Liquid Computing secures US$14M in Series A financing
Funding to complete development of ground-breaking server innovation
OTTAWA, Ontario, Canada – May 9, 2005 – Liquid Computing Corp., an Ottawa- and Los Altos, California-based company developing a new class of computing server, today announced it has secured US$14-million in a Series A financing round from a North American investment syndicate including VenGrowth Capital Partners, ATA Ventures, Export Development Canada, the Business Development Bank of Canada and Axis Capital Corporation. The funds will be used to complete development of the company’s ground-breaking server innovation and bring it to market.
“Despite industry restructuring and consolidation, the investment community has concluded that the market is ready for a fundamentally new approach to high-performance computing (HPC) and enterprise computing,” said Brian Hurley, CEO of Liquid Computing. “The over-subscribed interest we received for this funding round validates our vision.”
Pete Thomas, managing director of ATA Ventures in Redwood City, California, agreed. “Liquid Computing is poised to bring fundamental changes to the economics of server deployment and ownership,” he said. “We were particularly impressed with the Liquid vision, the market reception to their innovation, and the team that they have assembled.”
Over the past two years, the company carried out hundreds of meetings with partners and potential customers, many of whom are now poised to capitalize on what the Liquid Computing server will deliver. “Their product will fundamentally change the approach we’ll use to acquire, deploy, and run our data center,” said Mark Hargrove, senior vice president of operations and CIO of DigitalGlobe, a leader in the global commercial Earth imagery and geospatial information market. “A Liquid Server will let us solve our HPC and enterprise computing problems with the same platform, and will completely recast the traditional total cost of ownership model in a very favorable way.”
Business requirements traditionally have been disconnected from the underlying computing infrastructure. This has required an entire service industry to keep several adjunct hardware, software and networking components synchronized. These structural limitations restricted the throughput of high performance computing and limited the availability and flexibility of enterprise computing. Liquid Computing is compressing an entire layer of manual configuration, adaptation and performance-tuning tasks while shrinking the overall total cost of ownership.
“The ability to recast the nature of server deployment comes from the years of experience building powerful, reliable, scalable and more cost-effective systems that were delivered to the telecommunications sector,” said Pat DiPietro, Managing Partner at Vengrowth Capital Partners.
Liquid Computing’s vision of how high-performance and enterprise computing must evolve has been heralded by industry watchers such as Harry S. Dent, Jr., author of the “The Next Great Bubble Boom.” “Industry convergence has been a driving force within voice, data and storage networks over the past several years,” Dent said. “Liquid Computing represents the type of leading-edge innovation that will drive the next explosion in technology growth that we are forecasting for late 2005 to 2009.”
About Liquid Computing Corporation
Liquid Computing produces highly available and scalable servers that can dynamically change to deliver any computing or communications task at best life-cycle economics. The company has offices in Ottawa, Houston and Los Altos, California. (http://www.liquidcomputing.com)
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