Phyworks tapes out first chip design, begins B round fund raising

Dec. 11, 2002
December 11, 2002--Phyworks Ltd, a Bristol, UK-based fabless semiconductor company, today confirmed that it had successfully taped out its first chip design as scheduled and has begun its Series B Equity Round fund raising.

Phyworks Ltd, a Bristol, UK-based fabless semiconductor company, today confirmed that it had successfully taped out its first chip design as scheduled and has begun its Series B Equity Round fund raising.

"With our first chip successfully taped out, Phyworks is looking forward to being the first company to market with products that significantly reduce the cost of 10-Gbit/sec optical deployment on existing Metro, LAN and SAN fiber infrastructures," contends chief executive officer Stephen King. "Phyworks products are true enablers for 10 Gbits/sec and we believe the most advanced products of their kind in the world. Recent reports that revenues in the semiconductor sector will reach $171.8 billion in 2003 confirm that Phyworks is well positioned to take advantage of this upturn next year."

"When we launch our first products in Q1 2003," adds King, "this next generation technology will allow optical module vendors to dramatically improve the performance of their products, in terms of power consumption and transmission distance, while at the same time reduce size and cost. At last it will be possible to deliver 10-Gbit/sec performance over existing 1-Gbit/sec and 2.5-Gbit/sec infrastructure."

Phyworks raised over $11million in seed and first round funding and is now beginning discussions with a number of European-based VC funds to raise a further $15million from the B Equity Round which will take the company to profitability. Existing investors Atlas Venture, Add Partners and Prelude Ventures fully support the second round of fund raising and have confirmed that they intend to participate.

Phyworks Ltd. is a fabless semiconductor company that is developing electrical solutions, including Electronic Dispersion Compensation and Forward Error Correction, for 10-Gbit/sec optical problems.

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