According to the company, the new funding will be used to accelerate investments in product, sales & marketing, and infrastructure to support increasing demand for Smartsheet’s platform. Reports suggest that the funding brings Smartsheet closer to billion-dollar “unicorn” status, as it lands on a post-funding valuation of $852 million.
“Enterprises have long invested in cloud-based applications that enable them to author, store, and communicate about work. But the value of intentionally managing and automating collaborative work has largely gone unrealized,” said Mark Mader, CEO, Smartsheet.
“This additional funding will enable Smartsheet to further unlock this value for teams, helping people and organizations embrace the volume and velocity of today’s work to drive innovation and build a distinct competitive advantage,” Mader added.
According to IDC Research, the enterprise collaboration market is rapidly accelerating, forecasted to grow 32 percent over four years to reach $25 billion by 2020. The past several months have marked a steady flow of new entrants and high-profile acquisitions in the collaboration space to meet the shifting market needs of enterprises, which are looking for increased agility and efficiency.
“Collaborative work management is now recognized as a key component of modern enterprise strategy, as companies look to move beyond the limitations of legacy tools,” said Ryan Hinkle, Managing Director, Insight Venture Partners.
“Since our initial investment with Smartsheet, we have seen an incredible amount of development and growth behind their capabilities. We are committed to continuing this acceleration so that more companies can benefit from the unique value of Smartsheet,” he added.
Smartsheet’s last round of funding came around three years ago, and it has previously secured $68 million in funding from Insight Venture Partners, Madrona Venture Group, Sutter Hill Ventures, and other investors. With the additional investment, its total financing raised to date is more than $120 million.
