Intel Capital to Acquire $20 Million Stake in Telligent

Funding Gives Boost to Social Computing

SANTA CLARA, Calif., Sept. 23, 2008 – Intel Capital, Intel’s global investment organization, today announced an agreement to acquire a $20 million stake in Telligent Systems, makers of social computing solutions and business intelligence tools. Based in Dallas, Telligent will utilize the funds to expand its sales teams and territories, including growth in international markets, as well as increase its marketing and advertising initiatives and product development plans.

“Intel Capital makes strategic global investments to help provide enterprises with the latest tools they need for growth, innovation, productivity improvement and cost savings,” said Arvind Sodhani, president of Intel Capital and executive vice-president of Intel. “These social media applications offered by Telligent will help push the boundaries of online collaboration and communication allowing companies to be more efficient and productive.”

“The way people work together is changing and communication is happening in real-time at a much faster pace,” says Telligent CEO Rob Howard. “This significant investment from Intel Capital will allow us to grow our team, our capabilities and our reach during a time of market expansion.”

“Telligent's software solution brings the latest networking tools to the enterprise -- helping to advance teamwork and interaction between employers, employees and customers in a global landscape -- and will be a significant part of Intel Capital’s growing portfolio of Enterprise 2.0 investments,” said Lisa Lambert, managing director, Software & Solutions, Intel Capital.

Telligent’s flagship product, Community Server®, is an enterprise social computing platform with more than 3,000 customers and was among the first to offer a suite-based social collaboration solution. Community Server includes blogging, Web discussions, videos, Really Simple Syndication (RSS), wiki and rich user profiles.

Telligent has completed an initial closing with Intel Capital with the remainder of its stake to be acquired within twelve months subject to certain closing conditions.

About Intel Capital

Intel Capital, Intel's global investment organization, makes equity investments in innovative technology start-ups and companies worldwide. Intel Capital invests in a broad range of companies offering hardware, software, and services targeting enterprise, home, mobility, health, consumer Internet, semiconductor manufacturing, and cleantech. Since 1991, Intel Capital has invested more than US$7.5 billion in approximately 1,000 companies in 45 countries. In that timeframe, 168 portfolio companies have gone public on various exchanges around the world and 212 were acquired or participated in a merger. In 2007, Intel Capital invested about US$639 million in 166 deals with approximately 37 percent of funds invested outside the United States. For more information on Intel Capital and its differentiated advantages, visit www.intelcapital.com.

About Telligent

Telligent is a leader in enterprise ready, secure, scalable and fully supported solutions for online communities and social networks. Telligent’s flagship offering, Community Server, provides a fully integrated platform utilizing social media to enhance customer relationships, brand engagement, increased ROI and provide channels for valuable customer insight and feedback. With its software solutions and extensive development and customization service offerings, Telligent empowers digital marketing and Enterprise 2.0 collaboration for many of the world’s largest brands. Clients include: Associated Press, Conde Nast, Dell, Electronic Arts, GlaxoSmithKline. Honda, Intel, Mazda, Microsoft, MSNBC, MySpace.com, National Geographic, NFL, Visa. For more information, visit Telligent.com

Here's the direct link

Just finished my internship

Jeez, time flies :) May 2008 feels like yesterday, the month I started my internship at Intel Capital in the Software and Solutions Group; and yesterday it was my last day of internship. The experience was wonderful to say the least. It wasn't less than drinking water from a firehose. The team at Intel Capital is fantastic - I am privileged to work with and learn from the people who have been investing in companies of all stages for the last 15 years. They have seen the evolution of the VC industry as it passed through ups and downs Vis-a-vis the transformation of Intel Capital (from just a strategic investor to a full-fledged VC powerhouse). Which other VC firm can make more than 150 deals in an year and a single investment of $1B!

I worked on two of the most active and dynamic sectors in the software industry - Software as a Service (SaaS) and Software for Mobile Internet Devices. It was a great sojourn - wonderful learning opportunity intracting with people with diverse perspective and background - VCs, Business Unit heads, CEOs, investment bankers, research analysts, and consultants such as Jeff Kaplan from THINK IT Services - who have been envisioning and riding the SaaS Wave as it proliferates from just a new point based, low TCO solution for SMBs in early 2000 to challenging the incumbents in the Enterprise Software space at their own turf.

On the mobile side, the market is changing at a rapid pace. The convergence of smart phones and laptops is creating a new space for Mobile Internet Devices, providing greater mobility and Internet browsing capability to the millions of people across the globe. Several new business models and technological changes are accelerating the pace of innovation - open mobile development platforms(the likes of Moblin, Android, Symbian, etc), Open Source, WiMax & 3G deployments, new processors & platforms (Centrino Atom), dedicated VC funds for mobile investments (iPhone Fund, Blackberry Partners fund, etc.), and the successful launch of iPhone 3G and AppStore, to say the least.

So, as I look back at my experiences this summer, I will share my PERSONAL learning and opinion on the Mobile and SaaS sectors. You'll also see more coverage of the happenings in the Mobile and especially the SaaS sectors in my blog from now onwards.

Valuing a web based company

Some interesting reads:

Web 2.0: Valuation of Web Sites 101

Website Value 101 - How to Appraise a Website

The Churchill Club: The Top 10 Tech Trends

Here's a list of the top 10 tech trends selected by the elite panelists which includes:
Steve Jurvetson, Draper Fisher Jurvetson.
Vinod Khosla, Khosla Ventures.
Josh Kopelman, First Round Capital.
Roger McNamee, Elevation Partners.
Joe Schoendorf, Accel Partners.
Tony Perkins, of Always On, is the moderator.

Click here to read the full discussion.

The Ozzie Memo - Microsoft's software and services strategy for the future

Read this doc on Scribd: Services Strategy Update

Channel M Receives Investment from Intel Capital

Out-of-Home Video Advertising Market Estimated to Reach $2.25B by 20111

Channel M, a leading out-of-home video advertising company, today announced it has completed Series C financing from Intel Capital. Funding will be used to expand Channel M’s digital content distribution network, as well as expand the sales and marketing infrastructure.

“Retailers and advertisers are continually searching for better ways to connect with and influence consumers while they are shopping and Channel M’s out-of-home network of branded original content satisfies this demand,” said David Teichner, CEO of Channel M. “One of our national retailing clients has seen an average of 79 percent ad recall and brand recognition, leading to a 20 percent sales increase in stores that have adopted a Channel M network. With Intel Capital’s investment in Channel M, we will be able to enhance and expand our networks through digital distribution to help us continue to develop the most effective in-store programming for our retail clients and advertisers.”

“The out-of-home video industry has developed into a unique media category with growth potential,” said Gustavo Aray, senior investment manager, Intel Capital. “Intel Capital’s investment in Channel M will drive ongoing development of its digital distribution network as well as support program content development.”

Channel M is the nation’s largest in-store media company, working with more than 20,000 locations in the United States. Channel M’s national ad supported retail networks reach more than 100 million consumers each month, serving as key vehicles for retail branding as well as third party advertising to highly targeted demographics at more than 7,500 points of purchase around the country. The Company’s clients include national retailers such as Macy’s, Ashley Furniture and Blockbuster. Channel M pioneered out-of-home narrowcasting with its unique mix of custom-developed content and advertising that educates consumers, impacts sales, enhances the store environment and drives incremental revenue for retail partners.

1According to market analysts eMarketer and PQ Media, the out-of-home video industry is expected to grow to $2.25 billion and $3.22 billion, respectively, by 2011. To capitalize on the growth potential of the market, Channel M will use the Intel Capital funding to migrate its distribution network to a digital platform. Through digital distribution of its programming, Channel M will be able to offer advertisers the ability to customize delivery of ad content to localize ads or service campaigns nationwide. Digital delivery will also enhance metrics information for Channel M networks, helping to move the industry towards universal reporting standards.

Wipro Chairman, Azim Premji, launches $1B PE fund focussed on India

Wipro chairman Azim Premji, among the richest Indians, is casting his net wider. Known as an astute investor who picked stocks in his personal capacity across an array of undervalued but promising companies, Mr Premji is now launching a private equity fund with an investible corpus of at least $1 billion. The fund, PremjiInvest, is expected to be sector-agnostic. And if insiders are to be believed, it may even shun pure-play IT services companies.

As a first step, Mr Premji named Sudip Banerjee, who till recently was president of the enterprise solutions business, as director on the advisory board of PremjiInvest. This is probably the biggest private equity play by a domestic corporate honcho.

However, there are India-origin funds that are bigger—ICICI Ventures, for instance. With about 80% stake in Wipro, Mr Premji’s wealth in terms of market capitalisation is pegged at around Rs 68,000 crore. And the 61-year-old promoter is believed to be taking home well over Rs 500 crore in dividends and salary annually.

Click here to read the complete story at economic times