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Vesiro Lands €1.6M to Slash Server Costs and Energy Use

A Swedish startup just secured a major financial boost to tackle one of the tech industry’s biggest hidden problems. Vesiro announced a €1.6 million seed round to scale its unique software that makes searching huge databases faster while drastically cutting down on electricity bills.

The company has developed a smart plug-in for Elasticsearch that helps businesses handle massive amounts of data without needing to buy more hardware. This funding comes at a critical time when global data usage is skyrocketing and companies are desperate for sustainable IT solutions.

Top investors back the green tech solution

Gothenburg-based Vesiro is not just another software company. It began as a research project at Chalmers University of Technology before spinning out into a full business. The team has spent years refining their approach to data efficiency.

This hard work has now paid off with significant backing from major players in the Nordic investment scene.

The €1.6 million seed round was led by heavyweights like Chalmers Ventures and Industrifonden. Several other key firms joined the round including Länsförsäkringar Göteborg & Bohuslän, Yuncture, First Gate Invest, E14 Invest and Mach One.

It was not just institutional money that flowed into the startup. A group of prominent angel investors also showed their confidence in the technology.

The investor list features industry veterans Stefan Mahlstein, Staffan Truvé, Jan Sparud, Petter Eriksson and Magnus Lundgren.

These investors see the potential for Vesiro to solve a dual problem. Companies want to save money on expensive server rentals and the world needs to reduce the carbon footprint of the internet.

Vesiro server optimization software interface reducing data center energy usage

Vesiro server optimization software interface reducing data center energy usage

Solving the massive data center energy crisis

The timing of this investment is crucial for the wider tech industry. Every time you search for a product online or an AI generates an image, a server in a data center burns electricity.

Global data generation is growing at a pace that physical infrastructure struggles to match.

Reports indicate that data centers already consume about one percent of all electricity used worldwide. This number is expected to double by the end of the decade as Artificial Intelligence adoption grows. This creates a massive strain on power grids and corporate budgets.

Vesiro steps in to fix this issue at the software level.

Instead of building more power plants or buying more servers, Vesiro improves how existing servers talk to databases. Their product is a performance-focused plug-in for Elasticsearch. This is a popular search engine tool used by thousands of companies to index and search through their own data.

The software targets organizations that operate extensive data clusters. It enables them to process large datasets much more efficiently.

By optimizing the search process, companies can run the same workload using significantly fewer servers.

This creates a direct link between better code and a healthier planet. If a company needs fewer servers to do the same job, they use less electricity and spend less money.

Helping companies handle heavy data workloads

The technology is specifically designed for sectors that rely on heavy data processing. This includes business intelligence firms, huge e-commerce platforms and AI companies.

Oskar Hagman, the co-founder and CEO of Vesiro, explained that data volumes are growing faster than today’s infrastructure can handle. He believes their technology bridges this gap effectively.

“Our technology makes it possible to analyze large datasets using far fewer servers. This lowers costs while also reducing energy consumption,” said Hagman.

The beauty of the solution lies in its simplicity for the user. It does not require a complete overhaul of existing systems.

Companies can install the plug-in and see immediate improvements. Internal benchmarks from pilot programs have shown drastic enhancements in search speeds.

Here is a quick look at the core benefits Vesiro offers:

  • Reduced Hardware Costs: Companies can delay buying new servers or renting more cloud space.
  • Lower Energy Bills: Fewer active servers mean less power consumption for cooling and operation.
  • Faster Search Results: The optimization allows for quicker data retrieval for end users.
  • Seamless Integration: It works with existing Elasticsearch setups without complex migration.

This value proposition is becoming essential for Chief Technology Officers who are under pressure to cut costs while maintaining high performance.

Plans to expand team and accelerate rollout

With the fresh capital in the bank, Vesiro is ready to move from a promising startup to a market contender.

The primary goal for this funding is to expand the technical team. Finding the right talent is key to refining the product and ensuring it works perfectly for different types of clients.

They also plan to accelerate their product development timeline.

The startup aims to take the product from pilot deployments to a wider market rollout very soon. The demand for “Green IT” is higher than ever.

European regulations regarding corporate sustainability are getting stricter. Companies are looking for verified ways to report lower emissions. Vesiro offers a tangible way to claim those reductions.

We are seeing a shift where software optimization is becoming just as important as hardware improvements. Vesiro is positioning itself right at the front of this wave.

The ability to process more data with less energy is no longer just a luxury but a business necessity.

As AI continues to demand more compute power, solutions like this will likely become standard across the industry.

The tech world is watching closely to see how quickly Vesiro can scale its operations. If they succeed, they could set a new standard for how we manage the invisible but energy-hungry world of big data.

We are witnessing a smart pivot where efficiency generates profit. Vesiro has the money, the backers and the technology to make a real dent in the data center energy crisis.

How important do you think software optimization is for fighting climate change? Do you think companies do enough to lower their digital carbon footprint?

Let us know your thoughts in the comments below. If you care about sustainable tech, share this story using #GreenTech on social media.

About author

Articles

Sofia Ramirez is a senior correspondent at Thunder Tiger Europe Media with 18 years of experience covering Latin American politics and global migration trends. Holding a Master's in Journalism from Columbia University, she has expertise in investigative reporting, having exposed corruption scandals in South America for The Guardian and Al Jazeera. Her authoritativeness is underscored by the International Women's Media Foundation Award in 2020. Sofia upholds trustworthiness by adhering to ethical sourcing and transparency, delivering reliable insights on worldwide events to Thunder Tiger's readers.

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