VODAFONE'S DUBLIN centre of excellence, which was launched in a blaze of publicity by Minister for Enterprise, Trade and Employment Micheál Martin just over two years ago, was quietly shut down last August.
Formally launched in February 2006, the Vodafone centre of excellence for personalisation and storage was to employ 25 staff and carry out research and development for the Vodafone group as a whole.
A spokeswoman for Vodafone Ireland this week confirmed that the "centre of excellence no longer exists within Vodafone Ireland as a formal business unit".
She said this was as a result of a change of strategy by Vodafone Group in relation to centres of excellence, and a failure to get funding from IDA Ireland for its research.
A spokeswoman for IDA Ireland said she could not comment on the decision not to fund the Vodafone project as it was a confidential matter.
She pointed out that not all applications for research funding were successful, and proposed projects were put through a "rigorous process" of assessment.
Four staff left Vodafone as a result of the decision not to proceed with the project, according to the Vodafone spokeswomen. The remainder were redeployed to a new products team or to other areas of the company.
"It is also important to note that a number of projects started by the centre were continued by Vodafone Group," she said.
The news will be embarrassing for Mr Martin who has been spearheading the Government's drive to generate more R&D jobs in Ireland.
It is also likely to be a setback for Dublin software firm ChangingWorlds. Vodafone Ireland was one of the first customers for its ClixSmart personalisation and recommendation engine, which has subsequently been deployed by a large number of Vodafone subsidiaries around the world. The skills available locally in the area of personalisation, which allows relevant content to be displayed on users' mobile phones, were among the reasons why Vodafone chose to locate the centre in Ireland.
Despite the closure of the centre it is understood Vodafone Ireland is still working with ChangingWorlds on projects in the area.