KoolSpan, Developer of TrustChip, Raises $7.1 Million
Equity financing from Security Growth Partners, TWJ Capital, Rose Tech Ventures and New York Angels to fund global roll-out of micro SD security solution.
Bethesda, Md., April 8, 2008- KoolSpan, Inc. today announced it has closed a $7.1 million equity financing led by New York-based Security Growth Partners, together with TWJ Capital, Rose Tech Ventures, and members of New York Angels. KoolSpan’s TrustChipTM crypto engine is a self-contained authentication, encryption and key management platform. Proceeds of the financing will be used to fulfill global demand for TrustChip-based solutions including TrustChip Voice, which creates instant AES-encrypted links among off-the-shelf mobile phones.
“The KoolSpan TrustChip platform is designed for the rapidly growing mobile-to-mobile and machine-to-machine markets,” said KoolSpan CEO Tony Fascenda. “With each non-PC device that becomes network-connected, the need for a self-contained, highly-scalable security solution grows. TrustChip meets this need, whether plugged into an enterprise smart phone, embedded into critical infrastructure monitoring equipment or incorporated into industrial assembly equipment.”
While a hardened crypto processor, TrustChips are designed to make use of industry standard SD memory slots (micro, mini and full size) available on cell phones, computers and other devices. KoolSpan TrustChips feature a streamlined device-to-device architecture, providing their host devices strong mutual authentication, fully-encrypted network connectivity, as well as secure storage.
“Cell phones were originally designed for portability and ease-of-use, not security,” said Security Growth Partners CEO Elad Yoran. “However, today we use cell phones not only to make phone calls, but also like laptop computers. The trouble is that neither the voice side nor the data side of cell phones is secure. KoolSpan’s TrustChip engine solves this critical business problem simply and cost effectively. It also provides a platform upon which third-party developers, OEMs and enterprise customers can deploy applications that run securely on the large number of cell phones that are TrustChip compatible.”
KoolSpan technology has been rigorously tested and reviewed by top security research organizations in the United States government, as well as many industry trade publications. KoolSpan is an Information Security Magazine/TechTarget Readers Choice Award winner for Best Emerging Technology, a category winner of the 2007 SC Award for Best Multi-Factor Authentication technology, and was featured by the editors of Network World as one of the Top Ten “Security Companies to Watch.” KoolSpan’s TrustChip platform and TrustChip Voice are currently being evaluated by more than two dozen global corporations and government organizations.
About KoolSpan: Based in Bethesda, Md., KoolSpan is an innovator of secure connectivity solutions that seamlessly unite mission-critical network devices. From smartphones to servers, KoolSpan’s TrustChipTMcrypto engine creates secure and trusted connections between any two points independent of network boundaries. www.koolspan.com.
About Security Growth Partners LLC: Security Growth Partners (SGP) identifies, invests in and supports companies that provide key emerging security solutions. SGP serves a large and diverse industry including, among others, information technology (IT) security, Critical Infrastructure Protection (CIP), homeland security and their related markets. www.SecurityGrowth.com.
About TWJ Capital: TWJ Capital makes growth equity investments in expansion stage companies which need “acceleration capital” to achieve growth inflection, and venture capital investments in start-up and early stage companies. Portfolio concentrations include retail, telecommunications software, acoustical electronics and devices, and Internet business-to-business services. www.twjcapital.com.
About Rose Tech Ventures: Rose Tech Ventures, based in New York, is an early stage investment fund, incubator, and support infrastructure dedicated to finding, nurturing and launching the next generation of world class ventures. www.rose.vc.
About New York Angels: New York Angels is the leading business angel investment consortium in the Greater New York region. Since 1997, the 70 members of the group and its predecessor organization have invested over $40 million in more than 75 new ventures. The members of New York Angels are entrepreneurs, CEO’s, venture capitalists and business leaders who themselves have founded, funded and built world-class companies. www.newyorkangels.com
e-Rainmaker PR for KoolSpan