VBrick Systems Inc. may have announced that it closed an $11.9 million round of financing, but its CEO says current market conditions could cause the company to take a less aggressive approach to the enterprise video segment.

VBrick reports that the financing round, which closed in September, was led by Menlo Ventures , Morgan Stanley , RedShift Ventures, and Adams Capital Management.

VBrick sells software and appliances that are designed to facilitate the encoding, storage, and management of live and on-demand video in enterprise environments. The company's revenues now are about equally split among government, education, and corporate customers, but VBrick sees a large opportunity in the corporate market.

To capitalize on the opportunity in the corporate market, VBrick raised capital and has partnered with a number of large systems integrators to expand its sales channel. The company is now partnered with IBM Corp. (NYSE: IBM), Microsoft Corp. (Nasdaq: MSFT), Polycom Inc. (Nasdaq: PLCM), and Hewlett-Packard Co. (NYSE: HPQ).

VBrick CEO Vince Graziani says the decision to raise capital came after the company posted record numbers in the third and fourth quarters of last year. VBrick reached profitability in 2007, and in the first half of 2008 the company saw a 55 percent increase in sales over the previous year's numbers.

According to Graziani, all of this caused a few company insiders to get very bullish and think about ways the company could expand with external funds. Hence the funding round. But despite being awash in cash and profitable, VBrick probably won't be as aggressive as it first imagined when it set out to raise the current round of financing. 

"Between the time the initial plan was launched and now, the world feels like a very different place," Graziani says. "Our 2009 spending plan is much more conervative than it was in May."

While the company is still looking at growth opportunities for its enterprise digital video products, the company will do so in a measured fashion.

"We will continue to fund expansion, but we will remain profitable," Graziani says. "When the markets turn around, we want to have a war chest to compete."

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