WAN acceleration startup Seranoa Networks Inc.
appears to be headed for the all-too-familiar assets sale.
Sources say the company is either dead or at least pining for the fjords. Repeated calls to various Seranoa officials were not returned, and board member Tim Kraskey of YankeeTek Ventures told Light Reading he couldn't comment on Seranoa's situation.
Outwardly, Seranoa is still putting on a happy face -- or a face, anyway. Its Website and phone system are still operating, and Seranoa still occupies 30,000 square feet at 60 Codman Hill Road in Boxborough, Mass.
Commercial real estate firm Meredith & Grew Inc., which is trying to lease out the rest of the building, notes that Seranoa's situation is "up in the air" and that its part of the building might open up as well. Meredith & Grew broker David J. Pergola isn't certain whether Seranoa has ceased operations. "I know they're suffering on hard times," he says.
It's likely Seranoa is preparing to sell off assets, a familiar sight in telecom these past few years (see Optillion Runs Aground, Exit Legra, Stage Right, and Procket's Other Assets Hit the Block). But startups can flatline their way through limbo for some time before reaching a vanishing point. Transponder vendor Blaze Network Products was presumed dead by peers in 2002, but the company resurfaced, sort of, when former executives founded Aduro Inc. and bought out Blaze on New Year's Day 2004 (see Aduro Acquires Blaze).
Once a coy stealth company, Seranoa raised $25 million in two venture rounds (see Secretive Seranoa Scores $15.75M and Seranoa Scores $9M More). Its WANport was an IP edge aggregation device, grouping together circuits to let customers get more bandwidth from their installed WANs. The company claimed six North American carriers had the product in beta tests as of late 2002, although at least three of these turned out to be rather small operations. After renaming its line the IPeX, Seranoa took the trick to the carrier world last year. (See Seranoa Surfaces, Seranoa Hires CEO, Touts Betas, Seranoa Customers Pipe Up, and Seranoa Tackles Backhaul Bandwidth.) Other companies in the business of WAN acceleration or optimization include Allot Communications, Expand Networks Inc., Packeteer Inc. (Nasdaq: PKTR), Peribit Networks Inc., and Swan Labs Corp.
— Craig Matsumoto, Senior Editor, Light Reading