Fleet Raises $27 Million in Series B Funding to Expand Open-Source Device Management Platform

Fleet Secures $27M to Challenge Tech Giants in Booming Device Management Market

Open-Source Upstart Rides 6x Revenue Growth Wave in Race for $22B Security-Critical Sector

In a crowded marketplace dominated by tech behemoths, Fleet is charting its own course. The open-source device management company announced today a $27 million Series B funding round led by Ten Eleven Ventures, bringing its total capital raised to $52.3 million amid explosive growth.

The investment comes as organizations increasingly struggle to secure and manage sprawling device ecosystems spanning remote workers, office locations, and cloud infrastructure—creating an urgent market need that Fleet aims to address through transparency rather than lock-in.

"Traditional device management platforms force companies into rigid, cloud-only deployments with limited visibility into how their security actually works," said a senior security analyst familiar with the space. "Fleet's approach—giving customers genuine choice between self-hosting or cloud options—resonates powerfully with security-conscious teams tired of black-box solutions."

Silicon Valley's Best-Kept Secret Emerges

Behind Fleet's rapid ascent lies an impressive client roster that includes technology leaders like Stripe, Uber, and Reddit, alongside content powerhouse MrBeast. These early adopters have helped fuel the company's remarkable trajectory—a sixfold revenue increase over just two years, reaching approximately $10.8 million.

The Boston-based company, founded in 2018, leverages the open-source osquery project to provide transparent device management across macOS, Linux, Windows, and iOS environments. This cross-platform capability has proven critical as enterprises navigate increasingly heterogeneous IT landscapes where traditional Apple-only or Windows-centric tools fall short.

Scott Lundgren, who joins Fleet's board from Ten Eleven Ventures, described the company's growth as "exceptional" in private investor communications. Other backers include CRV and GitLab co-founder Sid Sijbrandij—strategic investors who see parallels between Fleet's trajectory and other successful open-core software companies.

Racing Toward a $22 Billion Prize

Fleet's funding arrives at a pivotal moment for the mobile device management and unified endpoint management market. Currently valued at approximately $12.15 billion, the sector is projected to reach $22 billion by 2027, growing at a compound annual rate of 26%—significantly outpacing most enterprise software categories.

This acceleration stems from converging forces reshaping corporate IT: the normalization of remote work, proliferation of bring-your-own-device policies, and intensifying regulatory pressures around data protection. Organizations across financial services, healthcare, and government sectors face mounting compliance requirements like PCI and FedRAMP that demand comprehensive device visibility.

"The pandemic permanently altered how companies think about their device footprint," noted an industry consultant who advises Fortune 500 firms on security architecture. "It's no longer just about managing laptops—it's servers, cloud instances, even factory robots. Few platforms can handle that diversity at scale while meeting stringent compliance standards."

David vs. Multiple Goliaths

Fleet faces formidable competition. Microsoft's Intune commands 20-25% market share, leveraging deep integration with the company's ubiquitous Microsoft 365 ecosystem. VMware's Workspace ONE claims another 15-20%, while IBM, Jamf, and Ivanti collectively control significant territory.

What separates Fleet from these established players is its foundation in open-source principles—a contrast to the proprietary, closed approaches that dominate the industry. This transparency appeals particularly to security-conscious and developer-led organizations that prioritize customization and auditability.

A channel partner who works with both Fleet and its competitors observed: "When technical teams evaluate Fleet alongside legacy vendors, the conversation changes. Engineers appreciate being able to inspect the code, contribute improvements, and maintain control over sensitive security infrastructure. That's simply not possible with most established MDM tools."

The company's channel strategy includes partnerships with major IT providers like CDW and SHI, extending its reach beyond direct sales.

Navigating the Open-Core Balancing Act

Despite its momentum, Fleet faces significant challenges. Chief among them is the complex task of monetizing open-source technology without undermining the transparency that defines its appeal. The company must also build enterprise-grade certifications and 24/7 support capabilities to compete for conservative buyers in regulated industries.

Fleet's CEO Mike McNeil has emphasized the company's commitment to flexible hosting options—a technical architecture decision that also reflects its business philosophy. This hybrid approach allows customers to start with self-hosted deployments for sensitive environments while maintaining the option to migrate to Fleet-hosted cloud instances as trust develops.

The strategy appears to be working. Fleet's revenue, while modest compared to public peers like Jamf ($646 million ARR) or Uptycs ($100 million), shows strong signs of product-market fit at its current scale.

The Road Ahead: Mid-Market Momentum

Industry analysts suggest Fleet's most promising path forward lies in the underserved mid-market segment—organizations with approximately 5,000 to 25,000 employees that find enterprise solutions overly complex and expensive, yet require more sophistication than SMB-focused tools provide.

"The sweet spot for Fleet isn't necessarily competing head-to-head with Microsoft for global bank deployments right away," explained a venture capital investor specializing in infrastructure software. "It's capturing the thousands of mid-sized companies being overlooked by incumbents—organizations that value both security and developer experience."

Investment Outlook: Promising but Nuanced

For investors watching this space, Fleet represents an intriguing case study in open-core monetization within a rapidly expanding market. The company's $150 million implied valuation (approximately 15x trailing revenue) reflects confidence in its growth trajectory while acknowledging the execution challenges ahead.

Market observers suggest several key metrics will determine Fleet's ultimate success: its ability to convert free users to paid tiers, secure crucial enterprise certifications like SOC 2 Type II and FedRAMP, and maintain net revenue retention above 30%.

If these milestones are achieved, Fleet could realistically capture mid-single-digit market share within three years, potentially positioning it for acquisition by a larger security or IT management provider—or even an eventual IPO if revenues surpass the $100 million threshold.

However, investors should note that Fleet's absolute scale remains small relative to entrenched competitors, and its open-source monetization approach has yet to be fully proven at scale. As with any early-stage enterprise software investment, past performance cannot guarantee future results, and interested parties should consult financial advisors for personalized guidance based on their specific investment criteria.