Earthlink’s New Edge Networks, Unveils Savings, from Backup Networks (Groupware by Inftek Hosting)
December 20, 2007 – 6:30 pmVancouver, Washington - (The Hosting News) - December 17, 2007 - According to businesses and communications network provider, Eartthlink’s New Edge Networks, as businesses increasingly install backup disaster recovery networks, they are gleaning cost savings from switching to wide area networks based on new, lower-cost technology.
Greg Griffiths, Vice President of marketing for New Edge Networks explained, ”Businesses that migrate from legacy networks based on frame relay technology generally can double or triple circuit capacity and lower their monthly costs, all at the same time.”
New Edge builds primary and backup networks that use different routing for redundancy and network availability. American AgCredit, a lending cooperative for farmers and ranchers in California and Nevada, installed a backup network powered by New Edge from savings it realized by migrating from a legacy frame relay WAN to one based on MPLS technology, short for Multi-Protocol Label Switching.
Mr. Griffths added, ”They are increasingly reinvesting the savings to improve network reliability and business continuity, especially at a time when more business applications are riding on the network. This is a smart trend we are seeing among our customers.”
American AgCredit’s new MPLS primary network and its redundant private backup network link 17 branch locations in California and Nevada with the company’s headquarters in Santa Rosa, Calif. Data traffic automatically switches to the DSL-based backup network if there is an outage on the T1-based primary wide area network. Both networks were independently installed and successfully tested earlier this month.
Floyd Ridenhour, Senior Vice President of IT for American AgCredit, the nation’s 7th largest agricultural lending cooperative noted, ”Having a backup network is quite an advantage to our business. IT flexibility gives us business agility.”
Mr. Ridenhour continued, ”When people talk about disaster recovery they talk about big disasters. Most of the time, our disasters are little disasters like a circuit down here or there. There is always something down. Sometimes they take time to isolate and repair. We’ve been tracking these over the last year or two and they are relatively significant. Our backup system will keep us functioning — keep information flowing. We view our backup network as an insurance policy for protecting business continuity. We try to keep things up so we can deliver money to our customers when they need it. If you want money, you want it now.”
Petaluma, Calif.-based Top Speed Data Communications, a telecom consultancy, advised American AgCredit and helped analyze its circuit needs. Top Speed is an authorized sales agent for New Edge Networks.
Founded in 1916, American AgCredit is part of the cooperative nationwide Farm Credit System. American AgCredit specializes in providing financial services to agriculture and rural customers in California and Nevada as well as to capital markets customers in 27 states across the nation. Financial services provided by American AgCredit include: production financing, short and long term loans, real estate loans, equipment and vehicle leasing, lines of credit and the Young, Beginning and Small farmer program. For more information about American AgCredit’s Cash Dividend Program and financial services, call 1-800-800-4865.
New Edge Networks, based in Vancouver, Wash., is a wholly owned subsidiary of EarthLink Inc. (NASDAQ: ELNK). New Edge Networks builds and manages private networks for businesses and communications providers. Through its nationwide backbone network with almost 900 switches and Internet routers, New Edge Networks uses any blend of network and access technologies (MPLS, frame relay, ATM, xDSL, cable, wireless, and satellite) for providing high-speed connections at any business address in the United States. Network options include any combination of access, network management functions, and on-site installation services. For more information visit www.newedgenetworks.com or call 1-360-693-9009.
To learn more about American AgCredit, please visit: www.agloan.com.
For more information about New Edge Networks, please visit: www.newedgenetworks.com.
Newark, Delaware - (The Hosting News) - December 17, 2007 - Web hosting company and ColdFusion expert, HostMySite.com, has appointed former Walt Disney Company and Affinity Internet executive, Derek Vaughan, as its new Vice President of Marketing.
Mr. Vaughan formerly served at the Walt Disney Company during the dot com boom for such brands as ESPN.com and NASCAR.com. After successfully marketing team accessories during the first concurrent interactive television and Internet ecommerce broadcast for Super Bowl XXXIV, Mr. Vaughan was recruited by startup web hosting company, Affinity Internet, Inc. in 2000, as Senior Director of Marketing. During that time, Affinity grew from a startup of 12 employees to a major web hosting brand of over 250 employees and over 200,000 hosted accounts.
In addition, Mr. Vaughan was an owner and partner in web hosting marketing firm, TechPad Agency for the past 2 years. Mr. Vaughan has also been active in the web hosting press, acting as Editor of The Hosting News for the past two years, while producing feature articles for PingZine Magazine, The WHIR, sitepoint.com, tophosts.com, hostsearch.com, comparewebhosts.com.
Lou Honick, CEO of HostMySite.com remarked, ”Derek Vaughan is one of those rare individuals who combine classical business training, unbridled creativity, and hands-on web hosting industry knowledge. He is recognized by his peers in the web hosting profession as one of its thought leaders, and brings great passion to his marketing campaigns. The HostMySite.com team joins me in welcoming Derek — we know his arrival will be great for our current and future customers.”
Mr. Vaughan commented, ”The role of the customer in this business reminds me of the way that Walt Disney organized his company. If you are a customer of HostMySite.com, you will receive world class service and support driven by the vision of the owners, Lou Honick and Neil Heuer. That’s a company that I can believe in and work for.”
HostMySite.com was recently honored by the Entrepreneurs’ Forum of Greater Philadelphia, the Philadelphia Business Journal and Wharton Small Business Development Center as a recipient of the ‘Philadelphia 100′, which tracks the fastest growing, privately held companies in the Greater Philadelphia area. HostMySite.com was ranked 38th out of the elite 100 companies. The company also celebrated 10 years in the web hosting and domain name business this year. HostMySite.com hosts websites from over 130 separate countries around the globe.
Founded in 1997, HostMySite.com is a privately-held provider of customer-focused web hosting services. With a combination of sophisticated hosting technology and applied business knowledge, HostMySite.com provides individuals, small businesses, and large corporations with affordable managed dedicated servers, Virtual Private Servers (VPS), and shared web hosting solutions, supported by 24×7x365 live support through toll-free telephone, email, and live online chat. The company is based in Newark, Delaware.
For more information about HostMySite.com, please visit: www.hostmysite.com.
London, United Kingdom - (The Hosting News) - December 19, 2007 - The London Internet Exchange (LINX), has presented its Conspicuous Contribution Award, to Dr. Richard Clayton, an academic at Cambridge University and consultant for LINX member, THUS plc (incorporating founding LINX member, Demon Internet).
The presentation was made during the recent LINX member meeting at the Goodenough College in London in November and judging by the warm reception given to Dr. Clayton by the delegates, it was a very popular decision indeed.
Grahame Davies, Chairman of LINX noted, ”Richard has been attending LINX general meetings for nearly 10 years now and can always be relied upon to provide support through objective questions and points of view. Through interaction like this, LINX and its Board benefit from the vast knowledge and experience of its members.”
The ‘Conspicuous Contribution’ prize was first given in 2006 to Nigel Titley of Easynet who was a LINX council member from its 1994 formation through to 2006.
Dr. Clayton remarked, ”Nigel’s contribution is crystal clear for all to see but my own was perhaps a little less obvious. I’ve often given talks at the quarterly LINX meetings but I suspect that the main reason that I received the award is because of my contribution to many of LINX’s Best Current Practice documents. These have covered everything from traceability to spam and have proved to be hugely influential. The BCPs highlight the best ways for the industry to operate on key issues, spreading knowledge to all of the organisations that need to know. They demonstrate to the Government and the regulators that the industry is responsible and can explain why it works the way it does. They also educate end-users and - when there’s a dispute with an abuse@ team - that other ISPs will take the same dim view of their spamming as their current provider. This in turn reduces churn and helps everyone to work things out more sensibly.”
John Souter, CEO of LINX added, ”It is an exciting time in the development of LINX and Richard’s part in that growth cannot be underestimated. Being able to call upon his extensive experience and expertise is very important us and we are delighted to acknowledge his input in this way.”
LINX is a mutual organization owned and consisting of approximately 250 Internet service providers and content delivery service providers. It allows competing networks to exchange Internet traffic cost-effectively, bringing speed and efficiency benefits to their customers. The LINX platform enables access to Internet routes, reaching more countries, than any other public peering point. LINX operates in a regulatory and policy environment that is supportive of network operators and the Internet community, which it strives to maintain and reinforce through its Public Affairs activities. The LINX network includes over 550 connected member ports, over 50 member-facing 10GigE ports, and over 150Gb/sec of peak traffic.
To learn more about LINX, please visit: www.linx.net.
Ann Arbor, Michigan - (The Hosting News) - December 19, 2007 - Shared web hosting provider, Nexcess.Net, LLC, has debuted the launch of its new EliteRAX division, offering dedicated servers, high performance clusters and colocation services.
The new division has been in development for about a year, and is designed to appeal to hared hosting customers desiring to upgrade to a dedicated server, as well as enterprise-scale businesses seeking a colocated or clustered solution.
Chris Wells, President of Nexcess.Net noted, ”For years, we have been known as shared hosting experts. By introducing EliteRAX as a separate brand, we are using our vast experience in the industry to target a unique but rapidly growing sector of the market. Dedicated servers require a unique approach, especially in terms of support. With our robust infrastructure and fully-owned data center, we are in a position to excel in these areas while keeping costs to a minimum and maintaining vigorous quality control standards.”
Servers for the new division will be housed in the fully-owned Nexcess.Net data center located in Dearborn, Mich. The 6,400 square foot facility features pre-action dry-pipe fire suppression, redundant 30-ton Liebert HVAC systems, a key-card access security system and security cameras throughout. The network maintains connectivity though multiple gigabits of high quality bandwidth to Level(3) and Savvis.
Dedicated servers start at $49.95/monthly during the launch promotion period for a Celeron-based system with dual 80GB of drives and 2000GB of monthly data transfer. Server clusters and co-location services are customized directly to individual needs, and are priced accordingly.
Nexcess.Net is an Ann Arbor, Mich. based company specializing in Web Hosting solutions, offering a range of services from shared hosting to multi-server configurations. Nexcess.Net provides custom hosting solutions for traffic heavy and high profile websites of all genres. Nexcess.Net owns and operates its own private data center in Dearborn, Mich. and currently services thousands of clients worldwide.
To learn more about EliteRAX, please visit: www.eliterax.com.
For more information about Nexcess.Net, please visit: www.nexcess.net.
Quebec, Canada - (The Hosting News) - December 19, 2007 - Internet hosting infrastructure provider, iWeb Group Inc., has released its financial results for the three-month period and year ending September 30, 2007, including revenue of $9.8 million, with a 71% increase over fiscal 2006.
Other financial highlights include:
- Gross profit margin of 57%, compared to 54% in fiscal 2006
- Adjusted EBITDA* (as defined at the end of this release) of $2.8 million, compared to $1.5 million in fiscal 2006
- Earnings before income tax of $0.9 million, compared to $0.7 million in fiscal 2006
- Net earnings of $0.5 million, or $0.02 per share, in-line with $0.5 million, or $0.02 per share in fiscal 2006
- Obtained TSX Venture Exchange (TSX-V) Tier 1 Issuer status
- Company shares qualified for SMB Growth Stock Plan (ACCRO)
- Subsequent to year end, announced plans to open an 850 cabinet co-location data centre in Montreal
- Subsequent to year end, closed $4.1 million public offering, with net proceeds to primarily fund the third and fourth phase installation of the Company’s second data centre
Eric Chouinard, President and CEO iWeb explained, ”Our strong fiscal 2007 performance reflects the passion and dedication of the entire iWeb team and demonstrates our ability to successfully capitalize on the robust demand in the Internet infrastructure market. We delivered significant organic revenue and EBITDA growth, and, in the second half of the year, we completed the installation of phase two of our second data centre, which expanded our dedicated and co-location hosting capacity. Longer-term, with the build-out of phase three and four of our second data centre already in construction, our third data centre scheduled to open in the beginning of 2008 and a team that is now more than 80 strong people, we believe we are well positioned to continue our growth momentum.”
Total revenue for fiscal 2007 was $9.8 million, an increase of 71% over revenue of $5.8 million in fiscal 2006. iWeb’s year-over-year revenue improvement was driven solely by organic sales growth. For fiscal 2007, iWeb generated 80% of revenue from dedicated hosting, while shared hosting and co-location hosting each accounted for 10% of the Company’s revenue for the year. Revenue for Q4 fiscal 2007 was $3.0 million, a 74% increase over revenue of $1.7 million for Q4 fiscal 2006.
For fiscal 2007, gross profit margin was 57%, compared to 54% in fiscal 2006. The year-over-year improvement reflects increased sales volume and improved cost controls. Total operating expenses in fiscal 2007 were $4.7 million, or 48% of revenue, compared to $2.5 million, or 43% of revenue in fiscal 2006. During fiscal 2007, iWeb increased its investment in sales and marketing and incurred higher administrative expenses in support of the Company’s current and future growth.
iWeb generated Adjusted EBITDA of $2.8 million, or 29% of revenue in fiscal 2007, compared to Adjusted EBITDA of $1.5 million, or 25% of revenue in fiscal 2006. The combination of higher revenue performance and tighter cost controls led to the year-over-year improvement.
For fiscal 2007, net earnings were $0.5 million, or $0.02 per share, relatively in-line with $0.5 million, or $0.02 million per share for fiscal 2006. Net earnings for Q4 fiscal 2007 was $0.2 million, or $0.01 per share, compared to $0.1 million, or $0.00 per share for Q4 fiscal 2006.
During fiscal 2007, iWeb invested significantly in the infrastructure required to support its growth throughout the year and into the future. As a result, the Company incurred a year-over-year doubling in amortization expense and added approximately $0.5 million in interest expense, which was driven by the Company’s increased level of debt. In addition, as 70% of the Company’s revenue is denominated in U.S. dollars, the reduction in the value of the U.S. dollar relative to the Canadian dollar during fiscal 2007 negatively impacted net earnings by a difference of approximately $0.1 million for the year.
Finally, income tax expenses were lower in fiscal 2006 compared to fiscal 2007, since the Company recognized future tax assets of approximately $0.1 million during fiscal 2006.
On October 2, iWeb mannounced plans to open an 850 cabinet equivalent co-location data centre. Scheduled to open in the first quarter of calendar year 2008, the facility will be the Company’s third data centre in Montreal. As iWeb’s two other data centres are both primarily dedicated server hosting facilities, management believes the addition of a strictly co-location hosting data centre will enable the Company to diversify its revenue base, extend its footprint in the Montreal marketplace and target a broader customer base.
On November 30, iWeb closed a public offering of 3.3 million common shares at a price of $1.25 per common share, for gross proceeds of $4.1 million. iWeb intends to use the net proceeds of the offering primarily to fund phases three and four of the installation of its second data centre.
Founded in 1996, iWeb offers a full line of advanced IP hosting services either through shared hosting, dedicated servers or colocation in three data centers, featuring over 52,000 square feet of floor space and the latest technological equipment. iWeb provides services in English, French and Spanish to clients in more than 130 countries.
To learn more, please visit: www.iweb8.com.
Marlborough, Massachusetts - (The Hosting News) - December 18, 2007 - Hosting provider of outsourced benefits, compensation and performance management solutions, Workscape, has debuted the release of its Virtual Hosting offering, designed to enable the configuration of its enterprise products in a controlled environment, packaged to deploy an appliance-based solution.
Bill Bergen, Senior Vice President and Chief Information Officer for Workscape remarked, ”Our new Virtual Hosting offering enables clients to keep their data in-house while reducing support issues thanks to the identical virtual environment being deployed. We’ve also included multiple customer support options with this offering, such as live, remote support on the customer’s instance or the ability to repackage an instance snapshot and send it back to Workscape. By using the latest virtualization software, Workscape has stepped ahead of the competition and given our clients even more implementation choices while still maintaining our internal efficiencies.”
Designed to work in either Workscape’s global data centers or behind a client’s firewall, the Workscape Virtual Hosting product was developed to create a virtual server environment that is complete with the operating system, applications and resources. Images are easily transferable from one physical server to another and multiple instances of an application can be run on the same hardware, yet with the total isolation and protection of each environment. This innovative approach provides a highly efficient mechanism for quickly, and cost effectively, adding capacity for new on-demand clients that are utilizing Workscape’s hosting environments.
In addition, this deployment methodology creates a ground-breaking new offering from Workscape for clients whose IT policies require applications to be hosted inside their network. Now, with this virtual hosting arrangement, Workscape’s solutions can be dropped down onto servers inside the client’s data center versus Workscape’s, without changing the traditional economic and resource efficiencies of Workscape’s standard on-demand offerings.
As part of its upgrade to the latest version of Workscape Compensation Planner, an existing client — a technology leader specializing in defense, homeland security and other government markets throughout the world — is already migrating from their current implementation to become a hosted client via Workscape Virtual Hosting.
Workscape’s OBA offerings include benefit manager analytics for plan management, rapid plan design change management, and an integrated WebMD content and application to inform employees of personal health and benefit decision options. At the heart of Workscape OBA is a 24×7 U.S.-based HR Service Center staffed by experienced benefits professionals.
Workscape’s multi-lingual compensation solution is designed to assist companies streamline compensation cycles, ensure consistency and fairness, and empower managers to pay-for-performance while adhering to corporate guidelines and budgets. The company’s performance management solution automates the performance management process and fully aligns goals, competencies, results and compensation throughout the organization. Both products are delivered via the software-as-a-service (SaaS) model, can be deployed individually or fully leverage Workscape’s integrated web-based platform and are now also available in Express versions for mid-sized companies.
Workscape is a provider of business-critical HR solutions that have enabled hundreds of organizations to manage two largest workforce expenditures: employee benefits and performance-driven compensation. Workscape’s offerings share a common technology platform, can be readily integrated with existing IT investments, serve millions of employees, and are scalable and configurable to meet the distinct requirements of organizations ranging from hundreds to hundreds of thousands. One client uses the company’s award-winning multi-lingual compensation solution to compensate hundreds of thousands of employees across 70 countries. Workscape’s outsourced benefits administration offerings are backed by U.S.-based 24×7 support for managers and employees on policies and processes.
To learn more about Workscape, please visit: www.workscape.com.
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