Envivio Secures $14 Million in Second Round of Financing; MPEG-4 Software Company Also Announces Jonathan Fram Joins as CEO
SOUTH SAN FRANCISCO, Calif., May 22 /CNW/--Envivio Inc. (www.envivio.com), a leading MPEG-4 software company, announced today that it has secured $14 million in its second round of financing. This round includes participation from corporate investors, Bertelsmann, France Telecom, Intel Capital, and Harbinger Ventures, a venture fund affiliated to Mitac/Synnex group, as well as Asian and European venture funds Credit Lyonnais Venture Capital, Innovacom, Maton, and Paradigm. Previous investors include France Telecom, Philips, and Sigma Designs.
Envivio has created a leading MPEG-4 software solution for the professional media industry. MPEG-4 is the latest ISO International Standard for multimedia communication, widely supported by broadband, satellite and cable network operators, corporations, post-production facilities, and content developers.
"We believe in the promise of MPEG-4," states Ralph Eric Kunz, Vice President of Bertelsmann Capital Ventures. "We plan to work closely with leading solution providers like Envivio to ensure MPEG-4 is deployed broadly, so content companies such as Bertelsmann can increase revenue opportunities and decrease distribution costs."
"This investment strengthens Intel's plan to help the industry build the next generation of personalized and protected media services using our PC, server and handheld device architectures," said Tom Gibbs, Director of Solutions Development at Intel Corporation. "It also helps ensure that media companies will have optimized platforms based on the ISO standard, like Envivio's, for multimedia in the enterprise -- to author, serve and display MPEG-4 media."
Envivio also announced today that Jonathan Fram has joined the company as CEO. Prior to joining Envivio, Mr. Fram was President & CEO of eVoice Inc, now a wholly-owned subsidiary of AOL Time Warner. As President of Net2Phone Inc, Mr. Fram took the company public in 1999 and later sold a controlling interest to AT&T. He also was General Manager of the Television, Radio & Media groups at Bloomberg L.P.
"Julien Signes, President and CTO of Envivio, says, "We are thrilled that Jonathan has joined our executive team. His extensive business experience completes our goal of adding seasoned management to a company rich in technical expertise and products. As MPEG-4 becomes the standard and Envivio moves forward with solutions in this arena, Jonathan will play a significant role in helping us achieve our growth and revenue objectives."
Envivio also announced the appointment of CK Cheng, President of Harbinger Ventures, and Ralph Eric Kunz, of Bertelsmann Capital Ventures, to Envivio's Board of Directors.
"On-demand media delivery is now a reality," said Jonathan Fram, Envivio's CEO. "MPEG-4 technology, coupled with the rapid increases in global penetration of broadband access in the home, will redefine the way consumers access entertainment media."
The proceeds from this round will be used to further develop Envivio's suite of MPEG-4 products, and expand engineering, marketing and sales channel and customer support capabilities.
Envivio is the leading developer of end-to-end MPEG-4 solutions utilizing a rich set of integrated streaming media elements: high performance audio and video, two dimensional graphics and animation, providing a rich interactive user experience. The company maintains a worldwide perspective on creating MPEG-4-based solutions to enable broadcasters, distribution network operators and content developers to build new revenues and utilize the efficiencies of targeting content at the full range of MPEG-4 capable devices. The Envivio Solution includes various components to create, encode, protect and distribute MPEG-4 content: the Envivio Encoding Station for offline encoding and protection of MPEG-4 audio and video, the Envivio Broadcast Studio for authoring complete MPEG-4 applications, the Envivio plug-in to the RealSystem Server, to distribute MPEG-4 content over the Web and broadcast networks, and the EnvivioTV(TM) plug- in to the RealOne Player and RealPlayer to retrieve and playback MPEG-4 content. For further information, visit www.envivio.com
About Bertelsmann Capital Ventures
Bertelsmann Capital Ventures (BCV) is the exclusive corporate venture unit of Bertelsmann AG. Bertelsmann AG is the world's most international media corporation with 80.000 employees operating in 55 countries and annual revenues of EUR 20 billion (2000/2001). BCV investments help the corporation stay at the leading edge, and drive growth and innovation in the media sector. BCV works closely with portfolio companies to achieve financial and strategic targets, fully leveraging Bertelsmann's resources. For further information visit http://www.bertelsmanncapitalventures.com.
About Intel Capital
Intel Capital, Intel's strategic investment program, focuses on making equity investments and acquisitions to grow the Internet economy in support of Intel's strategic interests. Intel Capital invests in hardware, software and services companies in several market segments, including computing, networking, and wireless communications. For more information: www.intel.com/capital
About Harbinger Venture
Harbinger Venture Capital was founded in the beginning of 2000 with the investment focus in early stage of Information Technology start-ups. Harbinger has offices both in California and Taiwan. The fund is affiliated with MiTAc/Synnex Group which has a combined annual revenue of around $9 billion dollars.
Innovacom is a venture capital company founded by France Telecom in 1988. Innovacom invests in innovative companies at their establishment or start-up stages, in the components, hardware, software and telecommunications dedicated services industries. Innovacom invests internationally from its Paris, San Francisco, and Stockholm offices. For more information: www.innovacomvc.com
About Credit Lyonnais Private Equity
Credit Lyonnais Private Equity is the asset management company of the Group Credit Lyonnais dedicated to private equity investments. The investment teams, including 31 professionals are organized into four activity segments: Venture Capital, Expansion Capital, LBO and Secondary Market. Founded in 2000, Credit Lyonnais Private Equity manages EUR 500 million under French regulated mutual funds (FCPR, FCPI) and proprietary investment accounts (Credit Lyonnais Venture Capital and Credit Lyonnais Capital Investissement).
About Maton Venture
Maton Venture is a Silicon Valley based venture with global connection. Started in 1997, its limited partners include well established VCs in Germany, Taiwan, Japan and U.S. These VCs have a total of over $2 billion under their management. Maton Venture is managed by successful entrepreneurs rooted in the Silicon Valley for over twenty five years. Maton understands technology and what it takes to make a start-up successful. For more information: www.maton.com.
About Paradigm Capital Investment Company
Started in 2001, Paradigm was managed by seasoned business and venture capital veterans in Taiwan. Its partners include executives of Taiwan's tier 1 high-tech companies. Its extensive high-tech connection in Taiwan offers tremendous value to U.S. start-ups. Paradigm is one of Maton's co-investment alliances.
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CONTACT: William Berkman, Director of Finance of Envivio Inc., +1-650-875-3021,