Jolla is again in a position to continue its operations after successfully concluding its third capital investment round and having reportedly set its sights on several licensing deals.
The boutique software developer declined to comment on the value of the financing agreement. “The investment is part of a larger financing arrangement we're discussing with investors. That's why the value of the investment has not been disclosed,” explains Juhani Lassila, the head of communications at Jolla.
“Jolla has now successfully completed its investment round and is ready to continue to provide a true mobile OS alternative to the world. This latest death valley was the most difficult one but proved that highly-motivated teams can win even when faced with seemingly insurmountable challenges,” Antti Saarnio, the board chairman at Jolla, states in a press release.
The software developer announced last month that it has filed for debt re-structuring and will temporarily lay off the majority of its 90 staff members due to delays in its now-completed negotiations with investors.
More on the topic:
- Jolla unable to deliver pre-ordered tablets (23 November 2015)
Lassila reveals that the company is intent on continuing its operations with roughly half of its former workforce. “We have to re-assemble our organisation in a way that allows us to serve all of our customers,” he says.
Decisions regarding the debt re-structuring process are to be made at the turn of the year by the general meeting of Jolla. The software developer has been granted a temporary protection against creditors by a district court.
Jolla was founded four years ago with the objective of resurrecting the mobile operating system abandoned by Nokia, MeeGo. The now-announced cash injection will enable the company to develop its operating system, Sailfish, further.
Jolla announced that it will henceforth concentrate increasingly on developing the core of the operating system and producing software updates, while leaving local product development to its partners in the BRICS – especially in India and Russia. “So far, Jolla as a start-up has been solely carrying the high investment cost of the Sailfish operating system. It has been very challenging to finance this operation,” Saarnio explains.
The tablet development project of the company ran into difficulties earlier this year: Jolla was unable to deliver the crowd-funded devices on schedule because it had to terminate its cooperation with a technology supplier due to compatibility issues.
“We're formulating a separate plan regarding the tablets, how to carry out the project,” assures Lassila.
Jolla remains confident that there is demand for truly unique alternatives in the market for mobile operating systems. “Without personal data privacy and security, it is hard to see that people, companies and governments could trust all their business, financial and personal information on mobile. We stand firm in the belief that the world needs an alternative mobile OS,” Saarnio says.
Pekka Torvinen – HS
Aleksi Teivainen – HT
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