Swedish venture capital firm Industrifonden has injected SEK 4 million into Zimpl AB, a Swedish company which is developing a new method for text messaging on mobile phones. The funds will be used for the market launch and further development of the product.
Industrifonden is investing SEK 4 million in Zimpl AB, a Swedish company which is developing a new method for text messaging on a mobile phone. Also participating in the new share issue, valued at slightly over SEK 5 million, are MST Venture and mobile phone veteran Tord Wingren, who will be the new chairman of the company. The money will be used for the market launch and further development of the product.
Half of all texts sent by mobile phones consist of about 200 words. With Zimpl’s technology, they can be written by simply pressing the first letter and then moving a finger in one of eight directions. Users do not have to write the whole word and thereby avoid incorrect spellings. The system predicts and suggests the next word from the previous ones, and adapts automatically and continuously based on the user’s own choice of words.
“More and more texting is being done on mobile phones, and Zimpl has an ingenious solution to the problems this entails,” says Lennart Gustafson, Investment Manager at Industrifonden. “It is hard to hit the right keys, which produces irritating spelling errors. Zimpl makes it easier and faster, while at the same time ensuring correct spelling. We believe this method has great potential to create a new standard for text input on small devices.”
A patent is pending on the method and the software has been under development for several years, but the company itself was not founded until December 2010. The program, which is available in six different languages, is now ready for market launch. The idea is to license the technology to mobile phone manufacturers, so that it can be built into phones right from the start.
“We are very pleased to have Industrifonden as a part-owner,” says Zimpl CEO Imre Zvorinji. “Their capital strength and experience, together with the industry know-how of the other investors, means we can shift our development into higher gear.”
This is Industrifonden’s fourth new investment in the financial year July 1, 2011 – June 30, 2012. Previously the fund has invested in the mobile key company Zaplox and the cleantech companies SEEC and Heliospectra.