Since the late 1990s more than 300 indigenous start- up firms have been set up by entrepreneurs hoping to emulate the success of veterans, Dr Chris Horn at Iona Technologies and Mr Pat McDonagh at CBT Systems.

This entrepreneurial activity and the high-profile rise and fall of firms such as Baltimore Technologies has attracted the attention of some of the world's biggest venture capital companies.

Intel Capital, Cross Atlantic Capital Partners and Benchmark Capital have set up Irish offices and taken stakes in young innovative firms based in the Republic.

Between 2001 and 2004 almost €500 million was invested in the sector and Ireland can now boast small clusters of expertise in a range of sectors, particularly in software and chip design. Firms such as Openet Telecom, which develops software for mobile operators, have established themselves as leaders in their sector and the Republic is also making strides in growing areas such as digital media and biotechnology.

Undoubtedly, the downturn in the technology industry between 2001 and 2003 has taken its toll on Ireland's crop of early- stage technology firms, and some firms with interesting technology - such as BuyTel - have gone bust.

But with investment in technology beginning to flow again and the Government pinpointing indigenous industry as the way forward, The Irish Times has decided to focus on the emerging Irish technology industry.

Every month we will publish a case study on one early-stage company that has recently raised funding. We will also keep a monthly record of all the venture capital investment in Ireland to find out which companies are spending money, which sectors are hot, and which are not.

The company case studies and a full list of venture capital funding deals undertaken from September 2004 will be available on an ongoing basis in the technology section of ireland.com.

Companies and venture capitalists that are completing deals should contact jsmyth@irish-times.ie if they would like to be feature as one of the case studies.