11 October 2002 -- Stockholm-based Transmode Systems AB has secured third-round funding of USD8m, led by existing investors Amadeus Capital Partners and European Equity Partners (EEP).
Since 2000, Transmode has developed a coarse wavelength division multiplexing (CWDM) system, which has been shipping since March 2001. Transmode says that it is now experiencing strong sales growth, with customers in the Europe, USA and Asia.
In spite of, and to some extent because of, the depressed state of the telecoms equipment market, CWDM is gradually gaining acceptance as a low-cost and efficient alternative to DWDM in cities and towns. "Customers are turning to Transmode because we have a product that satisfies their requirement for low whole-life costs, scalability and transparency," says CEO Isaac Olasoko.
"We are going to build on this foundation by adding new features to our product and be even more aggressive in pursuing the opportunities that our CWDM system is opening up for us," Olasoko adds. Apart from developing new features on the existing product, the latest funds will also be used to expand the global sales organisation.
"We are confident that Transmode can continue to win quality customers across the globe," says Hans Blomberg, general partner of European Equity Partners.
Amadeus director Hermann Hauser adds: "Here is a company achieving sales of its products in a very difficult market because it is focusing on cost-effective and fast ways of transmitting data in metropolitan environments that enterprises and carriers -
cutting costs as they are - cannot afford to ignore".