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Nicira Networks has raised $37.0M across 2 funding rounds.
Key people at Nicira Networks.
Nicira Networks has raised $37.0M in total across 2 funding rounds.
Nicira Networks delivers software-defined networking (SDN) and network virtualization solutions. Its Network Virtualization Platform (NVP) abstracts physical infrastructure into a programmable software layer. This allows dynamic virtual network creation, management, and automated, scalable service delivery via proprietary OpenFlow and Open vSwitch implementations.
Nicira was founded in 2007 by Martin Casado, Nick McKeown, and Scott Shenker. Their insight recognized traditional hardware-centric networking impeded cloud computing flexibility and scale. Leveraging deep networking expertise, founders pioneered a software-defined approach to manage resources, freeing them from physical limits.
The company targets enterprises and data centers adopting cloud infrastructures. Nicira’s solutions help organizations build agile, automated, scalable network environments. Its vision: make network resources elastic and on-demand as compute and storage, enhancing operational efficiency and cloud adoption.
Nicira Networks was a pioneering technology company that developed software for network virtualization, enabling elastic, scale-out data centers and accelerating cloud infrastructure transformation.[1][2][3] It built the Network Virtualization Platform (NVP), which allowed dynamic creation of virtual networks similar to server virtualization, serving cloud providers, enterprises like eBay, AT&T, NTT, and Rackspace, and addressing the problem of manual, inflexible network provisioning in multi-tenant environments.[1][3][4] Founded in 2007 in Palo Alto, California, Nicira raised $41.72M, achieved rapid growth with early traction from major customers, and was acquired by VMware in July 2012 for $1.05B–$1.26B, marking a landmark exit in software-defined networking (SDN).[1][2][4][6]
Nicira was founded in 2007 by networking experts Martin Casado, Nick McKeown (Stanford professor), and Scott Shenker (UC Berkeley professor and chief scientist), who were Casado's doctoral advisors.[2][3][4][5][6] Casado, with prior experience running large-scale secure networks at Livermore, identified the rigidity of traditional hardware-based networking during his Stanford PhD, proposing in his 2007 thesis a software-controlled alternative that evolved into SDN and OpenFlow—the protocol Nicira's founders invented.[3][4][6] The idea emerged from academic research at Stanford and Berkeley, blending operational insight with innovation; the team operated in stealth mode, secured funding from Lightspeed Venture Partners (2011 Series C) and Andreessen Horowitz, recruited CEO Steve Mullaney, and built an elite engineering team.[2][4][6] Pivotal moments included unveiling NVP in February 2012 and attracting enterprise customers, leading to VMware's acquisition just five months later.[1][3][4]
Nicira stood out in the networking industry through these key strengths:
Nicira rode the cloud computing and SDN wave, disrupting a consolidated market dominated by hardware giants like Cisco and Juniper by decoupling network control from physical infrastructure—enabling programmable, scalable data centers essential for cloud scale.[3][4][6] Timing was ideal post-2007, as server virtualization (e.g., VMware) matured but networking lagged, creating demand for automation in multi-tenant clouds; market forces like exploding data center growth and OpenFlow's emergence (projected $100M market in 2012 to $2B by 2016) favored software innovators.[1][4] Nicira influenced the ecosystem by proving SDN's viability, inspiring competitors (e.g., Plexxi, Pica8, Forward Networks), accelerating VMware's pivot to network leadership, and embedding virtualization principles that underpin modern cloud networking.[1][4][6]
Post-acquisition, Nicira's technology integrated into VMware (now Broadcom) fueled enduring SDN adoption, with NVP evolving into NSX for enterprise and cloud networking dominance. Looking ahead, expect continued expansion in AI-driven data centers and edge computing, where software-defined control handles hyperscale demands; trends like zero-trust security and multi-cloud orchestration will amplify its legacy. Nicira's story—from PhD thesis to $1.26B exit—exemplifies how academic breakthroughs can redefine infrastructure, positioning its innovations as foundational to tomorrow's vigilant, virtualized networks.[1][3][4][6]
Key people at Nicira Networks.
Nicira Networks has raised $37.0M across 2 funding rounds. Most recently, it raised $26.0M Series C in February 2011.
| Date | Round | Lead Investors | Other Investors | Status |
|---|---|---|---|---|
| Feb 1, 2011 | $26M Series C | — | Andreessen Horowitz, NEW Enterprise Associates, Spark Capital | Announced |
| Sep 1, 2010 | $11M Series B | — | Andreessen Horowitz | Announced |
Nicira Networks has raised $37.0M in total across 2 funding rounds.
Nicira Networks's investors include Andreessen Horowitz, New Enterprise Associates, Spark Capital.
