The Big Data Report

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TABLE OF CONTENTS

A MESSAGE FROM ORRICK 2

5 YEAR FINANCING TREND 4

MOST ACTIVE INVESTORS 5

TOP US MARKETS 6

TOP INTERNATIONAL MARKETS 7

FOCUS AREAS WITHIN BIG DATA 8

2012’S LARGEST FINANCINGS 9

INVESTMENTS BY STAGE 10

MEDIAN AND AVERAGE DEAL SIZES 11

EXIT ACTIVITY 12

TOP ACQUIRERS 13

DIVERSITY OF BIG DATA 14

The Orrick Emerging Companies Practice presents

The Big Data Report

The Big Data Report

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A Message from Orrick

2

With all due respect to Calvin Coolidge, it seems that “the

business of the country is . . . data.”

Here at Orrick it seems that everywhere we look we find our

clients building or financing businesses that were formed for

the purpose of compiling, analyzing and/or acting on large

streams of data, often in real time. Among those are firm

clients like Datasift, Verticloud and Selerity that accessed the

venture capital markets in 2012. While not included in the

2012 statistics presented here, the first week of February has

already included notable venture financings for New York City-

based big data startups Sailthru and Nomi. In addition, one of

the largest tech growth stage financings so far this year was

the $800 million leveraged recapitalization of Survey Monkey.

We believe that the data is telling us that big data is here to

stay for the foreseeable future. We’re happy to be a part of the

big data economy through our clients and we’re proud to

sponsor the Big Data Report – an invaluable insight into the

big data economy in 2012 and beyond. .

Sincerely,

David Concannon

dconcannon@orrick.com

Bio

David L. Concannon is a partner in the firm’s global Emerging

Companies Group. He leads our East Coast practice and works

closely with the entrepreneurial and venture capital community to

help technology companies secure financing and strategize exit

and growth opportunities. Concannon brings extensive

experience in general corporate and securities work, capital

markets, as well as mergers and acquisitions. His core industries

include technology, life sciences and cleantech/energy.

The Big Data Report

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About Orrick Total AccessOrrick’s TOTAL ACCESS Event Series provides entrepreneurs

business, tactical, and legal education through complimentary

panels and seminars. Presented by experienced industry CEOs,

venture capitalists, and Orrick lawyers, TOTAL ACCESS offers

insights on cutting-edge issues and an opportunity to network with

leading professionals in the startup community.

For more information on Orrick Total Access, please visit:

www.orrick.com/totalaccess

3

About CB InsightsThe company, financing and M&A data and trends in this report are

sourced from CB Insights, a National Science Foundation-backed

data company that tracks VC, angel, private equity investment

along with private company exits (M&A/IPOs).

For more information on CB Insights, please visit

http://www.cbinsights.com

About OrrickOrrick is one of the leading law firms for the representation of

entrepreneurs, emerging companies, and investors. With more

than 1,000 emerging clients worldwide, we provide in-depth

experience, a focus on early stage companies, a network of strong

investors, capabilities that scale with clients as they grow, and

global resources for long-terms growth and success. Our emerging

companies group has acted as counsel in one of the largest venture

capital financings each year since 2006 and represents clients who

have been listed in The Wall Street Journal’s Top 50 Venture-

Backed Companies, BusinessWeek’s 50 Best Tech Start-Ups,

Time’s Top 50 Web Sites, AlwaysOn Media 100, and GoingGreen

100.

For more information on Orrick, please visit:

www.orrick.com

The Big Data Report

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4

$4.9 Billion Invested Across 523 Big Data Deals Since ’08As evidenced by financing and deal activity, Big Data is gaining steam. 2012 saw 19.5% more deals

YoY than 2011. Funding actually dipped 6.8% in 2012 as 2011 was helped by several large big data

financings to the likes of Oslsoft, Mu Sigma and Opera Solutions.

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5

SV Angel Leads the Pack with Most Big Data InvestmentsSequoia Capital and data-oriented venture firm, IA Ventures, round out the top 3 for most active

venture firms into big data companies. The twenty most active firms have all made 6 or more

investments into big data firms.

Investors Unique Co Investments

SV Angel 14

Sequoia Capital 13

IA Ventures 13

New Enterprise Associates 12

First Round Capital 10

MDV-Mohr Davidow Ventures 9

Andreessen Horowitz 9

Khosla Ventures 8

Battery Ventures 8

Benchmark Capital 8

Lightspeed Venture Partners 7

True Ventures 7

Redpoint Ventures 7

Intel Capital 7

In-Q-Tel 7

Crosslink Capital 7

Accel Partners 7

Greylock Partners 7

SoftTech VC 6

Kleiner Perkins Caufield & Byers 6

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The Big Data Report

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6

Not Surprisingly, Cali Dominates. NY Comes in Second.Like tech investing in general, Cali and NY take the top 2 spots with Cali the clear leader. Cali sees

the most deals and dollars to Big Data infrastructure while NY is more focused on Big Data

applications. Mass rounds out the top 3. Indiana buoyed by ExactTarget.

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7

The UK and Canada are Top Int’l Markets for Big DataOn both deals and funding, the UK and Canada lead international markets for Big Data. In a

surprise, Belgium cracks the top 3 for Big Data transactions and for funding.

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8

Big Data Analytics Gains on Deals and DollarsWhile Big Data Infrastructure saw the most funding in 2008, it has steadily lost share on both deals

and funding to Big Data Analytics over time as capabilities that help user make sense of data have

seen a steady uptick.

The Big Data Report

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9

Big Money to Big DataCloudera and Palantir, both oft-rumored IPO candidates, saw the two largest individual financing

rounds to big data companies in 2012. The top 10 financing rounds of the year hauled in a total of

$399 million representing almost 30% of the total investment to Big Data companies in 2012.

The Big Data Report

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10

The Big Data Opportunity Remains Nascent Funding by stage of company demonstrates that early stage investment (seed, angel and Series A)

continues to be significant as the opportunities and markets that Big Data can impact remain diverse

and largely untapped. (see page 14 for some examples)

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11

5 Year Median Deal Size at $5.5M and Average at $9.8MAlthough later stage deals have increased in size, the continued high levels of activity at the early

stages has kept average and median financing deal sizes generally within a tight range over the last

five years.

The Big Data Report

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12

Big Data Exit Activity Saw Acceleration in 2012QlikTech kicked off the Big Data IPOs in 2010 (before Big Data was en vogue). 2011 saw

Responsys go public and 2012 saw the Big Data IPOs of Splunk, Proofpoint and ExactTarget.

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13

IBM is the Most Active Acquirer of Big Data CompaniesWhile IBM leads by a significant margin, Oracle has also done a couple of deals in the Big Data

space and numerous players have done one acquisition in the world of Big Data.

The Big Data Report

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14

The Diversity of Big DataFrom exploration of ocean data to waste management logistics to digital health, big data applications

are attacking a wide variety of problems.

Marinexplore is a big data collaboration platform for searching,

analyzing and collaborating with ocean data. Data is organized

into computationally efficient storage, making it easy to explore,

access and download ocean data from different devices and

data sources.

DNAnexus has created a DNA data management and analysis

platform that provides instant online genomics data centers for

researchers and sequencing service providers alike.

ClickFox offers a cross channel solution capable of aggregating

data from all customer touch points and from other limited

analytics sources, such as speech analytics, web analytics,

quality monitoring, agent scoring, workforce optimization and

beyond.

Enevo provides smart sensor technology and big data to

improve the logistics of the waste management industry.

iMapData helps government and commercial organizations

quickly make intelligent, data-driven decisions. Using

iMapData's web-based applications, customers can correlate

information with the company's library of cleaned and regularly

updated data to clarify complex scenarios and reach actionable

conclusions.

Sawbuck offers a mobile app, HomeSnap, that allows users to

snap a picture of any home in the U.S. and then uses

algorithms to identify each home and provide consumers with

detailed information including tax records, MLS data, school

information, attendance zones, Census demographics,

neighborhood information, lot boundaries, and geolocation data.

HealthTap is an Expert Health Companion that tailors

information to each of its unique users based on their individual

health characteristics. The resource combines expert input from

physicians, together with community insights and data from its

proprietary medical knowledge base to help people make better

health decisions.