Wipro had first invested in the company about four months ago, and seems to have liked what it saw. It made the latest investment by converting some of its options.
Drivestream is privately held and has a workforce of around 73 employees in the US.
While companies like Wipro have made their fortunes implementing traditional packaged enterprise software from the likes of SAP and Oracle, Drivestream focuses on the new-age, cloud-based offerings of Oracle — something that is bang in the middle of Wipro’s focus area.
“Drivestream’s innovative and comprehensive cloud service offerings such as Complete Cloud and Cloud Assure enable companies of all sizes and industries to implement new cloud solutions or migrate existing on-premise applications to the cloud,” Wipro said.
Established in 2001, Drivestream focuses on Human Capital Management, Enterprise Resource Planning (ERP) and Customer Experience (CX) modules of Oracle’s enterprise offerings.
Even as Drivestream has not been immune from the industry-wide trend of declining revenue from Oracle and SAP implementations, the company has been able to generate more and more of its revenue from cloud services.
Drive stream had revenue of $18.9 mln in 2014 and 23 mln in 2015. It fell to 20.5 mln last year.
However, cloud revenue increased from $5.9 M in 2014 to $14.5 mln last year, or about 72% of the total revenue.
“This investment provides Wipro and Drivestream’s customers the ability to benefit from Drivestream’s market leading Oracle cloud HCM and Oracle cloud ERP solutions and Wipro’s end to end Oracle services,” said Wipro.
“Wipro’s global customer base in the enterprise market coupled with Drivestream’s established credentials of successful cloud implementations in the mid-market will offer unparalleled value to the customers,” it added.