Jedai adds financial force with B series funding
Jedai Broadband Networks poured some cash into its coffers this week, announcing it had raised $10 million in series B financing. The latest round extends Jedai's funding to a total of $50 million.
Jedai said current investors Sandler Capital Management, Intel Capital, Weiss, Peck & Grier Networking Funding and Spencer Trask participated in round B. Jedai said another $5 million in additional funding is in the process and open to outside investors.
Jedai, a provider of equipment that enables cable operators to offer broadband services to small- and medium-sized business customers, said it will use the funds as working capital and to expand product rollouts.
"With the addition of selective and strategic partnerships which we have been forming, we are able to meet the complete needs of all carriers serving their business customers," said Jedai President and CEO Michael Pritz, in a release.
The cash should help Red Bank, N.J. Jedai weather a sector that has not taken off as quickly as some startups might have hoped.
Jedai initiated an employee layoff in mid-2002, and competing startup Narad Networks Inc. said last month it would move ahead on a restructuring plan resulting in a 40 percent workforce reduction.
Firms such as Jedai and Narad are also encountering some stiff competition from larger companies such as Motorola Broadband, which is going after the cable SMB and enterprise sector with its Multiservice Enterprise Access (MEA) and Multiservice Broadband Transport (MBT) platforms.