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FCC - http://seattlepi.nwsource.com/venture/183245_vc23.htmlBy JOHN COOKSEATTLE POST-INTELLIGENCER REPORTERIt has been a long time since venture capitalists got excited aboutanything in the telecommunications sector.But after years of inactivity, the tide may finally be turning asinvestors look to place bets on a new technology that allows phonecalls to be made over the Internet. Dubbed Voice over InternetProtocol or VoIP, the technology has some venture capitalists reachingfor their pocketbooks again."This is a disruptive technological change; I know that soundscliched," said Madrona Venture Group's Greg Gottesman. "But I thinkthis is the biggest thing that is happening in communications."Madrona recently co-led a $15.7 million investment in World WidePackets, a Spokane company whose fiber-optic technology allowsmunicipalities to deliver voice, video and data over the Internet atsuperfast speeds.Telecommunications could use a boost. Once garnering 17 percent of allventure capital dollars, the sector slipped in recent years asinvestors reacted to a meltdown that is often described as "nuclearwinter." Last year, just 11 percent of venture capital dollars went totelecom startups.Voice over Internet Protocol could reverse that trend. According to areport issued this week by the Yankee Group, the number of Internettelephony companies receiving venture financing increased by 50percent last year.Full story at:http://seattlepi.nwsource.com/venture/183245_vc23.html




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