Sayonara, Nirvanix: Cloud Storage Provider's Demise Leaves Customers in the Lurch
Data migration notice: Cloud service provider Nirvanix instructs clients to relocate their information within a fortnight.
Stepping into the digital limbo, enterprise cloud storage provider Nirvanix has given the cold shoulder to its customers, dishing out an ultimatum: relocate your data before the clock strikes midnight on the last day of the month.
According to the word on the street from Steve Ampleford, CEO of UK-based Nirvanix partner, Aorta Cloud, Nirvanix made a gut-wrenching announcement to its employees yesterday, admitting their dire financial straits and declaring bankruptcy. They instructed their workers to break the bad news to the customers, warning them that the service will halt operations on September 30th.
Ampleford, who also owns an 'investment banking boutique' called Aorta Capital, is currently dabbling in the idea of breathing new life into Nirvanix. "We're taking a gamble to hopefully keep Nirvanix in the game," he spilled to our platform.
"We're on a mission to find potential investors. But we need our customers on board, willing to continue their partnership with us." Potential saviors should dial Aorta Cloud, he added.
Nirvanix, the reigning kingpin of the enterprise cloud storage kingdom, boasted revolutionary patents in managing gigantic data sets on the cloud. The company, headquartered in San Diego, is yet to return our calls.
But alas, the company's reign has been a tumultuous one. Founded in 2007, Nirvanix was a spin-off from an online storage company called StreamLoad. The consumer arm, MediaMax, was forced to give its customers a 30-day notice to move their data following a bungled migration onto the Nirvanix platform back in the day.
Despite this shaky start, the company has managed to carve out a credible niche for itself in the cloud storage space. In 2011, IBM signed a deal to base its SmartCloud storage service on Nirvanix's infrastructure.
Back in 2011, independent storage analyst Jerome Wendt went on record, proclaiming Nirvanix as "destined to become the new VMware."
Since then, Nirvanix has burnt through a cool $70 million in investment. Its most recent round, which raked in $25 million, closed in May 2012. Yet, despite the cash injections, the company has been unable to hang on to its leaders. Last year, then-CEO Scott Genereux was poached by Oracle, leaving the company high and dry. Debra Charpaty, formerly the CIO of online gaming company Zynga, stepped into the CEO role - making her the fifth CEO since 2008.
In the ruthless world of cloud storage, even kings crumble. The abrupt closure of Nirvanix is a poignant reminder of the challenges these small players face while competing with Goliaths like AWS and Microsoft Azure. It sends a potent message: sustainability and strategic partnerships can make or break a company's future in the ever-evolving cloud services landscape.
In light of Nirvanix's financial troubles and imminent bankruptcy, Aorta Cloud is on the hunt for potential investors to revitalize the ailing cloud storage company. However, this endeavor requires backing from Nirvanix's existing customers who are urged to continue their partnership if they wish to see the business survive in the competitive technical business landscape dominated by giants like AWS and Microsoft Azure.
