Ex-Microsoft Engineers Launch Edelbyte, Raise $70 Million for Data Infrastructure
Translated & summarized from Globes by baba
Four former senior Microsoft engineers have launched Edelbyte, a startup focused on data infrastructure, and have raised $70 million. The company aims to compete with major players by offering a unified platform for storing, searching, and analyzing enterprise data, particularly to handle the increased load from AI agents. The funding will support R&D, hiring, and international sales, with the goal of becoming the infrastructure for future software applications.
The story in 6 lines · by baba
- Edelbyte, founded by four ex-Microsoft engineers, has raised $70 million for its data infrastructure platform.
- The startup aims to compete with major data companies by addressing AI-driven data load increases.
- The platform offers unified storage, search, and analysis for enterprise data, processing petabytes daily.
- Funding rounds included $25 million seed and $45 million Series A, with investors like Sequoia Capital.
- The company's technology reportedly allows clients to run ten times more queries within the same budget.
- The capital will be used for R&D, hiring, and expanding international sales operations.
Four senior engineers who spent nearly two decades at Microsoft developing data infrastructure have launched Edelbyte, a startup aiming to compete with major data infrastructure players. The company, founded about a year ago, has already raised $70 million to develop a platform for storing, searching, and analyzing large volumes of enterprise data. This comes amid increasing data loads generated by artificial intelligence (AI) agents.
The funding was secured in two rounds: a $25 million seed round led by Sequoia Capital, with participation from Greenoaks and Swish Ventures, and a $45 million Series A round led by Quiet Capital, including existing and new investors like QP Ventures and Startpoint Capital. Edelbyte was established in November 2025 by CEO Avner Aharoni, CTO Evgeni Reizik, VP of Engineering Alexander Slutsky, and VP of Platform Engineering Yoni Leibovich. Reizik and Slutsky were part of the original team that developed Kusto, a data analysis system that became the foundation for Azure Data Explorer and security products like Sentinel and Defender.
Edelbyte's platform is designed to address the growing challenge of data management, exacerbated by AI agents that can execute numerous queries simultaneously. Unlike traditional systems that require multiple separate platforms for different data tasks, Edelbyte offers a unified infrastructure for various search and analysis functions. The company claims its technology can compress vast amounts of data, deliver results in milliseconds, and handle thousands of queries concurrently. Clients who have transitioned to Edelbyte have reportedly managed ten times more queries within the same budget.
The system is designed to operate across public and private clouds, as well as on-premises servers, offering flexibility to customers. Edelbyte currently employs around 40 people across Israel, Europe, and the US, serving Fortune 500 clients in cybersecurity, automotive, and finance. The company's systems are already processing petabytes of data daily. The newly raised capital will fund expansion of research and development teams, hiring, and international sales efforts.
"The systems organizations use today for searching and analyzing information were built long before the AI era," stated CEO Avner Aharoni. He sees the surge in query volume and complexity as an opportunity for a new market player, aspiring for Edelbyte to become the foundational infrastructure for the next generation of software applications.
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