Israeli startup

Speedwise Technologies

has completed its third financing round.

The company, which develops platforms to speed up Internet communications, secured $3 million round at a post-money company valuation of $40 million.

Its funding round was led by Alon Technology Ventures, which placed a million dollars. Alon is a member of the

B. Gaon Holdings

group headed by Israeli businessman Benny Gaon.

Initial investors once again chipped in. Dutch funds Prime Technology Ventures and Docor, the Belgian fund Ronchal,

Comverse Technology

(Nasdaq:CMVT) and

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STI Ventures

, run by Israeli businessman Beny Steinmetz all contributed to avoid dilution.

Speedwise has developed a software platform that communications providers, whether wireline, wireless or website hosts, can use to speed up surfing for their subscribers. The company's products connect to the servers of cellular and Internet providers. The end-user does not have to install additional software.

The startup says its solutions already accelerate Internet traffic six-fold, and will do even better in the future.

Speedwise's three products to date are Accellence, for communications providers and operators, WeBreeze, for website hosts, and ISPower, for ISPs.

Speedwise was founded in 1998 by CEO Menachem Reinschmidt. The company employs 40 people at offices in Ra'anana and in New Jersey. Reinschmidt founded the startup as part of the Linkware group, a laboratory for Internet, software and infrastructure technology. Linkware is involved in several startups, including Infotier, One Tier Communications, Orika Optical Networks, Cellora, and Marnetics Internet Performance Solutions.

Alon Technology Ventures CEO Dan Gilat said the fund will assist Speedwise's European penetration with the help of the European group Jupiter, a partner in Alon.

Reinschmidt says that the company's products are undergoing testing by 70 international communications carriers, including the Finnish company


(Nasdaq:SNRA), the German company T-Mobile, and the Swiss branch of Orange.