XDrive Raises $50 Million

By KAREN KAPLAN

Dec. 4, 2000 12 AM PT

TIMES STAFF WRITER

Despite increased investor skepticism about the prospects for Internet companies, Santa Monica-based XDrive is expected to announce today that it has raised $50 million in additional private funding.

The 2-year-old firm, which provides free digital storage space on the Internet, enlisted a combination of venture capitalists and corporations for its Series D financing. New investors include Softbank, Mitsubishi, NEC, Network Appliance, Aether Systems and StorageNetworks.

They were joined by repeat investors Wit SoundView Ventures, Goldman Sachs and J.W. Seligman & Co. XDrive said the infusion will support development of product offerings for businesses and individual users and should carry the company until a planned initial public offering in the second half of 2001.

Technology and the Internet Business

Karen Kaplan

Karen Kaplan covers science and medical research for the Los Angeles Times. She has been a member of the science team since 2005, including 13 years as an editor. Her first decade at The Times was spent covering technology in the Business section as both a reporter and editor. She grew up in San Diego and is a graduate of MIT and Columbia University.

XDrive Raises $50 Million

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