TITLE: Focus On: Luna Technologies
SUBTITLE: VTCRC Base Accelerated Company Growth
LUNA Technologies, Inc. is one of the Virginia Tech Corporate Research Center’s (VTCRC) success stories. It completed a $10M "A" round of funding, led by Columbia Capital of Alexandria, Virginia, in December 2000 and is looking to complete a “B” round later this fall.
The 30-person company manufactures optical test instruments incorporating new and revolutionary photonics technology based on interferometric measurement research done at NASA by Luna Technologies' CTO, Dr. Mark Froggatt. The company sells its products to fiber optic component manufacturers and systems developers. CEO Doug Juanarena says the implementation of new technologies results in substantial cost and time savings in development and production.
Juanarena has taken two – instrument and sensor businesses through startup, professional funding, and sale to public corporations.
“We are developing a unique measurement technology that will become a world standard by 2005,” said Juanarena. Luna Technologies' goal is to become a premier supplier of test instrumentation for optical component developers and producers worldwide, eventually broadening its product line for additional applications and markets.
In June, the company announced that it had developed Virtual Instrument software for its line of Optical Vector Analyzers (OVA), making component characterization data more accessible and increasing optical vector analysis productivity. The new software enables users to scan optical devices using the OVA, save the data, and analyze the stored data using any computer on which the software is installed.
Its sales efforts started producing revenue in March 2002 and the company expects to sell more than $1M of its Optical Vector Analyzer (OVA) product line this fiscal year. Juanarena said he considers this a remarkable achievement considering the downturn in the telecommunications marketplace. New products will be introduced at the National Fiber Optic Engineers Conference in Dallas in September.
“We are an example that new technologies, products and companies can succeed in this marketplace,” said Juanarena. “We believe that our sales and business growth are extraordinary.”
Juanarena credits a lot of its success to the support his company receives at the VTCRC, which they moved to in March 2002. Juanarena said, “The facility offers an amazing array of services including Class A space with first class management at a fraction of what it would normally cost.”
Juanarena said that the company also benefits from VTCRC’s commitment to support its resident companies by providing expert consulting in accounting, marketing, legal and strategy development matters. Each service is on a pay-per-use model with costs spread through all companies at the center. He also noted quality of life amenities such as the cafeteria and health club.
According to Juanarena, Israeli companies would be well served to consider the VTCRC as its entry point into the US market. He cited the world-class engineering talent available from nearby Virginia Tech University, which is in walking distance of the center. He also noted that the model in place is not only designed to help a company launch, but to continue well into the future and as company’s growth.
