Tessell Raises $60M to Expand Multi-Cloud Database-as-a-Service and Launch AI-Powered Conversational Database Management

Elliot Kim

Elliot Kim

April 09, 2025 · 4 min read
Tessell Raises $60M to Expand Multi-Cloud Database-as-a-Service and Launch AI-Powered Conversational Database Management

Tessell, a four-year-old startup, has secured $60 million in a new funding round led by WestBridge Capital, marking a significant milestone in its mission to revolutionize the database management landscape. The fresh capital injection will enable the company to expand its market presence, launch an AI-powered conversational database management service, and further develop its multi-cloud database-as-a-service platform.

The need for efficient data management has never been more pressing, with companies struggling to store and manage their data effectively. Legacy database solutions often lack flexibility, while managed database services can be costly and inflexible. Tessell aims to address these challenges with its platform, which leverages decades of database kernel experience from its co-founders to offer enhanced operational database management.

According to co-founder and CEO Bala Kuchibhotla, Tessell's platform is designed to "reimagine" operational data management, offering a more efficient and cost-effective alternative to existing relational database services, including Amazon's RDS. Kuchibhotla, who spent over a decade at Oracle and four years at Nutanix, saw an opportunity to create a more agile and flexible database management solution.

Tessell's platform boasts impressive performance credentials, claiming to deliver 10x the performance of existing database management services while achieving a 64-73% savings within a three-year total cost of ownership. The technology's NVMe infrastructure does away with traditional input-output operations per second (IOPS) metering, providing high IOPS and low latency, along with price predictability. Additionally, Tessell offers zero downtime on migrations and ensures databases remain operational even if one cloud service experiences downtime.

The platform is compatible with all four major cloud service providers – AWS, Google Cloud, Microsoft Azure, and Oracle Cloud – and supports leading database engines like MySQL, Oracle, Microsoft SQL Server, PostgreSQL, and MongoDB. This flexibility makes it an attractive solution for companies seeking to manage their data across multiple cloud environments.

Tessell's AI-powered conversational database management service, which is currently in development, promises to further simplify data management. The service will enable companies to spin up or spin down databases as needed, making it an ideal solution for AI applications. Kuchibhotla emphasized that Tessell's platform supports both traditional databases with vector extensions and standalone vector databases.

The $60 million Series B funding round, which also saw participation from B37 Ventures, Rocketship.vc, and existing investor Lightspeed Venture Partners, will be instrumental in driving Tessell's growth plans. The company, which currently has a headcount of around 143 employees and 40 customers, plans to enter Europe and the Asia-Pacific region, enhance its go-to-market strategy, and invest in R&D to strengthen its services.

In addition to its expansion plans, Tessell is exploring analytics as a potential new line of business. The company aims to enable companies to funnel data from platforms like Snowflake, Google BigQuery, or Microsoft Fabric for analysis on Tessell, further solidifying its position as a comprehensive data management solution provider.

With its innovative approach to database management and significant funding injection, Tessell is poised to make a significant impact in the cloud computing landscape. As companies continue to grapple with the challenges of data management, Tessell's platform is well-positioned to provide a much-needed solution.

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