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         	&nbsp;<font face="verdana, verdana, arial, geneva, helvetica" size=1 color="white"><b>For Jeffrey Dasovich, Enron</b></font>
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  		<b>VENTURE MARKET SUMMARY</b>
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  		<td><BR><div id="market"><font face="verdana, arial, geneva, helvetica" size="2">With many companies holding off news announcements in the wake of last week&#39;s tragic events, just nine announced new fundings, totaling some $68 million. Among them were Expand Beyond, which got $11.2 million in its first round of funding from Menlo Ventures, which led the round. Roving Software brought in a $5 million Series C, and optical networking company Innovance Networks of Piscataway, N.J., which added $4 million to an earlier $75 million second round. The biggest star was another optical firm Edgeflow, of Ottawa. Already on its way with ninety employees, Edgeflow raised $24 million in an oversubscribed Series A and is readying its product for customer trials. <br><br>Following similar moves by Qualcomm earlier this month, Sun Microsystems told
VentureWire that its venture unit has begun to lead rounds as traditional venture firms shy away from the lead investor role. Sun&#39;s VC unit also said the amount it has invested this year has fallen considerably due to its increased early-stage activity and the general decline in valuations. <br><br>Several firms announced post-summer personnel changes, as Tuscon Community Ventures of Tucson, Ariz., and Schroder Ventures Life Sciences of London said they added investment professionals to their rosters. TA Associates said A. Bruce Johnston has rejoined the firm after a stint as president of idealab! Boston.<br><i>-By <a href="mailto:travers@technologicp.com">Suzanne Segers Travers</a></i></font></div></td>
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	<TABLE BGCOLOR="#eeeeee"><TR><TD><PRE>Can A New Generation of Companies Change Clinical
Trials

The long and expensive ($500 million) drug approval
process is ripe for innovation.  Healthcare Outlook
has dedicated a special track for management
presentations by private companies hoping to seize
the opportunity. We also will convene a special industry
roundtable: From the Pipeline Through Clinical Trials
led by venture capital veteran Sam Collela of Versant
Ventures.  He'll be joined by:
*Jeff Augen, Director, Business Strategy, Life Sciences,
IBM
*C. Thomas Caskey, President & CEO, Cogene Biotech
Ventures
*Rodney A. Ferguson , General Partner, JP Morgan
*James D. Utterback, Chief Executive Officer, PHT
Clinical Networks
Come see the companies that will create the change and
the experts that can put it in perspective, Healthcare
Outlook on October 9 in San Francisco.
	<a target= "_new" href="http://venturewire.com/ads/ad.asp?id=1234">&nbsp;</a></PRE></TD></TR></TABLE>
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    	<font face="verdana, verdana, arial, geneva, helvetica" SIZE=2 color="black"><b>UPCOMING EVENTS</b></font>

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        	<a href="http://venturewire.com/index.asp"><font face="verdana, verdana, arial, geneva, helvetica" SIZE=2 color="black"><b>VENTUREWIRE INDEX</b></font></a>
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        	<font face="verdana, arial, geneva, helvetica" size="1" color="gray">535.2 &nbsp; -1.42%</font>
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	<font face="verdana, verdana, arial, geneva, helvetica" SIZE=2 color="black"><b>NOTABLE DEALS</b></font><BR><BR>
	<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwLNQLLMNNHI"><b><font face="verdana, arial, geneva, helvetica" size="2">Optics Firm Edgeflow Gets $24M in Over-subscribed Series A </font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=LNQLLMNNHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">OTTAWA -- Edgeflow, which develops wave-length infrastructure devices, said it raised $24 million in its over-subscribed Series A from BTG, Desjardins Venture Capital Group, Newbury Ventures, Pan Dacom Networking, Primaxis Technology Ventures, RBC Capital Partners Telecom Fund, Sierra Ventures, and Venture Coaches. The company will use the money to bring its product to customer trials, as well as for sales, customer service, marketing, and product development.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=LNQLLMNNHI">more..</a>]--><br>
<a href="http://www.edgeflow.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.edgeflow.com</font></a>
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<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwNOQHJOONHI"><b><font face="verdana, arial, geneva, helvetica" size="2">Sun Microsystems VC Unit to Lead More Rounds</font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=NOQHJOONHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">MOUNTAIN VIEW, CALIF.  -- In a sign of the changing environment for corporate investors, Sun Microsystems&#39; venture capital investment unit has found itself leading -- and being asked to lead -- more investment rounds, Brian Sutphin, vice president of strategic investments, told VentureWire.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=NOQHJOONHI">more..</a>]--><br>
<a href="http://www.sun.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.sun.com</font></a>
</td></tr></table><br>
<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwLPMQMLONHI"><b><font face="verdana, arial, geneva, helvetica" size="2">idealab! Boston Pres. A. Bruce Johnston Rejoins TA Assoc. </font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=LPMQMLONHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">BOSTON -- TA Associates, a buyout and private equity firm, said  A. Bruce Johnston is rejoining the company as a managing director. Mr. Johnston, who most recently served as president of idealab! Boston, worked at TA for seven years before joining idealab! as managing director in September 1999 and assuming his current position early last year.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=LPMQMLONHI">more..</a>]--><br>
<a href="http://www.ta.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.ta.com</font></a>
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	<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwQNQQKLPNHI"><b><font face="verdana, arial, geneva, helvetica" size="2">Database App Firm Expand Beyond Raises $11.2M First Round</font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=QNQQKLPNHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">CHICAGO -- Expand Beyond, which provides software for database administrators to monitor and manage Oracle databases  remotely using wireless handheld devices, announced it has secured $11.2 million in its first round of funding from Menlo Ventures and individual investors. The company also announced changing its name from PocketDBA Systems.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=QNQQKLPNHI">more..</a>]--><br>
<a href="http://www.xb.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.xb.com</font></a>
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<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwNOJHQMONHI"><b><font face="verdana, arial, geneva, helvetica" size="2">ZF Micro Devices Seeking $15 Million Series C, New Lead</font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=NOJHQMONHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">PALO ALTO, CALIF.  -- ZF Micro Devices, a provider of a crash-immune PC system-on-a-chip, is seeking a $10 million to $15 million Series C round of financing, chief executive officer David Feldman told VentureWire. The company will use the capital to build up its sales force and for working capital. Mr. Feldman said  ZF Micro Devices is in talks with several venture capital firms as it looks for a new lead. The company would give a board seat to the C round&#39;s lead investor and possibly a second seat to another, significant investor. Mr. Feldman said he expects to close the round by the end of October.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=NOJHQMONHI">more..</a>]--><br>
<a href="http://www.zfmicro.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.zfmicro.com</font></a>
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<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwLLJNHPNNHI"><b><font face="verdana, arial, geneva, helvetica" size="2">Avisium Takes in $16.5 Million in Second Round </font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=LLJNHPNNHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">PARIS -- Avisium, which operates business Web sites, said it raised approximately EUR 18 million ($16.5 million) in second round funding from Apax Partners, Advent International, BBS, and Groupe Banques Populaires. The company said the financing would be used for continued product development.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=LLJNHPNNHI">more..</a>]--><br>
<a href="http://www.avisium.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.avisium.com</font></a>
</td></tr></table><br>
<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwILHOIQONHI"><b><font face="verdana, arial, geneva, helvetica" size="2">Roving Software Clicks With $5 Million Series C </font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=ILHOIQONHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">NEEDHAM, MASS. -- Roving Software, a provider of self-service e-mail marketing tools, is expected to announce today the completion of a $5 million Series C round with Commonwealth Capital Ventures, Longworth Venture Partners, Morgan Stanley Venture Partners, and VeriSign. The funds will be used for general operations and for sales and marketing.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=ILHOIQONHI">more..</a>]--><br>
<a href="http://www.roving.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.roving.com</font></a>
</td></tr></table><br>
<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwLJJPQIONHI"><b><font face="verdana, arial, geneva, helvetica" size="2">After Product Launch For Palm Devices, Pico Raising $10M</font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=LJJPQIONHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">CUPERTINO, CALIF. -- Pico Communications, a developer of Bluetooth networking technologies, is raising a $10 million third round it expects to close in three to six months. The company is raising the funds to expand its engineering and marketing staff and to support further product development. Pico will target both venture capital and corporate investors in the round.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=LJJPQIONHI">more..</a>]--><br>
<a href="http://www.picocomm.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.picocomm.com</font></a>
</td></tr></table><br>
<TABLE BGCOLOR="#eeeeee"><TR><TD><PRE>VentureWire Breakfast Briefing - The Energy Sector:
Urgent Needs, Emerging Opportunities
July 24, San Mateo Mariott

Announcing the VentureWire Breakfast Briefing Series!
Meet with fellow VentureWire readers and hear lively presen-
tations from industry leaders on the issues that matter most
to you in a setting that stimulates the exchange of ideas.

Changes in the $300 billion utility industry and urgent
energy production and distribution needs have created oppor-
tunities for high-tech investment, as dealflow in other
sectors has diminished. Join Bryant J. Tong, Managing
Director at Nth Power Technologies, a VC firm focusing on
opportunities in the global energy utility marketplace.<br><A target= "_new" href="http://venturewire.com/ads/ad.asp?id=1237">http://events.venturewire.com</a></PRE></TD></TR></TABLE><br>
<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwHHQPJKONHI"><b><font face="verdana, arial, geneva, helvetica" size="2">Online Investment Advisory Firm Netfolio Shuts Down </font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=HHQPJKONHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">NEW YORK -- Netfolio, an online retail investment service, announced it would shut down its online investment advisory service effective September 14. The company said its decision was motivated by difficult market conditions.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=HHQPJKONHI">more..</a>]--><br>
<a href="http://www.netfolio.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.netfolio.com</font></a>
</td></tr></table><br>


<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwLJIKIIPNHI"><b><font face="verdana, arial, geneva, helvetica" size="2">Schroder Ventures Life Sciences Expands Investment Teams</font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=LJIKIIPNHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">LONDON -- Schroder Ventures Life Sciences, a London-based venture capital firm focused on life sciences, said it added three investment professionals to its London and Boston offices. Graham Boulnois will join the London investment staff, and John Borzileri and Jeffrey Vender will join the Boston office.
 </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=LJIKIIPNHI">more..</a>]--><br>
<a href="http://www.svlifesciences.com" target="_new"><font face="verdana, arial, geneva, helvetica" size="2">http://www.svlifesciences.com</font></a>
</td></tr></table><br>

<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwNQPNKQNNHI"><b><font face="verdana, arial, geneva, helvetica" size="2">Maple Optical</font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=NQPNKQNNHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">NEW YORK -- A story on Friday about layoffs at Maple Optical misstated the number of employees that remain at the firm. It is 160, not 116. </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=NQPNKQNNHI">more..</a>]--><br></td></tr></table><br>
<table border="0" width="80%" cellspacing=0 cellpadding=0><tr><td><a name="vwILJLQKONHI"><b><font face="verdana, arial, geneva, helvetica" size="2">Zona</font></b></a></td><td align="right">&nbsp;&nbsp;<a href="http://alert.venturewire.com/o_mailer.asp?sid=ILJLQKONHI" target=NEW><img src="http://alert.venturewire.com/images/mail2.gif" border="0" height="10" width="15" alt="mail"></a>&nbsp; </td></tr>
<tr><td colspan=2><font face="verdana, arial, geneva, helvetica" size="2">NEW YORK -- A story on Friday incorrectly listed Zona&#39;s headquarters as Redwood Shores, Calif.  The company is based in Redwood City, Calif. </font><!--[<a href="http://professional.venturewire.com/story.asp?sid=ILJLQKONHI">more..</a>]--><br></td></tr></table><br>



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	<TABLE BGCOLOR="#eeeeee"><TR><TD><PRE>Saving Costs via Optics

With capital scarce and bandwidth aplenty, optical
components manufacturers face tough market conditions.
Now, systems companies are focusing on reducing costs
and helping carriers do more with the capacity they
already have. Happily, a number of optical technology
companies appear well positioned to capitalize on this
trend. At Optical Portfolio, you&#39;ll hear from startups
such as Symmorphix, Telephotonics, Pine Photonics, and
Proximion Fiber Optics, which are using integration,
tunability, and real-time network monitoring to create
more intelligent and efficient optical networks.

VentureWire Optical Portfolio, Boston Marriott Cambridge,
October 24 & 25. Register by September 14 and SAVE $200:
	<A target= "_new" href="http://venturewire.com/ads/ad.asp?id=1238">http://www.opticalportfolio.com</a></PRE></TD></TR></TABLE>
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