Thanks to the COVID-19 pandemic, which has forced millions of people to work from home, business is booming at Pexip, the Norwegian startup behind a videoconferencing platform that charges enterprise clients a subscription fee to host videos in the cloud or on an enterprise’s own network. A Zoom rival, Pexip offers industry-standard encryption and security protocols and is targeted primarily at large enterprises, government institutions and healthcare providers. Customers include 70 of the Fortune 500 companies, the U.S. Air Force and Nordea Group, a financial services group operating in northern Europe. Some of its financial institution customers use Pexip to offer services to their customers. Its platform is also being used for telehealth services, such as patient doctor meetings organized by the U.S. Department of Veterans Affairs. And, Pexip offers a service suitable for small and medium sized business. Its technology can be deployed as a service, in a customer’s own instance of Microsoft Azure, Google Cloud Platform, or AWS or entirely on-premises.
Thanks to the COVID-19 pandemic, which has forced millions of people to work from home, business is booming at Pexip, the Norwegian startup behind a videoconferencing platform that charges enterprise clients a subscription fee to host videos in the cloud or on an enterprise’s own network. A Zoom rival, Pexip offers industry-standard encryption and security protocols and is targeted primarily at large enterprises, government institutions and healthcare providers. Customers include 70 of the Fortune 500 companies, the U.S. Air Force and Nordea Group, a financial services group operating in northern Europe. Some of its financial institution customers use Pexip to offer services to their customers. Its platform is also being used for telehealth services, such as patient doctor meetings organized by the U.S. Department of Veterans Affairs. And, Pexip offers a service suitable for small and medium sized business. Its technology can be deployed as a service, in a customer’s own instance of Microsoft Azure, Google Cloud Platform, or AWS or entirely on-premises.
Pexip announced 50% year-on-year growth in the first quarter of 2020 and a seven-fold increase in peak traffic on its service in the past month alone. This increase demand, fromboth existing users and new customers, is being fueled by the need for secure video communications by both business and government agencies, says the company.
Concerns over the security of the dominant player in the sector — Zoom — have led companies to seek more secure alternatives. Other video conferencing providers include Facebook, Google, Cisco and BlueJeans Network, which was acquired by Verizon last week.
Pexip says it believes that the current change in working behavior with more home offices, remote consultations and conferences will continue to drive usage and adoption of video beyond the Covid-19 crisis. To that end, it announced Monday that it is seeking to raise $100million in fresh capital on the Oslo stock exchange. The company said the net proceeds from the offering will be used to strengthen sales and marketing as well as R&D and product development.
The company was founded in 2012. Its original focus was on video infrastructure. It merged with Videxio, a cloud video service provider, in 2019. Some 55% of Pepix’s business is in EMEA, 33% in the Americas and 12% in the Asia Pacific.
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