Yozma, joined by Infineon’s Venture Arm (formerly
Saturday, May 26, 2001

The Yozma Group led a $5.2 million investment round in HyWire, a
fabless manufacturer of components that are used as search and
classification engines in High-End Routers (for the internet backbone)
and LAN Switches (for connecting computers inside the enterprise).
HyWire is headed by Mr. Moshe Stark, who possesses 25 years of
operating experience with multinational companies including Intel
Israel and MMC Networks Israel. At Intel, Mr. Stark served as head of
Israeli R&D, responsible for development of Intel’s Pentium chip.

HyWire deals with the need for speed and capacity over the Internet.
The demand for bandwidth is increasing exponentially mainly due to
the number of users and the network applications (video, voice over
IP, e-commerce and various enterprise applications). It is expected
that current routers will be unable to keep up with the bandwidth
demand. A market research estimates that the Internet backbone
router market, which was $169 million in 1998, will increase to
approximately $5.5 billion in 2003.

Until today, building a high-end router that is capable of performing
heavy-duty tasks was expensive and inefficient. HyWire, by a
combination of unique system architecture, chip design and special
algorithms, has demonstrated a capability for performing high-end
routing using several proprietary ASICs. HyWire’s solution provides
savings in power consumption and performance in an order of
magnitude above that of existing architectures.

In a recent press release, Infineon announced the formation of a
strategic relationship with HyWire. Vice president of business
development for Infineon’s Communications Business Group, Mark
Tyndall, said: “HyWire’s search and classification engines are a
breakthrough technology destined to change the face of switching and
routing as we know it. The technology, best suited for large-scale
carrier backbone applications, takes the route lookup process to a
whole new level with major advances in router speed, efficiency and
cost". "Adding HyWire’s technology to our innovative optical solutions…
will enable Infineon to provide highly integrated, cost-effective
solutions with superior performance for the high growth Multi-Gigabit
and Terabit networking markets" continued Tyndall.


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