Softricity Closes Out 2005 by Doubling Annual Revenue and Driving Record Fourth Quarter Growth
Anticipates Strong Growth in 2006 as Software Virtualization Changes Rules of Enterprise Computing
Softricity(R), the on-demand software virtualization company, today announced record revenue for Q4 2005, rounding out the company’s most successful year to date. With more than 500 global customers, strong revenues and a landslide of industry praise, the company is rapidly establishing its Softricity Desktop(TM) solution as the industry standard in desktop virtualization and on-demand streaming.
Softricity more than doubled CY 2005 revenue over 2004, with 109% year-over-year growth. It closed out Q4 with 74% YOY growth. Driving this phenomenal momentum was the addition of 215 new customers in 2005, with 78 signed in Q4 alone. New Q4 customers, including Columbus Children’s Hospital, St. Luke’s Hospital, Trinity Mother Frances Health System, University of Colorado at Boulder, University of Idaho, University of West Florida and University of Western Ontario, joined other marquee organizations such as Blue Cross Blue Shield of Massachusetts, Mutual of Omaha, Pioneer Investments, Russell Investment Group and Swedish Medical Center, which purchased Softricity solutions earlier in 2005. Softricity also reported that 132 customers who purchased its products in 2004 made additional purchases in 2005, expanding their use of the Softricity Desktop as the foundation of enterprise-wide infrastructures.
“Last year was a proving ground for Softricity, with our technology recognized as the only virtualization platform to deliver on the promise of software virtualization: zero installation, yet accessible to users anywhere, on demand,” said Harry Ruda, CEO of Softricity. “We believe that 2006 will be the year software virtualization reaches the mainstream, transforming today’s distributed, manually managed IT environments into always-on enterprises where software is easily deployed, managed and readily available on any computer. With significant customer deals and partnerships already in the works, we are extremely excited about the coming year.”
Softricity’s greatest traction has come from sectors such as financial services, pharmaceuticals, healthcare and higher education, where IT organizations know first-hand the resource demands and high costs of managing thousands of applications across multiple offices worldwide. On average, the Softricity Desktop saves enterprises over 80% in application management costs and 30% in help desk costs and delivers a four-fold increase in user up time. For instance, Aventis Pharma decreased application deployments and updates from two weeks to three hours, Russell Investment Group and ACS Healthcare Services both reduced their servers by 40% and the University of Illinois Medical Center estimates cutting per year deployment costs for 75 applications from $43,000 to just under $1,500.
Additional 2005 highlights include:
— Widespread industry praise for Softricity, the Softricity Desktop and customers
— Awarded “Most Valuable Product” by Redmond Magazine, achieving a 9.6 rating out of 10
— Named “Leading Application Virtualization Vendor” by Summit Strategies
— Softricity customer Northeastern University awarded CIO Magazine’s “Bold 100 Award,” Computerworld’s “Best Practices in Enterprise Management” and Campus Technology’s “Innovator Award”
— Softricity customer Merrill Lynch earned “2005 Best Practices Technology Innovation” honors from Tech Managers Forum
— The introduction of Softricity ZeroTouch(R), which, combined with a major upgrade to Softricity SoftGrid(R) in 2005, resulted in the groundbreaking Softricity Desktop. ZeroTouch is the front-end system that simplifies provisioning, access and reporting of software virtualized by the SoftGrid platform. SoftGrid is the patented virtualization and on-demand streaming engine.
— More than 20,000 sequenced and deployed applications, including off-the-shelf office productivity solutions, enterprise CRM and ERP suites and homegrown, custom-built applications. With access to its vast library of sequenced applications, Softricity customers can deploy applications in virtually no time.
— An infusion of $15 million in venture capital financing led by late-stage venture capital firm Meritech Capital Partners.
— A 24% increase in employee headcount worldwide.
— Expansion of global offices in Europe and opening of Asia Pacific headquarters in Australia.
Softricity is the only virtualization company to deliver software that is never installed, yet securely follows users anywhere, on demand, enabling high productivity while dramatically reducing IT costs. The Softricity Desktop, powered by the SoftGrid(R) Platform & Softricity ZeroTouch, employs the company’s patented application virtualization, intelligent on-demand streaming and policy-based management technologies. Global customers include AIG, Blue Cross Blue Shield Kansas City, Northeastern University, Prudential, Raytheon, Sanofi-Aventis Deutschland GmbH and Suncor Energy. Softricity is a partner with Microsoft (Gold Certified), HP, IBM and VMware. For more information visit http://www.softricity.com.
Softricity, Softricity Desktop, SoftGrid and ZeroTouch are trademarks or registered trademarks of Softricity, Inc. in the U.S. and other countries. All other trademarks or registered trademarks herein are property of their respective owners.