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MuleSource Targets $8.5 Billion Market With Java-Based, Open Source Approach to Integration

As Mule becomes industry's most-downloaded open source platform for integration, new Hummer Winblad and Morgenthaler-funded start-up greets user base with 24x7 enterprise-level support and services options
Tuesday, October 3, 2006

SAN FRANCISCO, CA -- October 3, 2006 -- MuleSource (www.mulesource.com), a leading provider of open source infrastructure and integration software, today announced its Series A round of venture capital funding and go-to-market strategy targeting an $8.5 billion software integration opportunity (Gartner: June 2006). With a $4-million investment from Hummer Winblad and Morgenthaler, MuleSource becomes the official support and services organization backing Mule (http://mule.mulesource.org), the fastest-growing open source platform for integration, with more than 200,000 downloads since its 1.0 release in 2005, and large-scale production use at major enterprises worldwide.

Mule is a Java-based platform that enables enterprise developers to perform a wide variety of integration tasks, from bringing new applications into production, to modernizing legacy applications and platforms, to enabling SOA (Service-Oriented Architecture). Mule's programming model enables faster integration results than proprietary solutions, at a fraction of the cost. And unlike proprietary approaches that frustrate users with complex, closed frameworks, specialized skill sets and architectural lock-in, Mule's modular design enables enterprise developers to take integration into their own hands.

"Typically, when you turn to a proprietary vendor for integration, they try to push a complex SOA / ESB / WS-* stack at you that costs big money and is tremendously complex," said Jin Chun, Chief Applications Architect of Global Link, State Street Bank's multi-asset electronic network. "The beauty of Mule and the open source approach to integration is that it allows you to simply get 'hooks' in and out of systems for data transformation, and to do the integration you need, without forcing you down an expensive vendor lock-in path."

Mule is already in mission-critical production environments worldwide, including several of the world's largest financial, telecommunications and transportation companies. With more than one billion transactions passed through Mule servers since 2005, Mule is the industry's most battle-tested open source integration approach. Mule is designed to allow developers to start new integration projects "at the edge," and to connect disparate applications in an incremental manner.

"The learning curve of doing integration in the traditional J2EE / EJB environment with proprietary tools is incredibly large and discouraging," said Mark Koch, Senior Architect at nationwide data storage consulting and integration firm SANZ. "Mule is a huge breakthrough because it's designed for the typical developer's Java skill sets, and makes it incredibly easy to write integration services and get new endpoints communicating. At SANZ, we cut our integration cycle in half when we started using Mule. And because we aren't bound to any specific standards or technologies, it gives us a very flexible foundation for addressing new integration needs as they arise."

Because of Mule's simplified development model, the product has been adopted in a wide range of enterprise integration scenarios. Top Wall Street investment banks with trillions of dollars under management are using Mule as the backbone for data transport in high-volume trading environments, frequently side-by-side with JMS or IBM MQ Series. Mule is also increasingly being used in tandem with the Spring Framework and Apache Tomcat to create the so-called "SMuT" stack -- an open source application server alternative to BEA WebLogic and IBM WebSphere. These complimentary open source technologies all honor the premise of simple-to-use but powerful frameworks enabling developers to build enterprise applications from plain Java objects (POJOs).

"CIOs are rapidly moving away from proprietary standards and frameworks," said Ann Winblad, co-Founding Partner at Hummer Winblad Venture Partners, and MuleSource board member. "The movement to Service-Oriented Architectures and the openness of the software stack with the Mule integration platform give businesses the flexibility and expediency to manage their data and complexity of in-place proprietary systems."

"The software integration market is ripe for disruption by the open source model," said Gary Little, General Partner at Morgenthaler Ventures, and MuleSource board member. "Large customers have invested in hundreds, if not thousands, of legacy home grown and vendor applications. Today's business imperative is to quickly develop new services that unlock and combine data from these valuable yet incompatible systems. MuleSource has created a community of like-minded developers who create and benefit from the vast multitude of connectors, adapters, protocols and APIs required to build new solutions, all written in easily understood source code. The customer appeal for such an approach has the potential to commoditize and democratize the $8 billion integration marketplace and speed the shift towards more flexible service oriented architectures."

With the company launch, MuleSource also announced its first strategic technology partners: ActiveGrid, Alfresco, cohesiveFT, EnterpriseDB, Funambol, GigaSpaces, Hyperic, Interface21, Jaspersoft, MySQL, OpenLogic, Rivet Logic and SugarCRM. Technology vendors and systems integrators interested to learn more about the benefits of partnering with MuleSource should visit (http://www.mulesource.com/partners/) for more information.

"An open source approach to integration is inherently better for end users," said Dave Rosenberg, CEO of MuleSource. "We've seen open source's ability to disrupt markets, and with integration, there's no question that many proprietary vendors will be dramatically affected. The inherent advantages of open source - the transparency of the code, the low acquisition cost, the flexibility - are all major absences from proprietary vendors. Integration and SOA infrastructure are very large, underserved market opportunities best served by open source."

Ross Mason, now Chief Technology Officer of MuleSource, originally created Mule in 2003. Frustrated by common integration "donkey work" and overly-complex and expensive programming models of proprietary integration vendors, Mason set out to create a new platform that emphasized ease of development and re-use of components.

The base installation of Mule 1.3 today supports more than 30 common standards, protocols and technologies, including: JMS, JBI, EJB, Spring, JDBC, TCP, HTTP, Web Services and more. For a complete list of technologies and standards supported, visit: http://www.mulesource.com/products/.

"From a customer perspective, the impact of open source on traditional enterprise software markets, such as the application server and relational database has been both profound and transformative," said Stephen O'Grady, Senior Analyst at RedMonk. "From better leverage in pricing to the ability to get access to the code itself, open source has proven to be a popular choice. Thus far, integration has not seen the same impact, but the emergence of Mule could play a role in changing that."

MuleSource support subscriptions (http://www.mulesource.com/support/) provide a comprehensive set of enterprise-class software, support and services directly from the developers of the Mule project. MuleSource support provides everything an enterprise needs in a single, unified offering to successfully develop and deploy business critical applications using Mule.

About MuleSource
MuleSource is the leading provider of open source infrastructure and integration software. Founded by the creators of the Mule project (http://mule.mulesource.org), the world's most reliable and widely-used open source ESB and integration platform, MuleSource delivers enterprise-class support and services to the hundreds of organizations that have downloaded the open source project worldwide. Founded in 2006 and backed by investors Hummer Winblad Venture Partners and Morgenthaler Ventures, MuleSource is headquartered in San Francisco.

Travis Van