Overture Grabs More Funding
Overture Networks Inc. picked up $17.2 million in funding today, trying to take advantage of an expanding market for Carrier Ethernet.
The lead investor was QuestMark Partners . (See Overture Raises $17M.)
Overture has now raised more than $60 million -- not much, when you consider the company is 10 years old.
"We didn't need money from an ongoing-concern perspective," says Dave Stehlin, Overture's president. "We saw an opportunity to accelerate our development and expansion plans even more."
Stehlin says business has been expanding, and Overture has responded by increasing headcount 20 percent during the past year, to more than 100. The company has focused on edge and aggregation gear for native Ethernet transport and for Ethernet over TDM, and it's been aided in those markets by the late-2008 acquisition of Ceterus Networks. (See Overture Snaps Up Ceterus.)
Key markets for Overture are what you'd expect: business services and wireless backhaul. Heavy Reading recently reported that Overture had top market share for Ethernet over TDM in 2009, with bookings that increased 69 percent over the prior year's. (See Heavy Reading Ranks Overture No. 1 and Carrier Ethernet Access Platform Market Abuzz.)
The expansion plans for the new money include new customer engagements and new product areas, Stehlin says -- but, of course, he's not elaborating on that.
— Craig Matsumoto, West Coast Editor, Light Reading