Open-Xchange provides open source email, productivity and security software to the service provider industry. Its platform is delivered by over 100 hosting and telecommunications companies and reaches more than 200 million consumer and SMB users. The company employs over 250 specialists, approximately 70% of whom work in development, engineering and technical support. The €21 million funding will be used to grow the talent base and to develop network-side services for DNS and email. Planned product work includes traffic-filtering for malicious activity, parental controls, and a patent-secured email advertising solution powered by Dovecot's IMAP. Open-Xchange aims to broaden relationships with existing partners and win new customers in North America, LATAM and APAC while reinforcing carrier-grade, secure branded experiences for hosters, telcos and cable companies. Open-Xchange builds white‑label email, calendar, contact and task management platforms and powers millions of email accounts for customers such as Liberty Global, Vodafone, KPN and STRATO. The company has 230 employees distributed globally and is moving into the consumer market with a privacy‑focused service called OX.io. OX.io will integrate Qwant search with email, include PGP encryption, and offer 2 GB free email storage plus an additional 2 GB of cloud storage; users can opt into broad advertising categories or choose an ad‑free premium tier. The service is hosted in Berlin and the companies say email and search history will not be tracked, invoking German data‑protection rules. Open-Xchange plans to extend the same privacy options and advertising network to its existing white‑label accounts. To support this push into the spotlight and consumer market, the company raised $5.22 million in venture capital. Open-Xchange builds web-based communication, collaboration and office productivity open-source software and delivers it as software-as-a-service. Earlier this year it launched OX App Suite, an integrated web desktop, and OX Text as part of its OX Documents cloud office suite; spreadsheet and presentation editors are planned within the next 12 months. The company says it has delivered its software as SaaS for six years and is positioned to take advantage of the shift toward cloud office systems. Open-Xchange reports revenue and user-base growth of 50% year-over-year for the past three years and serves 75 clients that reach 80 million end users, including telcos, hosting providers and ISPs. The company plans to use the new funding to invest in software development, professional services, international business development, and marketing and sales. Open-Xchange builds open-source collaboration and email software platforms that support document, calendar and address-book sharing. The company's software can be used on mobile phones. It is based in Tarrytown, N.Y. The article reports a $9 million second-round funding led by German investors. The company previously raised $8.8 million in a first round from Business Angels and BayTech. BayTech participated in both the first and second rounds.

Total raised

$59M

Funding rounds

4

Latest round

Equity

Latest activity

Oct 2017