Posted By Rich Miller On July 6, 2007 @ 3:27 pm In SaaS | Comments Disabled
When it comes to disaster recovery, it’s still surprising to see large operations that appear to be working without a net. Eric Norlin at NGDC  points to an item about NetSuite , an enteprise software company which delivers its offerings online via a software as a service (SaaS) model. NetSuite is preparing to go public, and its pre-offering filing with the SEC  includes a description of its data center operations that has left industry watchers underwhelmed:
We host our services and serve all of our customers from a single third-party data center facility located in California. We do not control the operation of this facility. … Our data facility is located in an area known for seismic activity, increasing our susceptibility to the risk that an earthquake could significantly harm the operations of this facility. … We do not currently operate or maintain a backup data center for any of our services or for any of our customers’ data, which increases our vulnerability to interruptions or delays in our service.
As analyst Jason Wood notes, NetSuite has 5,300 customers and $67mm in 2006 revenues. Its majority owner is Oracle CEO Larry Ellison, one of the world’s wealthiest men, so it can certainly afford a backup facility. Perhaps they’re waiting to use the IPO revenues to beef up their infrastructure.
Article printed from Data Center Knowledge: http://www.datacenterknowledge.com
URL to article: http://www.datacenterknowledge.com/archives/2007/07/06/saas-provider-with-no-backup-facility/
URLs in this post:
 Eric Norlin at NGDC: http://www.ngdcblog.com/2007/07/saas_and_the_data_center.html
 item about NetSuite: http://woodrow.typepad.com/the_ponderings_of_woodrow/2007/07/netsuite-ipoano.html
 filing with the SEC: http://www.sec.gov/Archives/edgar/data/1117106/000119312507147833/ds1.htm
 Rich Miller: http://www.datacenterknowledge.com/archives/author/richm/
Copyright © 2012 Data Center Knowledge. All rights reserved.