$20m in 'Cache' for peerless Twiss' latest venture
Internet whizz kid turned serial entrepreneur, Adam Twiss has secured £10.8m ($20m) third round funding for his latest venture, Cachelogic.Internet whizz kid turned serial entrepreneur, Adam Twiss has secured £10.8m ($20m) third round funding for his latest venture, Cachelogic.
Twiss famously co-founded web server company, Zeus Technology in 1995 while still an undergraduate at Cambridge University, and eleven years on CacheLogic possesses a good deal of the same 'right place, right time' potential.
Just as Zeus' web server technology rode on the nose cone of the dot com rocket in the late Nineties, so CacheLogic's file sharing optimisation know-how taps into the download culture of the mid ‘Noughties.’
CacheLogic specialises in peer to peer (P2P) file-sharing, which allows users to trade information, be that music or video, between each other, without the assistance of a third party network. P2P is less infrastructure intensive than the conventional server client arrangement but quality of service has been an issue, something that CacheLogic has addressed.
An investor in the round, Ben Gales of 3i explained: "We were first attracted to CacheLogic over 18 months ago as a company that understood the P2P space and its potential to transform the way rich media is distributed.
“Today major firms are recognising the value they can obtain from using CacheLogic's solutions - reaping the economic benefits of P2P with the quality of service of conventional distribution networks.”
CacheLogic's funding round was led by Hermann Hauser's Amadeus Capital Partners; supported by existing investor 3i, and included syndicate members Pentech Ventures and The Cambridge Gateway Fund.
CacheLogic said it will use the new funding to expand sales coverage for its P2P technologies into new geographies and extend its product portfolio to provide support for the delivery of legitimate video content.
Amadeus partner Simon Cornwell, said: "2007 will be the year of first large scale consumer launches of video content, currently being trialled by companies including the BBC, Warner Brothers and NTL. As more content owners embrace peer-to-peer to deliver content, this market has the potential to grow substantially over the next two years and CacheLogic, already a global leader in peer-to-peer, is well positioned to become a major player in this space."
Pat Chapman-Pincher, who recently took over from Twiss as CEO at CacheLogic said: "Having established CacheLogic as the leading provider of P2P technology to the ISP marketplace, we are now expanding our products to cater for the needs of the content owners and distributors. With the benefit of this additional funding we will quickly broaden our market coverage and bring exciting new offerings to market."
Twiss quit Zeus in March 2002, ostensibly to pursue other commercial opportunities, but it was understood at the time that a 'Blair-Brown' style schism may have formed, centering around Twiss and co-founder Damian Reeves, who remains at the company.
Zeus was at one time touted as among the fifty most important privately held companies in the world, a candidate for a £400m IPO and a serious competitor to the very biggest the US had to offer. Five or so years on, the small, still private Cambridge company has reined in its aspirations and is in the process of repositioning itself within the web infrastructure market.
Twiss' first project having left Zeus was to form internet tech consultancy, Saviso along with a number of other Zeus 'exiles.' That same team created CacheLogic, raising $2m in first round funding in August 2003.