How Zesty aims to meet cloud infrastructure management challenges

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The cloud wave has been on the rise for a while now. According to Palo Alto Networks, nearly 70% of organizations currently host more than half of their workloads in the cloud, and the overall adoption has witnessed 25% growth in the past year.

A big reason behind rapid cloud adoption is the opportunity to reduce IT infrastructure costs. In the cloud, IT leaders and devops teams can easily right-size computing resources according to their unique business requirements and cut wasteful spending. The benefit is significant, especially for someone coming from on-premise infrastructure, but it also remains marred by certain gaps. 

Essentially, more often than not, teams are stuck with static cloud infrastructure, like discount program commitments or allocated storage volumes. This leaves them struggling to keep the resources aligned with the rapid pace of the modern business environment — and ultimately affects application performance.

“Devops engineers are stuck in the middle – trying to fit this dynamic reality into rigid infrastructure. They face limitations such as discount program commitments, pre-set storage volume capacity, CPU and RAM, all of which cannot be continuously adjusted to suit changing demand,” said Maxim Melamedov, the CEO and cofounder of Israel-based Zesty. “This results in countless wasted engineering hours attempting to predict and manually adjust cloud infrastructure, as well as billions of dollars thrown away each year.”


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Automated management of cloud infrastructure

Founded in 2019, Zesty minimizes the constant hassle of managing resources manually by providing a suite of tools that automate cloud resource optimization tasks. The company today announced it has raised $75 million in a series B round led by B Capital and Sapphire Ventures. 

“Zesty is breaking the inefficient cycle with dynamic cloud infrastructure. This new way of working with infra enables customers to automatically scale cloud resources to optimally match application demand at any given time and adjust immediately to any changes as they occur,” Melamedov said. “This empowers businesses to dramatically reduce cloud costs, maintain perfect app performance, and minimize the stress of configuring infrastructure.”

The company provides offerings for compute, block storage and Kubernetes. It manages and auto-scales disk space by both shrinking and expanding storage volumes according to real-time application needs. This eliminates the need for over-provisioning and can reduce storage costs by up to 70%, all while preventing the risks of service degradation and system failure. 

“Zesty also empowers companies to take advantage of the cost-saving potential of AWS reserved instances by automating the purchasing and selling of reserved instances and adjusting EC2 (elastic compute cloud) commitments in real-time,” Melamedov said. “This leads to average savings of 50% from on-demand instance prices.”

The offering has seen demand from hundreds of enterprises since its launch, including Heap, Firebolt, Singular, Gong, Grubhub, Yotpo, Monday and Wiz. Heap, in particular, was able to use Zesty to increase its reserved instance coverage to 95% and save over $1 million annually. 

How Zesty will use its new funding

With this round, which takes Zesty’s total capital raised to $116 million, the company plans to focus on launching new products and features, including dynamic scaling of container resources according to usage demand. This will remove the need to forecast and regularly monitor the CPU and RAM for K8 clusters, supporting application performance and keeping costs lean and efficient. The company has seen its revenue grow by over 300% in the last year – with almost zero churn.

While there are other players that help with cloud challenges, including Spot Cloud Analyzer, Nutanix Beam, CloudHealth and Amazon CloudWatch, Zesty claims to be the only one looking to answer all problems associated with cloud infrastructure and its management.

“We are breaking new ground in the creation of solutions that enable genuinely dynamic cloud infrastructure, and we are far ahead of other companies that offer specific solutions to individual cloud management issues,” Melamedov said.

According to business monitoring company Anodot, nearly half of businesses find it difficult to get cloud costs under control and 54% believe their primary source of cloud waste is a lack of visibility into cloud usage. 

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