“If the recent bevy of Linux-related IPOs have proven anything,
it’s that open source is not averse to cash flow. But while the
Street is just waking up to the fact that Linux has the potential
to revolutionize computing, another far-reaching open source
project, Apache, isn’t registering on the market’s barometer.
Several companies have launched successful business models off the
Apache code, some long before most investors even heard the words
open source. One company in particular is in a position to take the
lead in the Apache arena: Covalent Technologies.”
“Covalent today announced the influx of $5 million in its first
round of funding, led by H&Q Venture Associates. Not an
extraordinary sum by Silicon Valley standards, but enough for the
Apache community to take note.”
“Covalent’s bread and butter has been its Raven SSL module, an
Apache appliance that provides encryption needed to securely
transfer data, such as credit card info. But the company’s
funding marks what CEO Randy Terbush calls not a shift but an
expansion of its business model — either way, it’s one that aims
to make Covalent the premiere Apache support and services
provider.“