Indian SaaS startup BrowserStack, founded by Ritesh Arora and Nakul Agarwal in 2011, has raised $200 Mn in Series B round funding and has reached a valuation of $4 Billion. Mary Meeker’s Bond along with participation from Insight Partners and Accel, had led the funding. The Company plans to use the funding towards entering new market segments through strategic Acquisitions and Increasing Team Size.
After this funding round, BrowserStack has become the seventh SaaS startup to join the prestigious Unicorn club (Companies of more than $1Bn Valuation).
BrowserStack is a web and mobile app testing platform that has been a category leader in software testing on the cloud and has over 50,000 customers and claims to have more than 4 million developer signups, catering to giant corporations like Microsoft, Twitter, Barclays, Expedia, and many others.
Ritesh Arora in conversation with YourStory told, “Our vision is to be the testing infrastructure for the internet. This means launching new products which solve deep problems for developers in the space of testing. This funding will allow us to explore the different ways in which we can bring new products to market — via acquisitions, acqui-hires, and by investing more heavily in our product and engineering teams. Our focus will always be to build products that solve deep problems for developers and help them build amazing experiences for their users.”
Ritesh further mentioned, “We have seen strong product-led growth, which has helped drive word-of-mouth in the developer community. We have also seen growth from new product lines, including two app testing products and visual testing with our acquisition of Percy.”
On the other hand, Nakul Agarwal, CTO and Co-founder of Browsersatck explained, “We want to be the testing infrastructure of the internet, and to do this we need to scale our operations quickly both in terms of people and infrastructure.”
Nakul further stated, “We estimate the market opportunity in the space we are in is $45 Billion and it is growing very healthily at 20% year-on-year. Today we target about 25 Mn developers and that will probably be 50 Mn in the next 10 years.”
As Stated by a Bain and Company report, Several SaaS companies such as Freshworks, Druva, Icertis, and Zoho have already crossed the $100 Mn annual recurring revenue level and several other companies are expected to do the same in the next year or so.
Since its start, the company has remained profitable till now. In a blog announcing the investment, Accel’s investors said in the blog where the announcement of its investment in the company was made official that they courted the startup’s founders for 6 years before they finally agreed to bring an investor on board.