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CloudFlare Reveals $50 Million "Secret" Funding From One Year Ago

"What we were talking about the panel was what CloudFlare was about, a kind of outsourcing of the sysadmin role, but in an open format," said Burham. "A lot of the big players like Google and Amazon are getting to this space, but I felt there was a need for there to be a big independent player."

But here's the catch: Although the San Francisco-based firm got the money a full year ago, it kept the investment a "secret," using the funding to quadrupled its network capacity across 23 global data centers and open an engineering office in London.

(Anti-hype in tech? It's unnatural!)
CloudFlare's total funding to date is $77 million, and sources said the new round values the company at just under $1 billion.

CloudFlare offers a wide range of services for its customers, including protecting sites from malware, denial of service and other forms of attack and also helping speed up site performance.
CloudFlare, the Web security and performance company, said yesterday that it had raised $50 million in a Series C round, with new investors Union Square? Ventures and Greenspring. Existing investors -- NEA, Pelion Venture Partners, and Venrock? - also participated.

It was via Zatlyn's service on a Federal Communications Committee advisory panel about the open Internet that she met USV partner Brad Burnham.
CloudFlare also said its revenue increased 450 percent, although it did not specify sales numbers. It will become profitable in January, co-founder and CEO Matthew Prince said in an interview.

So why the secrecy? "We've been on a mission to build a better Internet and we did not feel we needed to make a big deal of the funding to do that," said co-founder Michelle Zatlyn.
CloudFlare co-founders, left to right, Michelle Zatlyn, Lee Holloway and Matthew Prince

CloudFlare co-founders, left to right, Michelle Zatlyn, Lee Holloway and Matthew Prince

CloudFlare Reveals $50 Million "Secret" Funding -- From One Year Ago - Kara Swisher - Security - AllThingsD
"The Web is about to turn 25 years old and it's beginning to show its age," he said. "It will be very important as it becomes more complex and it rebuilds itself that there is someone who can maximize trust in the ecosystem."
The company said it sees five percent of all Web requests and "sits in front of 1 in every 20 sites that you visit on the Web today." It added that it now has 1.5 million customers, from several governments around the world to e-commerce sites to popular online photo services like Imgur.
Prince said much of the money CloudFlare raised was still in the bank, but it plans to use some to continue its network expansion in 2014 with dozens of new data centers across the globe.

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