It’s rare, when you have a chance to back a successful entrepreneur three times in a row, and that’s exactly what we are doing today with our venture investment in ClearDATA.
ClearDATA CEO Darin Brannan is a veteran serial entrepreneur with more than 20 years of combined venture capital, entrepreneurial and public company executive experience. He was the founder of two successful NVP portfolio companies, Verio, Inc. and Website Pros (Web.com), both of which achieved successful IPOs and market leadership in their respective cloud/hosting segments. This represents the third time NVP has backed Brannan, and we’re thrilled to have an opportunity to back him again.
ClearDATA is a perfect cross-section of two exciting sectors in which NVP is passionate and continues to invest— Healthcare IT and SaaS/Cloud. Our experience investing in market leaders such as Verio and Rackspace as well as next generation cloud technology companies focused on healthcare such as CareCloud, helped us to clearly understand the value proposition that ClearDATA is offering its growing customer base—which ranges from single provider practices to small and large hospitals throughout the country.
ClearDATA has successfully developed and implemented the industry’s most secure and cost effective HIPAA-compliant cloud computing platform. Healthcare software companies, VARs, hospitals, clinics and physician practices have already experienced a tangible return on their investment with ClearDATA, and we’re confident this trend will continue– particularly as the market for healthcare IT is on the rise, and government incentives and legislation are driving rapid adoption of software and technology in the healthcare sector.
ClearDATA is serving the $35 billion Healthcare IT Market, which is growing at an estimated 20% annually. The cloud-data center TAM is estimated at $10 billion per year. CDN market share is 1%. IDC estimates 23% annual growth for cloud in healthcare through 2014.
We believe ClearData has the ability and technical background to stay ahead of the game with a differentiated physician offering. The company’s exclusive focus on this market will allow it to be highly attuned to customers’ needs, thus enabling ClearDATA to stay ahead of the pack. This is similar to the success that other leading managed services companies have enjoyed by focusing on a specific vertical industry. They were able to listen exclusively to the needs of this vertical and develop unique products and services that out-competed the generalists. ClearDATA is already doing the same.
Additionally, working exclusively with healthcare channel partners provides the unique understanding of their specific needs as they service the PPG/Hospital market. As an example, working with healthcare ISV’s to cloud enable their client-server products has allowed ClearDATA to develop pricing and rollout plans that are unmatched in the market today.
ClearDATA boasts a talented team with the perfect combination of experience in hosting/cloud/IT as well as strong relationships in the healthcare industry. We have great confidence in the company’s ability to cement its leadership position in the healthcare cloud computing market segment in the years ahead.
We’re going for the hat trick with Darin, and we’re thrilled to be partnering with him again.