VirtualZ Computing, a software startup that seeks to bridge two of the world's biggest domains for data, has raised $2.1 million in a new funding round.
The Minneapolis company specializes in software to convert data stored on IBM mainframe computers with that on cloud data systems. IBM systems have been the bedrock of data repositories for decades, used by governments, banks and most big corporations.
"Mainframe computers run the world," said VirtualZ CEO Jeanne Glass said. "Anytime you talk on your cellphone, use a credit card, make a payment online, do a transaction online, you’re using a mainframe."
Cloud systems are newer, but have become so ubiquitous that many companies use both. However, mainframe data is usually in file formats that cloud-based systems can't read, meaning translation and transfer software is used to bridge the two.
But that technology also can have security and accuracy issues. "(It) creates copies of the data, which could have cybersecurity implications," Glass said. "Also, the information isn't the most up-to-date. So, if someone were checking their bank account on a mobile app, oftentimes, the balance would be out-of-date because it’s a copy of the data."
VirtualZ's software, in contrast, allows the application to view, read and write the data in real-time, eliminating the need for copying the information from the mainframe. A separate product does the opposite, letting a user working on a mainframe system update data in the cloud.
Glass, who previously worked at computing giant Computer Associates Inc. and the financial industry's Fair Isaac Corp. (known for its FICO credit scores), launched VirtualZ computing in 2018. It currently employes nine people.
Moving into 2025, VirtualZ plans to build its existing customer and partner relationships, expand direct and indirect sales, and further its product roadmap.
She said VirtualZ is the first woman-founded, Native American-founded IBM mainframe software company — (Glass's heritage is Minnesota Ojibwe; her grandfather lived on the White Earth Reservation).
