By Allon Bloch

Products that need heavy integration are still going to find funding tough for 2005. Two areas of products that enterprises are buying are security and analytics. In addition, we believe entertainment technology is a major investment opportunity.

We just invested with Accel Partners in QlikTech, a Swedish company whose technology allows people to upload onto PCs the company analytics and run queries without having to go to the data warehouse, which could take days. These flexible systems are easy and fast to install compared with legacy systems.

Another example of types of companies we are funding are companies creating the right kind of dashboards (they look like a dashboard in a car or plane, and the user can customize the dials). While dashboards are currently used on the operations side of companies, their primary applications will be for compliance and key performance indicators. The market is directed at business leaders and CXOs who want to be able to compare multiple values, charts, indices, etc., at the same time.

Cyber-Ark represents a security investment we have made. The company's product is called Vault, and it essentially protects specific data sources instead of protecting the entire perimeter of an enterprise, which, once hacked into at any point, allows the hacker access to the entire enterprise. This software protects anything, such as passwords in large banks. The program doesn't care if data is in or out of the firewall.

Another area that's very hot right now is entertainment technology. One of our investments is Forterra, which developed a multi-player type of game called a massively multiplayer persistence game (MMP). The game doesn't begin or end; it constantly plays. Forterra understood how to apply this technology for homeland security, healthcare and military purposes and now counts the U.S. Army among its customers.

On the hardware side, our investments are focused on in a number of companies that provide chip sets for new consumer applications. We've invested in TAK Imaging. They have a very high performance chip set for consumer printers so that, for example, you can print pictures directly off camera phones in a matter of seconds, not minutes.