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Entries from June 1, 2015 - June 30, 2015

Friday
Jun262015

Paperspace - Company Profile


Introduction

Paperspace offers a fully functional computer in the cloud that users can access from any web browser.  The company was founded by Dillon Thompson Erb and Dan Kobran.  Users have the ability to use this fully functional computer that is available in the cloud.  The product (known as Paperweight) and service that Paperspace offers was created for consumers and businesses.  Paperweight is a low-cost hardware device that allows users to connect to their own remote machines that are on Paperspace’s servers.  Currently, the company is charging $50 for the Paperweight product.  However, customers will have to wait since to receive the device, since it is only available for pre-order at this time.  Deliveries of the product are not expected until September 2015. 

The service that Paperspace is supplying is similar to some of the other enterprise-solutions that are currently out in the market such as VMWare, Citrix, or Amazon Workspaces.  The main difference between Paperspace and its competitors is that Paperspace focuses its emphasis on having an easy-to-use service to attract consumers.  The company offers several different service packages.  Presently, users will be able to choose between a basic or pro option service, depending on their computer needs.  Paperspace is separate from the product Paperweight, but both are needed for the complete service to work.  The company intends to charge approximately $10 and up per month for the basic Paperspace option (on top of the initial $50 for the Paperweight product).  However, users have the ability to either upgrade or downgrade their service any month that they would like.  Conveniently, users’ current customizations and settings will stay the same even when switching between different monthly service packages. 

Key Advantages

Paperspace’s product and service allows users the benefit of their computer not lagging or being slowed down over time.  An interesting advantage of the company’s service is that users will be able to have securely encrypted data transfers and connections.  Another interesting thing about the service, which could prove to be a key advantage for Paperspace, is that it is a unique alternative to what is currently on the market.

Benefits of Paperspace for Enterprise

    - There are no high upfront costs and the service is provided through low monthly payments.

    - Simple control panel allows users to easily manage their computer.

    - Reliable and predictable performance that is highly scalable.

    - Hardware is managed by IT professionals that are available 24/7, which provides reliability.

Why Paperspace?

Paperspace prides itself with the ability to offer a product and service to users that will allow them to no longer have to buy new and expensive hardware just so that they can access a computer that has more storage space and speed.  Paperspace’s service is fast and is constantly being updated and backed up.  In essentially three steps, users can get their Paperspace accounts up and running.  All it takes is for users to first create an account through Paperspace, choose the computer type that they would like (package options, etc.), and they can login from anywhere they would like.

 

Thursday
Jun252015

Carlson Wireless Technologies - Company Profile

  Introduction    

    - Industry leader in TV White Space and Dynamic Spectrum Sharing.

    - Jim Carlson President, CEO.

    - Deliver high-speed Internet and wireline-quality voice connectivity to rural communities and
      businesses with remote operations.

    - Similar to Wi-Fi, TV White Space is essentially a fixed broadband product that can cover longer 
      distances than Wi-Fi.

    - Currently, TV White Space is mostly considered for use with low power devices.

Company Background

    - Founded in 1999 by Jim Carlson.

    - Design and manufacture fixed-wireless products for terrain based communications.

    - Specialties include TV White Space Technology, Microwave Backhaul, Rural Broadband, and 
      Dynamic Spectrum Sharing.

    - Located at 2700 Foster Avenue Arcata, CA 95521.

What is TV White Space Technology?

An affordable alternative to fiber, microwave, mobile and satellite technologies.

    - Needs minimal infrastructure to extend broadband coverage.

    - Can reach users in remote locations.

    - Lower frequencies perform well even if obstructed.

    - Increase in coverage, which allows for fewer access points for more users.

    - System does not require fiber.

Market Opportunities

  • White space hotspot.
  • WISP and rural broadband.
  • Public safety.
  • Industrial: oil and gas.
  • Utilities: energy and power.
  • IoT & M2M – great coverage with minimal infrastructure and new, clean spectrum.
  • Smart cities.

Strategic Considerations

    - Approximately 60% of world and 6m US households do not have internet.

    - Typically, individuals that do not have internet either can’t afford it or due to geographic location.

    - 3rd generation rural connect radio can cover 100x the area of traditional Wi-Fi without
      diminishing strength (caused by walls or trees typically) - “super Wi-Fi” is another name for it.

    - A downside to TV White Space Technology is that many unregulated wireless
      devices that use this technology could end up interferring with one another or with licensed users.

    - A challenge with this technology is developing the technology to the point that
       it is able to locate any available airwaves while simultaneously avoiding any possible interference with other devices.

Thursday
Jun252015

SIGFOX - Company Profile

Introduction    

SIGFOX is a private, innovative company that provides global cellular connectivity for the Internet of Things (IoT).  The company is positioning itself to become an industry leader by offering its customers low prices and low energy consumption for connected devices.  SIGFOX’s network is scalable and is built for large volumes of devices.  The company builds wireless networks that are used to connect objects, which assists in forming the structure that is necessary for the Internet of Things to continue its growth.    

Company Background

SIGFOX‘s Founder and CEO is Ludovic Le Moan.  The company’s headquarters is located at 425, rue Jean Rostand 31670 Labège France.  Along with its headquarters, SIGFOX has other locations, consisting of Paris, Madrid, and San Francisco.  Currently, the company does not have a huge presence throughout the world besides France, Spain, the Netherlands, and part of the United Kingdom.  However, many investors have shown interest in the firm by investing approximately $34 million in a previous round of funding.  Recently, SIGFOX was able to raise approximately $115 million from several large investors.  The company plans to use the funds to begin expansion into areas such as the United States, Latin America, as well as Japan and South Korea.  A few of the big name investors involved in the funding were Telefonica, NTT Docomo and SK Telecom.  The investments by well-known companies shows how much confidence there is in SIGFOX’s technology.  The company mainly provides low-cost and low-energy wireless networks that focus on connected devices like smart watches, meters, washing machines, etc.  SIGFOX places emphasis on these type of devices, due to the fact that small amounts of data are emitted at a time and the devices need to be on constantly.  Over the last two to three years, SIGFOX has partnered with several big name companies and organizations in the industry such as ThingWorx, Arqiva Partners, and PLAT.ONE.  SIGFOX has also partnered with other companies across a variety of industries, which is aiding its strategy to provide connected devices in many industries around the world.  A few of these other companies consist of Hydroko, Fastprk, and Z#bre.  Hydroko has a remote-control valve to monitor fluid flow and with the help of SIGFOX, this device will allow central controllers to send a signal to either open or shut the valve.  Fastprk has a magnetic parking lot sensor, which uses SIGFOX’s network in order to report whether or not parking spots are currently empty or occupied.  Z#bre has a medical monitor device called “Z#Link” that monitors medical patients. 

Strategic Considerations

SIGFOX plans to rollout this low-throughput technology in approximately 60 countries within the next five years.  There are approximately 11 industries that the company hopes to address as growth for the Internet of Things continues.  The industries that SIGFOX currently is placing emphasis on range from Agriculture and Environment to Utilities.  SIGFOX believes that the Smart City and Public Transport industry will be the sector that sees the largest growth by 2022.  There are several positives that come along with the technology that SIGFOX is employing.  SIGFOX’s network can co-exist with the frequencies of other radio technologies.  The network allows SIGFOX to ensure customers of secure communication through message scrambling, anti-replay, sequencing, etc.  Also, the network operates in ISM bands, which are license-free frequency bands that are available globally.  The patented radio technology that SIGFOX uses is known as Ultra Narrow-Band Technology.

Benefits of Ultra-Narrow Band Technology

There are many benefits of Ultra-Narrow Band Technology in regards to its usage for M2M and IoT.  First off, the technology is scalable, comes at a low cost, and has low energy consumption.  The technology is also easy to rollout, provides long range, and often allows flexibility with the design of antennas.  Another benefit of this technology is that it is compatible with existing transceivers. 

GSM/Cellular vs. SIGFOX

There are many differences between traditional GSM/Cellular and SIGFOX, most of which are either cost or energy-related.  One major difference between the two is that the average power consumption for an energy meter through SIGFOX is approximately 50 microwatts, whereas it is 5,000 microwatts through GSM/Cellular.  Another major difference is that the typical stand-by time for a 20.5 ampere-hour (AH) battery is approximately 0 to 2 years for GSM/Cellular versus 20 years for SIGFOX.  By using SIGFOX, there are less antennas that need to be involved compared to GSM/Cellular.  In order to fully put SIGFOX’s significance into perspective, there are three major points that help its cause.  SIGFOX’s network requires 2,000 to 5,000 times less power consumption for a simple data transfer versus traditional cellular networks.  Also, if cellular networks wanted to have the same communication range that SIGFOX’s network offers, it would traditionally require 10,000 times more power.  Another positive that is often considered a cause for concern, is that SIGFOX’s network has 2,000 to 5,000 times lower electromagnetic radiation than traditional cellular networks. 

Thursday
Jun252015

Zadara Storage - Company Profile

Introduction

Zadara Storage is a provider of enterprise storage as a service (STaaS).  The service is able to deliver a highly available and predictable file and block storage.  One of the interesting pieces of Zadara is that they use a pay-as-you-go model.  The company delivers its product using its patented software, which is called Virtual Private Storage Arrays (VPSA). 

What is VPSA?

VPSA is a software, patented by Zadara Storage that can deliver flexible, multi-tenant enterprise Storage Area Networks (SAN) and Network Attached Storage (NAS) technology for peta-scale primary and secondary storage.  One of the advantages of VPSAs is that they have isolated resources, exceptional data security, management control and predictable performance.  VPSA’s meet the most stringent Service Level Agreements (SLAs), even in public cloud deployments.  VPSA has a similar Storage System (SAN/NAS), dual controller, dedicated drives and full control of storage like EMC or NetApp would have.  One of the big differences with VPSA, however is that storage is instant and the user only pays for the time that they are using the system.  Two major advantages of VPSA is that it is elastic, meaning it can add or remove, expand or shrink, and it can be connected to Virtual Machines (VM’s) that are either on a public cloud or on a private cloud in your own data center. 

Awards Received

    - 2015 Frost & Sullivan New Product Innovation Leadership Award

    - EMA ‘Vendor to Watch’

    - Gartner ‘Cool Vendor’ in Storage Technologies 2014

    - UK Cloud Awards’ Storage Product of the Year

    - VentureBeat cloud competition winner

    - Tie50 cloud competition winner

    - Under the Radar cloud competition winner

    - Plug and Play’s cloud competition winner

Service Providers

    - Equinix

    - TelecityGroup

    - CloudSigma

    - 365 Data Centers

    - Amazon Web Services

    - Eircom

    - Microsoft Azure

    - CoreSite

    - Dimension Data

Strategic Considerations

Zadara has developed the first multi-cloud cable SAN and NAS as a service offering that it enables IT managers to provision and deploy once to Zadara’s platform, and then to attach the same storage to other public cloud offerings.

Solutions for the Telecommunications Industry

The service provides a multi-tenancy architecture that allows each customer to be able to have dedicated hardware resources that can deliver quality of service (Qos) performance.

Why Zadara Storage?

Zadara Storage is an innovative company that provides its customers with real SAN and NAS Storage, while at the same time giving them full control over storage, providing advanced enterprise features, and predictable Qos.  Zadara has a pay-as-you go usage-based billing system, which can mean low storage costs for customers. 

Thursday
Jun182015

QTS Realty Acquires Carpathia Hosting 

QTS Realty Trust, Inc. (NYSE: QTS) announced on Wednesday, June 17th that it had closed its acquisition of Carpathia Hosting, Inc. for approximately $326.0 million.  The deal was originally announced on Wednesday, May 6th.  The acquisition significantly increases QTS’ data center footprint and grants access into new domestic and international markets. 


Valuation Analysis and Deal Metrics

   
Transaction Facts

  • QTS Realty is an industry-leading provider of hybrid cloud services and managed hosting. 
  • Carpathia Hosting is an industry-leading provider of colocation, cloud and managed services. 
  • Acquisition will be financed through approximately $290.0 million in cash and $36.0 million in capital leases that are expected to be funded on a leverage neutral basis. 
  • Carpathia Hosting has approximately 8 domestic and 5 international data centers. 
  • Carpathia’s portfolio of data centers equals approximately 66,700 square feet in total. 

Strategic Considerations

  • QTS Realty gains approximately 230 commercial and federal customers as a result of the acquisition.
  • Increases QTS’ average MRR per customer from $15,000 to $27,000.
  • $2.0 million in expected synergies for QTS are expected in 2016 as a result of the transaction.
  • Carpathia’s footprint in North America is complementary to support QTS’ Federal Government business.
  • Transaction provides QTS with entry into markets such as Toronto, Amsterdam, London, Hong Kong, and Sydney. 

JSICA’s Take

  • Acquisition of Carpathia Hosting will allow QTS Realty to add an international presence, as well as diversify its footprint across North America.
  • QTS Realty will be able to differentiate itself in industry channels such as Healthcare and Government, which are highly regulated.