Fast communication critical

In an increasingly connected and competitive world, access to and via the Internet is imperative. Customer demand is growing, along with demand for faster transmission speeds over greater distances in a wireless environment.

4RF Communications designs and manufactures innovative point-to-point microwave radio solutions supporting voice and data in both fixed-line and mobile networks at speeds of up to 65 megabits per second, linking distances of more than 100 kilometres. Its telecommunication technology covers rural and remote regions where alternatives are impractical or uneconomic.

4RF’s Aprisa products enable always-on connectivity to wired infrastructure and the powerful transmission of Internet, voice and data traffic between two fixed points. Clients include gas and electricity suppliers, telecommunications network and cellular mobile operators, military, police forces, oil companies and those working in the public safety sector. 4RF was formed in 1999, bringing together a team of experienced engineers to develop new communication solutions for customers, particularly those working in critical infrastructural sectors such as power, gas and policing where a low failure rate in the field is important and remote location can be an issue.

Two years after start up, the company produced the first model in its Aprisa range. With investment of $217,000 from TechNZ – the Foundation for Research, Science and Technology’s business investment programme – 4RF quickly followed its initial invention with a faster, smarter and more powerful product, which has become the driver behind the company’s exceptional growth.

TechNZ supports the information and communication technology sector to develop software and hardware solutions for new products and services. “It was important for a young entrepreneurial company to get TechNZ funding. It gave inventors and investors huge encouragement that the company received this endorsement, passing TechNZ’s rigorous technical and market assessment with flying colours,” says CEO Ian Troughton.

The in-house engineering design team used the initial TechNZ assistance to implement new chip architecture that allowed greater capacity and reduced manufacturing costs. Multiple functions are built into the same platform, which increases operational efficiencies and improved performance in difficult and challenging environments.

Examples of its technology in action include the Maldives (a group of atolls in the Indian Ocean), where 4RF provides connectivity so that hotels have real time fast booking and phone systems and visitors have Internet services while staying in “the middle of nowhere”, says Mr Troughton. In Sri Lanka, 4RF has provided the South-East Asian nation with broadband connectivity, which is a technological leap forward for the country and is linking schools to improved educational resources.

4RF has 70 staff and exports to 100 countries covering almost every world geographical region. The technology is totally designed in house, and the company does all its final assembly, testing and customer configuration enabling total quality control.

The Achievements

Revenue has grown from zero in 2000 to NZ$20 million at the end of March 2008. 4RF was the 14th fastest growing company in New Zealand on the Deloitte Fast 50 list in 2006, Wellington Exporter of the Year in 2007 and recipient of a Wellington Gold Award for information technology leadership in 2008.

Its proven track record has resulted in further TechNZ investment in 2008 of $1.8 million, towards a $4 million project. This will extend the company’s existing capability and lead to a new global product with potential to make 4RF a sizeable New Zealand exporter. Success, says Mr Troughton, comes from employing smart people, transforming from an R&D workshop to a sales orientated organisation and establishing offshore offices for quick customer response.

“Once we improved our financial position, we changed our approach. We realised we were selling the preeminent solution globally and we should not be afraid of projecting that success when trying to establish a sales position.”

“4RF has delivered significant results from TechNZ’s initial investment. It is demand-led and stands to generate around $150 million turnover over the life of its initial product range, making it a sizeable international company. New R&D investment gives the company leverage for further growth and market expansion,” says Joseph Stuart, Business Manager, TechNZ.