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RightScale has raised $43.0M across 3 funding rounds.
Key people at RightScale.
RightScale was founded in 2006 by Jonathan Siegel (Founder).
RightScale has raised $43.0M in total across 3 funding rounds.
RightScale offered a software-as-a-service platform for cloud management across diverse providers. Its Cloud Management Platform (CMP) and Optima enabled enterprises to monitor, optimize, and govern multi-cloud and hybrid infrastructures, streamlining application deployment and operations via a unified interface.
Founded in 2006, RightScale was established by Thorsten von Eicken, Michael Crandell, and Rafael H. Saavedra. Von Eicken, a former Cornell computer science professor, contributed architectural expertise. Recognizing the growing complexity of disparate cloud services, they launched their Santa Barbara venture for a centralized solution.
RightScale served enterprises seeking enhanced agility and control within cloud environments. The platform assisted organizations in accelerating application delivery, improving operational efficiency, and optimizing cloud expenditures. Its vision aimed to empower businesses to fully leverage cloud computing via robust multi-cloud governance and strategic resource management.
Key people at RightScale.
RightScale has raised $43.0M across 3 funding rounds. Most recently, it raised $25.0M Series C in September 2010.
| Date | Round | Lead Investors | Other Investors | Status |
|---|---|---|---|---|
| Sep 1, 2010 | $25M Series C | — | Benchmark, Greylock, Index Ventures, Sutter Hill Ventures, Tenaya Capital, BOB Pasker, JOI ITO | Announced |
| Dec 1, 2008 | $13M Series B | — | Benchmark, Greylock, Index Ventures, Sutter Hill Ventures, BOB Pasker, JOI ITO | Announced |
| Apr 1, 2008 | $5M Series A | — | Benchmark, Sutter Hill Ventures, BOB Pasker | Announced |
RightScale was founded in 2006 by Jonathan Siegel (Founder).
RightScale has raised $43.0M in total across 3 funding rounds.
RightScale's investors include Benchmark, Greylock, Index Ventures, Sutter Hill Ventures, Tenaya Capital, Bob Pasker, Joi Ito.
# RightScale: Cloud Management Pioneer
RightScale was a cloud management software company that provided organizations with tools to deploy, manage, and optimize applications across multiple cloud environments.[1][3] Founded in 2007 and based in Santa Barbara, California, RightScale developed a software-as-a-service (SaaS) platform that addressed a critical pain point for enterprises: the complexity of managing workloads across public, private, and hybrid clouds.[1][2]
The company served thousands of organizations—including PBS, Harvard University, Zynga, and Sling Media—with more than two million servers launched on its platform.[2] RightScale's core offering combined cloud orchestration, cost optimization, monitoring, automation, and governance into a unified platform, enabling IT teams to maintain control and portability while reducing cloud spending.[2][4] The company became particularly known for its RightScale Optima cloud cost management tool and its annual State of the Cloud Report, which tracked enterprise cloud adoption trends.[4][5]
RightScale was founded in 2007 by a team with deep technical expertise.[3] The founding team included Thorsten von Eicken, a former Cornell University computer science professor who had previously worked on systems architecture at Expertcity (which became Citrix Online), alongside CEO Michael Crandell and Vice President of Engineering Rafael H. Saavedra.[3]
The company's early trajectory reflected strong market validation. RightScale raised $4.5 million in venture capital in April 2008, followed by $13 million in December 2008 and $25 million in September 2010 at a valuation of $100–$125 million.[3] By 2012–2013, the company was expanding aggressively—integrating with Rackspace's OpenStack infrastructure, acquiring PlanForCloud.com for cloud cost forecasting, and becoming the first cloud management vendor to resell Google Compute Engine services.[3] These moves positioned RightScale as the vendor-agnostic leader in multi-cloud management during a period when enterprises were rapidly adopting cloud infrastructure.
RightScale emerged at a pivotal moment when enterprises were transitioning from single-cloud strategies to multi-cloud and hybrid-cloud architectures. As cloud spending grew to represent 20% of IT budgets and continued accelerating, organizations needed tools to prevent cost overruns and maintain governance across fragmented infrastructure.[4][5]
The company rode the wave of cloud democratization—the shift from centralized data centers to distributed, on-demand computing. By providing a neutral management layer, RightScale helped enterprises avoid vendor lock-in and optimize their cloud investments, directly influencing how enterprises approached cloud strategy. Its State of the Cloud Report became an industry barometer, shaping conversations about cloud maturity and adoption best practices.
RightScale's success also validated a broader market thesis: cloud management and cost optimization would become as critical as the cloud platforms themselves. This insight attracted Flexera Software's acquisition in 2018.
On September 26, 2018, Flexera Software acquired RightScale for an undisclosed amount.[3][4] Flexera, a software asset management leader, recognized that RightScale's cloud capabilities would extend its optimization platform into the cloud era. The acquisition reflected Flexera's strategic pivot to address the reality that 60% of IT budgets were driven by software, hardware, and cloud spending.[5]
Post-acquisition, RightScale's technology and team were integrated into Flexera's broader asset management platform, enabling customers to manage costs and security across their entire technology stack—from on-premises software to cloud services. The company's State of the Cloud Report continued publication, cementing its lasting influence on cloud industry discourse.
RightScale's journey illustrates how specialized, vendor-neutral infrastructure tools can capture significant value during periods of rapid technology transition. Its focus on solving the multi-cloud management problem—before it became mainstream—positioned it as an essential player in enterprise cloud adoption.
