New Relic
{{short description|Technology company}}
{{Use mdy dates|date=January 2024}}
{{Infobox company
| logo = New Relic logo.png
| name = New Relic, Inc.
| type = Private
| traded_as = {{NYSE was|NEWR}} (2014–23)
| industry = Application performance management
| foundation = {{start date and age|2008}}
| founder = Lew Cirne
| location_city = San Francisco, California
| location_country = U.S.
| key_people = {{plainlist|
- Ashan Willy (CEO){{Cite web |last=Alspach |first=Kyle |date=December 4, 2023 |title=New Relic Hires Former Proofpoint Chief Exec As New CEO |url=https://www.crn.com/news/software/new-relic-hires-former-proofpoint-chief-exec-as-new-ceo |access-date=January 8, 2024 |website=CRN}}
- Lew Cirne (executive chairman)
}}
| owners = {{ubl|Francisco Partners (2023–present)|TPG Inc. (2023–present)}}
| revenue = {{increase}} {{US$|926 million}} (2023){{Cite web |title=Form 10-K New Relic, Inc. |url=https://www.sec.gov/ix?doc=/Archives/edgar/data/1448056/000144805623000033/newr-20230331.htm |date=May 23, 2023 |publisher=U.S. Securities and Exchange Commission}}
| products = New Relic APM, New Relic Mobile, New Relic Browser, New Relic Synthetics, New Relic Servers, New Relic Insights
| num_employees = 2,663 (2023)
| website = {{url|https://newrelic.com}}
}}
New Relic, Inc. is an American web tracking and analytics company based in San Francisco. The company's cloud-based software allows websites and mobile apps to track user interactions and service operators' software and hardware performance.
In November 2023, private equity firms Francisco Partners and TPG Inc. completed their acquisition of New Relic for approximately $6.5 billion.{{cite web|url=https://www.reuters.com/markets/deals/how-two-private-equity-firms-negotiated-new-relic-deal-down-65-bln-2023-08-03/|title=Focus: How two private equity firms negotiated New Relic deal down to $6.5 billion |website=Reuters|date=August 3, 2023|author1=Anirban Sen|author2=Milana Vinn|access-date=February 2, 2024}}
History
=Foundation and early years=
Lew Cirne founded New Relic in 2008 and became the company's CEO. The name "New Relic" is an anagram of founder Lew Cirne's name.{{Cite news |last=Balise |first=Julie |date=August 26, 2015 |title=Stories behind Bay Area tech company names |url=http://www.sfgate.com/business/article/Stories-behind-Bay-Area-tech-company-names-6465268.php#photo-8229264 |access-date=August 26, 2015 |work=SFGate}}
On November 5, 2012, CA Technologies filed a lawsuit claiming that New Relic violated three patents that came into CA Technologies' possession through the acquisition of Wily Technology (a company also founded by Lew Cirne).{{Cite web |last=Morgan |first=Timothy |title=CA Technologies sues New Relic over APM patents |url=https://www.theregister.co.uk/2012/11/06/ca_sues_new_relic_apm_patents/ |access-date=November 13, 2012 |publisher=The Register}}
In February 2013, New Relic raised $80 million from investors including Insight Venture Partners, T. Rowe Price, Benchmark Capital, Allen & Company, Trinity Ventures, Passport Capital, Dragoneer, and Tenaya Capital at a valuation of $750 million.{{Cite news |last=Levy |first=Ari |date=February 5, 2013 |title=New Relic Reels in $80 Million to Expand Into Mobile |url=http://go.bloomberg.com/tech-deals/2013-02-05-new-relic-reels-in-80-million-to-expand-into-mobile/ |access-date=August 9, 2013 |work=Bloomberg}}{{Cite news |last=Taulli |first=Tom |date=February 5, 2013 |title=New Relic Nabs $80M To Upend the Software Biz |url=https://www.forbes.com/sites/tomtaulli/2013/02/05/new-relic-nabs-80m-to-upend-the-software-biz/ |access-date=August 9, 2013 |work=Forbes}} The funding round helped New Relic extend its software analytics platform to include Android and iOS native mobile apps. In October 2013, the company announced that it was converting its software analytics product into a SaaS model, code named Rubicon.{{Cite news |date=October 24, 2013 |title=App Performance Monitoring Vendor New Relic Branching Out Into Big Data |url=https://www.crn.com/news/applications-os/240163086/app-performance-monitoring-vendor-new-relic-branching-out-into-big-data.htm |access-date=April 14, 2022 |work=CRN}}
In April 2014, New Relic raised another $100 million in funding led by BlackRock, Inc., and Passport Capital, with participation from T. Rowe Price Associates, Inc. and Wellington Management.{{Cite news |last=Rao |first=Leena |date=April 28, 2014 |title=Cloud App Monitoring Company New Relic Raises $100M |url=https://techcrunch.com/2014/04/28/cloud-app-monitoring-company-new-relic-raises-100m/ |access-date=June 13, 2014 |work=TechCrunch |ref=TechCrunch}} The company went public on December 12, 2014.{{Cite web |date=December 10, 2014 |title=New Relic IPO raises $115M, stock jumps 48% in debut |url=http://www.bizjournals.com/sanjose/news/2014/12/11/new-relic-raises-115m-after-ipo-beats-targets.html |access-date=April 14, 2022 |website=Silicon Valley Business Journal}}
= 2020 to present =
In January 2020, the company announced that Bill Staples was joining the company as Chief Product Officer on February 14, 2020. According to the announcement, he was to lead the product management, engineering and design functions, as well as drive the company's platform strategy.{{Cite web |date=January 16, 2020 |title=Bill Staples to Join New Relic as Chief Product Officer |url=https://www.bloomberg.com/press-releases/2020-01-16/bill-staples-to-join-new-relic-as-chief-product-officer |url-status=live |archive-url=https://web.archive.org/web/20230731180235/https://www.bloomberg.com/press-releases/2020-01-16/bill-staples-to-join-new-relic-as-chief-product-officer |archive-date=July 31, 2023 |access-date=February 28, 2020 |website=Bloomberg.com}} In March, the company signed a 10-year deal to move its Atlanta team out of co-working space into the 20th floor of a 28-story office tower off 12th Street in Midtown.{{Cite web |title=Cloud Software Company Sets Up East Coast Shop At 1100 Peachtree |url=https://www.bisnow.com/atlanta/news/office/cloud-software-company-sets-up-east-coast-shop-at-1100-peachtree-103340 |access-date=March 11, 2020 |website=Bisnow |language=en}} In June, the company combined two teams in its Portland engineering office and reportedly laid off less than 20 employees with overlapping positions.{{Cite web |title=New Relic lays off staff as it combines engineering teams |url=https://www.bizjournals.com/portland/news/2020/06/29/layoffs-at-new-relic-as-company-combines-2-enginee.html |access-date=May 4, 2022 |website=Portland Business Journal}} Also in June, amid internal disagreements about how the company should respond to systemic racism in society, former CEO Lew Cirne sent a memo stating that Black Lives Matter discussions were "off-the-table".{{Cite news |last=Rogoway |first=Mike |date=July 3, 2020 |title=New Relic CEO scolds employees in internal memo: 'We are a company with an urgent need to get back on track' |url=https://www.oregonlive.com/silicon-forest/2020/07/new-relic-ceo-scolds-employees-in-internal-memo-we-are-a-company-with-an-urgent-need-to-get-back-on-track.html |url-access=subscription |access-date=May 4, 2022 |work=The Oregonian}}{{subscription required|date=May 2022}} In July, New Relic announced it was replacing all of its legacy products with a full stack platform, priced by user rather than by server, with the goal of simplifying things for its customers.{{Cite web |date=July 30, 2020 |title=New Relic reinvents its products to bring observability to the mainstream |url=https://diginomica.com/new-relic-reinvents-observability-mainstream |access-date=August 3, 2020 |website=diginomica |language=en}} The new platform was called New Relic One. In October, the Oregonian reported unhappiness within the company's employees, stemming from ongoing concerns about the company's response to the ongoing racial justice movement, and also due to controversial donations made by Cirne to an anti-gay Christian school and an anti-Jewish evangelist.{{Cite web |last=Rogoway |first=Mike |date=October 11, 2020 |title=New Relic employees report unrest over work culture, CEO's donations |url=https://www.oregonlive.com/silicon-forest/2020/10/new-relic-employees-report-unrest-over-work-culture-ceos-donations.html |access-date=May 4, 2022 |website=oregonlive.com |publisher=The Oregonian}} In December, the company acquired Pixie Labs, a service for monitoring cloud-native workloads running on Kubernetes clusters.{{Cite web |date=December 10, 2020 |title=New Relic acquires Kubernetes observability platform Pixie Labs |url=https://techcrunch.com/2020/12/10/new-relic-acquires-kubernetes-observability-platform-pixie-labs/ |access-date=August 19, 2022 |website=TechCrunch}}
In April 2021, New Relic reportedly laid off nearly 160 employees, as part of a restructuring plan to move away from its software subscription sales model to a consumption based model.{{Cite news |last=Rogoway |first=Mike |date=May 14, 2021 |title=New Relic will lay off up to 160 in restructuring |url=https://www.oregonlive.com/silicon-forest/2021/04/new-relic-will-lay-off-up-to-160-in-restructuring.html |access-date=May 4, 2022 |work=Oregon Live}}{{Cite news |date=May 14, 2021 |title=New Relic's business remodel will leave new CEO with work to do |url=https://techcrunch.com/2021/05/14/new-relics-business-remodel-will-leave-new-ceo-with-work-to-do/ |access-date=May 4, 2022 |work=TechCrunch}} In May, Bill Staples was promoted to CEO, and Cirne transitioned to executive chairman.{{Cite news |date=May 13, 2021 |title=New Relic to Promote Cloud Industry Veteran Bill Staples to CEO |url=https://siliconangle.com/2021/05/13/new-relic-ceo-lew-cirne-steps-replaced-industry-veteran-bill-staples/ |access-date=May 4, 2022 |work=Silicon Angle |language=en}} In October, the company acquired CodeStream, a developer collaboration tool.{{Cite news |date=October 21, 2021 |title=New Relic acquires CodeStream to provide chat in developer environments, inks Microsoft IDE partnership |url=https://techcrunch.com/2021/10/21/newrelic-acquires-codestream-to-provide-chat-in-developer-environments-inks-microsoft-ide-partnership/ |access-date=August 19, 2022 |work=TechCrunch |language=en}}
In February 2022, the company released infrastructure monitoring software to help DevOps, site reliability engineering (SRE) and ITOps teams monitor issues across public, private and hybrid cloud environments.{{Cite news |date=February 16, 2022 |title=New Relic launches its new infrastructure monitoring experience |url=https://techcrunch.com/2022/02/16/new-relic-launches-its-new-infrastructure-monitoring-experience/ |access-date=August 15, 2022 |work=TechCrunch |language=en}} In May, the company launched a vulnerability management tool for security, DevOps, security operations (SecOps) and SRE teams.{{Cite news |date=May 18, 2022 |title=New Relic releases new vulnerability management solution |url=https://venturebeat.com/security/new-relic-vulnerability-management/ |access-date=August 19, 2022 |work=VentureBeat |language=en}}
In June 2023, following a $55 million operational loss in the preceding fiscal year, New Relic laid off 155 employees in the US and up to 57 abroad.{{Cite web |date=June 27, 2023 |title=S.F. Tech layoffs: Uber, Robinhood and two other companies cut hundreds of jobs |url=https://www.sfchronicle.com/sf/article/san-francisco-tech-companies-lay-off-hundreds-18173702.php}} In July 2023, the company agreed to be acquired by private equity firms Francisco Partners and TPG Inc. in an all-cash deal valued at $6.5 billion.{{Cite web |last=Rogoway |first=Mike |date=July 31, 2023 |title=New Relic, a major Portland tech employer, sells to private equity for $6.5 billion |url=https://www.oregonlive.com/silicon-forest/2023/07/new-relic-a-major-portland-tech-employer-sells-to-private-equity-for-65-billion.html |website=The Oregonian}} The acquisition was finalized in November and New Relic was delisted from the New York Stock Exchange. In December, the company listed half of its San Francisco headquarters space, as available for sub-leasing.{{Cite web |last=Waxmann |first=Laura |date=December 12, 2023 |title=Exclusive: S.F. software firm makes big reduction in its downtown headquarters |url=https://www.sfchronicle.com/realestate/article/s-f-software-firm-new-relic-headquarters-sublease-18549239.php |access-date=December 12, 2023 |website=San Francisco Chronicle |language=en}}
In December 2023, the company announced former Proofpoint, Inc. CEO Ashan Willy as its new CEO.
Products
New Relic's technology, delivered in a software as a service (SaaS) model, monitors Web and mobile applications in real-time{{Cite news |last=Shinal |first=John |date=June 3, 2013 |title=New Relic headed for an IPO |url=http://www.marketwatch.com/story/new-relic-headed-for-an-ipo-2013-06-03 |access-date=August 9, 2013 |work=MarketWatch}}{{Cite news |last=Babcock |first=Charles |date=February 5, 2013 |title=New Relic Garners $80 Million To Expand APM |url=http://www.informationweek.com/software/application-optimization/new-relic-garners-80-million-to-expand-a/240147835 |access-date=August 9, 2013 |work=InformationWeek}}{{Cite web |last=Kattau |first=Suzanne |date=March 14, 2013 |title=New Relic extends app-performance software to mobile |url=http://sdtimes.com/NEW_RELIC_EXTENDS_APP_PERFORMANCE_SOFTWARE_TO_MOBILE/By_Suzanne_Kattau/About_NEWRELIC_and_SAAS/41521 |access-date=August 9, 2013 |website=SD Times}}{{Cite news |last=Clarke |first=Gavin |date=February 23, 2011 |title=New Relic climbs Amazon's Elastic Beanstalk |url=https://www.theregister.co.uk/2011/02/23/new_relic_amazon_beanstalk/ |access-date=August 9, 2013 |work=The Register}} with support for custom-built plugins to collect arbitrary data.{{Cite news |last=O'Dell |first=Jolie |date=June 19, 2013 |title=New Relic now lets you make plug-ins for any kind of data you've got |url=https://venturebeat.com/2013/06/19/new-relic-now-lets-you-make-plugins-for-any-kind-of-data-youve-got/#7yJFPfBwYQXlwIiJ.99 |access-date=August 9, 2013 |work=VentureBeat}}
Operations
New Relic is headquartered in San Francisco. Its CEO as of January 2024 is Ashan Willy.
The company partners with companies including IBM Bluemix, Amazon Web Services, CloudBees, Engine Yard, Heroku, Joyent, Rackspace Hosting, and Microsoft Azure as well as mobile application backend service providers Appcelerator, Parse, and StackMob.{{Cite news |last=Deutscher |first=Maria |date=July 19, 2013 |title=New Relic Supports OpenStack via Rackspace Partnership |url=http://siliconangle.com/blog/2012/07/19/new-relic-supports-openstack-via-rackspace-partnership/ |access-date=August 9, 2013 |work=SiliconANGLE}}{{Cite news |date=June 19, 2013 |title=Pivotal Contributes Open Source Plugins for New Relic's Pluggable Monitoring and Management Platform: RabbitMQ and Web Server |url=http://www.dopisbetter.com/McCloud/pivotal-contributes-open-source-plugins-for-new-relics-pluggable-monitoring-and-management-platform-rabbitmq-and-web-server/ |url-status=dead |archive-url=https://web.archive.org/web/20131029193022/http://www.dopisbetter.com/McCloud/pivotal-contributes-open-source-plugins-for-new-relics-pluggable-monitoring-and-management-platform-rabbitmq-and-web-server/ |archive-date=October 29, 2013 |access-date=August 9, 2013 |work=McCloud}}{{Cite news |last=Humble |first=Charles |date=September 13, 2011 |title=New Relic Offers Real-time Performance Monitoring for Heroku Java users |url=http://www.infoq.com/news/2011/09/heroku-new-relic |access-date=August 9, 2013 |work=InfoQ}}
References
{{reflist|30em}}
External links
{{Commons category}}
- [http://newrelic.com New Relic]
{{Authority control}}
Category:2008 establishments in California
Category:2014 initial public offerings
Category:Software companies established in 2008
Category:Software companies based in the San Francisco Bay Area
Category:Companies based in San Francisco
Category:Website monitoring software
Category:Companies formerly listed on the New York Stock Exchange
Category:American companies established in 2008
Category:Software companies of the United States