Motorola Ventures Targets 3G

Wireless giant Motorola has invested in a telecommunications equipment maker whose technology could drive voice and video over 3G networks.

Dilithium Networks, of Larkspur, Calif., makes a carrier-class, high-density multimedia gateway that connects 3G wireless networks and packet networks. The enabling technology, dubbed Unicoding, is proprietary.

“Dilithium’s Unicoding technology may have far-reaching potential in the 3G space,” said Warren Holtsberg, director of Motorola’s venture arm.

JAFCO Asia, one of the largest venture capital funds in Asia, co-led Dilithium’s $10 million, second round of financing. Previous investors also participated, including Ericsson Technology Fund, Deutsche Bank Capital Partners, and CM Capital.

The new capital will be used to expand the company’s sales and support efforts. Dilithium’s target market is network equipment
suppliers, terminal manufacturers and mobile operators. The backing will also boost ongoing research and development efforts.

“This funding represents an important milestone for Dilithium Networks and it will enhance our ability to support our growing
global customer base,” said Paul Zuber, Dilithium’s CEO.

Last month, Dilithium also introduced a new version of its network monitoring and test product, the Dilithium Networks
Analyzer.