invests in another 'cloud'

Elastra, which provides a scalable database that's stored on Amazon's Web Services, has raised $12 million in series B funding from investors, including Amazon. is taking a different kind of interest in the software companies using its cloud computing services.

On Tuesday, Elastra , provider of a scalable database that's stored on Amazon's Web Services, will announce that it has raised $12 million in a series B round of financing from Amazon, Bay Partners, and previous investor Hummer Winblad.

Elastra plans to use the money to further develop its database software. Neal Dempsey of Bay Partners will join Elastra's board.

This is Amazon's second investment in less than a month in cloud computing. In July, Amazon was among several investors to put $15 million in Engine Yard , which caters to developers that work in Web development environment Ruby on Rails.

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    Stefanie Olsen covers technology and science.


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