Turin device aids Web phone service

Petaluma's Turin Networks is launching new technology today aimed at the growing market for digital phone service, a cost-saving alternative for small to mid-sized businesses.

Turin expects the technology will help it double sales this year, launching the second-generation Telecom Valley company into a new phase of expansion.

The new device makes it easier for telephone and cable providers to offer Internet phone service to individual businesses, said Turin spokesman Kevin Wade.

Known as Voice over Internet Protocol (VoIP), such services allow customers to make voice calls using a broadband connection instead of a regular, or analog, phone line.

Providers including Comcast, Vonage, Skype, Vocalocity and Packet8 offer Internet-based phone service for residential and business customers.

In addition to saving money, digital phone service gives businesses flexibility to add features, including data, video and security, Wade said.

"Increasingly, businesses want to have Voice over Internet Protocol," he said.

Today's launch follows Turin's February acquisition of Carrier Access, a Colorado company that makes network access equipment. Turin's new gateway device, called the Adit Converged Services Access Gateway, was developed at the former Carrier Access location in Boulder.

The $93 million acquisition expanded Turin's suite of technology for telecom service providers and brought about 100 new customers, said Wade.

"It was a win for us," he said.

Before the acquisition, Turin focused on optical switching and transmission equipment for carriers' core networks. The new products, which are designed for small- to medium-sized companies, give Turin a presence at the customer end, said CEO Henry Wasik.

"This significantly increases Turin's value within our customers' ecosystem of networking equipment," he said.

Turin's technology now is deployed by about 600 carriers worldwide, including 15 of the top wireless and broadband network operators.

Turin has about 400 employees, including 150 at its Petaluma headquarters. It has research-and-development facilities in Boulder, Dallas, Boston and Shanghai.

The privately held company, founded in 1999, doesn't disclose revenues. But sales should double this year with the acquisition of Carrier Access, Wade said.

Analysts said Turin had about $40 million in sales last year.

Turin raised $37 million in venture capital last year, bringing its total funding to more than $200 million since its founding.