MUMBAI, INDIA: Intel Capital, Intel Corporation's global investment organization, today reaffirmed its commitment to Indian entrepreneurship by detailing plans to invest US$23 million in three Indian technology companies:
* July Systems provides mobile Internet solutions which enable media brands to publish, distribute, monetize inventory and personalize services for consumers;
* KLG Systel provides smart grid and energy management and efficiency solutions to power utilities and end-users; and
* MCX, a leading commodity futures electronic exchange in India, has permanent recognition from the Government of India for facilitating online trading, clearing and settlement operations for futures market across the country.
Individual investment amounts were not disclosed. Funding will come from the $250 million Intel Capital India Technology Fund established in December 2005. This fund invests in Indian technology companies to stimulate local technology innovation and the continued growth of India's IT industry.
“Intel Capital’s investment in July Systems, KLG Systel and MCX reinforces our commitment towards fostering Indian innovation,” said Arvind Sodhani, president of Intel Capital and Intel executive vice president. “We believe that India is poised for the next phase of growth. Intel Capital’s investment will help with global resources, knowledge and expertise to assist these companies with their growth and success.”
Investment in July Systems: July Systems developed the industry’s first Mobile 3.0 publishing platform. The company plans to use Intel Capital’s funds to grow its sales, business development and operations teams in North American and the Asia Pacific. In addition, it will deepen R&D investments in the company’s Mi platform, including its cross-platform publishing across mobile web and native applications, rich media advertising technologies, real-time interactive video and micro-payment management systems.
Rajesh Reddy, Founder and CEO, July Systems, commented: “We are delighted to receive investment from Intel Capital. This represents the next phase of our growth and will allow July Systems to strengthen its position by investing in technology, operations and expanding our team. Intel Capital’s strategic investment will help enhance the appeal of our offering.”
Investment in KLG Systel: KLG Systel developed Connectgaia.com and SG 61 technologies, which allow the monitoring and control of electrical devices remotely over the Internet. The company has also developed a software as a service solution, known as Vidushi, for CIS and utility billing and management. The company is developing a Smart Grid and energy efficiency device based around the Intel Atom processor, as well as creating a center of excellence to showcase technology and emerging models.
Kumud Goel, Managing Director, KLG Systel, added: “Investment by Intel Capital shall enable us to access the latest technologies to upgrade our Connectgaia.com and SG 61 technologies on the Intel Atom chipset. We shall be able to provide innovative solutions to address the issues of global warming and CO2 emissions by reducing and optimizing usage of energy across the electricity supply chain.”
Investment in MCX: MCX is a leading Indian electronic commodity futures exchange that trades more than 40 commodities from various market segments including bullion (globally #1 Silver, #2 Gold), energy, metals, fiber, and agro-commodities. Intel Capital has purchased an equity investment stake in MCX via a secondary transaction with an existing MCX investor. Intel and MCX plan to work together to advance technology adoption in hinterland India, where MCX and its sister companies have deep existing reach through an existing network of 4,000 bulk warehouses and extensive broker network.
Commenting on the investments, Sudheer Kuppam, managing director, Intel Capital Asia Pacific, stated: “Investing in electronic financial exchanges, smart grid technology solutions and mobile Internet-nabling technology platforms demonstrates Intel Capital’s strong commitment to India’s on-going infrastructure build-out, as aligned with the national agenda. Investing in entrepreneurship within technology sectors vital to the growth of the country will continue to characterize Intel Capital’s activities in India over the medium term.”
Since 1998, Intel Capital has invested more than US$200 million in Indian technology companies across 10 cities, showing the importance that Intel places on fostering entrepreneurship and technology innovation in India.