?	
?	'VentureWire'
	Wednesday, November 29, 2000	?
?	CONTENTS | COMPANIES | INVESTORS	?
?	
	
	
	top stories
	
	* Weston Presidio Closes $1.3 Billion Fund
	* Report: Crosspoint Forgoes $1 Billion New Fund
	* Crosslink Capital Makes Add-ons but No New Investments in Q3
	* Broadband Access Firm Allegro Gets $24 Million First Round
	
	
	
	The elite of the burgeoning optical communications industry
	will be in one place, under one roof Feb 11-14:
	Optix2001 in Pasadena, CA.
	
	This unusual event combines leaders in academia and business
	exchanging the latest on trends, recent developments, and
	the future of optical technology. If you are a player in the
	field, this is a special opportunity to learn from the
	world's experts.
	
	The brightest corporate stars such as Don Smith, President
	of Nortel are joined by renowned academics such as
	Kerry J. Vahala, Professor of Applied Physics at Cal Tech,
	to provide a breadth of knowledge and insider perspective
	unique to the industry.
	
	Participation at this event is subject to approval and is
	limited to senior executives involved in the optical
	communications industry. For your registration pack link 
to:http://www.optix2001.com/
	
	
	
	new money
	
	* Central European Telecom Firm Secures $50 Million 
	* Health Industry Software Firm Gets $500,000 in Open Series A
	* Internet Health Firm Verus Raises $1.2 Million First Round 
	* Scheduling App Firm ServiceU.com Gets $3.15 Million Series A
	* Wireless Net Marketing Firm Mobliss Gets Seed Funds
	* ASP United Messaging Closes Third Round with $70 Million
	* ID Management Firm Courion Gets $13.2 Million in Round Two
	* Performance Management Firm Wily Has $10 Million Round Two
	* Supply Chain Apps Firm Percite Gets $7.5 Million Series B
	* Web Identity Services Firm dotTV Has $28 Million in Series B
	* E-Manufacturing Software Firm Camstar Secures $22 Million
	* Passport Health Communications Raises $4.9 Series B
	* Web Security Firm Counterpane Lands $24 Million Third Round
	* Animated Virtual Guide Firm Kiwilogic Closes Third Round
	* Business Service Provider Virtual Growth Gets $21.5 Million
	* Mineral and Metal Marketplace Gets Funding from Votorantim
	* Motorola Takes Stake in Corporate Media Portal V-SPAN 
	* Softbank Invests in Diamond.com, Online Jewelry Source 
	* TL Ventures Funds European Webgroup with $4.4 Million
	* WineryExchange.com Raises $15 Million Series B
	* Business Service Firm DigitalWork Has $14 Million Round Four
	* Web Education Marketplace Embark Gets $5 Million in Debt
	* Wholesale Gift Distributor USgift Raises $8.5 Million 
	* CRM Service Firm Gets Funds, Changes Name to Cerida
	
	
	new products
	
	* Komag, Storm Ventures and Summit in Joint Venture
	* Recruitment Firm MorganWorks.com Changes Focus and Name
	
	
	new deals
	
	* Andersen Consulting Takes Stake in Deal with Yantra
	
	
	m&a
	
	* QuantumShift to Buy ICE for $5 Million in Stock 
	* Eco Associates Buys Bankrupt Golf Site ChipShot.com  
	* Broadband Firm Mindport Acquires Infrastructure Firm Noochee
	* Radiology Software Firm Avreo Acquires Image Medical
	* TeamStaff Merges with Online Business Center Brightlane.com
	* Youth Sports Network Athelete.com Acquires HockeyWeb.com
	* zZounds Sold to Pinebrook Holdings, to Close Two Stores 
	
	
	new directors
	
	* Ten Square Names Microsoft WebTV CFO to Board
	* Handheld Device Firm Extenex Taps Ex-Coherent Exec for Board
	* Web-Based ASP Worldo Names Ex-Fina CEO as Board Chairman 
	
	
	new people
	
	* Wireless App Firm iConverse Names Ex-Interactive Exec as CEO
	* Telco Services Firm The GTX Names Chairman and CEO
	* App Firm SiteStuff Promotes COO to President
	* Wireless Firm Travelers Telecom Appoints New CEO
	
	
	vc fund news
	
	* Three Arch Partners Raises $200 Million For New Fund
	* Hudson Ventures Closes Second Fund with $130 Million
	* Merck Forms New Investment Arm with $100 Million Purse
	* Info Appliance Software Firm Liberate Raises $50 Million
	* Business Accelerator STARTech Closes Fund with $32 Million
	* Pakistani Incubator KASB TechVentures Launches
	
	
	vc personnel
	
	* Former Verizon Exec Named Managing Director of Carlyle Group
	* Metropolitan Venture Names Directors of European Branch
	
	
	vw corrections
	
	* Edmunds.com
	
	
	TOP STORIES... NEW MONEY... NEW PRODUCTS... NEW DEALS... M&A... NEW 
DIRECTORS... NEW PEOPLE... VC FUND NEWS... VC PERSONNEL... VW CORRECTIONS
	
	
	
	
	
	
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	built a dot.com. You have to have the right connections.
	Through the HP Garage Program, HP can get your name in front
	of the people who can speed your time-to-market and really
	help you succeed. (Marketing people. Web integration people.
	Hosting people. VC's.) You name it. And networking is only
	part of what the HP Garage Program has to offer. HP can help
	you finance it, build it, run it, and market it. So do what
	you do best. Invent. We'll help with the rest.http://www.garage.hp.com/
	
	
	
	top stories
	?
	Weston Presidio Closes $1.3 Billion Fund
	?	?	SAN FRANCISCO (VENTUREWIRE) -- Weston Presidio Capital Management said it ?closed Weston Presidio Capital IV, a venture capital fund with commitments of ?$1.3 billion. This fund brings Weston Presidio's total capital under ?management to over $2.2 billion. The company said it seeks to back ?exceptional management teams in any sector and has approximately a quarter of ?its investments in mid to late stage technology firms. The fund's investors ?include Golman Sachs, The Common Fund, and Chase Bank among others. ?	http://www.westonpresidio.com?	?	Report: Crosspoint Forgoes $1 Billion New Fund?	
	
	NEW YORK (VENTUREWIRE) -- Crosspoint Venture Partners has commitments for a 
new $1 billion fund but has decided not to raise the capital, according to a 
report in the Wall Street Journal. The reason for the delay is the difficult 
environment for investing in new companies and generating high returns. 
Crosspoint will raise the fund as soon as the environment improves, according 
to the report. Crosspoint raised an $850 million fund earlier this year. 
	http://www.cpvp.com
	
	Crosslink Capital Makes Add-ons but No New Investments in Q3
	?	?	SAN FRANCISCO (VENTUREWIRE) -- Crosslink Capital said that it made no new ?investments in the third quarter of 2000. The firm said this was the first ?time this happened since the fourth quarter of 1996. Crosslink did commit ?additional capital to existing portfolio companies in the third quarter. The ?firm invested in Brightmail, a provider of anti-spam software; NonStop ?Solutions, which develops chain automation software; Protocare, a healthcare ?services company; and techies.com, which provides Web-based IT recruiting ?services. The firm said it is evaluating potential investments in software, ?Internet infrastructure, and communications integrated circuits companies. ?Crosslink Capital has more $800 million under management.  ?	http://www.crosslinkcapital.com?	?	Broadband Access Firm Allegro Gets $24 Million First Round?	
	
	SAN JOSE, Calif. (VENTUREWIRE) -- Allegro Networks, which is developing a 
wholesale broadband access platform, said it has secured $24 million in its 
first round of funding from Bessemer Venture Partners, Columbia Capital, and 
Infinity Capital.  The company said it will use the funds to develop its 
technology. Allegro Networks said it named P.J. Singh as its chief technical 
officer and acting CEO. Mr. Singh co-founded Packet Engines. 
	http://www.allegronetworks.com
	
	new money
	?
	Central European Telecom Firm Secures $50 Million 
	?	?	DUBLIN (VENTUREWIRE) -- eTel Group, a Dublin-based telecommunications service ?provider that focuses on serving the Czech Republic, Hungary, Poland, and ?Slovakia, said it raised $50 million from new investors. Dresdner Kleinwort ?Benson Private Equity led the round, which included Argus Capital Partners, ?Greenhill Capital Partners, and Intel Capital. The company will use the ?funding for construction of fiber optic metropolitan area networks in ?Budapest, Prague, and Warsaw.  ?	http://www.etel-group.com?	?	Health Industry Software Firm Gets $500,000 in Open Series A?	
	
	HOUSTON (VENTUREWIRE) -- Dynamic Health Strategies (DHS), a provider of 
software for healthcare audit preparation and report production, said it 
raised $500,000 in an ongoing $3 million Series A round of funding. The 
financing came from individuals. The company said it expects to raise the 
remaining $2.5 million within the next 3 or 4 weeks. The company will use the 
funding to develop its software product. The company also plans to use 
funding for sales, marketing, and general operating expenses. 
	http://www.dhsgroup.com
	
	Internet Health Firm Verus Raises $1.2 Million First Round 
	?	?	BELLEVUE, Wash. (VENTUREWIRE) -- Verus, which develops Web applications and ?Web sites for hospitals, said it raised $1.2 million in its first round of ?financing from Pacific Northwest Partners, Summit Law Group, and Phase II ?this past August. The company said it will use the funds to grow the ?business.    ?	http://www.verus-tech.com?	?	Scheduling App Firm ServiceU.com Gets $3.15 Million Series A?	
	
	MEMPHIS, T.N. (VENTUREWIRE) -- ServiceU.com, which makes a Web-based 
scheduling application, said it has closed its Series A round of financing 
with a $3.15 million investment from Delta Venture Partners I and undisclosed 
individual investors. The company said it will use the funds to increase 
marketing.   
	http://www.serviceu.com
	
	Wireless Net Marketing Firm Mobliss Gets Seed Funds
	?	?	SEATTLE, Wash. (VENTUREWIRE) -- Mobliss, a wireless Internet marketing ?technology company, said it has secured $200,000 in seed funding, plus a ?commitment for an additional $1 million, from venture capital firm Inukshuk ?Limited Partnership, which is also based here. The company, which previously ?received funding from individual investors, said it will use the funding to ?develop its technology and enhance marketing efforts. The  Mobliss' ?technology permits marketers to reach users of wireless devices and voice ?portals through branded promotional campaigns. ?	http://www.mobliss.com?	?	ASP United Messaging Closes Third Round with $70 Million?	
	
	WEST CHESTER, Pa. (VENTUREWIRE) -- United Messaging, an enterprise messaging 
service provider, said it closed a $70 million third round of financing led 
by Broadview Capital Partners. New investors First Union Capital Partners, 
Comcast Interactive Capital, and Brinson Partners, and previous investors 
Internet Capital Group, Oak Investment Partners, Infinity Capital, and 
Labrador Ventures participated in the round as well. United Messaging is a 
global application service provider that offers hosted messaging and 
professional services. The company said it will use the funding to expand 
service platforms in the U.S. and abroad, to support the launch and promotion 
of its existing and upcoming messaging technologies and services, and to open 
new sales offices in Europe and Asia. Broadview and First Union will each 
receive a seat on United Messaging's board of directors.  
	http://www.unitedmessaging.com
	
	ID Management Firm Courion Gets $13.2 Million in Round Two
	?	?	FRAMINGHAM, Mass. (VENTUREWIRE) -- Courion, which develops self-service ?identity management  software, said it secured $13.2 million in its second ?round of funding led by QuestMark Partners. Other investors include Riggs ?Capital and previous investors JMI Equity and Massachusetts Technology ?Development. The company will use the funds to add new products, and to ?expand into Internet commerce and international markets. ?	http://www.courion.com?	?	Performance Management Firm Wily Has $10 Million Round Two?	
	
	BURLINGAME, Calif. (VENTUREWIRE) -- Wily Technology, a provider of 
performance management software for Java Web applications, said it raised $10 
million in its second round of funding. Previous investors Greylock 
Management and BEA Systems participated along with new investor Accel 
Partners. The company will use the funds to expand its Web application 
management product portfolio, and for sales and marketing. 
	http://www.wilytech.com
	
	Supply Chain Apps Firm Percite Gets $7.5 Million Series B
	?	?	FORT LEE, N.J. (VENTUREWIRE) -- Percite Information Technologies, which ?produces a supply chain management application for the global trade and ?freight industry, said it has raised $7.5 million in a Series B round led by ?BRM Group. Other investors in the round included GreenSpring Ventures and ?previous backers Neuron and Gerard Klauer Mattison & Co. The company said it ?will use the funds to expand operations in the U. S. and the Far East.      ?	http://www.percite.com?	?	Web Identity Services Firm dotTV Has $28 Million in Series B?	
	
	LOS ANGELES (VENTUREWIRE) -- dotTV, which provides Web identity services 
including Web addresses ending in .tv, said it has raised approximately $28 
million in its Series B round of funding. VeriSign, through its investment 
arm, NSI Capital Management, led this round,which also included 
UnitedGlobalCom, Munder Capital Management, Mark Asset Management and Compass 
Asset Management. The company said it will use the funds to expand its 
international sales and marketing efforts.  
	http://www.tv
	
	E-Manufacturing Software Firm Camstar Secures $22 Million
	?	?	CAMPBELL, Calif. (VENTUREWIRE) -- Camstar Systems, a provider of electronic ?manufacturing software technology for Fortune 100 companies, said it has ?secured $22 million in a venture capital round led by HarbourVest Partners. ?The round also included Glenmount International and Dominion Ventures. The ?company said it will use the funds to expand into the supply chain network ?market.   ?	http://www.camstar.com?	?	Passport Health Communications Raises $4.9 Series B?	
	
	FRANKLIN, Tenn. (VENTUREWIRE) -- Passport Health Communications, a provider 
of Web-based administrative and financial process services for the health 
care industry, said it raised $4.9 million as part of its Series B round of 
funding. Previous investors Greenfield Investments, CB Health 
Ventures,Coleman, Swenson, Hoffman & Booth, Anvers L.P., SSM Ventures, 
Dauphin Capital Partners, and Evergreen Investments participated in the 
round. Passport said it will use the capital to further expand its sales 
force in targeted markets and to develop additional payer connectivity and 
content. The company has raised approximately $17.5 million to date.  
	http://www.passporthealth.com
	
	Web Security Firm Counterpane Lands $24 Million Third Round
	?	?	SAN JOSE, Calif. (VENTUREWIRE) -- Counterpane Internet Security, which ?provides monitoring as well as penetration prevention and detection for ?computer networks, said it raised $24 million in its third round of funding. ?The funds came from new investors Amerindo Investment Advisors, ClearLight ?Partners, Dell, and a Deutsche Bank venture capital fund, as well as previous ?investors Accel Partners, Bessemer Venture Partners, The Goldman Sachs Group, ?and Morgan Stanley Dean Witter Private Equity. The company will use the funds ?to expand its business development, sales operations, research and ?development, and to expand into the Western Europe and Asia Pacific markets.?	http://www.counterpane.com?	?	Animated Virtual Guide Firm Kiwilogic Closes Third Round?	
	
	Hamburg, Germany (VENTUREWIRE) -- Kiwilogic, a company that creates animated 
virtual guides, said it closed its third round of funding with an undisclosed 
amount from 3i. The company did say the round was larger than the company's 
second $5.2 million round, which was led by Earlybird Venture Capital in 
September. Kiwilogic has developed Lingubot, an animated virtual sales 
assistant that can be installed on Web sites. A representative from 3i will 
join Kiwilogic's board of directors. 
	http://www.kiwilogic.com
	
	Business Service Provider Virtual Growth Gets $21.5 Million
	?	?	NEW YORK (VENTUREWIRE) -- Virtual Growth, which offers Internet-based ?accounting and business services to small and medium-sized businesses, said ?it closed a $21.5 million Series C round of financing. ETF Group, a global ?venture capital group, led the round. Other participants include previous ?investors Citigroup Investments, a subsidiary of Citigroup; Bessemer Venture ?Partners; StarVest Partners; Chelsea Capital Partners; and strategic partner, ?Administaff. The company said it will use the funds for further product ?development, to expand its new regional headquarters in Columbia, South ?Carolina, and for marketing. ?	http://www.virtualgrowth.com?	?	Mineral and Metal Marketplace Gets Funding from Votorantim?	
	
	LOS ANGELES (VENTUREWIRE) -- Quadrem, an online marketplace for mining, 
minerals, and metals, said that Votorantim Venture Capital, the venture arm 
of industrial giant Votorantim Group of Brazil, has become a founding 
shareholder of Quadrem. Other founding shareholders of include Alcan 
Aluminium Limited, Alcoa, Anglo American, Barrick Gold, BHP, Corporacion 
Nacional del Cobre de Chile (CODELCO), Companhia Vale do Rio Doce (CVRD), De 
Beers Consolidated Mines, Imerys, Inco Limited, Newmont Mining, Noranda. 
Normandy Mining, Pechiney, Phelps Dodge , Rio Tinto, WMC Limited, and Morgan 
Stanley Dean Witter.   
	http://www.quadrem.com
	
	Motorola Takes Stake in Corporate Media Portal V-SPAN 
	?	?	King of Prussia, Pa. (VENTUREWIRE) -- V-SPAN, a portal which provides ?corporations and other institutions with Web-based multimedia collaboration ?services over broadband networks, said it entered into a strategic ?relationship with Motorola, which includes an investment by Motorola in its ?Series B preferred stock.  V-SPAN and Motorola's Broadband Communications ?Sector will enter into two strategic initiatives. The companies will focus on ?video communications services using digital set-top terminals, as well as on ?broadband VPN solutions for mobile professionals and remote workers. ?Motorola's investment brings total raised in Series B funding to $38 million. ?Previous investors in the round include Goldman Sachs & Co., Comcast ?Interactive Capital, and Enron Broadband. VSPAN is also backed by MF Private ?Capital, J & W Seligman, Boston Millennia Partners, Harron Capital, B-ETC, ?and Edison Ventures! . ?	http://www.vspan.com?	?	Softbank Invests in Diamond.com, Online Jewelry Source ?	
	
	FT. LAUDERDALE, Fla. (VENTUREWIRE) -- Diamond.com, an online retailer of 
certified diamonds, jewelry, and watches, said it has closed a new round of 
financing with Softbank Capital Partners. The actual amount of funds raised 
was not disclosed. The Steinmetz Group also participated in the round, along 
with STI Ventures, Data Investments, and the Lipton Group. The company said 
it will use the funds to solidify its market position in the U.S. and abroad. 
Odimo, majority owned by Softbank Capital Partners and The Steinmetz Diamond 
Group, purchased Diamond.com in May. In March, Softbank committed $125 
million to fund joint ventures aimed at establishing Odimo.com operations 
worldwide.     
	http://www.diamond.com
	
	TL Ventures Funds European Webgroup with $4.4 Million
	?	?	WAYNE, Pa. (VENTUREWIRE) -- TL Ventures said it funded European Webgroup ?(EWG) of Zug, Switzerland, with an investment of $4.4 million. TL Ventures ?said it was making the investment to strengthen its ties to Europe and ?provide a network for its portfolio companies. EWG focuses on early stage ?investment in European and U.S companies in the business-to-business, ?business-to-consumer, enterprise applications and tools, enabling technology, ?and IT infrastructure sectors. EWG's portfolio companies include i-drive.com, ?Offroad Capital, Pefa.com, and SubmitOrder.com  ?	http://www.europeanwebgroup.com?	http://www.tlventures.com?	?	WineryExchange.com Raises $15 Million Series B?	
	
	NOVATO, Calif. (VENTUREWIRE) --  WineryExchange.com, an online marketplace 
for the wine industry, said it received $15 million in its Series B round of 
funding from new investors Charter Venture Capital and Cahill, Warnock & Co. 
Previous investors Venrock Associates and 3i Technology Partners also 
participated in the round. The funds will be used for international 
expansion, product roll-out, and customer service. The company has raised $24 
million to date. WineryExchange is also backed by vTraction, the Internet 
initiative of Netherlands-based Rabobank; Draper Richards, and individual 
investor Fred Warren, founder of Brentwood Associates.  
	http://www.wineryexchange.com
	
	Business Service Firm DigitalWork Has $14 Million Round Four
	?	?	CHICAGO (VENTUREWIRE) -- DigitalWork.com, which provides Web-based business ?services to small businesses, said it received $14.3 million in its fourth ?round of funding. Wells Fargo & Co. and VerticalNet participated in this ?round, along with previous investors Draper Fisher Jurvetson, TL Ventures, ?Information Technology Ventures, and PurchasePro.com. The company will use ?the funds for working capital. ?	http://www.digitalwork.com?	?	Web Education Marketplace Embark Gets $5 Million in Debt?	
	
	SAN FRANCISCO  (VENTUREWIRE) -- Embark, which provides services related to 
higher education aimed at helping individuals manage transactions such as 
recruitment or admissions processes, said it received $5 million in debt 
financing from Morgan Stanley Dean Witter Venture Partners, Norwest Venture 
Partners, and Doll Capital Management. The company will use the funds for 
general operating expenses.
	http://www.embark.com
	
	Wholesale Gift Distributor USgift Raises $8.5 Million 
	?	?	ATLANTA (VENTUREWIRE) -- USgift, which provides services for the wholesale ?exchange of gift, garden and home products, said it raised $8.5 million in a ?funding round led by Internet Capital Group. USgift said it will receive $4 ?million immediately, and the remaining $4.5 million on February 1, 2000. The ?company said it will use the funds to continue with its strategy of ?partnering with sales agencies. This additional investment brings the total ?amount of venture capital raised by the company to $40 million. USgift has ?secured funds from Gilbert Global Equity Partners, Ingram Industries and ?other undisclosed investors.    ?	http://www.usgift.com?	?	CRM Service Firm Gets Funds, Changes Name to Cerida?	
	
	PITTSFIELD, Mass.  (VENTUREWIRE) -- TeleSales, which provides customer 
relationship management services, said it changed its name to Cerida and 
closed a round of funding, the amount of which was not disclosed. Investors 
were the Berkshires Capital Investors, Fleet Development Ventures, Marathon 
Investment Partners, North Atlantic Capital, and Boston Community Venture 
Fund. The company will use the funds to expand its customer interaction 
centers, and for hiring and marketing.  
	http://www.cerida.com
	
	new products
	?
	Komag, Storm Ventures and Summit in Joint Venture
	?	?	SAN JOSE, Calif. (VENTUREWIRE) -- Publicly traded Komag, which produces media ?for disk drives, said it formed a new company with Storm Ventures Fund II and ?Summit Partners, with investments totaling $24 million. Storm Ventures and ?Summit Partners co-led the financing. The new company, Chahaya, will provide ?manufacturing services focused on the optical components and subsystems ?sectors. Komag said it provided 50% of the new company's initial ?capitalization. Storm Ventures co-founder Sanjay Subhedar, Summit Partners ?managing partner Walker G. Kortschak, Komag chairman Chris Eyre and CEO T.H. ?Tan will sit on Chahaya's board of directors.  ?	http://www.komag.com?	http://www.stormventures.com?	http://www.summitpartners.com?	?	Recruitment Firm MorganWorks.com Changes Focus and Name?	
	
	CHICAGO (VENTUREWIRE) -- MorganWorks.com, a Web-based employment recruiting 
company that outsources its software to other Web sites, said it is changing 
its name to Morgan International. Company president and COO Lloyd R. Singer 
said the company will step back from new technology development and focus on 
its primary business of staffing services. The company laid off employees in 
August, but said the layoffs were minor and mostly by attrition. The 
company's president and CEO Rick Salvadore and chairman Bernie Layton left 
the company in early October. William A. Lederer of Minotaur Partners is now 
serving as chairman of the company. The company said it will put a splash 
page in place of its Web site by this Friday. Morgan International is backed 
by Minotaur Partners. 
	http://www.morganworks.com
	
	new deals
	?
	Andersen Consulting Takes Stake in Deal with Yantra
	?	?	NEW YORK (VENTUREWIRE) -- Andersen Consulting announced a strategic alliance ?with Yantra, a provider of management technology for the manufacturing and ?retail industries. Yantra will provide its PureEcommerce software, which ?manages, tracks and executes customer transactions across a company supply ?chain, to Andersen Consulting Supply Chain Solution centers and Business ?Launch centers. AC Ventures, the venture capital arm of Andersen Consulting, ?has taken an undisclosed equity stake in Yantra. Yantra is backed by Morgan ?Stanley Dean Witter, Broadvision, VerticalNet, Amerindo, Eastman Chemical, ?Charles River Ventures, Hambrecht & Quist, One Liberty Ventures, RHO ?Management, Draper International, and Boston Millennia Partners.?	http://www.ac.com?	http://www.yantra.com?	?	m&a?	??	QuantumShift to Buy ICE for $5 Million in Stock ?	
	
	SAN FRANCISCO (VENTUREWIRE) -- QuantumShift, a provider of telecommunications 
management services, said it has agreed to acquire ICE Communications, a 
business-to- business application service provider for wireless 
telecommunications, in a transaction valued at $5 million in stock. Matt 
Fuller, chief executive officer of ICE Communications, will be the company's 
vice president of product marketing. QuantumShift plans to integrate ICE's 
technology into its communications offerings. QuantumShift recently received 
$68 million in Series C funding from Bowman Capital Partners, Thomas Weisel 
Partners, Morgan Stanley Dean Witter, Mayfield Fund, Texas Pacific Group, 
Presidio Ventures, Wilson Sonsini, and Comdisco.
	http://www.icewireless.com
	http://www.quantumshift.com
	
	Eco Associates Buys Bankrupt Golf Site ChipShot.com  
	?	?	AUSTIN, Texas (VENTUREWIRE) -- Interfase Capital-affiliate Eco Associates, ?which invests in struggling e-commerce companies, said it acquired all the ?assets of Chipshot.com, a Sunnyvale, Calif.-based online retailer of golf ?merchandise. Terms of the deal were undisclosed. The company filed for ?Chapter 11 bankruptcy protection on Sept. 28, 2000. Eco Associates plans to ?restructure the company and will feature Chipshot.com on Mall.com, an ?Interfase affiliate. Chipshot was originally backed by Comdisco Ventures, ?Damac Investors, Glynn Ventures, the New Economy Fund, Oracle Venture Fund, ?Sequoia Capital, and Sumitomo.?	http://www.chipshot.com?	?	Broadband Firm Mindport Acquires Infrastructure Firm Noochee?	
	
	SAN DIEGO, Calif.  (VENTUREWIRE) -- Mindport, a broadband content delivery 
applications subsidiary of MIH, an interactive media and technology firm, 
said it has taken a 70% stake in Noochee, a Colorodo Springs-based Internet 
infrastructure and software firm. The Noochee location will become Mindport's 
Colorado office. In February of this year, Cisco took a 10% stake in Noochee 
for less than $10 million. Other backers in Noochee include Crimson Capital, 
Vantage Point Venture Partners, and Dixon Doll, co-founder of Noochee and 
head of Doll Capital.    
	http://www.mindport.com
	
	Radiology Software Firm Avreo Acquires Image Medical
	?	?	CHICAGO (VENTUREWIRE) -- Avreo, an Internet software developer for the ?radiology industry, said it acquired Image Medical, a provider of image ?management systems for radiology. Terms of the deal were undisclosed. Sam ?Willcoxon, chief executive officer of Image Medical, will remain with the ?company as president and chief operating officer. Avreo will market and ?integrate Image Medical's PracticeBuilder product, an Internet-based image ?viewing technology, into its own product offerings. Avreo is funded by ?individual investors.?	http://www.avreo.com?	http://www.imagemedical.com?	?	TeamStaff Merges with Online Business Center Brightlane.com?	
	
	SOMERSET, N.J. (VENTUREWIRE) -- TeamStaff, a national professional employer 
organization, said it has merged with Brightlane.com, a privately-held online 
business center, to form a new business process outsourcing services 
organization. The merged company will provide small and middle market 
business with a full service co-employment relationship or the opportunity to 
select specific products such as banking, payroll, benefits and other 
services. T.Stephen Johnson, the chairman of Brightlane, will become chairman 
of the board of the combined entity. Brightlane was funded in part by First 
Union e-Ventures. The company also received funding from Nationwide 
Financial.     
	http://www.brightlane.com
	http://www.teamstaff.com
	
	Youth Sports Network Athelete.com Acquires HockeyWeb.com
	?	?	NEW YORK (VENTUREWIRE) -- Athlete.com, a multimedia youth sports network, ?said it is acquiring HockeyWeb.com, a Web-based management tool for hockey ?teams and leagues. The financial terms of the acquisition were not disclosed. ?Athelete.com said it will integrate HockeyWeb into its newly launched site, ?www.athlete.com, by the end of the year. Athlete.com has received funding ?from Millenium Three Capital Partners and ING Barings. ?	http://www.athlete.com?	http://www.hockeyweb.com?	?	zZounds Sold to Pinebrook Holdings, to Close Two Stores ?	
	
	CHICAGO (VENTUREWIRE) -- zZounds.com, a retail subsidiary of the 
music-focused Web site HarmonyCentral.com, said it is being sold to Pinebrook 
Holdings. Terms of the deal were undisclosed. zZounds will continue to 
operate its Web site, which sells musical instruments and recording gear, but 
will close two Chicago area retail stores. HarmonyCentral decided to sell the 
site when it decided to forego retailer revenues in favor of a 
retailer-neutral strategy. Ray Worthy Campbell, zZound founder and former 
CEO, will remain with Harmony Central as CEO and chairman. zZound is backed 
by Vulcan Ventures, Zilkha Venture Partners, and several individual investors.
	http://www.zzounds.com
	
	new directors
	?
	Ten Square Names Microsoft WebTV CFO to Board
	?	?	SAN JOSE, Calif. (VENTUREWIRE) -- Ten Square, an interactive point-of-sale ?broadcasting and publishing company, said it appointed Albert A. (Rocky) ?Pimentel to its board of directors. Mr. Pimentel currently serves as CFO and ?senior vice president at Microsoft WebTV Networks, which provides enhanced TV ?services using Internet and digital technologies. Mr. Pimentel has served on ?the board of several companies including Livingston Enterprises, SoftCom ?Microsystems, CrossWorlds Software, ConXion, and NetCell. Ten Square's ?investors include Marconi, BP Amoco, Chevron, BEA Systems, Blackboard ?Ventures,  Bay Partners, and APV Technology Partners.  ?	http://www.tensquare.com?	?	Handheld Device Firm Extenex Taps Ex-Coherent Exec for Board?	
	
	SOQUEL, Calif. (VENTUREWIRE) -- Extenex, a handheld device firm, said it has 
appointed Hank Gauthier to its board. Mr. Gauthier is chairman and a former 
executive of Coherent, a laser technology firm. Extenex raised a $2.1 million 
Series A round in August led by Vanguard Atlantic.    
	http://www.extenex.com
	
	Web-Based ASP Worldo Names Ex-Fina CEO as Board Chairman 
	?	?	NEW YORK (VENTUREWIRE) -- Worldo, a Web-based application service provider, ?said it has appointed Ron Haddock, the former president and chief executive ?officer of Fina Petroleum, as chairman of its board of directors. Prior to ?Fina, Mr. Haddock was vice president and director of Exxon. Worldo is backed ?by Continuation Investments N.V. Group, Easton Hunt Capital Partners of New ?York, and the New York Community Investment Company.    ?	http://www.worldo.com?	?	new people?	??	Wireless App Firm iConverse Names Ex-Interactive Exec as CEO?	
	
	WALTHAM, Mass. (VENTUREWIRE) -- iConverse, a wireless applications firm, said 
it has appointed Ron Matros, a former executive at Web publishing company 
FutureTense, as president and CEO, replacing cofounder Andy Fox, who is now 
chairman of the board. iConverse is funded by Advanced Technology Ventures 
and Prism Venture Partners.   
	http://www.iconverse.com
	
	Telco Services Firm The GTX Names Chairman and CEO
	?	?	WASHINGTON (VENTUREWIRE) -- The GTX, a service provider for ?telecommunications carriers, said it appointed  Charles Menatti as chairman, ?president, and CEO, replacing Phil Anderson as CEO, who will now serve as a ?consultant and remain on the board of directors. Previously Mr. Menatti ?served as president of The GTX's European operations. Prior to joining the ?company, he served as president of European development for CompleTel. The ?company is backed by Washington Investment Partners and Lucent. ?	http://www.thegtx.com?	?	App Firm SiteStuff Promotes COO to President?	
	
	AUSTIN, Texas (VENTUREWIRE) -- SiteStuff, which develops applications for 
maintenance and other services related to the commercial real estate 
industry, said it has appointed COO Eugene W. Long as president. SiteStuff 
said Mr. Long will use his international experience as global director of 
supply chain operations at Ernst & Young, president of global logistics at 
Burlington Air Express, and director of worldwide logistics at Dell to assist 
in SiteStuff's international expansion. The company raised $40 million in its 
Series B round of funding this past August, with $30 million from commercial 
real estate firms CB Richard Ellis, Jones Lang LaSalle, and Tramell Crow and 
the rest from previous investors.  
	http://www.sitestuff.com
	
	Wireless Firm Travelers Telecom Appoints New CEO
	?	?	LOS ANGELES (VENTUREWIRE) -- Travelers Telecom, a wireless communications ?technology and applications firm, said it has appointed Robert L. Corey, ?former CEO of Novatel Wireless, as the company's first CEO. Travelers Telecom ?said it is backed by several undisclosed venture firms.    ?	http://www.travtel.com?	?	vc fund news?	??	Three Arch Partners Raises $200 Million For New Fund?	
	
	MENLO PARK, Calif. (VENTUREWIRE) -- Three Arch Partners said it has completed 
the first closing of its new fund, Three Arch Capital, raising $200 million. 
The company expects to raise a total of $290 million and will target 
developmental stage companies in the biotechnology, healthcare information 
technology and services, and medical devices sectors. The average investment 
size will be $10-$15 million. The partners in the fund are Tom Fogarty, Wilf 
Jaeger, Mark Wan, Barclay Nicholson, Richard Lin, Bill Harrington, Jeff Bird, 
and Mark Wan.     
	http://www.threearchpartners.com
	
	Hudson Ventures Closes Second Fund with $130 Million
	?	?	NEW YORK (VENTUREWIRE) -- Hudson Ventures said it closed its second venture ?capital fund, Hudson Venture Partners II, with $130 million. The fund will ?focus on technology firms in New York. The firm's first fund was a $42 ?million fund that focused on Series A investments between $500,000 and $2 ?million. This second fund will branch out to more Series B round investments ?with investments between $2 million and $5 million. The new fund, which was ?raised mostly from individuals, including $20 million from the firm's own ?partners, has invested in three start-ups so far. The new portfolio companies ?in the current fund are Centor Software, an XML-based service provider for ?financial transactions; E-Tran Solutions, a software provider for web ?application deployment; and ZapSpot, a person-to-person ASP. ?	http://www.hudsonventures.com?	?	Merck Forms New Investment Arm with $100 Million Purse?	
	
	WHITEHOUSE STATION, N.J. (VENTUREWIRE) -- Merck announced it has formed a new 
subsidiary, Merck Capital Ventures, that will invest up to $100 million in 
private Internet companies and businesses focused in areas related to the 
commercialization, distribution and delivery of pharmaceuticals and related 
health care services. Per G. H. Lofberg stepped down as the chairman of 
Merck-Medco, to head the new venture as president. Merck Capital Ventures, 
which will be based in Montvale, N.J., said it will immediately begin 
searching for investment opportunities. The company added the fund will not 
be used to invest in research-based pharmaceutical, vaccine, or biotechnology 
companies.     
	http://www.merck.com
	
	Info Appliance Software Firm Liberate Raises $50 Million
	?	?	SAN CARLOS, Calif. (VENTUREWIRE) -- Liberate Technologies, which provides a ?software platform for delivering Internet-enhanced content and applications ?to information appliances, said it has launched Liberate Corporate Venture ?Fund, a $50 million fund. The fund will focus on the interactive television ?industry. The fund will make its first investment of $7 million in Two Way ?TV, a company providing interactive gaming and enhanced television ?applications. Liberate has also invested in iTV companies, ICE Interactive, ?Diva Systems and Everypath.    ?	http://www.liberate.com?	?	Business Accelerator STARTech Closes Fund with $32 Million?	
	
	RICHARDSON, Texas (VENTUREWIRE) -- STARTech, a high-tech business 
accelerator, said it closed its Seed Fund II at nearly $32 million. STARTech 
said it anticipates that Seed Fund II will support about 50 to 60 future 
startups with $100,000 to $900,000 each. All Seed Fund I investors invested 
in Seed Fund II, including Austin Ventures, Capital Southwest Corp., and 
CenterPoint Ventures. New investors include Access Venture Partners, Arkoma 
Venture Partners, and Chisholm Private Capital Partners. STARTech program 
companies that have received Seed Fund II investments include E-Tron, an 
engineering services provider for in-structure wireless telecommunications; 
PowerUp Networks, a services provider that automates the process of deploying 
networks; and TeleCentric, an Internet business services provider for the 
telecom industry. 
	http://www.startech.org
	
	Pakistani Incubator KASB TechVentures Launches
	?	?	LAHORE, Pakistan (VENTUREWIRE) -- Khadim Ali Shah Bukhari & Co., a ?Pakistan-based investment firm, said it launched KASB TechVentures, an ?incubator for Internet businesses. The new incubator will focus on ?Pakistan-based businesses and invest between $100,000 and $1 million in its ?portfolio companies. The incubator will fund companies in the infrastructure, ?networking, software, hardware, Internet, telecom, and financial services ?sectors.?	http://www.kasbtv.com?	?	vc personnel?	??	Former Verizon Exec Named Managing Director of Carlyle Group?	
	
	WASHINGTON (VENTUREWIRE) -- The Carlyle Group, a private equity firm, said it 
appointed James A. Attwood as managing director and head of its global 
telecommunications and media investment team. Mr. Attwood was formerly vice 
president of strategy, development, and planning at Verizon Communications. 
Mr. Attwood will be based out of the company's New York office. Carlyle 
focuses on telecommunication and media companies and currently manages more 
than $12 billion in private equity funds.
	http://www.thecarlylegroup.com
	
	Metropolitan Venture Names Directors of European Branch
	?	?	LONDON (VENTUREWIRE) -- Metropolitan Venture Partners (MetVP), an early stage ?technology venture capital fund, said it opened its European business with ?the appointment of Adrian Blumfield as chief executive officer and Nick Wood ?as managing director. Mr. Blumfield previously served as head of strategic ?planning for the Man Group. Nick Wood joins MetVP from The NewMedia Group in ?London, a European early stage technology  and Internet investment company. ?MetVP is backed by the Man Group, a London listed international financial ?services company, and by Lawrence D. Hite, founder and managing director of ?Mint Investment Management Company. MetVP has stakes in ten technology ?businesses in the US covering the software, Internet services and e-commerce ?sectors.  MetVP is actively seeking investments in the US and Europe in early ?stage technology businesses. ?	http://www.metv! p.com?	?	vw corrections?	??	Edmunds.com?	
	
	NEW YORK (VENTUREWIRE) -- An item in yesterday's VentureWire incorrectly 
identified Peter Steinlauf as the founder of Edmunds.com. He was not the 
founder, but has led the company since he purchased it in 1986. The item also 
misstated the titles of Bob Thomas. He was formerly CEO of North American 
operations and has been promoted to COO of the overall company.     
	
	company index
	?	?	Allegro Networks, Andersen Consulting, Athlete.com, Avreo, BrightLane.com, ?Camstar Systems, Cerida, chipshot.com, Counterpane Internet Security, Courion?, Crosslink Capital, Crosspoint Venture Partners, Diamond.com, ?DigitalWork.com, dotTV, Dynamic Health Strategies, Embark.com, eTel Group, ?European Webgroup, Extenex, HockeyWeb.com, Hudson Ventures, ICE ?Communications, iConverse, Imagemedica! l.com, KASB TechVentures, Kiwilogic, ?Komag, Liberate Technologies, Merck, Metropolitan Venture Partners, Mindport, ?Mobliss, MorganWorks.com, Passport Health Communications, Percite Information ?Technologies, Quadrem, QuantumShift, ServiceU.com, SiteStuff.com, Startech, ?Storm Ventures, Summit Partners, TeamStaff, Ten Square, The Carlyle Group, ?The Global TeleExchange, Three Arch Partners, TL Ventures, Travelers Telecom, ?United Messaging,! USgift.com, V-SPAN, Verus, Virtual Growth, Weston Presidio ?Capital, Wily Technology, WineryExchange, Worldo, Yantra, zZounds.com?	?	?	?	CONNECTED COFFEE??	?	It's no longer a pipe dream. Lavazza and eDevice have?	unveiled the world's first Internet-enabled espresso maker.?	Further, Web tablets, Internet radios, and other connected?	appliances are popping up everywhere. But business models?	and revenue streams have proven elusive. The consumer?	devices panel at Technology  Outlook 2000, will explore?	some of the difficulties of this emerging market with:?	?	* Safi Qureshy, Chairman, AudioRamp?	* Daniel H. Rimer, Partner, The Barksdale Group?	* Kent Savage, President & CEO, Netpliance?	* Michael Slater, President, PhotoTablet?	?	Technology Outlook 2000: The Future of Pervasive Computing?	December 4 and 5, San Franciscohttp://technologicpartners.com/tp/conf/to2000/?	?	?	investor index?	
	
	3i Group, 3i Group, Accel Partners, Accel Partners, Alcan Aluminium Limited, 
Alcoa, Amerindo Investment Advisors, Anglo American Security Fund, Argus 
Capital, BEA Systems, Bessemer Venture Partners, Brinson Partners, Broadview 
Capital Partners, Cahill, Warnock & Company, Charter Growth Capital, 
Clearlight Partners, Comcast Interactive Capital Group, Dell Computer, 
Deutsche Bank, Draper Fisher Jurvetson, Dresdner Kleinwort Benson, First 
Union Capital P! artners, Goldman Sachs Group, Greenhill Capital Partners, 
Greylock Management, Infinity Capital, Information Technology Ventures, Intel 
Capital, Internet Capital Group, Inukshuk Limited Partnership, Labrador 
Ventures, Morgan Stanley Dean Witter Private Equity, Oak Investment Partners, 
PurchasePro.com, TL Ventures, TL Ventures, Venrock Associates, VerticalNet, 
Votorantim Venture Capital, Wells Fargo
	
	
	
	
	
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