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TINTON FALLS, N.J., June 26, 2018 /PRNewswire/ -- Commvault (NASDAQ: CVLT), a global leader in commercial enterprise facts administration, backup, recuperation, archive and the cloud, these days announced a brand new partnership with IBM, during which IBM company Resiliency functions will be capable of provide a managed service in keeping with the Commvault utility portfolio of facts management and protection software, including the Commvault statistics Platform. With this new relationship, IBM company Resiliency functions will be in a position to bring its global client base a single powerful platform for managing, backing up, convalescing, migrating and indexing of all their statistics, whether it's found on-premises or within the cloud.
IBM company Resiliency capabilities will present its shoppers the opportunity to install Commvault application on-premises, on infrastructure managed in IBM data centers and in IBM Cloud environments. IBM business Resiliency services will present the utility both as an answer or as a managed carrier. The Commvault utility offerings will also allow IBM healthcare shoppers to control crucial MEDITECH, Epic and other EHR statistics, in addition to scientific photos, across their healthcare commercial enterprise.
IBM is partnering with Commvault as enterprises more and more recognize that they need an easy, potent and complete data insurance plan and management platform to in the reduction of complexity in their IT environments. the upward thrust of the digital economic climate is expanding this complexity, because the quantities and types of statistics within the business grows, whereas at the identical time the number of subtle ransomware and other cybersecurity attacks rise. additionally, the implementation of GDPR and different new statistics privateness and different rules, mixed with increasingly different IT environments that encompass a considerable number of kinds of on-premises infrastructure and varied cloud features, are growing superior complexity for organisations.
"The enterprise finds itself in an period where purchasers are seeking for more simplicity and agility of their data backup and healing options to support permit their digital transformation," stated Daniel Witteveen, vice president, global Portfolio, IBM business Resiliency functions. "Seamless integration of IBM and Commvault solutions for on-web page or off-website records backup will aid deliver a more simplified business continuity mannequin and aid in the reduction of operational hazards and fees for valued clientele."
With this new partnership, IBM enterprise Resiliency functions consumers can now conveniently purchase Commvault-powered features via IBM, empowering them with new methods to support hold company continuity, streamline IT efforts, minimize cybersecurity and regulatory compliance risk, and use statistics as a business asset by:
"As an IBM company Resiliency associate, this prolonged partnership allows SHI to offer a number one facts administration and coverage answer with deep integration into the Microsoft commercial enterprise," talked about Ed McNamara, Sr. Director Communications and advertising and marketing, SHI international (IBM AND Microsoft Reseller). "due to this fact, SHI's consumers will have a extra streamlined method to acquire and deploy this powerful trifecta of world-type solutions from IBM, Microsoft and Commvault, empowering them to optimize the management and coverage of their most essential purposes."
"The mixture of Commvault's industry-leading facts management and protection platform with IBM enterprise Resiliency services' huge company continuity expertise will permit IBM purchasers to more effectively manipulate, give protection to and archive their commercial enterprise statistics anyplace it's found," mentioned Owen Taraniuk, Head of worldwide Partnerships and Market building at Commvault. "by way of being in a position to offer their clients Commvault products, IBM business Resiliency capabilities consultants can greater be certain their consumers' cybersecurity, regulatory compliance, cloud adoption and different digital transformation initiatives do not outcomes in any disruption to their operations. This new partnership offers IBM company Resiliency features experts with the facts management platform they should clear up the numerous IT resilience challenges their consumers face as they move to new hybrid cloud environments."
About CommvaultCommvault is the diagnosed leader in information backup and healing. Commvault's converged information administration solution redefines what backup capacity for the modern enterprise via solutions that offer protection to, control, and use their most essential asset — their records. Commvault utility, options and functions can be found from the enterprise and through a world ecosystem of relied on companions. Commvault employs greater than 2,seven hundred enormously- knowledgeable individuals throughout markets worldwide, is publicly traded on NASDAQ (CVLT), and is headquartered in Tinton Falls, New Jersey in the united states. To gain knowledge of greater about Commvault seek advice from www.commvault.com.
secure Harbor statement: shoppers' outcomes may additionally fluctuate materially from those cited herein; Commvault doesn't ensure that all consumers can obtain advantages akin to those mentioned above. This press unencumber may additionally include ahead-searching statements, including statements regarding monetary projections, which might be area to hazards and uncertainties, akin to aggressive elements, difficulties and delays inherent in the construction, manufacturing, advertising and sale of application products and connected capabilities, prevalent economic conditions and others. Statements related to Commvault's beliefs, plans, expectations or intentions concerning the long run are forward-looking statements, within the which means of section 27A of the Securities Act of 1933, as amended and area 21E of the Securities trade Act of 1934, as amended. All such ahead-searching statements are made pursuant to the safe harbor provisions of the inner most Securities Litigation Reform Act of 1995. precise outcomes may additionally range materially from anticipated outcomes. Commvault doesn't undertake to update its ahead-searching statements. The construction and timing of any product release as well as any of its features or functionality continue to be at our sole discretion.
©1999-2018 Commvault programs, Inc. All rights reserved. Commvault, Commvault and emblem, the "C hexagon" brand, Commvault systems, solving forward, SIM, Singular guidance management, Commvault HyperScale, ScaleProtect, Commvault OnePass, Commvault Galaxy, Unified records management, QiNetix, quick recuperation, QR, CommNet, GridStor, Vault Tracker, InnerVault, short Snap, QSnap, IntelliSnap, restoration Director, CommServe, CommCell, ROMS, APSS, Commvault area, Commvault GO, and CommValue are logos or registered trademarks of Commvault systems, Inc. All other third birthday celebration manufacturers, products, provider names, emblems, or registered provider marks are the property of and used to determine the products or features of their respective homeowners. All standards are subject to change without note.
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LITTLE FALLS, N.J.--(enterprise WIRE)--“shipping sensible, relaxed, non-disruptive and productive facts insurance policy, company continuance and storage useful resource administration options to complement the just introduced IBM SMB market mainframe, INNOVATION improves company resiliency at much less charge. All existing releases of our enterprise resiliency solutions are able to assist device z10 company class valued clientele of all sizes enrich availability, survivability, safety and employ ‘eco-friendly’ technology,” stated Thomas J Meehan, INNOVATION records Processing, vice chairman, boost technology.
“The z10 business type announcement is a major IBM beginning. Mainframe and non-mainframe valued clientele alike tell us they deserve to do more with less within the face of latest financial situations. they are beneath power to reduce expenses yet nonetheless need to insure 24 x 7x 365 availability, aid utility growth, meet records insurance policy responsibilities and reduce useful resource consumption. That potential consolidation, virtualization and useful resource effectivity; coincidentally exactly what IBM is offering with the new company category z10 mainframe, Linux on equipment Z and new z/OS 1.10 operating system. The ability of INNOVATION solutions to virtualize consolidation, conserve elements, enhance scalability, enhance efficiency, avoid unauthorized access to facts at leisure and retain uninterrupted access to statistics in use will make them key contributors as valued clientele accept as true with new commercial enterprise records center (NEDC) initiatives,” adds Meehan.
As an IBM enterprise partner, INNOVATION works at the side of IBM and different know-how providers to carry IBM ServerProven, IBM gadget Storage confirmed and IBM counsel On Demand specialty certified solutions that enable consumers to meet the challenges of an on-demand company environment. All components of the FDR Suite for z/OS [Fast Dump Restore, ABR, FASTCPK], FDRERASE, FDREPORT and FDRVIEWS statistics protection and storage useful resource management options, the FDRInstant, ABRInstant and FDRPAS non-disruptive business continuance options, FDRMOVE real-time extent consolidation, UPSTREAM/Reservoir Suite for business UNIX, Linux and home windows information coverage, IAM for VSAM utility acceleration and FATSCOPY Tape Media Migration options help all new enterprise category and company class gadget z10 fashions, Linux on gadget z and the brand new 1.10 unlock of z/OS the working device.
additional tips on INNOVATION facts Processing items is available at http://www.innovationdp.fdr.com/index.cfm or by electronic mail at firstname.lastname@example.org. advice on certain releases required to assist z/OS 1.10 is accessible at http://www.innovationdp.fdr.com/osreq.cfm
All INNOVATION information protection, enterprise continuance and storage useful resource management options are available from IBM during the IBM z/OS SystemPac providing. FDRMOVE, FDRPAS and FDRERASE are also attainable via IBM enterprise partners.
INNOVATION information Processing is a leading foreign provider of enterprise data protection, company continuance and storage resource management options enjoyable client company resiliency requirements and tips protection issues considering that 1972. Combining high performance design with non-disruptive virtualization know-how, convenient to use and very reputable backup, restoration, statistics replication and privileged assistance insurance policy, INNOVATION solutions eliminate enterprise downtime while addressing information security issues. Actively partnering with other main storage technology companies, to be certain the technological currency of their solutions, INNOVATION is the choice of thousands of business clients all over for their business resiliency needs.
For more information on INNOVATION options and their means to fulfill your business resiliency demand for non-disruptive enterprise facts insurance plan, company continuance and storage resource management, name 973-890-7300, email email@example.com or seek advice from http://www.innovationdp.fdr.com
FDR, ABR, FASTCPK, FDRERASE for z/OS, FDREPORT, FDRVIEWS, ABRINSTANT, FDRPAS, FDRMOVE, IAM, fat/FATSCOPY FDRINSTANT are provider marks, trademark and/or registered trademark of INNOVATION records Processing supplier. IBM and z/OS are emblems or registered trademarks of foreign enterprise Machines agency. All different service marks, emblems or registered emblems are the property of their respective house owners.
Mainframes are presupposed to be passe. Yet despite a cost tag that can head into the tens of millions, they still represent suit chunk of the correct conclusion of the server marketplace. in line with IDC, about they account for 32 percent of the excessive-conclusion of the pie.regardless of some assertions, mainframe technology continues to be alive and kicking. those out there for one of those excessive-conclusion boxes might be tough-pressed to avoid IBM's gadget z. The mainframe family unit strives to be ingenious and cutting edge whereas remaining authentic to its legacy.
IBM, of direction, owns just about the entire mainframe market under its flagship device z company. far from being a stagnant area of the market, IBM (NYSE: IBM) invests heavy R&D greenbacks into this line.
prior this year, it released the zEnterprise mainframe server together with a new methods design that allows for workloads on mainframe, POWER7 and device x servers to share substances and be managed as a single, virtualized system.
"This new mannequin is the most powerful and energy-effective mainframe ever," said Greg Lotko, vice president, IBM gadget z, "it's the most huge techniques architecture in the remaining twenty years."
he is speakme in regards to the new zEnterprise 196 (or z196). It carries ninety six microprocessors, each and every running at 5.2 GHz, and it is capable of executing more than 50 billion instructions per 2nd. application is harnessed to optimize the performance of records-heavy workloads, including as much as a 60 p.c improvement in information intensive and Java workloads. furthermore, three terabytes of reminiscence is accessible.
as much as 112 IBM BladeCenter PS701 categorical blades can also be built-in into the zEnterprise system through zEnterprise BladeCenter Extension (zBX). moreover, up to eight fully configured zEnterprise methods can also be clustered and managed as a single device. This totals 768 new zEnterprise microprocessors and any aggregate of up to 896 IBM power or x86 microprocessors that can also be managed as a single gadget.
"Over one hundred,000 virtualized servers will also be managed as a single device in the highest clustered configuration," talked about Lotko.
the new gadget presents 60 p.c greater skill than its predecessor, the gadget z10, and it makes use of in regards to the same amount of electrical energy. IBM continues to promote and promote the z10 in a few flavors as shown in the desk under. besides the fact that children, it is now specializing in the z196 as its primary mainframe offering. For those making a choice on Linux on equipment z, a single virtualized server can be created and deployed for less than $1 per day, noted Lotko.
"It charges seventy four p.c less to run comparative Oracle workloads on the zEnterprise 196 in comparison to x86 systems," he delivered.
energy efficiencies had been performed via advances in microprocessor design, 45nm silicon know-how, and greater efficient vigour conversion and distribution, as well as superior sensors and cooling manage firmware that displays and makes adjustments in line with environmental components, equivalent to temperature and humidity levels and air density.
A water cooling choice is additionally available for the z196 that may in the reduction of power use through as tons as 12 %. Lotko trots out the numbers: In a standard records center atmosphere, water cooling reduces the necessary equipment air stream by using more than 20 p.c, whereas doing away with more than 70 percent of the system air warmth load. Water cooling on the z196 connects without delay to existing chilled water methods.
The z196 may also be configured to encompass up to eighty strong point engines to further reduce costs and boost efficiency, including the equipment z application assist Processor (zAAP) for integrating Java workloads with core business purposes, the system z integrated guidance Processor (zIIP) designed to help free-up computing capacity and reduce IT expenses, and the integrated Facility for Linux (IFL) to optimize Linux workloads working on the mainframe.
The beginning fee for the z196 is only below $1 million.New Design
the new methods design combines IBM's new zEnterprise mainframe server with zBX the IBM zEnterprise Unified useful resource supervisor -- that permits it to manipulate workloads working throughout gadget z, and choose POWER7 and equipment x servers.
"consequently, customers can combine the administration of zEnterprise gadget materials as a single device and lengthen mainframe features, akin to governance and manageability, to workloads working on opt for IBM POWER7 and gadget x blade servers," said Lotko.
zBX helps IBM POWER7 and gadget x BladeCenter programs as well as blades optimized for certain workloads, such as analytics and managing web infrastructure.
IBM blade servers inner the zBX integrate with device z and can run tens of heaps of off-the-shelf applications. Coming later this year, IBM will deliver the zBX with aid for IBM POWER7 blades operating AIX, IBM's UNIX operating device. IBM is additionally introducing the IBM smart Analytics Optimizer to speed up the efficiency of advanced analytic workloads at a reduce charge per transaction.
subsequent year, IBM plans to announce further popular-purpose blades for the IBM zBX, together with opt for IBM equipment x-based mostly blades working Linux. further workload-optimized blades are deliberate to encompass IBM DataPower for bettering internet website and community performance.Unified aid supervisor
Unified resource supervisor is firmware that controls how the hardware functions and integrates varied platform resources as a single virtualized system to provide unified administration for zEnterprise.
"Unified resource supervisor can identify system bottlenecks or screw ups amongst disparate systems," spoke of Lotko. "If a failure occurs on a gadget x blade server, it might straight away circulation the affected software to yet another device x blade to keep it working."IBM device z, At a look Server callz196 z10 commercial enterprise categoryz10 enterprise categoryDescription A zEnterprise is an integrated hardware platform making it viable to install and intelligently manipulate workloads throughout mainframe and distributed applied sciences. New, developed-in capabilities can extend lots of IBM's mainframe-like governance and traits of provider even extra to really expert application optimizers and select POWER7 and IBM x86 blade servers, allowing simplified operations throughout all these software environments. device z10 business type (z10 EC) provides performance and skill for boom and massive scale consolidation, better protection, resiliency and availability whereas lowering each possibility and value. it is designed to reduce power usage and shop flooring space when consolidating workloads from distributed servers. uniqueness engines continue to assist users expand the use of the mainframe for a broad set of functions, whereas helping to lessen the charge of ownership. The IBM device z10 business type (z10 BC) is designed in particular as a midrange mainframe, with huge growth options, virtualization and consolidation capabilities, and first rate price/efficiency. priceJust beneath $1 million just below $1 million. just under $100,000
Drew Robb is a contract writer that specialize in expertise and engineering. at present dwelling in California, he's at the start from Scotland, the place he got a level in geology and geography from the school of Strathclyde. he's the writer of Server Disk administration in a home windows atmosphere (CRC Press).
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LITTLE FALLS, N.J.--(BUSINESS WIRE)--Coinciding with the EMC announcement of their new EMC® VMAX3™ and VMAX® All Flash storage systems for IBM z Systems mainframes, INNOVATION Data Processing today is announcing day-one availability of the full range of its Non-Disruptive Data Protection, Business Continuance and Data Migration Solutions with support for these new EMC VMAX storage systems.
“Mainframe purchase decisions tend to be a long-term commitment not to be taken lightly. Customers are always hoping for a quantum leap forward in their next buying cycle, so we’re excited about being able to participate in showing them the dramatic changes in performance, manageability and security that EMC is bringing to the table. We expect mainframe customers planning to acquire new VMAX3 and VMAX All Flash storage will be pleased to find INNOVATION Data Processing business data protection, business resiliency and information management solutions ready to leverage the unique advantages VMAX storage architectures will make possible,” said Thomas J Meehan, Vice President of Technology Advancement INNOVATION Data Processing.
"EMC is pleased to see our technology partners leveraging the features of our new EMC VMAX3 and VMAX All Flash offerings,” said Gail Greener, Vice President, Enterprise and Mainframe Solutions, Core Technologies Division, EMC Corporation. “Through our APIs and partner programs we support the efforts of leading value-added resellers such as INNOVATION Data Processing as they deliver data protection, business continuance and data migration solutions that improve EMC mainframe customers’ data integrity, TCO, and business resiliency, thus maximizing the value of their EMC storage information infrastructure.”
Meehan further elaborated, “as a result of our collaboration with EMC, our joint z/OS, z/VM and Linux on z IBM z Systems mainframe customers can be confident of simple, secure, fast and most importantly non-disruptive solutions, that ensure their VMAX3 and VMAX All Flash storage systems will be able to perform at their highest levels, as we provide Instant Data Protection and Non-Disruptive Migration for their VMAX-controlled mainframe data and they enjoy new levels of business resiliency, together with the cost savings benefits the new VMAX arrays promise.”
About INNOVATION Data Processing
One of the most experienced independent software vendors in the world today, INNOVATION Data Processing provides non-disruptive data protection, business continuance and information storage migration solutions that improve the business resiliency of z/OS, z/VM, Linux on z Systems and distributed systems for enterprise customers. A single source for solutions that combine innovative design with the latest technology for cross platform access, data reduction and storage virtualization; INNOVATION partners with EMC and other storage technology providers, to deliver complementary solutions for mainframe and distributed systems that are the choice of enterprise customers around the globe for their business resiliency needs, especially as they find they must accomplish more in the same or lesser amount of time, at lesser cost, using fewer resources. Further information on INNOVATION check the web site www.fdr.com
EMC and VMAX and VMAX3 are registered trademarks or trademarks of EMC Corporation in the United States and other countries. All other trademarks herein are the property of their respective holders.
“Business resilience” is the modern evolution of what was once known as “business continuity”, the change in terms precipitated by the global connections and always-on culture of the internet. When you boil the concept down, it’s basically a form of disaster recovery planning. Given the ever-present threats of hacking and disruption of online services, “recovery” isn’t good enough anymore; businesses have to harden themselves against an expectation of continual cyber security incidents that are potentially ruinous if successful – thus the need for a cyber resilience posture.
A new study from security services company Tanium indicates that businesses overwhelmingly believe that cyber resilience and business resilience is fundamental, but findings suggest that they are having a great deal of trouble achieving it.The cyber resilience survey
The Tanium study included key decision makers at over 4,000 businesses located in the United States, Japan and throughout Europe. All companies surveyed had at least 1,000 employees.
96% of those surveyed agreed that cyber resilience should be a core component of their strategy for long term growth and stability, but only 54% felt certain that it currently is.
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A number of barriers to achieving to cyber resilience were cited, many of which are familiar:
Additionally, over a fifth of the companies surveyed felt that poor visibility at cyber entry points and lack of ability to detect attacks in real time are also significant barriers.
There were also serious questions about who ultimately owns the responsibility for cyber resilience in the organization. 30% felt it was up to the head of the IT department or the Chief Information Officer, 23% diffused the responsibility across every member of the organization, and 13% put it on the shoulders of the CEO.
Companies also appear unprepared to deal with the fallout should they experience a data breach. 33% did not believe they could calculate the actual cost of any breach, and 28% did not have a good sense of what response and recovery efforts would set them back. 29% were also not sure what the exact cost of a breach of protected personal data might be.
It is fair to say that Tanium has some natural bias here, as they are selling a comprehensive security platform meant to be an all-in-one out-of-the-box solution for businesses that currently use multiple tools to solve their issues. However, that doesn’t decrease the salience of the responses, or diminish the fact that businesses are indeed tending to rely on an unruly patchwork of endpoint solutions for securing and managing their networks.The C-suite as security threat?
The Tanium survey also indicates that the executive ranks are frequently lacking the business resilience knowledge and posture the company requires. Of the CIOs and CISOs surveyed, 94% felt they had to make compromises due to business and operations challenges.
To some degree, that’s a natural result of standard business risk management. However, it’s not always a matter of costs and resource distribution. 81% of these CIOs/CISOs have held back a security update due to worries about adverse effects on business operations, and 80% reported having signed off on a critical update but later finding that it had not deployed across all devices for some reason.
The reasons for these decisions are varied, but are all things that could be addressed. Reasons cited include difficulties in implementing policy updates on legacy pieces, a tendency to prefer implementing new systems when an existing component develops a vulnerability, and internal company politics.FrankenSecurity
The end result at many companies is a “Frankenstein’s monster” patchwork security policy, assembled over time by inconsistent components and a lack of visibility and control between discrete business departments as they purchase multiple tools.
As the Tanium resilience gap study points out, companies spend over one trillion dollars per year on digital services and business components. New components develop at lightning speed, however, as do new cyber threats. If a company does not have a comprehensive and cohesive cyber resilience strategy in place, the end result is usually one of these Frankenstein systems that becomes increasingly vulnerable over time.The unique considerations of modern business resilience
An important component of cyber resilience is the need to protect the personal information of customers and employees in the digital environment. It is widely believed that regulation in the manner of Europe’s General Data Protection Regulation (GDPR), with its potentially massive fines for companies that do not adequately secure personal information, is going to become the norm across the countries included in this survey. It’s not hyperbole to say that a personal data breach could be a crippling or even fatal blow to a small-to-medium sized business in such a regulatory environment; there are studies that indicate that 60% of businesses of this size fold within six months of being hacked.
It’s becoming increasingly critical for businesses to scrutinize not only their own cyber resilience state, but that of their various suppliers. Not only is there the threat of a crippling supply chain disruption, but also the possibility that outside vendors with access to company networks may become an attack vector – as was the case in the major hacks of Target, Experian and the Russian hack of the United States power grid.
A traditional part of business risk management is assessing consequences, and a reality of it is that consequences are sometimes considered acceptable as compared to the costs of curtailing the threat. When it comes to achieving business resilience, it would appear that many companies may be underestimating (or even entirely unaware of) the full consequences of a breach. Unfortunately, the cost of learning this lesson the hard way for SMEs could very well be the complete loss of the business.
Zoom CEO Eric Yuan cut an unlikely figure as he addressed the cheering throng in the moments before ringing the opening bell at Nasdaq, his bashful grin giving way to a look of focus as he said, “A new game starts today.” Sure, his startup wasn’t as well-known as Lyft and Pinterest, two consumer companies that also just made their IPO debuts. But to anyone familiar with Yuan, the shock wasn’t how he got there. It’s that he was physically present at all.
As the founder of Zoom, which provides video conferencing software over the internet, Yuan practices what he preaches. After Yuan hired hundreds of engineers in his native China, he went three years between in-person visits. When he raised money from top venture capital investors, he showed up just once, to make sure every investor in the room had downloaded the Zoom app. For his IPO road show, Yuan deigned to make the 50-mile trek from his San Jose headquarters to San Francisco for a single investor lunch—and then bolted back to work. Everyone else, money manager big or small, met with him virtually, over Zoom. When Yuan flew to New York for the IPO, it was just his eighth work trip in five years.
“Customers have always said, ‘Eric, we’ll become your very important customer, you’ve got to visit us,’” says Yuan. “I say, ‘Fine, I’m going to visit you, but let’s have a Zoom call first.’” That’s usually enough.
It worked with Wall Street, where demand for Zoom (formally known as Zoom Video Communications) prompted the company to raise its IPO price to $36 per share, valuing the company at $9.2 billion—and making Yuan a new billionaire at age 49. The stock’s 72% first-day pop boosted Zoom’s market cap to $15.9 billion and the net worth of Yuan, who owns 20%, to $3.2 billion. All for video-conferencing tools that didn’t reinvent the wheel, just made it a lot less painful to turn. An engineer-turned-founder who once ran engineering for Cisco’s Webex video-conferencing business, Yuan set out to make tools that work equally well in a board room in Manhattan or from a kitchen table in China. Built in the cloud and priced using a “freemium” model that let anyone host a meeting of 40 minutes or less for free, Zoom now posts numbers that had Aaron Levie, CEO of Box (a customer), tweeting it could start a second business selling its “beautiful” financial numbers as a coffee table book.
Zoom founder Eric Yuan likes to use his video tool's virtual backgrounds to appear in locations from San Francisco's Golden Gate Bridge to the beach in Santa Barbara, where Zoom maintains a satellite office.Ethan Pines for Forbes
With annual revenue of $331 million, up 118%, Zoom was the ultra-rare tech unicorn to make its IPO debut with a profit, boasting 50,000 corporate customers, including Samsung, Uber, Walmart and Capital One. Its sudden fame—emanating from its IPO—is a new feel for a company that takes its cues from a CEO who not only shuns the spotlight, but is so frugal he insists on reimbursing Zoom when he gives a friend swag like a Zoom backpack. Beneath the belated buzz: a story of perseverance and better execution, proving that an unexpected challenger can sweep the field, even in a crowded market.
With hypergrowth comes risk, of course, and Zoom still must prove it can continue to best its competitors: massive companies, like Google and Microsoft, that scared off most venture investors in Zoom’s early days eight years ago. Cisco, Yuan’s former employer, may privately rue letting him leave, but it’s not shying away from a fight. And while Zoom has the goodwill of much of the tech community, with partners like Atlassian, LinkedIn and Slack, its inevitable move beyond video means its list of competitors is likely to grow. Ringing the Nasdaq bell checks off one dream for Yuan. There are plenty more to go. “It’s like a marathon,” Yuan says of his ambitions to connect the working world like Facebook did with consumers—which would make Zoom even bigger than Cisco. “You’re only 5 miles ahead of me, that’s okay. I’ll run faster than you, and I’ll still catch up.”
For Yuan’s first entrepreneurial act, he burned down his neighbor’s cottage. The son of mining engineers in China’s eastern Shandong Province, in fourth grade Yuan started collecting construction scraps to recycle their copper for cash. When the young hustler discovered the facility needed only the metal, he tried to burn away the extra material in a chicken shack behind his neighbor’s house. To his horror, firefighters had to come put out the blaze. Yuan says with typical understatement: “My parents were really upset.”
At Shandong University of Science & Technology, Yuan studied applied mathematics and computer science and then, at age 22, got married while pursuing his Master’s degree. Already convinced he’d start a company someday, and fascinated by entrepreneurs like Bill Gates, he set his sights on the U.S. tech boom. Easier said than done: After U.S. customs asked for an English-language version of his business card, it listed Yuan as a consultant, and he was misunderstood to be a part-time contractor. His visa was denied. For the next year and a half, the now-skeptical immigration services would deny him seven more times. But Yuan refused to give up. “I told myself, okay, great. I’ll do all I can until you tell me that I can never come here anymore. Otherwise, I’m not going to stop.”
In the summer of 1997, Yuan joined two-year-old Webex, based in Milpitas, California. As a young employee, Yuan would routinely code all night on a Friday, then go play a pickup soccer game on no sleep on Saturday afternoon. Riding the exuberance of the dot-com bubble and with video-conferencing tools taking advantage of faster internet speeds, Webex went public in July of 2000 and was acquired by Cisco for $3.2 billion in 2007. Not long after, Cisco tapped Yuan to lead Webex's engineering group. But by 2010, Yuan was unhappy. The problem, according to Yuan: The service simply wasn’t very good. Each time users logged on to a Webex conference, the company’s systems would have to identify which version of the product (iPhone, Android, PC or Mac) to run, which slowed things down. Too many people on the line would strain the connection, leading to choppy audio and video. And the service lacked modern features like screen-sharing for mobile.
Zoom executives, investors and family wave to employees who joined the Nasdaq IPO ceremony remotely via Zoom video on its April 18, 2019 IPO.Nasdaq, Inc.
“Someday someone is going to build something on the cloud, and it’s going to kill me,” Yuan told Bill Tai, a venture investor who became one of the first backers of Zoom. After a year of pestering his bosses to let him rebuild Webex, Yuan gave up and decided to leave Cisco in 2011. “Cisco was more focused on social networking, trying to make an enterprise Facebook,” he says. “Cisco made a mistake. Three years after I left, they realized what I said was right.”
The biggest hurdle: convincing his wife, who saw him throwing away a lucrative job managing 800 people. “I told her, ‘I know it’s a long journey and very hard, but if I don’t try it, I’ll regret it.’”
First Yuan asked friends, including fellow investors in a consumer video app called Tango, to write him $250,000 checks so he could pay 30 engineers (some in China) to work on a new idea: create better technology for video communications, then figure out what app to build on top. Mostly because of their faith in Yuan, the investors, including former Webex CEO Subrah Iyar, gave him $3 million for his startup, which was then called Saasbee. “Everyone in venture capital thought it was a terrible idea,” says Jim Scheinman of Maven Ventures, who as one of Zoom’s first backers came up with its current name.
Within months, Yuan realized he wanted to target the video conferencing business again. The VCs had reason to be skeptical. With Microsoft owning Skype, Google in the market via Hangouts and Cisco still leading in market share, video conferencing had entrenched incumbents; there were also multiple startups, including the well-funded BlueJeans Network. “It would require flawless execution to win,” says one investor who passed on Zoom. Even at Qualcomm Ventures, which led Zoom’s $6 million Series A investment in 2013 alongside Yahoo cofounder Jerry Yang, there was “lots of internal debate,” says partner Quinn Li.
From rundown offices in Santa Clara, with an oft-broken elevator and a mission-crucial video camera perched atop a cheap fridge, Yuan and the U.S. members of his team quietly worked on their product for nearly two years. When Zoom launched, it had several key differences from the crowd. Its lightweight Web client could figure out almost instantly what kind of device you were using, meaning Zoom didn’t need different versions for Mac or PC. It also provided a software layer that shielded any bugs that might be introduced when a browser like Chrome, Firefox or Safari pushed an update. Zoom could operate even at 40% data loss, so it would still work on a spotty or slow internet connection. And at $9.99 per host per month ($14.99 today), it undercut its rivals. Zoom customer service chief Jim Mercer was then working at competitor GoToMeeting when a colleague opened a Zoom account to see what the hype was about. “One click, we were in, and there were 25 feeds of participants at the same time,” he says. “We were like, ‘What is this voodoo? How are they doing it?’ ”
After raising another $6.5 million from Li Ka-shing’s Horizons Ventures, Zoom raised a $30 million round from Emergence Capital in 2015 (Li, Hong Kong’s richest person, remains a frequent user of the tool, a rep says). Soon after, Zoom began to target larger corporate clients. Yuan stunned partners at Emergence when he showed up for his pitch meeting and promptly insisted every investor download the Zoom app and join him for a live video conference of the presentation, partner Santi Subotovsky says. Yuan shocked them again when, approached by large corporations that year, he warned these potential customers Zoom's features might not be ready for their business. But after scooping up many of the fast-growing companies in its backyard in Silicon Valley, like Box, Slack and Uber, Zoom broke out of tech in 2016, and now manages accounts such as Gap Inc. and Williams-Sonoma.
At Phoenix Children’s Hospital, staff attend meetings, host surgical case conferences and work with patients over Zoom. Annoyed with a more complicated predecessor, Phoenix Children’s tested Zoom for nearly four years and now has 464 staffers registered on it. For kids who are facing long stays, the hospital has provided them Zoom accounts and iPads to meet with each other in virtual support groups and help them attend school without immunological risk. “Being out of school for too long, it can lead to them not graduating,” says Rachel Dunagan, an A/V tech at the hospital. “With Zoom, they can be live in the room, interacting with the lesson and their class. It keeps them able to participate. It’s been fantastic so far.”
By the time Sequoia backed Zoom in a $115 million Series D round in early 2017, valuing the company at $1 billion, the famed venture firm had been fighting to get a piece of it for more than two years. “We were going through all the due diligence, and I remember saying there have to be a thousand Eric Yuans in the world, because everyone we spoke to, they knew Eric, big or small,” says Sequoia partner Carl Eschenbach.
Yuan’s secret for being everywhere: Zoom, of course. His habit of taking the most important meetings virtually started because of basketball. A diehard NBA fan since moving to the U.S., first of the Lakers’ Kobe Bryant for his work ethic and then of his local Golden State Warriors, Yuan made a point of attending every one of his three kids’ basketball games and gymnastics meets. One unique Zoom feature is a virtual background the user can change to show a logo or image, disguising where they really are. Last summer, his eldest son, now a graduating high school senior who set the local league record for three-point shots, had a tournament in Los Angeles. “I set the background as the Santa Barbara beach, and they all thought I’m there. After the meeting, I swipe,” revealing a sweaty high-school gym. “And they all say, ‘What?’ ”
Golden State Warriors athlete Andre Iguodala invested in Zoom after meeting Eric Yuan at a Forbes Cloud 100 event.Bessemer Venture Partners
Yuan’s love of basketball led him to make room for a celebrity investor from his beloved Warriors last year, but it was veteran role player Andre Iguodala, not a flashier star like Steph Curry or Kevin Durant. “We had a great conversation on how my game relates to his business, doing the little things right,” Iguodala says. The feeling, both say, is mutual: respect for a professional who wins by putting team before ego.
Two months before the IPO, Yuan walks through the sales and engineering departments of Zoom’s newer San Jose headquarters. The elevators finally work in this one, but it’s still somewhat dingy, the result of Yuan’s decision to prioritize a space close to the Caltrain and lease it pre-furnished to save on costs. It’s the Chinese New Year, and Yuan hands out little red envelopes to any employee who looks up, calling out most by name. “Don’t open this,” he tells one group with the smirk of a dad teasing his kids. “After we leave, then you open them. It’s a lot of money!” For Zoom’s 1,700 staffers today, many of whom became multimillionaires in Zoom’s IPO, the payoff is a gag: one crisp, “lucky” $2 bill.
Yuan’s public-facing thriftiness serves a secondary message: What matters at Zoom is the product, not the perks. He shares his office with his product chief and old friend Oded Gal, a fellow Webex veteran he hired away from BlueJeans Network three years ago. But you’ll seldom find Yuan there. A few times a year, the CEO takes a temporary desk with a team he wants to focus on by sitting side-by-side, marking his choice with two small family portraits and a stack of books to give out. Yuan’s been with the engineers since Zoom announced a voice product in October, now called Zoom Phone. It’s one of several major product lines Zoom has touted in recent months, alongside an update to its conference room bundle called Zoom Rooms. Though an increasing number of Zoom’s users log in via smartphone–one out of six today, Yuan says–many big firms still depend on hardwired conference rooms. Zoom provides the software; partners like Dell, Logitech and Polycom supply the TVs, cameras and speakers. It’s a move Yuan thinks is strategic to winning over large-size customers whose CEOs spend lots of time in virtual meetings.
A mentor once told Yuan the IPO would be like graduating from high school. “You go celebrate one day, and that’s it,” Yuan says. “You don’t want high school to be the peak of your performance, right?”
Though Zoom isn’t making hardware, its bundle smacks of the stuff sold by Yuan’s ex-employer, Cisco. There’s some irony to that, as last year Cisco shook up its Webex unit—it now looks more like Zoom. It reorganized under a new leader, Microsoft veteran Sri Srinivasan. His mission: revitalize Cisco’s collaboration products, with video conferences one of several factors. And he’s happy to throw some shade. “Zoom is apples and oranges,” Srinivasan says, and offers “fledgling” solutions beyond its core desktop-to-desktop video tools. “They’ve done a pretty good job in their own right, with a bunch of borrowed resources from Webex.”
A revitalized Cisco—as well as Google, Microsoft and even potentially Apple and Amazon—threatens Zoom just as it did in its early days. While Zoom has claimed to work with at least 90 of the Cloud 100—Forbes’ exclusive ranking of the top private cloud companies—some corporations like Sony have resisted the move to Zoom as too complicated to set up at large scale. At some corporations like GM and Verizon, teams use multiple solutions that don’t include Zoom at all. Others like Ford use Zoom, but only for a handful of people. Even at Qualcomm, which owns a piece of the company, you’ll find Cisco and Microsoft. “People just have a solution they already pay for,” Qualcomm Ventures’ Li says.
Zoom's virtual backgrounds hide messy offices -- allowing users to pick where they seem to appear, from the golf course to the Las Vegas Strip.Zoom
As Zoom adds features and larger accounts, with some companies simultaneously hosting thousands of people across multiple chats, the company will need to be careful not to cut corners and damage the product. In January, Zoom suffered a high-profile service outage, which it blamed on Amazon Web Services, but all people saw was that Zoom’s app didn’t work.
“It’s like a restaurant,” Yuan says about a similar glitch with a third-party vendor. “When a customer walks into a restaurant, until they leave, the entire experience needs to be great. You can’t blame anything on anyone else.”
But, of course, it can cut both ways. When Facebook went down in March, the New Zealand House of Representatives streamed its committee meetings over Zoom instead of Facebook Live. And per its regulatory filing with the SEC before going public, Zoom noted more than half of the 500 largest companies in America had at least one paid seat on Zoom, but few had signed large contracts, suggesting an avenue for significant sales down the road.
Then there’s the international market, where Zoom did just 18% of its business in its last fiscal year. Expansion into markets with the most demand for Zoom—the United Kingdom, Japan, France, Germany and Australia—presents a natural future angle of attack. Zoom is furthest along in Canada and is studying it for its next phase of growth. And after Yuan, ever thrifty, spurned the chance to buy the Zoom.com address in the company’s early days, opting for the cheaper Zoom.us, Zoom quietly acquired it last year for $2 million, a domain that could prove valuable in disassociating the company from the U.S. in touchy overseas markets.
China remains a wild card. Zoom has more than 500 engineers there, rare for a U.S. company. But China is an unproven market for the enterprise business, Yuan says. Still, Zoom’s employee foothold in the country and Yuan’s personal connections would suggest that if any company can make the jump, it would be Zoom—potential privacy concerns aside.
If Zoom hopes to become as big as Cisco someday—the San Jose-based company booked $49 billion in sales last fiscal year, and its stock is trading near a 20-year high, generating a market capitalization of about $250 billion—it will likely need to offer far more than video in the years to come. Voice-only calling was likely just the first in a range of features Zoom could add in more in communications, such as standalone messaging and file sharing products. One likely area for a bigger push: data. Zoom already connects customers to other services to record and transcribe its conference calls and help sales reps flag phrases or patterns of interaction that might suggest a deal is close, from an ideal time to chat or the duration of a call. Similar tools could help marketers, product developers and customer service reps learn from their Zoom meetings in the future, too. And Zoom has powerful friends for that push, so long as it doesn’t compete too much. Enterprise software leaders Atlassian and Salesforce both have invested directly and others, like LinkedIn, have made it a preferred partner.
In the meantime, don’t expect Yuan to let his newfound billionaire status go to his head. He may drive a Tesla, but only because he sees the company as a lot like Zoom—it’s designed differently and it’s faster under the hood (plus Tesla is a customer, too). Back in his cubicle the Monday after the IPO, he’ll keep trawling the Zoom Twitter account for customer testimonials to retweet. And he’ll expect employees, who turned out around the world for the IPO ceremony to wave to their boss over a live feed in Times Square using—what else?—Zoom to follow his lead. A mentor once told Yuan the IPO would be like graduating from high school. “You go celebrate one day, and that’s it,” Yuan says. “You don’t want high school to be the peak of your performance, right?”
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