Posts Tagged 'Interview'

March 23, 2015

Redefining the Startup Accelerator Business Model: An Interview with HIGHLINE’S Marcus Daniels

In this interview, SoftLayer’s community development lead in Canada, Qasim Virjee, sits down with Marcus Daniels, the co-founder and CEO of HIGHLINE, a venture-backed accelerator based in Vancouver and Toronto.

QV: Y Combinator has become an assumed standard for accelerators by creating its own business model. What do you think is both good and bad about this?

MD: Y Combinator (YC) not only created a new model for funding tech startups, but it also evolved the whole category. Historically, I like to think that Bill Gross's Idealab represented accelerator/incubator 1.0 and YC evolved that to 2.0 over the past decade, resulting in a hit parade of meaningful startups that are changing the world.

The good is that YC has created a “high quality” bar and led the standardization of micro-seed investment docs for the betterment of the whole startup ecosystem. It proved the model and has helped hundreds of amazing founders with venture profile businesses that are changing the world.

The bad is that there are now thousands of accelerators/incubators globally running generic programs that don't help founders much. More than half have a horrible rate helping startups raise follow-on capital and almost all never had a single exit from a startup they invested in.

HIGHLINE has a strong track record in our short history and now sees a big opportunity to be amongst the leaders in the evolution of the accelerator industry.

QV: Many accelerators focus on streamlining a program to process cohorts of companies at regular intervals throughout the year, every year. Often, the high throughput these programs expect means they must select companies from applications, rather than the approach you seem to be taking. Can you explain how HIGHLINE is sourcing companies for investment?

MD: HIGHLINE gets over 800 applications a year and targets about 20–30 investments during that time. Out of our last 12 investments, all had either come from referral partners or the team hunting the best founders to be part of our portfolio. Over the years, we have moved from the ideation stage, which comprises the majority of inbound applications, to the MVP in market stage, which is our sweet spot now. We will also focus on low-volume, high-touch advisory support, which is why a lot of time is spent building relationships with founders and adding value to MVP-stage startups before investing helps curate better deals.

QV: Traditionally, investment vehicles (such as VC firms and accelerator programs) have been run by financial industry types, but it seems that you are taking a more entrepreneurial approach with HIGHLINE and constantly evolving your business model. What can you tell me about this?

MD: The best accelerator leaders globally are past entrepreneurs who have some investment experience given how hands-on you have to be with the companies. Without the experience of starting and growing ventures, it is really hard to help tech founders navigate the daily challenges. Also, the best founders get to choose, and they want to work with other top founders in a long-term mentor/advisory/coaching relationship.

QV: How does being “VC-backed” differentiate HIGHLINE from other accelerators?

MD: Having several VCs as investors, such as the BDC and Relay Ventures, gives us an edge in several ways. Firstly, they are not only a great quality referral network for deals, but also a huge help in getting our companies venture-ready—even if they may not invest directly. Secondly, they allow us to internally focus on a specialization in helping venture profile businesses raise follow-on capital, as opposed to the glut of programs that are optimized for entrepreneurial education and lifestyle job creation. Lastly, they put big pressure on the whole HIGHLINE team to both get results for shareholders and build something unique that can be a category leader over the next decade.

QV: Our country is physically large and this seems to have created differentiated tech startup scenes between its cities. How does HIGHLINE collapse the geographic divide by having a physical presence in both Vancouver and Toronto?

MD: HIGHLINE tries to curate and unite the best digital founders, institutional investors, and ecosystem partners across Canada. We position our offices in both Vancouver and Toronto as portfolio hubs for founders who want to be headquartered in Canada, but want to take on the world. Most importantly, we spend time in all major Canadian startup ecosystems and have plans for unique events to bring our curated community closer together.

- Qasim

January 19, 2015

Asia Startup Series: It's All About Making the Most of Your “Professional Social Life”

Startups are near and dear to our heart at SoftLayer; just take a look at the Catalyst program. That’s why we are so excited to see the startup scene in Asia growing at a tremendous pace. The fact that venture capitalists are now setting aside funds especially for young technology companies in this part of the world brings to focus the absolute potential of this market. Some of the big funds announced in 2014 include: the Singapore government's $48 million fund distributed among six venture capital firms, Japanese mobile gaming giant GREE Ventures’ new $50 million fund, Softbank and Indosat’s partnership to launch a $50 million fund for Indonesia, and Softbank’s $20 million fund for the Philippines.

*This is Part 2 of the Asia Startup Series. Read Part 1: Drawing Board Events: Event Planning Goes the Way of the Cloud

Australia is a hotpot of ideas and over the years a number of local startups have shot to fame. Seedstarsworld released this overview of the Sydney startup scene. In April 2014, Insight Venture Partners invested US$250 million in a Sydney-based email marketing company. Much more recently, U.S. venture capital fund Technology Crossover Ventures invested US$30 million in an Australian online hotel distribution company. With all the momentum Down Under, this seems like a great time talk about one Australian startup that has a pretty cool idea to share.

ChannelPace
Working with startups is brilliant because there are no limits to how much one can blur the lines, extend the lines, distort the lines, join two lines to reinvent the boring the stuff, or bring in something brand new. ChannelPace is perhaps one of my favorite examples of such line-blurring ideas.

Picture this: As a business, it is imperative that you have a complete track of who your customers, your prospects, and even your potential employees are. When the world recognized this, we saw some really nice CRM (Customer Relationship Management) tools come to market. The problem, however, with such tools is that the contact ownership is with the business, while the relationships are built by the people (the sales, marketing and support teams). Attrition is a reality, and when an employee leaves a company, the contacts, relationships, and information they’ve made often slip through the cracks. Of course that individual could continue to nurture those relationships through popular social channels. But keeping track of the hundreds, if not thousands, of contacts is nearly impossible, especially if the contacts themselves change companies.

And, this is where ChannelPace, an Australian-based startup, managed to merge and blur the lines. Greg Furlong, CEO of ChannelPace, attended SoftLayer’s Melbourne data center launch party last October, and that's where we started discussing the unique value his startup provides. Greg defines ChannelPace as the world’s first crowd-sourced contact management system.

He said, “The contacts we make during our working lives are some of our most valuable assets. And at its core, ChannelPace is designed to enable users to get their contacts organized in one place and available across all their Web-capable devices. The premise is that individuals own contacts, and our system enables sharing between users at the same company, thereby harnessing the knowledge of co-workers. When a ChannelPace user moves to another company, they take their contacts, and an imprint is left behind.”

This cloud-based system has the best of both worlds: a CRM system and a social channel. Contacts may be entered in the same manner as a traditional CRM system, or via business networking, in a manner similar to LinkedIn. Only one record is ever kept of a business card, keyed on the unique email address, and then people with the same contacts or in the same company all participate in updating the information—all without necessarily being connected to or aware of each other. Crowd-sourcing ensures information is always up-to-date, which is more efficient and effective, giving companies and individuals a competitive advantage.

Here is a snapshot of my conversation and the innumerable email exchanges with Greg:

The crowd-sourcing concept was great, but why would an organization appreciate and implement this system if they were no longer contact owners?

Greg: The first pillar of the ChannelPace system, contact management, provides people with a place to enter their business contacts. As the only way into the system is via a work-issued email address, we bring users from the same company together by creating a dynamic CRM system where everyone in the same company’s contacts are pooled. Individuals still “own” their contacts, but now everyone in the same company has access to the contact knowledge of all other ChannelPace users in their company. When you leave your company, you lose access to the shared knowledge. When you start at a new company, your contacts are now pooled with other ChannelPace users at your new company. In this way, we are providing a contact management system where users have an active interest in using it, as it is their information. Traditional CRM relies on users within the company keeping information updated. ChannelPace does this also, but we extend the updating reach to any other users around the world with access to the same contacts, which makes it more reliable and relevant.

Why did you decide to build ChannelPace as a cloud-based system?

Greg: We began building the company in 2013 with a mission to disrupt the CRM industry and displace dominant players like LinkedIn, Google+, and Salesforce. In order to compete at that level, we realized that ChannelPace needed a scalable, global cloud infrastructure platform that was nimble, reliable, and easy to implement. Hence the move to cloud. We were also looking for local presence, redundancy on multiple continents, load balancing, and as workloads increase in specific areas, high scalability. We considered numerous cloud providers including SoftLayer, Amazon Web Services, Google Compute Engine, Rackspace and Microsoft’s Azure. Finally, we decided to sign up with SoftLayer.

Why SoftLayer?

Greg: Two of ChannelPace’s priorities were global reach and scalability. ChannelPace now operates in 56 countries, and SoftLayer’s growing number of data centers and global network makes it easy for us to expand and grow our business. Also, SoftLayer’s network-within-a-network architecture is quite unique and enables us deliver unlimited traffic “on network” between servers in different data center locations around the world. When you’re looking to make an immediate impact on an industry, it’s important to work with a provider who you truly consider to be an extension of your business.

The system has immense potential. What are your growth plans for ChannelPace in 2015?

Greg: Like any other startup, we want to focus on aggressive market expansion and customer outreach. We have set high targets for ourselves, and towards that we are currently developing iOS and Android apps to extend the ChannelPace service to mobile. We also have a couple of tweaks and innovations in pipelines and 2015 is going to be super exciting for us.

I think it's great that my work life now has the potential to become a “professional social life!”

Cheers,
–Namrata (Connect with me on LinkedIn or, Twitter)

December 16, 2013

Xplenty: Tech Partner Spotlight

We invite each of our featured SoftLayer Tech Marketplace Partners to contribute a guest post to the SoftLayer Blog, and this week, we're happy to welcome Yaniv Mor from Xplenty. Xplenty is a cloud-based code-free Hadoop as a Service platform that allows you to easily create data workflows, provision, monitor and scale clusters. Their goal is to eliminate the complexity of Hadoop to make it accessible and cost-effective for everyone.

Simplifying Hadoop

Apache Hadoop, open source software developed by Doug Cutting, is the most popular storage and processing platform for big data. Because Hadoop can accommodate structured data, semi-structured data, and unstructured data, it is the storage architecture of choice for some of the Internet's largest and most data-rich sites. Industry giants such as Google and Facebook have been using Hadoop for years to store and deliver information while gathering insights from customer behavior and internal business processes, and their obvious success with the platform has helped drive broad adoption and popularity all the way down to small-businesses and startups.

Specific use cases vary among industries, but similarities exist. Many companies leverage Hadoop to gather information about their clientele. With Hadoop, a company can process huge amounts of data to examine past and present behaviors, and with that information, customers can be presented personally-tailored recommendations, and the business can glean deep insights from the trends and outliers in its customer base. As a result, customers are more likely to make repeat purchases, and companies are able to predict trends and possible risks, allowing them to visualize and prepare for a number of business scenarios.

Another compelling use case for Hadoop is its ability to analyze and report on multi-faceted marketing and advertising campaigns. By drilling down into the guts of a campaign, users can see exactly what worked and what didn't. Marketers and advertisers can direct their resources to the campaigns that worked and let the ineffective ones fall by the wayside.

On the internal side, businesses are using Hadoop to better understand their own information. Data systems at financial companies use it to detect fraud anomalies by comparing transaction details. If you've ever made a credit card purchase in another state or country but the purchase didn't go through, your bank's system probably flagged the transaction for a representative to investigate. Other companies analyze data collected from their networks to monitor activity and diagnose bottlenecks and other issues with a negative impact.

The challenge with leveraging Hadoop's broad potential is that a company generally needs dedicated technical resources to allocate toward building and maintaining the solution — from manpower to financial to infrastructure. Hadoop is difficult to program and requires a very specific skill set that few possess. If a company doesn't have the personnel for the job, it will need to fork over some serious cash to get a system built and maintained. This can significantly hinder the progress of the data and business intelligence teams, and by default, the progress of the company. That's why we decided to create Xplenty.

Xplenty is a coding-free Hadoop-as-a-Service platform that allows data and BI users to process their big data stored on the SoftLayer cloud without having to acquire any special skills. What Xplenty does is remove the need to divert those precious resources from anything other than the business at hand. Xplenty's Hadoop-as-a-Service platform has a graphical user interface that enables the data and BI teams to build data flows without ever having to write a line of code. The benefit of this is twofold. First, the business intelligence analysts can quickly build data flows that would typically take weeks or more to program and debug, and data users can easily insert Xplenty into their data stack to handle processing needs. The second benefit is that since the IT department doesn't have to worry about doing any programming, they are able to tackle more pressing issues, bottlenecks are avoided, and life goes on without a hitch.

Xplenty was created specifically for the cloud, and SoftLayer is a major player in this space, so it was a natural fit for us to partner up to provide a SoftLayer-specific offering that will perform even better for customers already using SoftLayer infrastructure. We only work with providers with the best and most stable infrastructure, and SoftLayer is definitely at the top of the list.

If you want to try Hadoop on Xplenty, jump over to our SoftLayer sign up page, enter your details, and test drive the platform with a free 30-day trial!

- Yaniv Mor, Xplenty

This guest blog series highlights companies in SoftLayer's Technology Partners Marketplace.
These Partners have built their businesses on the SoftLayer Platform, and we're excited for them to tell their stories. New Partners will be added to the Marketplace each month, so stay tuned for many more come.
October 22, 2013

JumpCloud: Tech Partner Spotlight

We invite each of our featured SoftLayer Tech Marketplace Partners to contribute a guest post to the SoftLayer Blog, and this week, we're happy to welcome David Campbell from JumpCloud. JumpCloud is an automated SaaS-based offering that automates the manual, tedious system administration tasks for DevOps and IT pros. It works with your provisioning to complete your operations set by automating server maintenance, management, monitoring, and security.

User Management in a DevOps World

Maybe you're a developer who's recently been given responsibility for managing production infrastructure at your company. Or maybe you're a career SysAdmin whose boss read the DevOps Cookbook and decided that it's time for you to learn to embrace DevOps and start treating your configuration as code and automating everything. DevOps promises to change the way organizations develop, operate and maintain applications and IT infrastructure, both on-premise and in the cloud. However you came upon it, you're now firmly entrenched in the world of DevOps.

No matter what your background, you're probably not alone in terms of needing access to the servers in your environment. Which brings us to the topic of this post. It's bad practice to use a shared "root" account to manage your systems and especially to run your application. So you want to create and manage separate user accounts. This is easy enough to do manually when you have only one or two admins and just a couple of servers. But in today's elastic, auto-scaling environments, you may have two servers at 9am and 1200 servers at 3pm.

So what to do?

In short, what you want is a method by which you can have each admin within your organization have their own user account on all of the systems within your organization to which they should have access. You want to require the admins to use ssh keys to authenticate to the servers, as requiring key based auth will make it impossible for brute force attackers to guess passwords in order to compromise your systems. You likely will want to grant "sudo" access to certain admins, and have them prove their identity to the system before executing privileged commands by entering their password. You may want to require multi factor authentication for admin shell access to especially critical systems, like production database servers.

Access needs to be granted when new admins join your team, and when new servers are brought up in the environment. That's where it gets complicated. Maybe you don't want the junior admin having full access to the customer database system? Access also needs to be removed when somebody inevitably leaves the company, sometimes unexpectedly.

There are a lot of DevOps friendly ways to automate the process of provisioning and deprovisioning user accounts. Techniques can be as simple as using rsync to copy "shadow files" from one system in the environment to all systems in the environment, though this can be tricky to manage in auto-scaling environments.

More advanced approaches involve using configuration management tools like Puppet or Chef to manage local user accounts on managed systems. These tools have native capability for user management, but do not provide any centralized audit trail about who is doing what on your servers. They also make it difficult for the user to select their own initial credentials, or change them down the road should they be forgotten or compromised. Using configuration management tools to manage user accounts also requires "code changes" to add or remove users, and changes can take 30 minutes or more to propagate through your whole environment.

If you want to automate and streamline your server user management process or you're interested in enhancing the security of your infrastructure, visit JumpCloud. We can help make quick work of tedious user management and security issues so that you can get back to growing your business.

-David Campbell, JumpCloud

This guest blog series highlights companies in SoftLayer's Technology Partners Marketplace.
These Partners have built their businesses on the SoftLayer Platform, and we're excited for them to tell their stories. New Partners will be added to the Marketplace each month, so stay tuned for many more come.
July 19, 2013

Innovation and Entrepreneurship: Transcending Borders

At Cloud World Forum in London, I did an interview with Rachel Downie of CloudMovesTV, and she asked some fantastic questions (full interview embedded a the bottom of this post). One that particularly jumped out to me was, "Does North America have a technology and talent advantage over Europe?" I've posted some thoughts on this topic on the SoftLayer Blog in the past, but I thought I'd reflect on the topic again after six months of traveling across Europe and the Middle East talking with customers, partners and prospects.

I was born just north of Silicon Valley in a little bohemian village called San Francisco. I earned a couple of trophies (and even more battle scars) during the original dot-com boom, so much of my early career was spent in an environment bursting at the seams with entrepreneurs and big ideas. The Valley tends to get most of the press (and all of the movie contracts), so it's easy to assume that the majority of the world's innovation is happening around there. I have first-hand experience that proves that assumption wrong. The talent level, motivation, innovation, technology and desire to make a difference is just as strong, if not stronger, in Europe and the Middle East as it is in the high-profile startup scenes in New York City or San Francisco. And given the level of complexity due to the cultural and language differences, I would argue the innovation that happens in the Middle East and Europe tends to incorporate more flexibility and global scalability earlier than its North American counterparts.

A perfect example of this type of innovation is the ad personalization platform that London-based Struq created. Earlier this year, I presented with Struq CTO Aaron McKee during the TFM&A (Technology For Marketing and Advertising) show in London about how cloud computing helps their product improve online customer dialogue, and I was stunned by how uniquely and efficiently they were able to leverage the cloud to deliver meaningful, accurate results to their customers. Their technology profiles customers, matches them to desired brands, checks media relevance and submits an ad unit target price to auction. If there is a match, Struq then serves a hyper-relevant message to that customer. And all of that in about 25 milliseconds and is happening at scale (over two billion transactions per day). Add in the fact that they serve several different cultures and languages, and you start to understand the work that went into creating this kind of platform. Watch out Valley Boyz and Girlz, they're expanding into the US.

One data point of innovation and success doesn't mean a whole lot, but Struq's success isn't unique. I just got back from Istanbul where I spent some time with Peak Games to learn more about how they became the 3rd largest social gaming company in the world and what SoftLayer could to to help support their growth moving forward. Peak Games, headquartered in Turkey, is on an enviable growth trajectory, and much of their success has come from their lean, focused operations model and clear goals. With more than 30 million customers, it's clear that the team at Peak Games built a phenomenal platform (and some really fun games). Ten years ago, a development team from Turkey may have had to move into a cramped, expensive house in Palo Alto to get the resources and exposure they needed to reach a broader audience, but with the global nature of cloud computing, the need to relocate to succeed is antiquated.

I met a wild-eyed entrepreneur at another meeting in Istanbul who sees exactly what I saw. The region is full of brilliant developers and creative entrepreneurs, so he's on a mission to build out a more robust startup ecosystem to help foster the innovation potential of the region. I've met several people in different countries doing the same thing, but one thing that struck me as unusual about this vision was that he did not say anything about being like Silicon Valley. He almost laughed at me when I asked him about that, and he explained that he wanted his region to be better than Silicon Valley and that his market has unique needs and challenges that being "like Silicon Valley" wouldn't answer. North America is a big market, but it's one of many!

The startups and gaming companies I mentioned get a lot of the attention because they're fun and visible, but the unsung heroes of innovation, the intraprenuers (people who behave like entrepreneurs within large organizations), are the clear and powerful heartbeat of the talent in markets outside of North America. These people are not driven by fame and fortune ... They just want to build innovative products because they can. A mad scientist from one of the largest consumer products firms in the world, based in the EU, just deployed a couple of servers to build an imaging ecosystem that is pushing the limits of technology to improve human health. Another entrepreneur at a large global media company is taking a Mobile First methodology to develop a new way to distribute and consume media in the emerging cross-platform marketplace. These intrapreneurs might not live in Palo Alto or Santa Clara, but they're just as capable to change the world.

Silicon Valley still produces inspiring products and groundbreaking technology, but the skills and expertise that went into those developments aren't confined by borders. To all you innovators across the globe building the future, respect. Working with you is my favorite part of the job.

-@jpwisler

The full interview that inspired this blog post:

January 31, 2013

ActiveCampaign: Tech Partner Spotlight

We invite each of our featured SoftLayer Tech Marketplace Partners to contribute a guest post to the SoftLayer Blog, and this week, we're happy to welcome Peter Evans from ActiveCampaign. ActiveCampaign is a complete email marketing and marketing automation platform designed to help small businesses grow.

The Challenge of Sending Email Simply

You need to send email. Usually, that's a pretty simple task, so it's not uncommon to find users who think that sending a monthly newsletter is more or less the same task as sending a quick note to a friend about going to see a movie. In fact, those two email use-cases are completely different animals. With all of the nuances inherent in sending and managing large volumes of email, a plethora of email marketing services are positioned to help users better navigate the email marketing waters. It's tough to differentiate which features you might need and which features are just there to be a "Check" in a comparison checklist. ActiveCampaign set out to make the decision-making process simpler ... We knew that we needed the standard features like auto-responder campaigns, metrics reports and email templates, but we also knew we had to differentiate our service in a meaningful way. So we focused on automation.

Too often, the "automation" provided by a platform can be very cumbersome to set up (if it's available at all), and when it's actually working, there's little confirmation that actions are being performed as expected. In response, we were intentional about ActiveCampaign's automation features being easy to set up and manage ... If automation saves time and money, it shouldn't be intimidatingly difficult to incorporate into your campaigns. Here is a screenshot of what it takes to incorporate automation in your email campaigns with ActiveCampaign:

ActiveCampaign Screenshot

No complicated logic. No unnecessary options. With a only a few clicks, you can select an action to spark a meaningful response in your system. If a subscriber in your Newsletter list clicks on a link, you might want to move that subscriber to a different list. Because you might want to send a different campaign to that user as well, we provide the ability to add multiple automated actions for each subscriber action, and it's all very clear.

One of the subscriber actions that might stand out to you if you've used other email service providers (or ESPs) is the "When subscriber replies to a campaign" bullet. ActiveCampaign is the first ESP (that we're aware of) to provide users the option to send a series of follow-up campaigns (or to restrict the sending of future campaigns) to subscribers who reply to a campaign email. Replies are tracked in your campaign reports, and you have deep visibility into how many people replied, who replied, and how many times they replied. With that information, you can segment those subscribers and create automated actions for them, and the end result is that you're connecting with your subscriber base much more effectively because you're able to target them better ... And you don't have to break your back to do it.

SoftLayer customers know how valuable automation can be in terms of infrastructure, so it should be no surprise that email marketing campaigns can benefit so much from automation as well. Lots of ESPs provide stats, and it's up to you to figure out meaningful ways to use that information. ActiveCampaign goes a step beyond those other providers by helping you very simply engage your subscribers with relevant and intentional actions. If you're interested in learning more, check us out at http://www.activecampaign.com.

-Peter Evans, ActiveCampaign

This guest blog series highlights companies in SoftLayer's Technology Partners Marketplace.
These Partners have built their businesses on the SoftLayer Platform, and we're excited for them to tell their stories. New Partners will be added to the Marketplace each month, so stay tuned for many more come.
October 5, 2012

Spark::red: Tech Partner Spotlight

This guest blog comes to us from Spark::red, a featured member of the SoftLayer Technology Partners Marketplace. Spark::red is a global PCI Level 1 compliant hosting provider specializing in Oracle ATG Commerce. With full-redundancy at every layer, powerful servers, and knowledgeable architects, Spark::red delivers exceptional environments in weeks, instead of months. In this video we talk to Spark::red co-founder Devon Hillard about what Spark::red does, how they help companies that are outgrowing current solutions, and why they chose SoftLayer.

The Three Most Common PCI Compliance Myths

As a hosting provider that specializes in Oracle ATG Commerce, Spark::red has extensive experience and expertise when it comes to the Payment Card Industry Data Security Standards (PCI DSS). If you're not familiar with PCI DSS, they are standards imposed on companies that process payment data, and they are designed to protect the company and its customers.

We've been helping online businesses maintain PCI Compliance for several years now, and in that time, we've encountered a great deal of confusion and misinformation when it comes to compliance. Despite numerous documents and articles available on this topic, we've found that three myths seem to persist when it comes to PCI DSS compliance. Consider us the PCI DSS compliance mythbusters.

Myth 1: Only large enterprise-level businesses are required to be PCI Compliant.

According to PCI DSS, every company involved in payment card processing online or offline should be PCI Compliant. The list of those companies includes e-commerce businesses of all sizes, banks and web hosting providers. It's important to note that I said, "should be PCI Compliant" here. There is no federal law that makes PCI compliance a legal requirement. However, a business IS required to be PCI compliant technically in order to take and process Visa or MasterCard payments. Failure to operate in with PCI compliance could mean huge fees if you're found in violation after a breach.

Payment card data security is the most significant concern for cardholders, and it should be a priority for your business, whether you have two hundred customers or two million customers. If you're processing ANY credit card payments, you should make sure you are PCI-compliant.

There are four levels of PCI compliance based on the number of credit card transactions your business processes a year, so the PCI compliance process is going to look different for small, medium-sized and large businesses. Visit the PCI Security Standards Council website to check which level of PCI compliance your business needs.

Myth 1: Busted.

Myth 2: A business that uses a PCI-compliant managed hosting provider automatically becomes PCI-compliant.

Multiple parties are involved in processing payment data, and each of them needs to meet certain standards to guarantee cardholders' data security. From a managed hosting provider perspective, we're responsible for things like proper firewall installation and maintenance, updating anti-virus programs of our servers, providing a unique ID for each person with computer access to restrict access to the most sensitive data, regular system scanning for vulnerabilities. Our customer — an online retailer, for example — would need to develop its software applications in accordance with PCI DSS, keep cardholders data storage to a minimum, and perform application-layer penetration tests that are out of their hosting provider's control.

If you're pursuing PCI compliance, you have a significant advantage if you start with a PCI-compliant managed hosting provider. Many security questions are already answered by your PCI-compliant host, so there is a shorter list of things for you to be worry about. You save money, time and effort in the process of completing PCI certification.

Myth 2: Busted.

Myth 3: A business that uses SSL certificates is PCI compliant.

Secure Sockets Layer (SSL) certificates allow secure data transmission to and from the server through data encryption that significantly decreases the network vulnerabilities from IP spoofing, IP source rooting, DNS spoofing, man-in-the-middle attacks and other threats from hackers. However, SSL cannot protect cardholder data from attacks using cross-site scripting or SQL injection, and they don't provide secure audit trails or event monitoring. SSL certificates are an important part of secure transactions, but they're only part of PCI DSS compliance.

Myth 3: Busted.

If you have questions about PCI compliance or you're interested in Oracle ATG Hosting, visit Spark::red, give us a call or send us an email, and we'll do what we can to help. When PCI compliance doesn't seem like a scary monster in your closet, it's easier to start the process and get it done quickly.

-Elena Rybalchenko, Spark::red

This guest blog series highlights companies in SoftLayer's Technology Partners Marketplace.
These Partners have built their businesses on the SoftLayer Platform, and we're excited for them to tell their stories. New Partners will be added to the Marketplace each month, so stay tuned for many more come.
July 11, 2012

Mandrill: Tech Partner Spotlight

This is a guest blog with Chad Morris from our partner Mandrill. Mandrill is an email delivery platform built on and managed by MailChimp. Created for developers to set up and manage with minimal coding effort, Mandrill offers advanced tracking, easy-to-understand reports and hundreds of template options. In this video interview, Chad goes into detail about the history of the company as well as the major differences between Mandrill and MailChimp. In the near future, you'll see a separate guest blog from the Mandrill team with best practices for managing your email systems.

This guest blog series highlights companies in SoftLayer's Technology Partners Marketplace.
These Partners have built their businesses on the SoftLayer Platform, and we're excited for them to tell their stories. New Partners will be added to the Marketplace each month, so stay tuned for many more come.
July 4, 2012

Cedexis: Tech Partner Spotlight

This guest blog features Cedexis, a featured member of the SoftLayer Technology Partners Marketplace. Cedexis a content and application delivery system that offers strategies and solutions for multi-platform content and application delivery to companies focused on maximizing web performance. In this video we talk to Cedexis Co-Founder Julien Coulon.

Company Website: www.cedexis.com
Tech Partners Marketplace: http://www.softlayer.com/marketplace/cedexis

A Multi-Cloud Strategy - The Key to Expansion and Conversion

Web and mobile applications have collapsed geographic barriers to business, bringing brand and commerce experiences ever-closer to increasingly far-flung customers. While web-based business models are powerful enablers for global expansion, they also create new a new challenge in managing availability and performance across diverse and distributed markets: How do you ensure consistent web performance across all markets without investing in physical infrastructure in all of those markets?

Once a business gets its core business on a consistent and reliable provider like SoftLayer, we typically recommend that they consider a multi-cloud strategy that will spread availability and performance risk across a global infrastructure of public and private data centers, delivery networks and cloud providers. Regardless of how fantastic your core SoftLayer hosting is, the reality is that single-source dependency introduces significant business risk. Fortunately, much of that business risk can be mitigated by adding a layer of multi-cloud architecture to support the application.

Recent high-profile outages speak to the problem that multi-sourcing solves, but many web-based operations remain precariously dependent on individual hosting, CDN and cloud providers. It's a lot like having server backups: If you never need a backup that you have, that backup probably isn't worth much to you, but if you need a backup that you don't have, you'd probably pay anything to have it.

A multi-cloud strategy drives revenue and other conversions. Why? Because revenue and conversions online correlate closely with a site's availability and performance. High Scalability posted several big-name real-world examples in the article, "Latency is Everywhere and it Costs You Sales." When an alternative vendor is just one click away, performance often makes a difference measured in dollars.

How Cedexis Can Help

Cedexis was founded to help businesses see and take advantage of a multi-cloud strategy when that strategy can provide better uptime, faster page loads, reliable transactions, and the ability to optimize cost across a diverse network of platforms and providers. We built the Cedexis Radar to measure the comparative performance of major cloud and delivery network providers (demo), and with that data, we created Openmix to provide adaptive automation for cloud infrastructure based on local user demand.

In order to do that effectively, Cedexis was built to be provider-agnostic, community-driven, actionable and adaptive. We support over 100 public cloud providers. We collect performance data based on crowd-sourced user requests (which represent over 900 million measurements per day from 32,000 individual networks). We allow organizations to write custom scripts that automate traffic routing based on fine-grained policies and thresholds. And we go beyond rules-driven traffic routing, dynamically matching actual user requests with the most optimal cloud at a specific moment in time.

Getting Started with Cedexis

  1. Join the Community
    Get real-time visibility into your users' performance.
  2. Compare the Performance of Your Clouds and Devliery Network
    Make informed decisions to optimize your site performance with Radar
  3. Leverage Openmix to optimize global web performance
    Optimize web and mobile performance to serve global markets

The more you can learn about your site, the more you can make it better. We want to help our customers drive revenue, enter new markets, avoid outages and reduce costs. As a SoftLayer customer, you've already found a fantastic hosting provider, and if Openmix won't provide a provable significant change, we won't sell you something you don't need. Our simple goal is to make your life better, whether you're a geek or a suit.

-Julien Coulon, Cedexis

This guest blog series highlights companies in SoftLayer's Technology Partners Marketplace.
These Partners have built their businesses on the SoftLayer Platform, and we're excited for them to tell their stories. New Partners will be added to the Marketplace each month, so stay tuned for many more come.
June 27, 2012

Cloudability: Tech Partner Spotlight

This guest blog comes to us from Cloudability, a featured member of the SoftLayer Technology Partners Marketplace. Cloudability is a cloud budget management service that helps companies manage their cloud spending, prevent overages, reduce waste and save money. In this video we talk to Cloudability Founder and CEO Mat Ellis about how the company developed, and we hear examples of how Cloudability is supporting and businesses money.

5 Things You Need to Know to Control Variable Infrastructure Costs

If you have on premise equipment, then your costs are fixed — you paid your money and now you own a fixed amount of hardware and software. The cloud, on the other hand, has variable costs due to two important features — you only pay for the services you use and it's scalable, providing the resources you need at any given time. By using a cloud infrastructure, you end up with what we call Variable Infrastructure Costs (VICs).

Most of SoftLayer's services meet the criteria for a VIC. You need an extra cloud server for a few hours? No problem. More disk? Done.

With great power, comes great responsibility, and the biggest problem with VICs is that they are just like a faucet: Leave it running, and the water bill can add up fast ... Not to mention all that waste! Unless you keep a close eye on VICs, you could find yourself in front of your CFO, pleading for your budget's life.

Cloudability was created to keep those costs under control, and in the course of working with our customers, we've come up with a simple five-point checklist of best practices:

1. Collation

Make sure you have insight to all your costs, create a single contract database, and review it regularly. Don't forget to include total cloud spending alongside your fixed contracts. Talk to your finance department, then drill your employees and tech teams to make sure you REALLY know the whole truth. There can be — and usually is — a disconnect in the organization about how much cloud is really being used.

2. Analysis

Get into the weeds to see why each project is spending what they are spending. Try to calculate some tangible metrics like cost per thousand web pages served or cost per new customer, and benchmark these against public data and common sense.

3. Organization and Rebalancing

Put each of your projects into one of four quadrants:

  1. High Spend/Low Efficiency
  2. High Spend/High Efficiency
  3. Low Spend/Low Efficiency
  4. Low Spend/High Efficiency.

Focus on the High Spend/Low Efficiency quadrant first. That's where you will find the easiest wins. Then, move onto the High Spend/High Efficiency quadrant where you'll find best practices to use for other projects. Then, if you have the time/resources, focus on the low spend projects and repeat.

4. Renegotiation

Contact your colleagues outside your department and compare unit prices, especially for things like bandwidth, co-lo and staff costs. Make sure you're in the top quartile for value (i.e. lowest costs). Renegotiate with vendors if you aren't, and plan to change vendors and staff when you can't the best value with your current resources.

5. Alignment

Understand your business objectives and get your roadmap tightly aligned. If you need some CAPEX to reduce operational expenses, then ask for it as part of the planning. You've got to spend money to make money right?

VICs can be easily manage once you understand where they're all coming from. After applying these five best practices into the way your business approaches cloud spending, you'll be well on your way. Cloudability's business was built to make the process a little easier and more automated for you, so if you want to use our tool to help you "cover your *aas," we'd love for you to try it out for free: https://app.cloudability.com/signup

-Mat Ellis, Cloudability

This guest blog series highlights companies in SoftLayer's Technology Partners Marketplace.
These Partners have built their businesses on the SoftLayer Platform, and we're excited for them to tell their stories. New Partners will be added to the Marketplace each month, so stay tuned for many more come.
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