Om Malik writes on a spate of recent financings in advanced telecom technologies and wonders whether telecom VC is starting its comeback:
Of all technology sectors, there is none which has suffered more during the big bust than telecom. The news of telecom start-ups fizzling out continues even today, but there seems to be some light at the end of the tunnel.
Phone companies, cellular operators and broadband service providers are slowly, cranking up their spending, either rolling out new services or simply upgrading their networks to handle more traffic and users. Service providers are willing to open their wallets for newer technologies like VoIP, fixed wireless, IPTV, wireless-wireline convergence, ADSL2 and VDSL.
One of the financings Om refers to is Ottawa’s Meriton Networks, which recently closed a US$54M round, the largest such investment in Canada’s communication and networking sector since 2002.