VCs Zoom In On ZambeelVCs Zoom In On Zambeel

Storage provider Zambeel benefited last week from the continued attraction of venture capitalists to networked storage startups with a $52.6 million round of backing led by Amerindo Investment Advisors and Aurora Technology Funds.

Zambeel is building a network storage architecture similar to that of a high-end LAN out of common IP components. The Fremont, Calif., company is combining that with management software that handles file demand and other network requirements.

Enterprise Storage Group analyst Nancy Marrone says Zambeel got the money because it focuses on storing files of information, which encompasses a much larger IP network market than the block-based storage that other vendors offer, and because Zambeel's management suite could be unique in its space. Storage management, she points out, is usually very costly. And she says startups such as Zambeel offer less complex and expensive storage than high-end players.