Monday, June 9, 2008

Stata, Chatter-backed NeoSaej launches first product, MoneyAisle.com

By Mass High Tech Staff

Startup e-commerce firm NeoSaej Corp., founded earlier this year by a pair of hardware industry titans, reports it has launched MoneyAisle.com, an auction site for banks to bid on customers.

NeoSaej was founded by Ray Stata, best known as co-founder of chipmaker Analog Devices Inc., and Mukesh Chatter, best known as founder of backbone router company Nexabit Networks Inc. who serves as president and CEO of NeoSaej.

Their new company’s first product, MoneyAisle.com, has 65 participating banks at launch, according to officials, and 25 more waiting to be activated in the next few weeks. The site’s first two products are auctions of certificates of deposit (CDs) and high-yield savings accounts. Customers initiate auctions by posting how much they want to invest, and banks bid by offering better rates of yield. Eventually, officials said, NeoSaej will add more bank products on which customers can launch an auction.

According to company officials, the auction model will become an attractive offering for small and midsize banks. Sitting on NeoSaej’s advisory board is A. James Lavoie, former chairman and CEO of Middlesex Savings Bank. And one of its investors is Gorham Savings Bank of Maine.