The company, which is part of the Austin Technology Incubator, has raised more than $100 million since its inception in 2008.
In October of 2012, the company closed a Series C round of funding of $55 million from Austin Ventures, Vulcan Capital and its existing investors.
Calxeda has been a big proponent for the low power server processors. Its chips power servers in giant data centers that require peak efficiency. The chips are based on ARM technology, the same technology used for low-power, highly efficient processors used in smartphones and tablet computers.
The article reports that the company executives were unable to raise a fourth round of investment capital and “ran out of runway.”
Below is a statement from Barry Evans, CEO of Calxeda and Karl Freund, Calxeda’s vice president of marketing.
“Now it’s time to tackle the next challenge. Carrying the load of
industry pioneer has exceeded our ability to continue to operate as we
had envisioned. We wanted to let you know that Calxeda has begun a
restructuring process. During this process, we remain committed to
our customer’s success with ECX-2000 projects that are now underway.
Calxeda is proud of what we have accomplished, the partners who have
collaborated with us, the investors who supported us, and the
visionary customers who have encouraged us and inspired us along the
We will update you as we conclude our restructuring process. In the
meantime, we want to thank you personally for your interest and
enthusiastic support. Its been an amazing journey.
Energy, matter, and innovation are never lost, just reassembled. We
look forward to the inevitable application of our ideas.”