SAN JOSE -- S. Atiq Raza, the Silicon Valley entrepreneur and former president and chief operating officer of Advanced Micro Devices Inc., today announced the formation of Raza Foundries Inc., a new company devoted to the development of leading-edge, broadband networking andcommunications companies.
The startup has received early-round funding from lead investor and affiliate Benchmark Capital in addition to Technology Crossover Ventures and Bowman Capital.
Raza Foundries is the first company to provide complete, hands-on engineering, management, and broadband communications and wireless networking domain expertise as well as funding to accelerate product development and build companies faster than would be otherwise possible.
Currently, it is working with nine partner companies in the areas of optical networking, traffic engineering, wireless and other rapidly growing segments of the Internet infrastructure.
In April, YuniNetworks, an early Raza Partner Company developing multi-terabit switching fabric technology, was sold to San Diego-based Applied Micro Circuits Corp. for approximately $250 million in stock after just three months working with Raza Foundries.
"Raza Foundries is a new model for building leading-edge, broadband networking and communications companies focused on advancing the Internet infrastructure," Raza said. "Our team joins the team of our partner companies, augmenting the capabilities of the founders with the same commitment to success. By applying our proven engineering, management and domain expertise to all functional areas of a company's development, we can reduce time to market and build excellent organizations."
Unlike so-called incubators, which make available various levels of administrative resources to the development of dot.com companies' ideas, Raza said, Raza Foundries works with entrepreneurs in the high intellectual property, high-barrier-to-entry broadband networking and communications marketplace. Specifically, Raza Foundries uniquely provides hands-on engineering experts as well as other resources in all functional areas. Raza's own team of
experienced managers and engineering experts become part of the company team, complementing existing expertise, and work to apply Raza Foundries' Best Practices Management and Fast-Track Engineering Methodology.
"Raza Foundries accelerates the value creation process with an intensity rarely seen," said Bruce Dunlevie, general partner at Benchmark Capital. "Raza Foundries is a breed apart from the myriad 'dotcom' incubators out there today, in that it tackles technology projects of great complexity and instills in its portfolio companies the necessary disciplines to get their complex products to market quickly. Raza Foundries has all the tools: world-class talent in all functional areas, expert domain knowledge in broadband networking and communications, and a proven best-practices approach to building companies," he said.
"Raza Foundries is executing exactly the right idea, at exactly the right time, in exactly the right marketplace."