Vidyo has been on a roll lately, announcing new products and partners to get its high-quality video conferencing technology embedded in enterprise and small- and medium-sized business applications. To meet that demand and accelerate growth, it’s ramping up headcount, mostly in sales and marketing, and on Thursday will be announcing a new round of financing.
Vidyo has raised a $22.5 million Series D round of financing led by QuestMark Partners, with participation from existing investors Menlo Ventures, Rho Ventures, Star Ventures and Four River Group. Since being founded in 2005, the startup has raised a total of $97 million.
That funding comes as the startup has grown its sales and marketing team pretty aggressively. Vidyo CEO Ofer Shapiro told us in a phone interview that the company has doubled headcount over the past year, from 100 to more than 200 employees, as it attempts to snag new enterprise customers and OEM partners to license its technology.
Earlier this year it released its VidyoPanorama product, a telepresence system that enables up to 20 screens to conference with HD video quality. The telepresence system also boasts much lower cost than competing products, at as little as $4,500 per screen. That’s a huge discount from more traditional room-based video conferencing systems from Cisco or Polycom.
A lot of Vidyo’s business today comes through partnerships with third parties that resell its video conferencing services to their customers. For instance, telecom carriers such as Chunghwa, KDDI and Elisa are partners in providing its collaboration software to enterprises in their footprint. But it’s also expanding its efforts to provide teleconference technology to OEMs through an API that they can integrate into their own applications. It’s already seen a number of partners take advantage of this, particularly in the healthcare, education and finance fields.
That partner strategy has also helped it grow revenues pretty substantially. Without stating numbers, Shapiro said that the company’s sales have more than doubled over the past year. As more SMBs seek less expensive ways to collaborate, and more partners build applications based on its technology, Vidyo seems poised to continue that success into the future.