SiTera Inc. has received $14 million in second-round funding -- bringing the total capitalization for the Longmont, Colo.-based network-processor startup to $24 million.
Investors in SiTera now include Berkeley International Capital Corp., San Francisco; InterWest Partners; Matrix Partners; Greylock; and Sevin Rosen.
SiTera will use the new funding to further develop its network-processor product lines and expand its marketing and sales operations, according to Wade Appelman, vice president of marketing for the company.
This year, SiTera will introduce its initial family of network processors, which are designed for use in high-end LAN/WAN equipment such as switch routers, routers, and others, Appelman said.
A recently adopted term for a class of communications-enabled CPUs developed by MIPS Technologies Inc., Motorola Inc., and others, the network processor is basically a specialty chip designed to boost data-packet-processing functions in high-end LAN/WAN equipment.
A handful of chip start-ups, including Agere, C-Port, Maker, MMC, SiTera, Softcom, and T.sqware, are introducing new twists on the technology-programmable network processors designed to offer a novel solution for the lingering bandwidth problem.
Also stirring up the market is the recent entrance of Intel Corp. and Texas Instruments Inc. Others, including Alliance Semiconductor Corp., IBM Microelectronics, LSI Logic Corp., Lucent Technologies Inc.'s Microelectronics Group, and Vitesse Semiconductor Corp., expect to announce network processors this year, according to sources.
The worldwide network- processor market is projected to grow to $300 million or more by 2002, according to International Data Corp., Framingham, Mass.