The Mobile sector was the one bright spot during the quarter, with 18 companies securing $141 million in new funding, representing a 17% increase in funding amounts over the previous quarter. The funding activity was divided among a few relatively large rounds and remaining smaller rounds.
SOMA Networks garnered $51 million to help it continue its international expansion and fund what it calls the "industry's largest WiMAX network” with India’s state-owned telecommunications company.
JumpTap received $26 million in its series D financing round, supported by a number of venture capital and private equity firms. JumpTap provides technology for advanced mobile search and advertising applications, and said it would use the funding proceeds to continue its expansion in the United States and Europe.
Amobee Media Systems raised another round of funding, for an undisclosed amount. Notably, this round included major corporate strategic investors, Cisco Systems, Motorola Ventures and Vodafone, in addition to its existing venture capital investors. The company said that the investment followed a global alliance with Spanish telecom giant Telefonica.
The Communications sector continued to see declines, with four companies raising only $21 million, representing declines of 20% and 25% versus the previous quarter, respectively.
Fremont, California-based Digital Fountain landed $5.2 million in new funding. The company licenses forward error correction (FEC) technology that enhances the quality of data network communications.
HyperQuality secured $7.6 million to support its business plan to provide operations improvement systems to enterprise contact centers.
OmniLink Systems garnered $4.6 million from Grotech Capital Group and Imlay Investments. OmniLink provides electronic monitoring systems for both assets and people in the commercial and judicial markets.
Venture Funding Activity – 3rd Quarter 2008
||- 69 %
||- 58 %
||- 48 %
||- 45 %
||+ 17 %
||- 10 %
||- 25 %
||- 20 %
||- 38 %
||- 36 %