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- VeloCloud
VeloCloud Acquisition, Valuation, Funding & Investors
VeloCloud was acquired by Arista Networks for $1B in July 2025.
Cumulative funding VeloCloud raised
$84M
across 3 funding rounds
Key investors in VeloCloud
New Enterprise Associates
Venrock
Cisco Investments
March Capital
Titanium Ventures
Khazanah Nasional
Hermes Growth Partners
The Fabric
About VeloCloud
VeloCloud Networks is a Mountain View-headquartered developer of cloud-delivered SD-WAN solutions now integrated into VMware's portfolio. The platform automates branch networking over broadband internet, MPLS, and LTE with features like zero-touch provisioning, application optimization, and multi-cloud connectivity. VeloCloud supports distributed enterprises with virtual network functions, centralized orchestration, and secure access to SaaS and IaaS applications.
Founded
2012
HQ
Website
Status
Acquired
Customer focus
B2B
Revenue model
Subscription
Valuation
$1B (acquired Jul 2025)
VeloCloud Acquisition
VeloCloud was acquired by Arista Networks for $1B on 1 July 2025.
Before the acquisition VeloCloud had raised $84M across 3 funding rounds.
VeloCloud provides cloud-delivered SD-WAN solutions with integrated security, including edge hardware platforms featuring secure firewalling, application-optimized SD-WAN, and options for Wi-Fi and 5G connectivity. Originally part of VMware's portfolio and acquired by Broadcom, VeloCloud was divested to Arista Networks in a deal announced July 1, 2025, and reportedly valued at $1 billion, with closure expected around June 30. Arista Networks, a leader in data center switching, campus networking, and AI-driven solutions like CloudEOS and VeloRAIN, acquired VeloCloud to fill its WAN and branch connectivity gap, enabling end-to-end client-to-cloud architectures. The acquisition integrates VeloCloud's broad customer base and MSP channel relationships with Arista's wired/wireless switching, high-end 7000-series routers, and AI networking expertise, supporting distributed AI workloads, remote workers, and unified network operations. Arista CEO Jayshree Ullal highlighted the move as bridging enterprise and cloud WAN access, enhancing global deployments with consistent policies across environments and strengthening competitiveness against Cisco. The deal coincides with former Fastly CEO Todd Nightingale joining as president and COO on July 1, 2025, signaling renewed focus, stability, and innovation in SD-WAN, SASE, and AI-optimized traffic management.
| Acquirer | Date | Type | Price |
|---|---|---|---|
| 1 Jul 2025 | Strategic M&A | $1B |
VeloCloud Funding History
VeloCloud has raised a total of $84M across 3 funding rounds.
VeloCloud's first fundraising round was a $22M undisclosed-stage round in June 2014. The most recent completed round was a $35M Series D in March 2017.
VeloCloud funding rounds
| Date | Stage | Investors | Raised | Deal Summary |
|---|---|---|---|---|
| Mar 2017 | Series D | Hermes Growth Partners (lead); New Enterprise Associates; March Capital; Titanium Ventures; Cisco Investments; Venrock; Khazanah Nasional | $35M | VeloCloud, a Mountain View, California-based cloud networking services company founded five years prior, provides cloud-delivered SD-WAN solutions. The company raised $35 million in a Series D funding round on or around March 2, 2017, led by Hermes Growth Partners. Participating investors included Telstra Ventures, Khazanah Nasional Berhad (Malaysia’s strategic investment fund), and existing backers New Enterprise Associates, Venrock, March Capital Partners, and Cisco Investments, bringing total funding to $84 million. The funding came amid growing interest in the SD-WAN market, which Hermes Growth Partners noted as exploding. |
| Jan 2016 | Series C | March Capital (lead); New Enterprise Associates; Cisco Investments; Venrock | $27M | VeloCloud Networks Inc., a Cloud-Delivered SD-WAN company headquartered in Mountain View, California, closed a $27 million Series C financing round on January 14, 2016, led by March Capital Partners with participation from Cisco Investments, New Enterprise Associates (NEA), and Venrock. This brought the company's total funding to $49 million. The funds were earmarked for expanding business operations, accelerating new product development, customer rollouts, and ramping up sales and marketing to meet growing global demand for SD-WAN solutions. VeloCloud's platform enables enterprises to rapidly and economically expand wide area networks, supporting application growth, network agility, and simplified branch implementations while optimizing access to cloud datacenters and applications. CEO Sanjay Uppal highlighted exploding global demand for their solutions, positioning the company to provide simplified branch WAN networking, improved performance, and service delivery to mid-to-large enterprises and service providers. March Capital's Sumant Mandal praised VeloCloud as a SD-WAN leader with an impressive array of customers and partners, citing a tremendous growth opportunity in the category. The round validated VeloCloud's unique cloud-delivered SD-WAN strategy amid early market recognition, as noted in Gartner's Market Guide for Software-Defined WAN from December 2015. VeloCloud later achieved a successful exit through acquisition by VMware, as referenced in March Capital's subsequent fund announcements. |
| Jun 2014 | Undisclosed stage | New Enterprise Associates (lead); The Fabric (lead); Venrock (lead) | $22M | VeloCloud Networks, a pioneer in Cloud-Delivered WAN technology, simplifies wide-area networking by delivering virtualized services from the cloud to branch offices and mobile users, combining Internet economics with enterprise-grade performance, visibility, and control. On June 17, 2014, the Los Altos, CA-based company, founded about two years prior with a development center in Chennai, India, announced a $21 million funding round led by New Enterprise Associates (NEA) and Venrock, with participation from incubator The Fabric. This investment aimed to build channels, scale business development, and create a strong ecosystem, as stated by co-founder and CEO Sanjay Uppal. The round positioned VeloCloud to address the needs of distributed enterprises by altering WAN economics, automating operations, enabling agile provisioning for branch sites and cloud data centers, enhancing application policy controls, and reducing connectivity costs. Investors like Venrock's Doug Dooley highlighted the company's huge market opportunity, elegant approach, and execution-focused team. VeloCloud later grew significantly in the SD-WAN space, achieving analyst-estimated $100 million run rates by 2017, though only $44 million in customer contracts were valued as intangibles at acquisition. VMware acquired the company in 2018 for $449 million, below unicorn levels amid competition from over 20 vendors, with an earn-out structure noted in filings. |
Who has invested in VeloCloud?
8 investors have backed VeloCloud across its funding rounds, including New Enterprise Associates, Venrock, Cisco Investments, March Capital, Titanium Ventures and Khazanah Nasional.
Lead investors include Hermes Growth Partners, March Capital, New Enterprise Associates, The Fabric and Venrock.
VeloCloud Investors
| Investor | HQ | Rounds | Role | First check |
|---|---|---|---|---|
| 3 | Lead | Jun 2014 | ||
| 3 | Lead | Jun 2014 | ||
| 2 | Lead | Jan 2016 | ||
| 2 | Participant | Jan 2016 | ||
| 1 | Participant | Mar 2017 | ||
| 1 | Lead | Jun 2014 | ||
This data is available for Pro users. Sign up to see all 8 VeloCloud investors. Start Free Trial | ||||
Benchmark 350K+ Funding Rounds and Disclosed VC Valuation Multiples
Sign up to see data on 350K+ funding rounds and disclosed revenue and EBITDA valuation multiples, from seed, through growth stage, to pre-IPO.
Start Free TrialVeloCloud Competitors
VeloCloud competitors include listed companies like Sify Technologies, Asiainfo Security and Richinfo Technology, and private ones like Solo.io, Corelight and Nile.
| Company | HQ | Status | Revenue | EBITDA | Valuation | Revenue Multiple |
|---|---|---|---|---|---|---|
| Private | - | - | $1B | - | ||
| Publicly listed | $468M | $107M | $1000M | 2.0x | ||
| Private | - | - | $900M | - | ||
| Publicly listed | $1.2B | ($11M) | $781M | 1.1x | ||
| Private | $8M | - | $775M | 96.9x | ||
| Publicly listed | $273M | $51M | $1.3B | 4.6x |
VeloCloud Public Comps
VeloCloud is no longer listed, but its public comps include Sify Technologies, Asiainfo Security, N-able, Richinfo Technology, Beijing Abt Networks, DPtech, AsiaInfo, Allot, Progress Software and Cerillion.
| Last FY | EV/Revenue | EV/EBITDA | ||||||
|---|---|---|---|---|---|---|---|---|
| Revenue | EBITDA | Last FY | LTM | 2027E | Last FY | LTM | 2027E | |
| $468M | $107M | 3.2x | 2.0x | 13.8x | 8.2x | |||
| $1.2B | ($11M) | 1.2x | 1.1x | (126.2x) | 339.7x | |||
| $509M | $80M | 2.1x | 2.0x | 13.5x | 6.8x | |||
| $273M | $51M | 4.3x | 4.6x | 22.8x | 18.3x | |||
| $83M | ($21M) | 8.3x | 8.0x | (33.0x) | - | |||
| $182M | $25M | 5.3x | 4.9x | 39.0x | - | |||
| $940M | $39M | 0.3x | 0.3x | 8.1x | 7.9x | |||
| $102M | $6M | 3.0x | 2.7x | 48.2x | 21.8x | |||
This data is available for Pro users. Sign up to see all VeloCloud competitors and their valuation data. Start Free Trial | ||||||||
Common questions about VeloCloud
| When was VeloCloud founded? | VeloCloud was founded in 2012. |
| Where is VeloCloud headquartered? | VeloCloud is headquartered in San Francisco, CA, United States. |
| Is VeloCloud publicly listed? | No, VeloCloud was acquired by Arista Networks in July 2025. |
| Who acquired VeloCloud? | VeloCloud was acquired by Arista Networks in July 2025. |
| How much was VeloCloud acquired for? | VeloCloud was acquired for $1B in July 2025. |
| How much funding has VeloCloud raised? | VeloCloud has raised $84M across 3 funding rounds. |
| What was VeloCloud's last funding round? | VeloCloud's last funding round was a $35M Series D in March 2017, led by Hermes Growth Partners. |
| Who are VeloCloud's investors? | VeloCloud's investors include New Enterprise Associates, Venrock, March Capital, Cisco Investments, Titanium Ventures, The Fabric, Hermes Growth Partners and Khazanah Nasional. |
| Which companies are comparable to VeloCloud? | Companies comparable to VeloCloud include Solo.io, Sify Technologies, Corelight, Asiainfo Security, Nile and Richinfo Technology. |
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