# CloudZero

Startup profile on Capital Atlas: https://capitalatlas.ai/startups/cloudzero

- Industry: Software
- Headquarters: Boston, US
- Website: www.cloudzero.com
- Total disclosed funding: $85M
- Latest round: Series C (Feb 5, 2025)
- Investors on record: 7

## About

CloudZero, Inc. is a Boston-based company specializing in cloud cost optimization, enabling businesses to enhance their cloud investments through advanced analytics and automated cost management solutions.Founded in 2016 in Boston, US, CloudZero, Inc. develops a platform that helps organizations optimize their cloud costs. The company was co-founded by Alexander Besher, Erik Peterson, Hisham Dalle, and Matt Manger. The current CEO is Lika Alavidze, while Phil Pergola serves as a key leader. Since its inception, CloudZero has completed 7 deals, with the most recent funding being a Series C round of USD 48.00 million, which raised the total amount to USD 48.00 million, with a current valuation of USD 324.52 million. This round occurred on February 5, 2025, and included investors such as BlueCrest Capital Management and Innovius Capital, among others.CloudZero offers a comprehensive cloud cost optimization platform designed to assist organizations in maximizing their cloud investment through automated data collection, allocation, and analysis. The core product, powered by the AnyCost™ API and CostFormation® technology, allows clients to integrate and analyze cloud expenditures from various infrastructure sources, including IaaS, PaaS, and SaaS providers. By utilizing a common data model, CloudZero provides a unified view of cloud spending, enabling organizations to uncover waste, enhance accountability, and improve unit economics. Key features include automatic shared cost allocation, Kubernetes visibility, and AI-driven anomaly detection, which collectively serve to streamline cloud financial management for clients across industries such as IT services, software, and banking. The platform is utilized by a diverse clientele, including engineering teams and financial operations leaders, and operates in multiple geographical markets, such as North America, Europe, and Asia-Pacific.CloudZero's revenue model is structured around a tiered subscription service, allowing organizations to pay a predictable monthly fee based on their cloud usage without incurring additional charges for spikes in spending. Clients engage with the platform through various pricing plans, which typically include comprehensive features like unit cost metrics and anomaly detection. The flagship products, including CostFormation® and AnyCost™, are central to the service offering, aiding clients in effectively managing and forecasting their cloud expenditures. This model facilitates direct transactions, primarily in a B2B context, where enterprises leverage CloudZero's insights to optimize their cloud infrastructure and enhance cost efficiency. The company's revenue streams are largely derived from contract-based agreements with clients across sectors that actively seek to improve their financial operations and cloud cost management strategies.In February 2025, CloudZero, Inc. raised USD 48 million in Series C funding, which will be utilized to accelerate the development of AI-driven cost analytics and forecasting capabilities, as well as to enhance integrations across developer and finance workflows. The company plans to expand its strategic partnerships and cloud alliances to better serve its growing client base. Geographically, CloudZero aims to deepen its presence in North America, Europe, and Asia-Pacific markets, focusing on expanding its offerings and customer engagement in these regions.

## Funding rounds

- Series C, Feb 5, 2025, $48M — Matrix Partners, MongoDB, Inc., G20 Ventures, Underscore VC, BlueCrest Capital Management, Threshold Ventures, Innovius Capital
- Series B, Feb 21, 2023, $32M — Matrix Partners, G20 Ventures, Underscore VC, Threshold Ventures, Innovius Capital
- Series A, Oct 11, 2017, $5M — Matrix Partners, Underscore VC
- Seed, Sep 15, 2016, $0.5M — Matrix Partners, Underscore VC

## Investors

- Matrix Partners (https://capitalatlas.ai/funds/matrix-partners) — Seed, Series A, Series B, Series C
- Underscore VC (https://capitalatlas.ai/funds/underscore-vc) — Seed, Series A, Series B, Series C
- G20 Ventures (https://capitalatlas.ai/funds/g20-ventures) — Series B, Series C
- Threshold Ventures (https://capitalatlas.ai/funds/threshold-ventures) — Series B, Series C
- Innovius Capital (https://capitalatlas.ai/funds/innovius-capital) — Series B, Series C
- MongoDB, Inc. — Series C
- BlueCrest Capital Management — Series C