Ayla Networks announced that it has raised a new round of financing led by Los Angeles-based software growth equity firm Arrowroot Capital with participation from existing investors including Trinity Power Limited, Voyager Capital and SJF Ventures.
With this investment, Ayla will look to further its strategic positioning in key IoT markets through incremental sales and marketing, product innovation, and geographic expansion.
Ayla Networks powers many leading consumer brands’ IoT initiatives including SharkNinja, Owlet, Canadian Tire, Kenmore, Hunter Fan, Fujitsu, Schneider Electric, and is deployed in some of the world’s largest Internet Service Providers.
The IoT software and services market opportunity is enormous, with an estimated TAM in excess of $100B globally. The consumer brands segment of this market includes manufacturers of home appliances and consumer electronics (the “smart home”). New high growth use cases have also emerged in the ISP market leveraging machine learning on device data to drive transformational outcomes in consumer experience improvement and operating expense reduction.
“The IoT market has seen tremendous momentum over the last few years, particularly for everyday consumer use cases, and we wanted to capitalize on that long-term trend,” said Thomas Oh, Vice President at Arrowroot Capital. “We’re very excited to partner with Jonathan and the rest of the Ayla Networks team to continue the company’s impressive growth as a leading independent enterprise IoT platform.” Thomas will join the board as part of the financing.
“We are thrilled to announce our new funding round and the addition of a reputed growth equity investor,” said Jonathan Cobb, Ayla Networks’ CEO. “Our business has grown significantly over the past few years, and this timely investment will help us further extend our reach and build out our products. The demand for connected products, and the rate of change in the connected home, is increasing and we want to continue to be best positioned to help the OEMs and ISPs fulfill that demand. Having the support of an experienced partner like Arrowroot Capital will be a multiplier as we grow and scale the business.”
Cascadia Capital served as the exclusive financial advisor to Ayla Networks.