One of the hottest IPOs of the year is Aruba Networks Inc. (NASDAQ: ARUN), which is up 82.5% since its debut in late March. The company builds technologies to secure large corporate wireless networks. With the proliferation of devices – such as Research in Motion's (NASDAQ: RIMM) BlackBerry – it is a big market opportunity.

Well, another firm wants a piece of the action: Aerohive Networks.

In fact, the company recently raised its second round of venture capital for $20 million. The lead investor is the venerable Kleiner Perkins

Aerohive develops so-called "cooperative control" wireless LAN (WLAN) access points, which it makes it easier for companies to deploy wireless services – and at lower costs. This is done by sharing information in optimized groups, which are called "hives."

No doubt, Aerohive faces intense competition, such as from Cisco Systems Inc. (NASDAQ: CSCO). But in the WLAN market, there is always room for a better product.

Besides, Aerohive has a top notch management team. Keep in mind that their last deal – NetScreen – sold for a cool $4 billion to Juniper Networks (NASDAQ: JNPR).

To check out more recent venture capital fundings, click here.

Tom Taulli is the author of various books, including the Complete M&A Handbook and the EDGAR-Online Guide to Decoding Financial Statements.