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InPhase Moves Out of Phase

InPhase Technologies, a spinout of Lucent Technologies that has been developing holographic storage technology for eight years now, is experiencing further delays in delivering its drives.

The Longmont, Colorado-based startup, which has been predicting shipment dates since 2006, is now pushing the delivery date ahead somewhat indefinitely.

When InPhase received a round of $20 million back in January 2008 (bringing its total funding to about $95 million), word was the drives and media would ship this summer. Now, though, production difficulties are forcing a change of plan -- again.

"They're involved in a phased buildout of drives. They... can't guarantee that all the drives would work," says Bart Stuck of Signal Lake, an investor in InPhase.

The problem apparently lies not in the core technology, but the manufacturing thereof. Stuck says, "they have the technology, the question is how many can they really build and ship... and have them all work?" He is certain the problem will be fixed in time for production shipments next year.

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