a people-centric cloud service that transforms the real-time collaboration experience," Yuan said in a statement. "This capital gives us additional resources to expand quickly into new markets, innovate rapidly, and deliver on our vision around the world."
The company will be demonstrating its Unified Meeting Experience technology at the Interop show in New York Oct. 2-3.
Zoom's funding announcement comes a week after officials with Blue Jeans Network, which offers cloud-based video conferencing technology, said the company had raised $50 million in a recent funding round and just days after FuzeBox, which sells cloud-based communications and collaboration services, said it raised $26 million.