Bridgelux brings new CEO on board, raises fresh $50m

Bill Watkins, the former boss of disk drive manufacturer Seagate and one of the IT industry's most outspoken business leaders, was yesterday unveiled as the new chief executive of LED lighting specialist Bridgelux, and immediately tasked with turning the company into a global powerhouse.

The announcement came as the company also revealed it has raised an additional $50m (£30m) in venture capital, taking its oversubscribed Series D financing round to $80m in equity and ensuring Watkins has a sizable war chest to draw on.

The company said that the new funds would primarily be used to bolster its manufacturing capacity through a new factory in California and potentially further international partnerships.

Former chief executive Mark Swoboda will remain with the company in a new role as president and will lead product development, R&D, and sales and marketing, while Watkins will be tasked with scaling up the company's operations.

Watkins, who left Seagate a year ago, said that his experience in managing a vertically-integrated manufacturing firm would put him in good stead to expand Bridgelux.

He told the Wall Street Journal that the company, which is poised to debut a number of new energy-efficient lighting products in the coming months, is well positioned to take a sizable chunk of a lighting market he estimates to be worth about $100bn a year.

"I looked at this as probably the last opportunity I’m going to have in my life to go after such a large market," he said, adding that all lights would soon move to LEDs.

Bridgelux will face fierce competition from established lighting firms, all of which are working on new energy-efficient designs. But Watkins, who made a name for himself by speaking candidly about his own company and competitors, said the Bridgelux's focus on LED lighting gave it an advantage over suppliers that are keen to defend the revenue generated by existing technologies.