Verana Networks lands $28M Series B funding to bring next-generation 5G RAN technology to service providers, enterprises
With billions of devices connected to the Internet, the need for reliable connectivity is greater than ever. 5G Radio Access Network (RAN) is a next-generation technology that promises a dramatically improved level of connectivity. Unlike its predecessors, 5G RAN uses 5G radio FDD frequencies to connect individual devices to other parts of a network through radio connections.
One of the leading companies in the 5G RAN space is Verana Networks, a Waltham, Massachusetts-based telecom tech startup building 5G RAN solutions for service providers and enterprises that have access to licensed millimeter wave (mmWave) spectrum.
Verana is focused on enabling 5G in mmWave spectrum because that is where the largest amount of new spectrum is. For 5G to succeed, it must deliver a 10X-50X increase in speed and capacity. Blazing fast speed and a massive increase in capacity enable new applications, these new applications create incremental revenue, and incremental revenue is essential to support the business case for 5G.
Today, Verana announced it has raised $28 million in a Series B venture capital funding round to commercialize its ground-breaking 5G RAN technology for millimeter-wave spectrum. The round, which brings the total capital raised since its founding in 2020 to $43 million, was led by Series A investor DC Investment Partners (DCIP).
All of its Series A investors also participated in this most recent round, including Spark Capital, BOLD Capital Partners, and Aspiro Capital. New investors include Taiwania Capital and TDK Ventures. In addition to this round, last year, Verana secured $4.5 million in convertible debt financing from strategic investors including Lockheed Martin Ventures. In conjunction with the funding, Verana also announced that DCIP Managing Director Mark Bulkeley will also join its board of directors.
Founded in 2020 by CEO Vedat Eyuboglu and Amit Jain, the team behind Verana has a track record of developing innovative RAN products, from the world’s first all-IP 3G base stations to pioneering residential femtocell and enterprise small cell solutions. The company is also backed by experienced venture capital firms.
In a statement, Eyuboglu said: “From gigabit fixed wireless access to the metaverse, 5G applications that will generate billions of dollars in incremental revenue will require a massive increase in network capacity. Verana Networks enables service providers to cost-efficiently harness abundant and inexpensive mmWave spectrum to deliver high-bandwidth 5G applications. This latest round of funding – as well as the funding we secured in earlier rounds – demonstrates our investors’ confidence in Verana’s vision for next-generation 5G networks.”
5G New Radio (5G NR) has emerged as the global communications standard for a wide range of applications that require reliable, high-capacity, and low-latency wireless connectivity. 5G is being adopted not only by service providers but also by enterprises and for defense applications. Verana is building a new 5G technology platform from the ground up, with purpose-built, software-defined hardware that delivers superior economics for dense outdoor small cell deployments.
Since its inception two years ago, Verana has grown rapidly to over 70 employees in the United States and India. With its new funding, Verana plans to grow by more than 50% in the next 12 months, and expand its R&D, marketing, sales, and technical services, teams.
“With 5G in mmWave spectrum, we finally have a global standard for wireless home broadband access, a $90 billion market in the United States alone,” said Mark Bulkeley, Managing Director of DC Investment Partners (DCIP). “At DCIP, we expect Verana to revolutionize this market by enabling gigabit 5G access to homes at less than 1/3 the cost of fiber. We have seen how Verana has built a world-class R&D organization in less than two years and proven its technology platform. We are excited to lead Verana’s Series B financing.”
“Verana is building a new 5G technology platform for high-capacity 5G networks, starting with mmWave, the spectrum band with the most challenging economics,” said Cheng Wu, General Partner of Taiwania Capital. “At Taiwania Capital, we are excited to enable the creation of a new 5G RAN supplier for mobile operators and enterprises, in the US and around the world.”