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ARM-Based Server Start-Up Calxeda Gets $55M Round

Calxeda said it will use the money to accelerate adoption and innovation in the emerging markets

Calxeda, the Texas start-up pioneering the use of ARM cellphone chips in scalable low-power servers, has closed a $55 million round, bringing total investment to around $100 million.

It calls the investment, led by Austin Ventures and Vulcan Capital, the VC arm of Microsoft co-founder Paul Allen, "one of the largest semiconductor capital deals this year."

Existing Calxeda backers - ARM, the Abu Dhabi-based Advanced Technology Investment Company (ATIC), Battery Ventures, Flybridge Capital Partners and Highland Capital Partners - also pitched in.

Calxeda said it will use the money to accelerate adoption and innovation in the emerging market for such widgets, which are targeted at web, cloud and Big Data.

Benchmarks have Calxeda delivering as much as a 10-fold improvement in energy efficiency compared to current commodity x86 servers.

HP is running with the widgetry as part of its Project Moonshot. It's also going with Atom-based micro-servers, claiming last week that the form factor could equal 15% of server market in two years.

Dell is also reportedly ready with ARM micro-servers.

The start-up now employs over 100 people, with offices in Austin and Silicon Valley and subsidiaries across Asia.

AMD now own SeaMicro, which makes Intel-based micro-servers.

More Stories By Maureen O'Gara

Maureen O'Gara the most read technology reporter for the past 20 years, is the Cloud Computing and Virtualization News Desk editor of SYS-CON Media. She is the publisher of famous "Billygrams" and the editor-in-chief of "Client/Server News" for more than a decade. One of the most respected technology reporters in the business, Maureen can be reached by email at maureen(at)sys-con.com or paperboy(at)g2news.com, and by phone at 516 759-7025. Twitter: @MaureenOGara

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