Israeli start-up First OverSi announced today the completion of a $700,000 financing round from StageOne Ventures and its investment arm, Lab-One.
First OverSi develops traffic control and proxy servers designed to slash lighten traffic loads stemming from end customers uses of P2P (peer-to-peer) software. The company’s system is aimed primarily at Internet Service Providers (ISPs). First OverSi says that Israeli ISPs are already considering its system.
CEO Ofer Wald, a founder of Surfree, and director Eitan Efron, and founder of KereniX, founded First OverSi. Both Surfree and KereniX have closed down.
First OverSi addresses one of the biggest problems of communications network operators and ISPs bottlenecks and high traffic costs stemming from increasing use of file sharing. Figures from ISPs indicate that file sharing currently accounts for 70-90% of all Internet traffic.
First OverSi’s system enables ISPs to control P2P traffic, while substantially reducing the loan on the network and services costs, and improving performance for the end-customer. The company is currently preparing to test its first system with ISPs in Israel.
StageOne Ventures managing partner Adoram Gaash said today, “First OverSi provides a solution for one of the most painful problems for ISPs in the era of broadband and file sharing. The company expects to improve service quality for ISPs and slash their broadband costs to a fraction. It’s no wonder that First OverSi is arousing enormous interest among communications providers in Israel and around the world.”
First OverSi plans to use the money raised to increase accelerate its development, and to being marketing. Based in Lab-One’s offices, the company has six employees.
Published by Globes [online] - www.globes.co.il - on January 30, 2005