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LocalStack raises USD $25m to revolutionise cloud dev

Wed, 13th Nov 2024

LocalStack has announced a USD $25 million Series A funding round aimed at enhancing its platform for developers seeking more control over their cloud computing environments.

LocalStack offers a solution that allows developers to simulate a complete Amazon Web Services (AWS) environment directly on their local machines.

This capability is intended to significantly reduce both development time and cloud-related costs. Currently, the platform enjoys substantial usage, with over 8 million weekly sessions and 280 million Docker pulls, and it boasts a customer base exceeding 900 paying entities, including notable names such as SiriusXM and Chime.

"The centralized nature of cloud computing has created unprecedented complexity and costs for developers, who spend countless hours waiting for cloud-based tests to complete," stated Gerta Sheganaku, co-founder and Co-CEO of LocalStack. "Our platform fundamentally transforms the developer experience by enabling teams to test locally, cutting deployment times from 28 minutes to 24 seconds while significantly reducing AWS spend. We're putting control back in developers' hands, giving them the flexibility and speed they need to innovate," added Waldemar Hummer, co-founder and Co-CEO of LocalStack.

This funding round, led by Notable Capital with participation from CRV and Heavybit, arrives at a crucial period as organisations grapple with escalating cloud expenditure, reported to be over USD $79 billion annually.

The LocalStack platform differentiates itself by offering a standalone environment that lets developers iterate and collaborate quickly without relying on external cloud services. Currently compatible with over 100 AWS services, it aims to maintain functional parity with actual cloud setups.

Glenn Solomon, Managing Partner at Notable Capital, commented, "LocalStack stands out for its rare combination of bottom-up developer love and clear enterprise value. With over 56,000 GitHub stars, 25,000 Slack users, and 500+ contributors, LocalStack has built a vibrant community alongside its rapidly growing enterprise customer base.

While they've established themselves as the de facto standard for AWS local development, their recent preview release for Snowflake showcases their broader vision to revolutionise cloud development across all major platforms. We're thrilled to partner with Gerta, Waldemar and the entire LocalStack team as they transform how developers build for the modern multi-cloud world."

The new investment is set to propel LocalStack's market expansion efforts in the United States and support ongoing development initiatives, which include adding capabilities focused on chaos engineering and application resiliency testing.

This push aims to simplify AWS development account management while enhancing product development velocity, thereby improving the overall cloud development experience for developers globally.

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