Lifesize splits from Logitech; goes solo with $17.5 mn funding

Web collaboration technology provider Lifesize today said it has split from Swiss computer peripheral firm Logitech.
Backed by USD 17.5 million in funding from three Silicon Valley venture firms, Lifesize will focus on building business to tap the cloud-based video collaboration and meeting market, including in India.
The three investors include Redpoint Ventures, Sutter Hill Ventures and Meritech Capital Partners.
"We are focussed on winning new customers as a high-growth cloud-based video collaboration and meeting platform company, and tackling the USD 7 billion global conferencing market head-on. Logitech will retain a meaningful interest in Lifesize, moving forward," Lifesize CEO and founder Craig Malloy said.

Lifesize plans to use the capital infusion in expanding engineering headcount and other brand building activities.
Established in 2003, Texas-based Lifesize was acquired by Logitech for USD 405 million in 2009.

Logitech holds 37.5 per cent share in Lifesize, based on outstanding shares post the transaction with the three investors.
The move will allow the Swiss firm to focus on its growing retail business.
"We have a 12-year heritage of leadership and industry innovation and a strong executive team in place. Standing as an independent company will allow us to invest more meaningfully in our product roadmap and be more responsive to the market and our customers," Malloy said.

Traditionally, enterprises had to buy separate solutions for conference room camera, bridging equipment, video conferencing and sharing presentations. Lifesize combines all these functions into one integrated service.
Since the launch of Lifesize Cloud, the company has added more than 2,000 paid customers -- including Twilio, Survey Monkey, Omnicom Group and Evolution Gaming, among others.
Talking about the Indian market, Lifesize Regional Director India and SAARC Gagan Verma said the company is witnessing a demand shift amongst corporations for unified audio, web and video conferencing services.
"We are committed to expanding our enterprise experience to government and education sectors at the best cost with a better reach and output. We plan to expand its reach beyond tier I, tier II and tier III cities like Ludhiana, Vizag, Jaipur, Kota and Surat," he said.