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JAJAH and Intel's $20 million hookup

JAJAH's trajectory has been nothing short of awe inspiring.  Rapid financings, and huge growth have combined to create a remarkable success story in a very short period of time.  Today the company announced a $20 million C round led by Intel Capital. The money is a home run, and by itself speaks volumes about the company's ability to execute.  The grand slam in this deal are the other benefits that Intel brings to the table.  As part of the deal, JAJAH gets access to Intel's channel and IP portfolio.

Additionally, a business agreement was made with Intel Corporation that includes business and marketing components. Intel will provide JAJAH access to their extensive community of product dealers, OEM customers and developers, to further their reach into global development communities. As an Intel Capital portfolio company, Jajah will also be able to participate in Intel Capital's IP Access Program, which will give Jajah access to Intel's extensive VoIP patent portfolio.

While the agreement doesn't restrict JAJAH from partnering with others, it's safe to assume that any new development from this agreement will focus on Intel devices.  It apparently also signals a renewed focus by JAJAH on embedded devices.  Quoted in the press release, JAJAH co-founder and Voice 2.0 visionary Roman Scharf says:

"The deeper JAJAH can be embedded into Intel solutions, the better for customers everywhere. It is our intention to bring a best-of-class, next generation solution to the market which can be embedded and optimized for any computing device."

And now, of course, we all have an inkling of Intel's strategy for their IP portfolio.

More from TechCrunch here.  Pat Phelan reports that sources at Deutsche Telecom assigned a value of $125M to JAJAH

{ 2 comments… add one }

  • Moshe Maeir May 9, 2007, 1:57 pm

    Alec, 2 questions here – One what do they need $20m for? Same question I asked about Rebtel, Truphone. They all do simple callback / callthru applications.
    Unless there is something more here. As I wrote in my blog today, the big question is what will Intel do with their patents? Will they use them to give other manufacturers an offer they can't refuse? Such as use our Jajah enabled chips or…

    I am really impressed with the way the jajah people are executing their strategy. What does this mean for the industry as a whole?

  • PaulSweeney May 10, 2007, 2:31 am

    Alec, this is indeed a big deal. But is this all about the devices, and a wi-max play? (especially with Firefox 3.0 on the way). There was some talk of devices dis-intermediating the network players by embedding at the chip level. Perhaps 20m users at end of 2008 is some kind of critical mass. I agree with Moshe Maeir above that it is indeed "all about the applications", and what history does Intel have in applications? It would be interesting to see how many people are using Jajah for mobile to mobile to see if this is a mobile VoIP play. Interesting times.

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