ExaGrid makes disk-based storage, an alternative to the tape-drive storage that most corporations still use for backing up large volumes of data.

According to the company’s release (found here), their customers report 30 to 80 percent faster backups over tape, which takes a long time to back up data but is favored because it is cheap. The costs are about the same.

The funding is the Westborough, Mass. company’s third, bringing its lifetime total to $65 million. It was led by Lehman Brothers Venture Partners, and previous investors Highland Capital and Sigma Partners also participated.