JumpCloud raises $159M to accelerate expansion of its cloud directory platform
JumpCloud announced a $159M series F round led by Sapphire Ventures with additional participation from Owl Rock, Whale Rock Capital, Sands Capital, and Endeavor Catalyst. Existing investors General Atlantic, funds and accounts managed by BlackRock, and H.I.G. Growth Partners participated in the financing, as well. This investment follows the company’s January 2021 $100M series E, more than tripling the company’s valuation to $2.56B.
JumpCloud’s accelerated growth comes as organizations look for a better way to securely manage hybrid and remote work. IT teams trying to support a modern workforce have lacked a single solution that supports heterogeneous applications, devices, and security needs.
Many have been forced to adopt a legacy on-premises directory and extend it with multiple standalone solutions like SSO, MFA, and device management — or skip a directory entirely and work from dozens of individual systems to connect employees to resources. JumpCloud provides a superior alternative: a single, comprehensive directory platform that unifies user and device management.
“JumpCloud has helped us put together all of the identity and device management pieces in a much needed way during the pandemic,” said Kyle McKenna, manager of enterprise technology at Cars.com. “As our company grows, the scalable JumpCloud platform allows us to more easily manage all of our devices and users, which saves us time and resources.”
Small to medium-sized enterprise (SME) IT teams and managed services providers (MSPs) across the world choose JumpCloud to connect their users to the IT resources they need and improve security with a modern, simpler, and more cost-effective solution. The company now has nearly 5,000 customers spanning 100+ countries, 1,300 MSP partners, and a 149% net revenue retention (NRR) rate.
“IT teams have a strategic responsibility to ensure work gets done securely and efficiently. The pandemic accelerated their need for an infrastructure platform that is not limited by legacy domain-based approaches, or requires multiple point solutions,” said Rajat Bhargava, CEO and co-founder, JumpCloud. “JumpCloud reimagined the directory with a comprehensive, modern platform that gives IT admins an easier path to adopt Zero Trust security models for more granular access control, with a user-friendly experience. This investment validates our vision and product-led growth model, which have enabled us to build a product that is easy for IT teams to love.”
JumpCloud’s growth is fueled by its easy-to-adopt cloud directory and rapid delivery of new innovations that expand the number of use cases IT can support from a single platform. In 2021 the company delivered hundreds of new product features and enhancements to its platform, including:
- Introduced JumpCloud Protect, a new mobile push multi-factor authentication (MFA) app that verifies identity through single-touch verification available on iOS and Android devices. A user-friendly alternative to MFA factors like time-based one-time passwords (TOTP), JumpCloud Protect is easy to install and manage. The introduction of JumpCloud Protect eliminates the need for JumpCloud customers to use point MFA solutions.
- Expanded device management with Zero Touch Enrollment for Macs, allowing IT admins to automate mobile device management (MDM) enrollment and device deployment by leveraging Apple Business Manager with JumpCloud MDM for Mac computers and workstations. Using this process, Macs can be set up and configured automatically upon first bootup — eliminating the need for IT admins to handle each device individually prior to sending it to the employee who will eventually use it. The introduction of Zero Touch Enrollment eliminates the need for JumpCloud customers to use point MDM solutions.
- Added hundreds of out-of-the-box single sign-on (SSO) connectors for the most widely used business applications and cloud platforms including BambooHR, AWS, Calendly, etc. Additional new SSO capabilities enable IT teams to create and manage user accounts in applications however they want — through SAML SSO, SAML Just in Time (JIT), and SCIM, and secure users with an additional layer of MFA. This fully featured SSO offering consolidates multiple tools IT uses for access management and eliminates the need for JumpCloud customers to use point SSO solutions.
- Enhanced and expanded its Multi Tenant Portal (MTP) with a better user experience and more functionality to enhance MSPs’ user provisioning capabilities. This is important as MSPs are rapidly evolving from offering device-centric services to user- and identity-centric services. This enhanced MTP expands the strategic value that MSPs can provide. It provides a modern approach to IT infrastructure by securely connecting device and identity management under a single console, and reducing the number of point solutions MSPs need to support a variety of use cases for their customers.
“Sapphire Ventures is committed to investing in and building companies of consequence. With JumpCloud, we see a company that is using feedback from IT professionals to reimagine how IT and security are done in the coming years,” said Jai Das, partner, president, and co-founder of Sapphire Ventures.
“We’re delighted to partner with Rajat and the JumpCloud team on their mission to transform the identity market with their industry-leading cloud directory platform,” said Casber Wang, vice president at Sapphire Ventures and JumpCloud’s newest board observer. “By unifying access to identity, device, and cloud infrastructure resources into one single, secure platform, JumpCloud has established itself as the preferred platform for the IT admin community. We couldn’t be more excited to be part of JumpCloud’s journey.”
“JumpCloud has been delivering a delightful customer experience for almost a decade now and has built the best-in-class directory platform, enabling businesses of all sizes to address their identity, access, and device management requirements,” said Albert Koh, vice president at Owl Rock. “We are thrilled to support JumpCloud in their next phase of growth.”