Venture capitalists back Hungarian communications

Investee Company – LaserBit Communication Corporation

Investee Company Country – Hungary

Investee Company Business Type – Develops, manufacturers and markets wireless free-space laser-based transmission systems

Type of Financing – Expansion

Equity Providers – Intel Capital, Sandler Capital and Technology Holding

Equity Leader (Individual) – Yohan Webber, Intel Capital

Debt Providers – N/A

Debt Type – N/A

Debt Leader (Individual) – N/A

Equity Amount – $6 million

Total Deal Value – $6 million

Other Advisors – PricewaterhouseCoopers

Comments – Budapest-based LaserBit Communication Corporation has received $6 million funding. The British-American-Hungarian venture, established in 1999, develops, manufactures and markets wireless, free-space laser-based voice, data and video transmission systems and telecommunication equipment for optical networks (E1/T1, E2/T2, E3/T3 copper to fiber converters and multiplexers). Carrying data using a concentrated laser beam and unique modulation technique employed to ensure error free data transfer for up to five kilometres. LaserBit’s solution’s remove the need to install cables, rental costs and licensing requirements, and are suitable for factories or industrial environments where high noise levels can interfere with transmitted data, or for connections across natural or artificial obstacles where laying cables is impractical.

The funding is LaserBit’s second investment round. It received start-up capital of $700,000 in 1999 from the Hungarian Innovative Technologies Fund.

LaserBit’s target customers are telecommunication companies needing high band-width data transfer, such as Internet Service Providers, cellular phone operators, UMTS systems, landline telecom companies and organisations with multiple facilities. LaserBit’s products are sold across Europe and the US.