Intel Provides Funding For Virtualization Company, Signs Technology Pact

Virtualization software company SWsoft Inc. said Wednesday that it has received about $12.4 million in funding from Intel Capital and venture-capital firms, and has entered into a technology and marketing agreement with Intel.

The funding is the first SWsoft has received from outside sources and will be used to accelerate its global presence in both enterprise and service provider markets, Serquei Beloussov, chairman and chief executive of SWsoft, said in a statement.

"This round of investment represents an important milestone for our company in moving to the next stage," Beloussov said. "The proceeds and relationships will be used for acquisition opportunities, broadening our partnership ecosystems, and attracting additional sales, marketing, and business development talent."

In addition to Intel Capital, SWsoft is receiving funds from Insight Venture Partners and Bessemer Venture Partners.

As part of Intel's investment, the companies have entered into a technology and marketing agreement relating to SWsoft's Virtuozzo server virtualization software. The cooperation will encompass current and future Intel platforms and technologies such Intel's Virtualization Technology, dual-core processors, and 64-bit capabilities, the companies said.For enterprises, Virtuozzo for Linux and Virtuozzo for Windows create multiple isolated virtual private servers on a single physical server.