Skip to Content
Uncategorized

Same Ethernet: Different Card

Level 5 Networks says it has a networking card that’s much faster than an Ethernet connection – and compatible with it.

Company: Level 5 Networks

HQ: Sunnyvale, CA

Founded: 2002

Management: Dan Karr is Level 5 Networks’ president and CEO. Until 2002, he was vice president of worldwide sales for GlobeSpan Virata, which sells DSL chips and software. Before that, he held the same position at multimedia semiconductor maker S3 from 1996 to1999. Charles Cotton, the company’s chairman, was previously chairman of Globespan Virata, where he worked with Karr. Level 5 Networks’ founders were engineers in Cambridge, England, for AT&T Labs. They started Level 5 when they were laid off.

Investors: This June, the company emerged from stealth mode with the announcement that it had raised $30 million in series B funding from Oak Investment Partners, Accel Partners, Amadeus Capital Partners, and IDG Ventures. Level 5 had raised $9 million in Series A funding in December 2001.

Business Model: With increasing CPU speeds, the primary bottleneck in computing today is at the Ethernet networking level. Intel and others have attempted several times to create new networking standards to address this issue. For instance, Intel backed the Infiband standard, which represents a marked performance improvement over Ethernet. However, it is incompatible with Ethernet, and as a result failed to catch on (except in a few niches). Level 5 has introduced what it claims is the first product that’s fully compatible with the Ethernet standard and allows network processors to communicate with each other at one gigabit per second. While other products can achieve the same speed, Level 5 claims its product, the EtherFabric Network Interface Card, excels in other areas as well, including a latency speed in sub-10 microseconds, compared with the common 50 microseconds, and the ability to run applications faster than competitive products.

The company says it will introduce another product next year that can reach 10 gigabits per second. In addition to speed gains, Level 5 claims that using EtherFabric will enable users to reduce the number of servers deployed by up to 50 percent. The costs of EtherFabric cards with software range from $295 to $495. At this level, early buyers can be expected to be larger corporations with high data throughput needs. 

Competitors: Level 5’s standard is competing with iWarp and InfiniBand interconnect technology standards. Intel and Broadcom are the two biggest potential vendors.

Dirt: It says something that Ethernet inventor Bob Metcalfe has given Level 5 laudatory press quotes, although his venture capital firm, Polaris Ventures, is not an investor. According to Metcalfe, as quoted in the company’s press materials: “Level 5 has created a solution that delivers great customer benefit. EtherFabric will stall the adoption of non-compatible solutions such as iWARP and InfiniBand.” Metcalfe represents the broad interests in the IT world to improve on Ethernet, rather than switch to new standards. Such improvements might not be sexy, but they have made a lot of money for other firms – and Level 5 could be next.

Sources:

From India, With Lessons

A few Indian companies, including Brainvisa, are making a go of it in a market usually reserved for U.S. firms: e-learning – alarm:clock news from the land of private venture funding.

By now, it’s no secret that U.S. technology companies outsource large chunks of their software development work to programmers based in places like Bangalore, India. Even with all this acclaimed engineering talent, however, a relatively small number of India-based companies are raising venture capital money and pursuing the start-up dream – at least we haven’t encountered them.

Recently, though, we came across an exception, Brainvisa Technologies, founded in 1999 and based in Pune, India. Earlier this month, WestBridge Capital Partners, which has offices in Silicon Valley and India, announced an investment of $5.5 million in Brainvisa, which reportedly took in $4 million in revenues in 2005. While not a huge investment round by U.S. standards, it goes much farther in India, which should allow the company to expand.

Brainvisa creates learning-based products for the corporate, publishing, education, and government sectors. The company helps its clients develop training courses, including courseware, web-based training modules, and virtual classrooms, to educate employees in dispersed locations. For instance, Brainvisa developed a sales-force training program for a large U.S. electronics retailer as it introduced new products in its 600 stores.

Brainvisa has over 400 employees – graphic artists, writers, animators, and programmers – most of them based in a main development center in Pune, as well as another center in Noida.

Supam Maheshwari is the CEO and a co-founder, along with chief operating officer Nitin Agarwal and chief technology officer Vikas Kumar. Maheshwari previously worked at Vivendi and Pepsi – which likely exposed him to the challenges of educating a large work force about a product launch or new software.

What makes Brainvisa noteworthy isn’t its technology, though, but its testament to the concept that Indian outsourcing can compete outside the realms of call centers and enterprise software development. To be sure, such learning products have traditionally been “high-touch,” with well-paid expert consultants sitting shoulder-to-shoulder with clients.

The success of BrainVisa leads us to believe that almost any business function, except for direct sales, can be outsourced. Indeed, several other Indian companies are also addressing the market for custom e-learning, including conglomerate Tata Interactive, which reportedly earned $20 million in fiscal 2005, as well as Mentorware and NIIT.

Brainvisa faces fairly well-established stateside competitors as well, including SkillSoft (Nashua, NH) and San Francisco-based Digital Think, which was acquired by Convergys in March 2004. Given the legendarily low costs of software development in India, however, we suspect that Brainvisa is able to compete fiercely on price against these companies.

Does Brainvisa’s recent financing signify a new dawn for Indian start-ups? We think not. Big ideas, even if they originate in India, usually have a way of setting up shop in one of the technology hotbeds on the U.S. East Coast or in Silicon Valley, where an entrepreneurial culture is more readily encouraged.

Still, to see further examples of technology start-ups with connections to India, the Westbridge Capital website is a good place to start – it’s $140 million fund is focused exclusively on India.

Keep Reading

Most Popular

Large language models can do jaw-dropping things. But nobody knows exactly why.

And that's a problem. Figuring it out is one of the biggest scientific puzzles of our time and a crucial step towards controlling more powerful future models.

OpenAI teases an amazing new generative video model called Sora

The firm is sharing Sora with a small group of safety testers but the rest of us will have to wait to learn more.

Google’s Gemini is now in everything. Here’s how you can try it out.

Gmail, Docs, and more will now come with Gemini baked in. But Europeans will have to wait before they can download the app.

This baby with a head camera helped teach an AI how kids learn language

A neural network trained on the experiences of a single young child managed to learn one of the core components of language: how to match words to the objects they represent.

Stay connected

Illustration by Rose Wong

Get the latest updates from
MIT Technology Review

Discover special offers, top stories, upcoming events, and more.

Thank you for submitting your email!

Explore more newsletters

It looks like something went wrong.

We’re having trouble saving your preferences. Try refreshing this page and updating them one more time. If you continue to get this message, reach out to us at customer-service@technologyreview.com with a list of newsletters you’d like to receive.