Lest you should think X1 will let Google or Microsoft run away with desktop search, check out their latest news: They’ve raised a $10 million from venture capitalists (see extended entry). X1, of Pasadena, isn’t a valley company, but supplies the desktop technology for Yahoo and is worth watching. Here’s our initial analysis.
FOR IMMEDIATE RELEASE
X1 TECHNOLOGIES SECURES $10M IN VENTURE FINANCING
LED BY U.S. VENTURE PARTNERS
– Desktop search leader will use funds to deliver
award-winning technology solutions for the enterprise –
PASADENA, CA ï¿½ April 21, 2005 ï¿½ X1 Technologies, Inc., a recognized leader in desktop search solutions, today announced it received $10 million in new venture funding. The round was led by U.S. Venture Partners (USVP), based in Menlo Park, CA, with additional participation from founding investor, Idealab, based in Pasadena, CA. The new funds will be used to further the companyï¿½s sales and product development initiatives for the enterprise, increase staff worldwide and for company operations.
Stuart Phillips, general partner at USVP, joined the board of directors at X1. Phillips said, ï¿½Weï¿½re impressed by the technology and the execution shown by X1 and particularly excited about their future prospects. Knowledge Management and Enterprise Search have largely failed to deliver on their technology or financial promises because they have focused on the wrong problem. X1 focuses on the user and solves a ubiquitous problem of finding the right information when it is most needed. We believe every knowledge worker will eventually have X1 on their desktop and servers.ï¿½
“USVPï¿½s history of backing fundamentally important technology companies will help us accelerate our growth and customer reach into enterprise clients,” said Josh Jacobs, president of X1. “As important as the financial backing, we value USVPï¿½s knowledge and industry depth and look forward to their guidance as we expand our award-winning technology solutions to meet the needs of both small and large companies.ï¿½
ï¿½We are proud of the role X1 has played in shaping the desktop search market,ï¿½ said Bill Gross, CEO of Idealab and founder of X1 Technologies. ï¿½The company has executed on the original vision to provide consumers with instant access to their personal data and has now built on that technology to develop powerful solutions for enterprises worldwide. We are thrilled to welcome USVP as a partner and look forward to the tremendous impact we know will come with their contributions.”
X1ï¿½s forthcoming X1ï¿½ Enterprise Edition builds upon the success of X1ï¿½ Desktop Search by adding additional capabilities that businesses and workgroups have requested, including better deployment and administration tools and a centralized index and search capability. Enterprises are looking for solutions to provide the information from disparate corporate data stores to their employees in a secure but easy to manage fashion. X1ï¿½s solutions are scalable and extensible to fit within a companyï¿½s existing data management infrastructure.
X1 Desktop Search was recently chosen by PC Magazine as a Best of 2004 product and awarded their prestigious Technical Excellence award for Search Tools, besting Google Desktop Search and others. X1 Technologies has partnered with Yahoo! and EarthLink to power their desktop search initiatives.
About X1 Technologies, Inc.
X1 Technologies, Inc. (www.x1.com) develops desktop search software and solutions for customers ranging from individual professional users to large enterprises. The companyï¿½s award-winning flagship product, X1 Desktop Search, along with the forthcoming X1 Enterprise Edition, provide PC users in every industry with the fastest way to find what theyï¿½re looking for, whether they need content from email, attachments, files, contacts, networks, exchange servers, or other sources of unstructured local and enterprise data. X1 Technologies has partnered with leading companies including Yahoo! and EarthLink to power their desktop search initiatives. X1 Desktop Search is currently in use at companies ranging from the Fortune 100 to small businesses that depend on ready access to essential information. X1 Technologies is headquartered in Pasadena, California and is a network company of Idealab, a creator and operator of technology businesses. The company was founded in 2003.
About U.S. Venture Partners
U.S. Venture Partners (USVP) is a Silicon Valley-based venture capital firm dedicated to helping entrepreneurs build world-class companies that are leaders in their respective industries. USVP focuses on early-stage opportunities in sectors in which partners have the domain expertise, operating experience and relationships to make a meaningful contribution to the success of the enterprise. These sectors include digital communications and networking systems, Internet and commerce infrastructure, semiconductors and optical components, and software for enterprise and technical applications, medical devices and biopharmaceuticals. Since its formation in 1981, USVP has invested in more than 370 companies. In aggregate, USVP has helped create about $75 billion in stock market value.
Idealabï¿½s mission is to create and operate pioneering technology companies. Founded in 1996 by entrepreneur Bill Gross, Idealab provides a broad range of operational support to its companies, allowing the operating company management teams to focus on getting to market quickly and cost-effectively, and to take advantage of the serial start-up experience of the Idealab team. Bill Gross and Idealab have founded companies such as Overture Services, Inc., CitySearch and Picasa. Current operating companies are providing innovative technology solutions in software, search, wireless and alternative energy fields. Additional information can be found at www.idealab.com.
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X1 is a trademark of X1 Technologies, Inc. All other trademarks and registered trademarks are the property of their respective owners. ï¿½ 2005 All rights reserved.