Hosted Solutions Rolls Out New Angle
The News & Observer — June 8, 2009
Jun 08, 2009 (The News & Observer - McClatchy-Tribune Information Services via COMTEX) -- Data center company Hosted Solutions is leveraging cloud computing technology to offer a new on-demand service to its corporate customers.
The privately held Raleigh-based company, which reports that revenue is increasing strongly despite the recession, plans to unveil its new offering, Stratus Trusted Cloud, today.
Kip Turco, the company's chief operating officer, touts it as a "game-changer" for customers because they pay only for the computer power they use. That offers the potential for significant cost savings because companies typically have much more server capacity than they actually use.
"For a business owner, there is a comfort in paying for what you use," Turco said. In addition, companies can expand without a major capital investment in information technology.
Hosted Solutions is able to offer the service thanks to the cost-efficiency of cloud computing, which enables the company to serve multiple customers with the same equipment. Cloud computing enables accessing networks of computers over the Internet.
The new service initially will be handled by the company's North Raleigh data center, which just completed a $12 million expansion.
Hosted Solutions, which has about 75 employees in the Triangle and 110 overall, operates five computer data centers: one each in Raleigh, Cary and Boston and two in Charlotte. The company runs and maintains computer servers for its customers, which may be owned by the customer or Hosted Solutions.
Hosted Solutions also offers a bevy of information technology services, ranging from managing software applications to cybersecurity and data recovery.
Founded in 2001, Hosted Solutions was acquired for $144 million last year by Boston private equity firm ABRY Partners. Sales totaled $36.8 million last year, up 48 percent from 2007. Sales this year are on track to hit $50 million, Turco said.
The company continues to add employees, mostly in the Triangle.
"We have four or five openings right now," said Noreen Allen, vice president of marketing.
Data center companies such as Hosted Solutions are benefiting from companies outsourcing more IT services as they move to rein in costs and become more comfortable with the whole concept, said Turco. Hosted Solutions' customers include Bank of America, Duke University, Harris Teeter, Krispy Kreme and GlaxoSmithKline.
