Red Hat, SAP, Ericsson Invest $10M in Mirantis for OpenStack Push

Mirantis announced that Red Hat, SAP and Ericsson have invested $10 million in the OpenStack systems integrator to further its work on OpenStack solutions.

Mirantis, an OpenStack systems integrator, announced that Ericsson, Red Hat and SAP Ventures, along with existing investor WestSummit Capital, have invested $10 million in the second round of Series A financing for Mirantis since December.

This investment brings the total capital raised by the company to $20 million. Mirantis previously raised $10 million in December 2012 from Dell Ventures, Intel Capital and WestSummit Capital.

OpenStack, an open-source cloud computing project to provide infrastructure as a service (IaaS), is quickly gaining momentum among enterprise IT customers. Mirantis offers software and services for customers to deploy and run production-grade OpenStack clouds.

Mirantis officials said proceeds from this round of investment will be used to enhance the company's position in the OpenStack market by accelerating the engineering roadmap for Fuel, its tool for managing and deploying OpenStack clouds, and driving integration with technology and products from Mirantis' partners.

"The investment by Ericsson, Red Hat, and SAP Ventures is about more than capital," said Adrian Ionel, Mirantis president and CEO, in a statement. "It's about the integration of Mirantis' Fuel technology and services with key players in IT."

In addition to the June 6 funding announcement, Mirantis announced a major update to Fuel, which is available for download from the Mirantis Website. The new version offers a visual, intuitive interface as a single control plane for OpenStack clusters and enables automated hardware discovery and network verification. It also supports the latest Grizzly OpenStack release.

To date, Mirantis' Fuel tools have been free and are open source under the Apache 2.0 license. Later this year, the company plans to release Fuel Enterprise, a commercial-grade distribution of Fuel that will be available exclusively to Mirantis' subscription customers.

"Because Fuel is open source and easy to modify, experienced cloud operators can get maximum flexibility in their OpenStack deployment," said Roman Alekseenkov, Mirantis' director of product and community, in a statement. "With this latest update and Fuel Enterprise, we aim to complement this flexibility with ease-of-use for the daily operation of OpenStack clouds."

Ericsson will use OpenStack to move systems and applications to an open cloud platform.

"OpenStack is key to our technology roadmap," said Paolo Colella, vice president and head of consulting and systems integration at Ericsson, in a statement. "Like Mirantis, we are focused on building very robust, mission-critical solutions that meet service provider needs. Mirantis offers the ideal combination of technology, engineering talent, and competence to help us accelerate our OpenStack development."

Red Hat, which is the largest contributor to OpenStack, is readying its enterprise-class Red Hat OpenStack distribution.