WANdisco signs follow-on agreement worth $7.1m with a large European automotive components supplier
The client initially entered into a commit-to-consume contract with WANdisco valued at a minimum of $5m over five years, which was announced in July.
In a statement, WANdisco said: “Terms were originally signed to replicate automobile sensor data to the Amazon Web Services cloud. However, initial data to be transferred exceeds the volume of data agreed in the original contract. As a result, WANdisco has entered into the follow-on contract with the terms of the contract providing that 50 per cent of the aggregated $12.1m will be paid in advance.
“The client expects to see its data needs grow further over the lifetime of the contract, as an increasing number of vehicles incorporate their sensors from which data is collected representing a potentially significant expansion opportunity for WANdisco.
"As it is a commit-to-consume contract, revenue will be recognised as the client moves its data.”
David Richards, the chief executive and co-founder of WANdisco, said: “We are pleased to announce this follow-on deal with a key client in an exciting target market, reaffirming the substantial opportunity for WANdisco in this key vertical. IoT data is playing a critical role in the transformation of technologies such as ADAS.
He added: “These powerful systems need to process vast amounts of data and execute instructions, using an array of sensors continually and successfully.
"These evolving and growing data needs both in automotive and across multiple sectors give us confidence in the further significant opportunities for our business as we look to build and execute on a strong pipeline of future deals.”