Winrock invests in Xtremis’ high-tech lab in Washington County

A startup fund of Little Rock-based Winrock International will back a project to build a high-tech telecommunications laboratory in southern Washington County. The investment amount was not disclosed.

According to a Wednesday (April 24) news release, the Startup Recruiting Fund at Winrock, which is supported by the Walton Family Foundation in Bentonville, will provide money to tech startup Xtremis for the development of its Devil’s Den Proving Ground.

Xtremis, in collaboration with the University of Arkansas, plans to build a first-of-its-kind innovation campus for the rapid advancement of electromagnetic spectrum technologies. The Devil’s Den Proving Ground in southern Washington County will transform the site of a former nuclear test reactor into an open-air laboratory to develop technologies to improve the performance and resilience of wireless devices and communications.

Winrock’s Enterprise Ecosystem team helped Xtremis assess the feasibility of scaling its operations in Arkansas. This work included factors, such as geography and land resources, the potential to develop research partnerships, the availability of talent and the potential to recruit talent to the region.

‘HIGH-IMPACT ENTERPRISE’
The Startup Recruiting Fund is the state’s first nonprofit fund to address the lack of capital for recruiting high-growth startups to Arkansas. Investment size varies and is seeded by a grant from the Walton Family Foundation.

The fund aims to attract high-growth startups to the state by providing professional support and investment. In 2023, the fund invested in Simporter after recruiting the artificial intelligence retail technology platform company from Atlanta to Bentonville. According to the release, Xtremis is the second company recruited to Arkansas through the fund.

“We are tremendously excited about Xtremis’ decision to come to Arkansas,” said David Sanders, director of the Enterprise Ecosystem at Winrock. “The company embodies the forward-thinking and high-impact enterprise we aim to attract to our state. Xtremis not only brings dynamic leadership and cutting-edge technology to Arkansas but also addresses critical challenges in civilian and military contexts. Our work with Xtremis, which has stretched over two years, and this investment underscores our commitment to recruiting innovative companies to the state and fostering an environment where companies will want to come to Arkansas.”

Asked about its Northwest Arkansas work, Xtremis CEO Adam ‘Jay’ Harrison said the focus will be to develop technology to allow radios to operate “with higher performance in congested environments.” The technology will allow more radio transmitters to operate “simultaneously without interfering with one another.”

DEVIL’S DEN BENEFITS
The Devil’s Den Proving Ground is expected to fill a gap in infrastructure available in the United States for open-air testing of the technology.

“This is taking these artificial intelligence-based radios out into the field to determine their performance characteristics,” Harrison said. “We’re building the infrastructure from the ground up that will allow these devices to be tested, evaluated and improved over time.”

Xtremis is working on the financial plan for Devil’s Den Proving Ground with its investors, lenders and the state, but it’s projected to cost between $15 million and $20 million to build, Harrison said. The startup selected Northwest Arkansas because the UA has a research program in place that aligns with its work, and the UA can provide a talent pipeline for the startup’s work.

“We also need terrain that allows us to isolate our testing activities from surrounding infrastructure,” he said. “The terrain features of that SEFOR (Southwest Experimental Fast Oxide Reactor) property are ideal for the type of work that we’re doing.”

Project groundbreaking could come as early as late this year or in the first quarter of 2025. The facility would be operational 18 months after groundbreaking. Over the next 12 months, Xtremis plans to have 20 full-time area staff. It will open an interim facility here. Existing staff here have been working remotely. After the Devil’s Den Proving Ground is completed, staff will move there.

The news release shows that Xtremis’ five-year plan is to have 200 employees and account for 1,250 indirect, high-tech jobs in Northwest Arkansas.