Ruckus Wireless Secures $16 Million in Strategic Financing From Top Telecom and Consumer Electronics Companies
Motorola Ventures and T-Online Ventures Among New Investors to Help Ruckus Wireless Bring Smart-Wi-Fi Multimedia Distribution System into the Home
SUNNYVALE, CA, October 9, 2006 – Credited with developing the first "smart Wi-Fi" products and technology, Ruckus Wireless today announced that it has secured $16 million in new financing from some of the world's leading consumer electronics and telecommunications companies.
Motorola, Inc. (NYSE: MOT), through Motorola Ventures, its strategic venture capital arm, led the third round along with T-Online Venture Fund and other private investors. The new corporate investors join existing Ruckus Wireless investors who include Sequoia Capital, Sutter Hill Ventures, Investor AB and WK Technology Fund.
"Ruckus Wireless is clearly poised to capitalize on what has become a massive move to digital content and services within the connected home," said Warren Holtsberg, corporate vice president, equity investments, Motorola, Inc. "Our investment reflects confidence that Ruckus Wireless is uniquely positioned in this space and is delivering a compelling technology to dramatically improve the performance and reliability of Wi-Fi."
The new financing increases the total investment in Ruckus Wireless to $30 million since its formation in June of 2004. The proceeds will be used to rapidly scale production, operations and sales and marketing worldwide.
"New broadband digital services are driving the requirements for next generation home networks," said Selina Lo president and CEO of Ruckus Wireless.
"Being able to attract such world-class companies is the ultimate seal of approval that we are in the right place at the right time with the right solution. While the debate over what works best in the home will continue, it's hard to argue with powerful financial backers, real customers and proven, innovative new products in a hot market!," said Lo.
Since delivering MediaFlex to the market in the fourth quarter of 2005, Ruckus Wireless has supplied its smart Wi-Fi system to more than 75 broadband operators around the world. The company's next generation system, MediaFlex NG (see related release), becomes the industry's first in-home wireless system that lets providers remotely view and manage consumer Wi-Fi environments while reliably extending the location-freedom of Wi-Fi to challenging applications such as digital television.
"We found Ruckus Wireless to be the only solution provider to have truly addressed the problem of moving multimedia around the home without new wiring," said Petra Buchholz, fund manager for T-Online Venture Fund. "The last 100 meters represents one of the last major obstacles for operators, and one that Ruckus is attacking with a unique yet practical approach."
About Motorola Ventures
Motorola Ventures (MV) is the global, strategic venture capital investment arm of Motorola, Inc. MV actively invests at all stages in developing companies of strategic value to Motorola in order to accelerate access to new technologies, new markets and new talent. For more information: www.motorola.com/ventures
Motorola is known around the world for innovation and leadership in wireless and broadband communications. Inspired by our vision of Seamless Mobility, the people of Motorola are committed to helping you get and stay connected simply and seamlessly to the people, information, and entertainment that you want and need. We do this by designing and delivering "must have" products, "must do" experiences and powerful networks -- along with a full complement of support services. A Fortune 100 company with global presence and impact, Motorola had sales of US $36.8 billion in 2005. For more information about our company, our people and our innovations, please visit www.motorola.com.
About T-Online Venture Fund
The T-Online Venture Fund was established in 2001 and equipped with an investment volume of EUR 100 million. It is managed by T-Venture, the venture capital entity of Deutsche Telekom. Its aim is to support the T-Online business unit in the strategic business segment Broadband/Fixed Network of Deutsche Telekom AG in its objectives. For additional information about T-Venture and the T-Online Venture Fund, please visit www.t-venture.de.