BCE Capital plays it smart

Posted on Bellnet
December 21, 2005

With a multi-million dollar investment in Trust Digital, BCE Capital capitalizes on a great market opportunity in smart computing devices.

Spotting the areas for potential growth in the communications and IT arena is part and parcel of what BCE Capital does. And these days they've got their gaze squarely locked on the exciting emerging field of smart computing devices, in particular the companies that can provide the type of security required to use these devices safely without compromising valuable company data.

In November, they decided to do more than just look and invested U.S. $4.5 million (as part of a U.S. $9 million Series B offering) in Trust Digital, a software company that provides enterprise mobile security software solutions. It's a big investment, but BCE Capital has thoroughly done their homework and they firmly believe the benefits for BCE are even bigger. Joe Catalfamo, BCE Capital's Managing Director, has also joined Trust Digital's Board of Directors.

Working in the same vein as a venture company, BCE Capital's main mandate is to find best of breed companies in new and emerging markets that are of current or future relevance to the broader BCE family of companies. Working with management, BCE Capital is in the ideal position to convey back relevant new learnings about emerging markets and opportunities for new revenue growth. For a while now they've been looking at the wireless space, noticing a proliferation of what are called 'smart' computing devices, which can wirelessly access a company's network.

But how secure is it? With literally billions of these devices, including PDA's, Smartphones, BlackBerries, removable memory sticks, etc., circulating, companies are at risk of losing sensitive information that can damage their brand or worse. There's also the risk of new viruses entering their network via these devices.

That's where companies like Trust Digital come in. As one of the early companies working in this area, Trust Digital's software solutions eliminate the risks associated with the accidental or malicious disclosure of data. Trust Digital's customers include government organizations, as well as leading financial services and healthcare companies - all of which are core markets that Bell is targeting as well.

Why Trust Digital? BCE Capital chose to invest in Trust Digital for several reasons, including the size and developmental stage of the company, as well as their top quality management and advisory team. Trust Digital is setting the standard in providing security across multiple delivery channels and markets. Their overlay security can deal with any device or any type of connectivity in a centralized fashion.

But perhaps most important, Trust Digital is a great fit for Bell, slotting in nicely with our strategy to deliver next-generation mobility and security services that customers want. BCE Capital is banking on the fact that mobile edge security is inescapably aligned with the promotion of mobile data services, which is where a lot of the future growth in wireless lies.

To find out more about Trust Digital, visit their website at www.trustdigital.com.