Basis Communications, a Silicon Valley technology company, is to establish its European operations at the Shannon Free Zone. The Shannon Development-backed venture will create 24 jobs. The company will develop, market and sell telecommunications products for the pan-European market. Basis Communications is a networking communications semiconductor company, which supplies Internet solutions. Its software is used to allow the transfer of data such as digital television, Internet and voice telephony down ordinary copper cables into the home.

Its clients include Alcatel, IBM, Motorola, Nortel Networks, Siments and Sony.

The Tanaiste, Ms Harney, said the project was a major boost for the Republic. "This is the first company to develop `new age' telecommunications technology in Ireland," she said.