Revolutionizing Data Management and Recovery: The Rise of Rubrik
Introduction:
In 2015, Asheem Chandna, a partner at Greylock, visited the Palo Alto office of Rubrik, a young company yet to launch its product. Little did Chandna know that this meeting would mark the beginning of a remarkable journey for both Rubrik and himself. Rubrik’s CEO, Bipul Sinha, presented a compelling plan to transform the data management and recovery market. Recognizing its potential, Chandna led Rubrik’s Series B funding round. Now, nine years later, Rubrik has become a publicly traded company with a market cap exceeding $6 billion.
Investing in People: A Key to Success:
Chandna’s decision to invest in Rubrik was not solely driven by the market potential of the data recovery industry. As an experienced investor, he believes that venture capital is fundamentally a people business. He looks for entrepreneurs who possess not only motivation and ambition but also self-awareness of their weaknesses. Additionally, they must be capable of assembling a team that complements their own skill sets. Chandna’s track record includes successful investments in Palo Alto Networks, AppDynamics, Sumo Logic, and Arista Networks.
Grit and Persistence: The Traits of a Founder:
One crucial quality Chandna seeks in founders is grit. He believes that even if a competitor has slightly superior technology, an entrepreneur with self-awareness and persistence can ultimately triumph. Sinha, Rubrik’s founder, exemplified these traits. When he started the company in 2013, he faced challenges in recruiting talented engineers due to the perception that data management and recovery was not an exciting field. Undeterred, Sinha reached out to engineers on LinkedIn, inviting them for coffee near their workplaces. His determination paid off, as he successfully built a strong team.
The Power of Going Public:
Despite the current IPO climate, Rubrik decided to go public, a testament to Sinha’s ambition. Chandna believes that Rubrik’s decision was driven by their substantial annual recurring revenue of nearly $800 million, surpassing that of most companies that recently went public. This bold move demonstrates Rubrik’s desire to forge ahead and seize opportunities for growth.
Greylock’s Portfolio and Future Prospects:
Chandna declined to comment on whether he expects other Greylock portfolio companies to follow Rubrik’s footsteps. However, he did mention that Greylock’s best-performing late-stage businesses include Abnormal Security, Cato Networks, Discord, Figma, and Lyra Health. These companies, like Rubrik, have the potential to make significant impacts in their respective industries.
Conclusion:
Rubrik’s journey from a promising startup to a publicly traded company highlights the importance of investing in talented individuals and embracing perseverance and determination. Chandna’s belief in the power of people and his ability to identify founders with grit has led to numerous successful investments. As we continue to follow the fate of Rubrik and Greylock’s portfolio companies, we can anticipate further disruptions and innovations within the tech industry.