Point2 Technology Secures $55 Million to Revolutionize Data Center Connectivity

Point2 Technology, a fabless startup founded by industry veterans from Marvell, Nvidia, and Samsung, has closed $55 million in venture funding. This funding will supercharge their ongoing efforts to improve data center connectivity. 9 years ago Point2 came to life. Its mission is to bring broadband radio technology into data centers’ interiors, where it will…

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Point2 Technology Secures $55 Million to Revolutionize Data Center Connectivity

Point2 Technology, a fabless startup founded by industry veterans from Marvell, Nvidia, and Samsung, has closed $55 million in venture funding. This funding will supercharge their ongoing efforts to improve data center connectivity. 9 years ago Point2 came to life. Its mission is to bring broadband radio technology into data centers’ interiors, where it will revolutionize how data is transmitted.

The company’s flagship product, the e-Tube cable, is designed to address the growing demands for faster and more efficient data transfer. As a first generation technology, this new technology brings absolutely smashing performance. It has a capacity of 1.6 terabits per second and uses much less power than current optical systems. Though the e-Tube cable is small in diameter, it provides long stretch and travel. This innovation further places Point2 at the vanguard of the rapidly-changing data center industry.

Innovative Technology Behind e-Tube Cable

The Dr. e-Tube cable consists of eight thin polymer waveguides. Each one can carry an astounding 448 gigabits per second just by using two frequencies of 90 gigahertz and 225 GHz. This very cutting-edge design has a total of 1.6 terabits per second capacity. This new capacity addresses the booming bandwidth needs of today’s hyperconnected datacenter.

Point2’s cutting-edge waveguides provide stunning range, reaching out to 20 meters. This makes it far superior to traditional copper cables, which have a much shorter range and increased latency. The Slim type e-Tube cable requires only half the space of a conventional 32 gauge copper cable. This type of design maximizes space in data centers—an important factor for increasing power usage efficiency.

In comparison, Point2’s system uses just one-third of the power compared to standard optical systems. This lowers their operational costs and responds to a rising focus on sustainability by the tech sector. Point2’s solution is a gamechanger in terms of cost, priced at one-third of today’s optical options. That lack of cost-effectiveness even further reduces its appeal to potential customers.

Addressing Industry Challenges

Point2’s pioneering vision and mission to do things differently aim to solve some of the oldest challenges in the data transmission industry. Our customers tell us, time and again, that they want fiber optics because it’s the fastest, most reliable technology available. II-VI’s Eric Kahn explains how these engineers’ frustration with the limitations of photonics technology often leads them to innovation.

Dave Welch, an industry expert, noted the inherent reliability of electronic systems compared to their optical counterparts:

“Electronics have been demonstrated to be inherently more reliable than optics.”

This point of view aligns perfectly with Point2’s mission. Their goal is to provide a consistent and strong replacement that is based on electronic principles and increases data transfer rates.

Don Barnetson emphasized the need to maximize the use of passive copper technology before transitioning to more advanced systems. He stated:

“You start with passive copper, and you do everything you can to run in passive copper as long as you can.”

Data centers typically work within their existing copper footprint. Funny thing is, they keep using it until it stops being able to perform under the performance demands.

Future Prospects for Point2 Technology

Point2 intends to start chip production next year, chips that are at the core of the e-Tube cable. This strategic move is expected to accelerate the deployment of its technology across various data centers as demand for high-speed connectivity rises.

The company is further positioned to benefit from the increasing industry shift to liquid cooling solutions in data centers. As Barnetson pointed out:

“The entire reason people have gone to [liquid cooling] is to keep [scaling up] in passive copper.”

The combination of Point2’s innovative technology and the industry’s shift toward more efficient cooling methods positions it well for future growth.

Point2’s progress on smart cables is a major step forward for data centers that want to drive greater efficiency and performance through smart technology. With its e-Tube cable, Point2 is on the verge of changing industry standards. This cutting-edge technology provides improved speed, increased speed of operation and less latency and power usage.