Infineon-Savan has announced it has assisted in the founding of a new Negev start-up called Amethyst. Infineon-Savan is an Israeli subsidiary of Infineon Technologies (NYSE:XETRA:IFX) that develops chips for VDSL modems. Amethyst develops broadband communications components’ testing systems and applications. These include integration applications for communications components, including those developed by Infineon for installation in Siemens (NYSE:SI; XETRA:SIE) and Telson Electronics Co. (KSE:27350).
Former Infineon-Savan development engineers Eli Ponte and Gilad Kirshenboim founded Amethyst. The company is based in the Sapir Academic College at Sha’ar Hanegev. Infineon’s investment in the company is estimated at several million shekels. Amethyst has initially hired ten Negev-area employees, mostly graduates of Ben Gurion University of the Negev, and plans to hire more during the year, as well as interns from Sapir Academic College, giving them experience in developing advanced communications technologies.
Ponte said the company was founded in the Negev to exploit the flight of high-tech personnel to the center of the country. “We are seeing a vicious circle in which high-tech engineers trained in the Negev move to the center of the country because companies in their fields don’t invest in the area. The company was founded in the Negev in order to break this vicious circle and contribute to the region’s development,” he said.
Savan founder and Infineon SVP Access division Noam Elroy said the company has been supporting the venture from the outset, and was Amethyst’s first investor. Amethyst stated it has no plans to hold another financing round in the coming year, and planned to cooperate with academic institutions and the Negev Development Authority.
Infineon was founded as a division of Siemens, before being spun off as an separate company. The company posted €5.21 billion in sales in 2002, and has 30,000 employees worldwide.
Infineon operates two development centers in Israel. One, located in Netanya, is based on the start-up Savan Communications, acquired by Infineon in 2000 for $120 million. Infineon-Savan develops chips for VDSL modems.
Infineon, Agere Systems (Nasdaq:AGR) and Motorola (NYSE:MOT) established a joint development center, called StarCore, in July 2002, based on Israeli start-up IC.com, acquired by Infineon in late 1999 for several million dollars. StarCore develops DSP cores.
Infineon and Saifun Semiconductors also jointly founded Ingentix to develop memory chips.
Published by Globes [online] - www.globes.co.il - on January 19, 2003