Cisco Systems led a strategic funding round of $25 million in Kumu Networks.
Cisco Systems, Inc. is all set to invest in the next breakthrough in wireless technology domain. Tech Crunch reported that a tech start up named ‘Kumu Networks’ is coming up with an innovation in wireless technology, which would surely change the use of this type of technology.
The startup is said to be working on a technology that can actually improve the utilization of wireless spectrum. Kumu says that its new technology will be reducing costs and capacity limitations for mobile carriers that can save ‘trillions of dollars’.
Kumu Networks announced that it has received $25 million in a strategic funding round from big name mobile carriers and operators who said that the wireless tech would come in use when it is commercially available. Cisco Systems led the funding round of Series C, along with Verizon Ventures, Deutsche Telekom, NEA, Khosla, and Third Point Ventures. This is not the startup’s first funding round. It has been involved in two round previously which helped it in raising $20.43 million altogether.
Some professors from the Stanford University founded the startup in 2011. The company is up and operational but has no revenues as of yet. Kumu Networks will generate revenues once it releases its first product commercially in the market, which will be available by the end of 2016, according to sources.
Kumu stated that its next ‘breakthrough’ technology would be known as Full Duplex, which would double the capacity of existing wireless spectrum. The startup further mentioned that this tech would help in improving the current LTE deployments as well as the 5G standards that will take over the world soon.
The CEO of Kumu Networks, David Cutrer, said, “We are honored to have such a broad coalition of investors participating in our Series C funding. The diverse group of investors highlights the broad reach and economic potential of our solution and its massive impact on multiple arenas within the wireless industry.”
The startup venture believes that it can easily address all the capacity restrictions faced by carriers with its new technology. It boasts to let a radio receive and transmit data simultaneously and on the same frequency.
Cisco’s investment in the firm will be beneficial for this new project and it will be specifically used to further improve and enhance the technology. Both can benefit from the advancement of technology together with such collaborations for innovations. Analysts view performances for future predictions.