PeerApp Raises US$ 8 Million in Series B Funding

PeerApp Ltd has raised US$ 8 Million in Series B funding. The round was led by existing investors Pilot House Ventures, Cedar Fund and Evergreen Venture Partners. The funds will be used to expand sales and marketing operations worldwide to meet increasing demand for PeerApp's products from the broadband and wireless markets.

PeerApp has deployed more than 100 UltraBand(tm) bandwidth and media caching systems since the product's introduction in 2006. By caching popular content within the ISP network, UltraBand systems help ISPs reduce their bandwidth costs by as much as 50% and deliver file downloads and video streams up to 800% faster than non-cached traffic. On average, PeerApp provides an ISP an additional 30% bandwidth on any or all Internet circuits, enabling deferment of costly upgrades.

UltraBand products offload traffic from bandwidth-hungry applications for Internet Video, peer-to-peer (P2P) downloads, and frequent software upgrades. Combined, these applications consume over 65% of today's Internet traffic, and are by far the fastest growing source of bandwidth demand. Traditional responses to bandwidth demand -- such as adding bandwidth -- can be prohibitively expensive, and "shaping" applications leads to lower service quality and poor subscriber satisfaction. "Only media caching can economically satisfy bandwidth demands while upgrading the subscriber's quality of experience," said Mayer.

PeerApp Ltd, www.peerapp.com