VC watch: Artmachine raises $2.5 million

Artmachine raises $2.5 million...GetConnected picks up $5 million...Yotta Yotta snags $26 million.

CNET News staff
6 min read
Which companies will be the trendsetters of the future? The following list is the latest news from start-ups here and abroad that have received venture funding. This page is updated daily. Keep checking back for the latest.

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Friday's deals

 SpectraSwitch has raised $6 million as an extension of its earlier second round of funding. Advanced Technology Ventures and NIF Ventures led the financing. With the $6 million, Santa Rosa, Calif.-based SpectraSwitch has raised $24.1 million in its second round, which initially closed in May last year. SpectraSwitch designs and manufacturers optical switching components and components that change the intensity of fiber-optic light. The company has raised a total of $29 million.

Thursday's deals

 FinancialCAD has raised $3.8 million through a private placement. The 11-year-old privately held company has sought the funding as it gears up for an IPO, said David Glassco, chief executive officer. Vancouver, British Columbia-based FinancialCAD licenses software, in addition to offering a service, that provides information on valuations of financial instruments such as bonds and futures contracts.

Wednesday's deals

 Artmachine has raised a $2.5 million second round of funding, led by previous investor VantagePoint Venture Partners. Existing investor Plum Holdings also participated in the round. Palo Alto, Calif.-based Artmachine has raised more than $7.5 million, with the latest round marking a 50 percent decline in valuation, company spokeswoman Christine Brodeur said. Artmachine offers brand content management services, which include Web hosting and allowing companies to send print ads, news releases and video testimonials via digital files to employees, customers and channel partners.

 GetConnected raised a $5 million third round of funding, led by Richmond I and Vantage Partners. Other investors included Asset Management and previous investor Atlas Venture. Boston-based GetConnected has raised more than $20 million in total. The company's software allows telecommunications companies to sell their services to online consumers through a consortium of other Web sites.

 Yotta Yotta raised a $26 million third round of funding. Investors included Banc of America Securities, Noble Networks, Bombardier Trust, Davenport Capital Ventures, The Grosvenor Funds, Optical Capital Group, Morgan Keegan, Desjardins and TechnoCap. Seattle-based Yotta Yotta has raised a total of $50 million, with an increase in valuation with its latest round. Yotta Yotta's software and hardware allows companies to store data in multiple geographic locations and access it from one of the locations should one area go down.

 Internet Motors raised a $2 million first round of funding from ThinkTank. Aliso Viejo, Calif.-based Internet Motors, a software and wireless services company, is developing entertainment, information and e-commerce services for vehicles.

 InPhonic received a $19 million fourth round of funding, led by Core Capital Partners, which will receive a seat on the company's board. McAndrews & Forbes, First Analysis, Spring Capital and Wynnefield Capital participated in the round, as did previous investors Sculley Brothers Investments, CMS Financial Services and Mid Atlantic Venture Funds. Washington, D.C.-based InPhonic has raised a total of more than $40 million in capital. The company provides wireless networks to companies and organizations. Some of its customers include Cisco Systems and the Democratic National Committee.

 Worknowledge raised a $2.5 million second round of funding, led by Aktiva Ventures, which will receive a seat on the company's board. Other investors included Sunrise Financial Group, Yamcom Holdings and Seven Venture. Englewood Cliffs, N.J.-based Worknowledge develops customized online courses for mid-sized businesses and monitors the progress of the work. The company has raised a total of $3.8 million.

 Pivia received an $11.1 million second round of funding, led by Thomas Weisel Venture Partners, which will receive a seat on the company's board. Previous investors Sutter Hill Ventures, Draper Richards, Argus Capital and individual investor Thomas Layton participated in the round. Cupertino, Calif.-based Pivia develops software and services designed to minimize the effect of heavy traffic to Web site servers and to allow a site to quickly increase its capacity during seasonal peaks in traffic. The company has raised a total of $16.6 million.

 Wicom Communications has raised $12 million in a third round of funding. Investors included Accenture Technology Ventures, 3i and Stratos Ventures. Espoo, Finland-based Wicom has raised a total of $13 million. The company develops software applications designed to provide voice-over-Internet Protocol networks.

Tuesday's deals

 Logistics.com received $10 million in a third round of funding from previous investor Internet Capital Group. Burlington, Mass.-based Logistics raised a total of $64 million, with the latest round a decline in valuation, said Chief Executive John Lanigan. The company's software is designed to enable shippers and carriers to handle transportation-related tasks online. Logistics' OptiManage software, for example, enables companies to track orders, communicate with shippers and match payments with services. Its OptiYield software enables trucking companies to match the most appropriate trucks with shipments and best places to fuel the vehicles.

Monday's deals

 Venture firm Greylock has begun investing in Israel and Europe. Greylock, which has offices in Boston and San Mateo, Calif., is making investments in enterprise information and communications companies that are in their early stages of growth. Moshe Mor, a former chief executive with SPL WorldGroup and an Israeli entrepreneur, has been named a Greylock venture partner and will oversee investments for the firm in these two regions. Greylock plans to use a portion of the funds committed to its $1 billion Greylock XI fund for Israeli and European investments.

 ClearCommerce has received $9.5 million in a fourth round of funding. Previous investors included Austin Ventures, New Enterprise Associates, Voyager Capital, Financial Technology Ventures, Hewlett-Packard, Intel Capital, Internet Capital Group and VeriSign. Austin, Texas-based ClearCommerce has raised a total of $54.5 million. The company develops e-commerce software designed to provide companies with real-time credit card processing, Internet fraud protection, and online shipping and tax calculations.

 Edgeflow has raised a $24 million first round of funding, led by Sierra Ventures and Newbury Ventures. Other investors include Desjardins Venture Capital Group, Primaxis Technology Ventures, RBC Capital Partners Telecom Fund, BTG, Pan Dacom Networking AG and previous investor Venture Coaches. Ottawa-based Edgeflow develops switches for optical networks that are designed to integrate optical switching and transmissions within a single unit. The equipment is designed to reduce costs and complexity in the networks for telecom carriers and service providers.

 Expand Beyond raised an $11.2 million first round of funding, led by Menlo Ventures. The Chicago-based company, previously known as PocketDBA, develops software designed to allow companies to manage their information technology, such as servers to databases, via wireless devices.

 Roving Software raised a $5 million third round. VeriSign and previous investors Morgan Stanley Venture Partners, Commonwealth Capital Ventures and Longworth Venture Partners contributed to this latest round. Needham, Mass.-based Roving Software has raised a total of $17.5 million, with the latest round a decline in valuation. The company develops self-service software designed to allow small to medium-sized businesses to e-mail newsletters.

Friday's deals

 Storactive has received an $11.7 million ninth round of funding, led by Moore Capital and Mellon Ventures. Marina Del Rey, Calif.-based Storactive said it may increase its round by $2.3 million because of investor interest. The company has raised a total of $18 million. Storactive's software allows companies to continuously replicate, manage and recover data and applications on wired and wireless devices. The company also named Tony Bautista chief executive and president, and Don Flanagan to the post of chairman. Both previously helped build Seagate Software, which was purchased by Veritas in 1999 in a deal valued at $3.1 billion.

 GorillaPark has received a $21 million third round of funding, led by Fortis Bank. Previous investor The Nesbic Group also contributed to the latest round. Amsterdam, The Netherlands-based GorillaPark has raised a total of $74 million with this latest round. The company serves as a pan-European high-tech incubator company.