Austin tech company Spiceworks lands $57 million for growth

Feb 4, 2014
Austin American Statesman

A new $57 million investment from backers including Goldman Sachs will allow fast-growing Spiceworks to accelerate hiring and expand product development

With the new inves, the Austin company has now raised $111 million through five rounds of funding. In addition to Goldman Sachs, investors in the latest round included Austin Ventures and Silicon Valley-based Shasta Ventures

Spiceworks, which runs an online network for the IT industry, plans to add 90 employees to its 250-person workforce this year. The majority of the jobs will be in sales, marketing and development, and most will be in Austin

Spiceworks’ online network is used by 5 million IT professionals and more than 2,700 technology companies, including Dell Inc., Samsung, IBM, HP and Microsoft. Users can connect with one another, exchange information and research the tech products and services needed to do their jobs

To prepare for the expansion, the company recently signed a lease for a new 96,000-square-foot headquarters in the San Clemente development at Capital of Texas Highway and Westlake Drive. Spiceworks will make the move from its current 56,000-square-foot home in Southwest Austin in May 2015

The company will use the funding to launch a new technology platform and app store to allow IT workers to manage their entire technology environment from Spiceworks. The company also plans to add more tools to help workers build their professional networks

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