Low Power chip maker Plato Networks Nabs $20M


Plato Networks, a fabless semiconductor company that designs chips for energy-efficient datacenters, snagged $20 million from Granite Ventures, STIC International, and Crosslink Capital. The Santa Clara-based company says it will use the funds to “accelerate development of its ultra low-power 10Gbps Ethernet products”.

Founded in 2004, Plato Networks, is attempting to make data centers, currently massive power users, more energy efficient. Making data centers and Ethernet connections more energy efficient is an industry-wide trend.

The IEEE’s Energy-Efficient Ethernet (EEE) Study Group has been focusing on the Ethernet energy problem for awhile, and this Register article quotes an EEE stat:

Ethernet’s poor use of energy could be wasting as much as $450m a year – or 5.8TW-h – in the US. And perhaps three times that much, worldwide. — Register

The big chips players are well-aware of the need to decrease power requirements for Ethernet use. In related news, Information Week reported that Intel introduced two Ethernet controllers which provide greater energy-efficient connectivity.

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