ThreeFive Photonics files for bankruptcy protection
ThreeFive Photonics says that the path to breakeven for high-tech startup companies is very difficult at present, since network operators and equipment manufacturers have reduced their purchasing to very low levels.
"Our existing financing situation does not allow us to sit through the current telecom winter," said Wouter Deelman, CEO of ThreeFive Photonics. "So far, our efforts to raise sufficient capital to continue operations have been unsuccessful."
ThreeFive Photonics was established in February 2001 and closed a Series A round of EUR 7 million in September of that year from venture capital companies Atlas Venture and Gilde.
"While our current investors Atlas Venture and Gilde are willing to contribute a significant amount to the Series B round, we have not been able to complete the round with new investors yet," said Deelman. "At this point we are evaluating all possible strategic alternatives, including the sale of the company as a going business."
ThreeFive Photonics targets the integration of entire transceivers and subsystems on a single chip, thereby significantly improving the size, cost and performance of telecommunications systems.
