dotCloud failure

DotCloud

Enabled developers to host, assemble and run their applications

Description

dotCloud was a platform as a service (PaaS) for developers that enabled them to host, assemble and run their applications on the service. Through dotCloud, numerous organizations found a safe and stable stage to maintain their organizations. dotCloud gave origin to the Docker project which became so successful that the company changed its name to Docker. As the potentials for Docker increased, the team decided to concentrate on it and sold off dotCloud to Berlin-based company CloudControl.

Stats

Category
Software and Hardware
Country
United States
Started
In 2008
Closed
By 2016
Number of Founders
One
Name of Founders
Solomon Hykes
Number of Employees
Between 251 And 500
Number of Funding Rounds
3
Total Funding Amount
$13.7M
Number of Investors
15
Precise Cause of Failure
Mismanagement of Funds
Business Outcome
Bankruptcy

Cause of Failure

dotCloud closed on February 29, 2016. The mother company, CloudControl, filed for bankruptcy and dotCloud, a very small part of the German organization, could not sustain operation costs by itself thus decided to stop its operations.

Go on Reading

Other Startups

Startup Cemetery

A big resource for entrepreneurs and startup owners, in which we have collected and analyzed why +100 big companies have failed. Learn from mistakes, and avoid being part of the 90% of businesses that fail.

DotCloud

Enabled developers to host, assemble and run their applications

General Information
Category
Software and Hardware
Country
United States
Started
In 2008
Business Failure
Business Outcome
Bankruptcy
Closed
By 2016
Cause of Failure
Mismanagement of Funds
Founders & Employees
Number of Founders
One
Name of Founders
Solomon Hykes
Number of Employees
Between 251 And 500
Funding
Number of Funding Rounds
3
Total Funding Amount
$13.7M
Number of Investors
15
Description

dotCloud was a platform as a service (PaaS) for developers that enabled them to host, assemble and run their applications on the service. Through dotCloud, numerous organizations found a safe and stable stage to maintain their organizations. dotCloud gave origin to the Docker project which became so successful that the company changed its name to Docker. As the potentials for Docker increased, the team decided to concentrate on it and sold off dotCloud to Berlin-based company CloudControl.

Cause of Failure

dotCloud closed on February 29, 2016. The mother company, CloudControl, filed for bankruptcy and dotCloud, a very small part of the German organization, could not sustain operation costs by itself thus decided to stop its operations.

Go on Reading

Stayzilla

Indian homestay network

Travel
Shut Down
$34M
Lack of Focus
Travel
India
In 2005
By 2017
Four
Between 251 And 500
Between 10M 50M
Lack of Focus
Shut Down
BitPass

Online payment system for digital content

Finances
Shut Down
$13.3M
Competition
Finances
United States
In 2002
By 2007
One
Between 51 And 100
Between 10M 50M
Competition
Shut Down
Wesabe

Personal finance management website

Finances
Shut Down
$4.7M
Bad Management
Finances
United States
In 2005
By 2010
Two
Between 11 And 50
Between 1M 10M
Bad Management
Shut Down
Lookery

Demographic marketing services in social networks

Marketing
Acquired
$3.2M
Dependence on Others
Marketing
United States
In 2007
By 2009
Three
Between 1 And 10
Between 1M 10M
Dependence on Others
Acquired
Frankly

Messaging app for frank conversations

Social Media
Shut Down
$600K
Bad Market Fit
Social Media
India
In 2014
By 2016
Two
Between 51 And 100
Less Than 1M
Bad Market Fit
Shut Down
Salorix

Online social network engagement platform

Analytics
Shut Down
$3.5M
Bad Management
Analytics
United States
In 2009
By 2014
One
Between 11 And 50
Between 1M 10M
Bad Management
Shut Down