Silicon Valley-based wireless technology start-up Quantenna Communications is planning to open a 30 to 50-person research facility in Australia following an injection of venture capital by the Australian-US fund Southern Cross Venture Partners.
It's surprising what a few million dollars will do to
help attract someone's attention.
There are great technical roots in Australia for this area, but
poor market engagement and visibility
Southern Cross joint MD Larry Marshall
Silicon Valley-based wireless technology start-up Quantenna
Communications is planning to open a 30 to 50-person research
facility in Australia following an injection of venture capital by
the Australian-US fund Southern Cross Venture Partners.
Southern Cross was the lead investor in a US$13.85 million
series C investment round that included many of Quantenna's
existing investors, including blue chip Silicon Valley VC Sequoia
Capital.
Quantenna is developing technology to improve the reliability of
wireless networking based on the Wireless N protocol, specifically
in relation to streaming high-definition video within homes and
apartment buildings.
Chairman Behrooz Rezvani says the technology, which optimises
the "beam" that is used to transmit information wirelessly, is
capable of improving the reliability of connections by 10 to 12
times. The company is currently providing samples of its technology
to wireless equipment manufacturers, and Rezvani expects to
announce its first commercial deals as early as the third quarter
of this year.
Rezvani says his meetings with Southern Cross opened his eyes to
the quality of Australian wireless technology innovation. He says
this capability was reinforced again recently when large US
companies including Fujitsu, Hewlett-Packard and Asus chose to
settle legal action out of court with the CSIRO for alleged patent
infringements relating to 802.11 wireless technology. The terms of
that settlement are unknown, but are believed to be highly
favourable to the CSIRO.
In addition to the local talent available, Rezvani says that
Australia poses none of the commercial or cultural challenges of
other possible offshore locations, and is closer to Silicon Valley
by plane than Bangalore.
His goal is to open a facility in Australia this year to
investigate additional uses for Quantenna's technology. Rezvani
says he is also seeking to create partnerships with Australian
research institutions including NICTA and CSIRO, which are both
operating extensive programs in wireless chip technology.
Southern Cross joint managing director Dr Larry Marshall, an
expat Australian living in Silicon Valley, has joined the Quantenna
board as a result of the transaction. Marshall has been a strong
advocate for the proposed Australian facility.
"There are great technical roots in Australia for this area, but
poor market engagement and visibility," Marshall says. "If we can
attract people like Behrooz, companies like Quantenna, and VCs like
Sequoia, Venrock and Sigma to start thinking of Australia like
Israel, it will boost tech investment in Australia."
