The release of world-leading technology, a multi-million-dollar turnover, international contracts and a stock exchange listing are on the cards for a young Auckland company.
Phitek Systems plans to launch what it believes to be the world's first "integrated noise reduction circuit" at a major international trade show early next year.
The technology is a computer chip that can be used in almost all electronic devices that use headphones, from mobile phones to MP3 players. Managing director Mark Donaldson said the chip cut seven-eighths of background noise.
The company is also developing a bass enhancement and virtual surround-sound chip.
Donaldson said he could not disclose customer names but Phitek was in talks with a major American company to supply the chips.
The company has also had four recruitment coups - hiring a former Apple Computer engineer and three senior staff from New Zealand success story Navman.
Phitek is the result of a management buy-out in 2002. Two senior employees of former company Slab Sound, Donaldson and Graeme Fuller, bought majority shares in the company with a consortium put together by BDO Spicers. Key stakeholders include The Warehouse chief Stephen Tindall.
Donaldson, the Phitek chief executive, was last year's winner of Unlimited magazine's "Onestowatch" competition.
The company has grown from three employees to more than 20 and now has three offices (head office in Auckland, engineering facility in Shenzhen, China, and a sales office in Hong Kong).
It has grown from a $1 million turnover company into a multi-million-dollar operation and Donaldson is planning to hit the $100 million turnover in two years.
His aim is to turn the business into a global technology company whose products set the standard in devices for the consumer electronics, telephony and inflight entertainment markets - recognised as a "mini-Intel" in the audio market.
But he has no plans to abandon New Zealand and is looking to list Phitek on the stock exchange in 2006.
"I think listing is a natural progression for the business," Donaldson said.
"My goal is to see the company list here and become an example of a successful New Zealand technology company operating globally."
To date, Phitek's major product has been SmartJack, into which aircraft passengers' headphones are plugged, to cancel noise inside (passengers) and outside (engines, turbulence) the cabin.
SmartJack is sold through part of the Panasonic group of companies, which supplies avionics to 90 per cent of the world's airlines.
The company also produces noise cancellation headphones, which can be used with various consumer electronic devices, including MP3 players, and hand-held and laptop computers.
Donaldson said recent sales had included headphones to Walmart in the United States and a multi-million-dollar order to a German electronics chain.
Tech firm sets sights on $100m turnover
Phitek head Mark Donaldson has ambitious plans for the company's noise cancellation components. Picture / Paul Estcourt
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