In 2007 Nirvanix saw that cloud storage was going to be a major necessity for companies in the future and believed they could differentiate from Amazon Web Services (AWS)’s S3 storage service by focusing on the enterprises that also wanted sales engineers, tech support, and other dedicated services. To pursue this mission, Nirvanix raised $70 million from 2007 through 2012 and the company was considered a potential challenger to EMC, NetApp, and Rackspace in addition to Amazon.
But, on Oct 1, 2013, Nirvanix filed for Chapter 11 bankruptcy protection. The company gave customers – some of whom had a petabyte of the only copy of their data stored with them – two weeks’ notice to retrieve their data. Shutdowns are difficult and from what I’ve read, the team at Nirvanix worked hard to help customers get their data back. But for customers faced with finding a new home for petabytes of data, that was a bad day.
Howard Marks wrote a good overview for Network Computing about what happened: The Nirvanix Failure: Villains, Heroes and Lessons
Data Storage Alternatives