Feeds

InPhase succumbs to the darkness

Holographic light at end of tunnel was an oncoming train

Internet Security Threat Report 2014

Holographic storage company InPhase Technologies has paid off all its employees but is still looking for a venture capital white knight. The dream still flickers, it's just temporarily out of phase.

According to a report in the Longmont Times-Call, the last 60 employees have been paid off after working for a year on minimum wages. Their commitment was pretty high, but now they are not hopeful of any good news, however much the board and CEO Nelson Diaz say new funding is feasible.

The employees had been told they would get their back pay once a funding round completed. It never did and the cash has run out.

InPhase built its Tapestry holo storage device using $180, 300GB optical disks and a drive initially priced at $18,000, targeted at media archiving applications. The write speed was slow, just 20MB/sec, and the company experienced multi-year delays in bringing the product to market. Being reliant on optics, the problem of predictably stabilising and positioning mirrors proved to be one of several huge issues.

The trouble with optical archive storage is that it is too slow, holds too little data, and is vastly more expensive than either deduplicated disk or tape. The technology is venomously difficult to productise and there is no optical enterprise storage market outside the entry-level stuff like DVDs and CDs, where a mass consumer market holds down the costs of media and drives.

All attempts to generate business optical storage products without a consumer base to build on have foundered - witness Plasmon and others.

InPhase picked up a total of around $95m in funding, with a D-round in January 2008 bringing in $20m. It's all gone, flushed down the optical business pan. Any VC wanting to invest to try and resurrect it will need a deep wallet and a willingness to gamble against the odds that the technology is viable. So far, all it's done is prove to be a dead-end. ®

Internet Security Threat Report 2014

More from The Register

next story
Docker's app containers are coming to Windows Server, says Microsoft
MS chases app deployment speeds already enjoyed by Linux devs
IBM storage revenues sink: 'We are disappointed,' says CEO
Time to put the storage biz up for sale?
'Hmm, why CAN'T I run a water pipe through that rack of media servers?'
Leaving Las Vegas for Armenia kludging and Dubai dune bashing
Facebook slurps 'paste sites' for STOLEN passwords, sprinkles on hash and salt
Zuck's ad empire DOESN'T see details in plain text. Phew!
SDI wars: WTF is software defined infrastructure?
This time we play for ALL the marbles
Windows 10: Forget Cloudobile, put Security and Privacy First
But - dammit - It would be insane to say 'don't collect, because NSA'
Oracle hires former SAP exec for cloudy push
'We know Larry said cloud was gibberish, and insane, and idiotic, but...'
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.