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Navisite, Inc. - Web Hosting -
Category Directory
888-298-8222
400
Minuteman Road
Andover, MD 01810
www.navisite.com
Sales
$63 million
Business Description
NaviSite, Inc. provides outsourced hosting and managed application services
for mid-sized enterprises, divisions of large multi-national companies,
government agencies and other businesses conducting mission critical
business on the Internet. Our goal is to help customers focus on their core
competencies by outsourcing the hosting and management of their operations
and applications, allowing customers to improve the efficiency of their
operations. Our focus on Managed Application Services (A-Services), Managed
Infrastructure Services (I-Services) and Managed Messaging Services
(M-Services) allows us to meet the expanding needs of our customers as their
applications become more complex.
NaviSite operates 14 data centers in the United States and one data center
in the United Kingdom. We combine a highly scalable and developed
infrastructure with expertise, experience, intellectual property, software
platforms, processes and procedures for delivering simple to complex hosting
and application management services. We provide a combination of high
availability infrastructure, high performance monitoring systems, and
proactive problem resolution and change management processes designed to
recognize patterns and identify and address potentially crippling problems
before they are able to cause downtime in customers’ operations. The price
for our services varies from customer to customer based on the number of
managed servers and the nature, extent and level of services provided.
Customers typically enter into agreements with a term of one to three years
and monthly payment installments.
We derive our revenue primarily from hosting services comprised of a variety
of service offerings, including providing related professional and
consulting services, to mid-sized enterprises, divisions of large
multi-national companies, government agencies and other businesses. These
hosting services include:
• Managed Application Services (A-Services): An advanced portfolio of
collaborative application monitoring and management services, managed
hosting services and application development services;
• Managed Infrastructure Services (I-Services): A set of infrastructure
services consisting of co-location hosting, bandwidth, connectivity, content
distribution networks and electronic software delivery services; and
• Managed Messaging Services (M-Services): A suite of outsourced and managed
messaging applications built on Lotus Domino and Microsoft Exchange
software, including fully-managed Domino applications and email messaging
services.
The
NaviSite Solution
NaviSite provides a range of application, infrastructure and messaging
services that can be deployed in a cost-effective and rapid manner. We
specialize in developing, deploying and managing dedicated mission-critical
Internet-based solutions for our customers. We serve as the single point of
management for our customers’ outsourced business applications and our focus
on management of customer business computing infrastructure allows us to
meet an expanding set of customer needs as customers’ applications become
more complex. Further, we provide our services across Unix, Windows, and
Linux platforms and in highly secure, highly available and redundant
environments.
The combination of our scalable infrastructure, the repeatability of our
management processes and our extensive base of expertise allows us to
provide our customers with application hosting and management services on a
cost-effective basis. NaviSite has already deployed state-of-the-art
infrastructure from the industry’s leading providers, and, therefore, our
customers can immediately leverage equipment and services that would
typically not be cost effective for them to purchase and deploy themselves.
In addition, we have made significant investments in our operating platform
and our automation capabilities. Furthermore, we have refined these
processes over time and across a large base of customers. By leveraging this
expertise, we can more efficiently configure, deploy and manage complex
applications and, thus, save our customers from hiring or developing that
same expertise in-house. By outsourcing these resources and time-intensive
Internet-enabled applications, we allow our customers to focus on their core
businesses. We believe that our customers would otherwise be required to
make significant expenditures to replicate our performance, reliability and
expertise either internally or by using outside vendors.
Infrastructure
Our infrastructure and technology have been built by integrating “best of
breed” components and have been designed specifically to meet the more
demanding technical requirements of providing managed application hosting.
Our high-performance infrastructure, together with our trained and
experienced staff, enables us to offer levels of service that are backed by
high service level guarantees.
Network Operations Centers. We monitor the operations of our infrastructure
and customer Internet applications from our own state-of-the-art network
operations centers. Our primary network operations center in Andover,
Massachusetts is staffed 24 hours per day, seven days per week with Network,
Security, Windows NT, Linux and UNIX personnel. We run a fully operational
real-time backup network operations center in San Jose, California. Our
network operations centers perform first-level problem identification,
validation and resolution. The design of our network operations centers
allows network engineers and support personnel to be promptly alerted to
problems and we have established procedures for rapidly resolving any
technical issues that arise. Network management and monitoring tools
continuously monitor the network and server performance.
Data Centers. We currently serve customers from 14 data centers located in
the United States and one data center located in the United Kingdom. These
data centers incorporate technically sophisticated components which are
designed to be fault-tolerant. The components used in our data centers
include redundant core routers, redundant core switching hubs and secure
virtual local area networks. We utilize the equipment and tools necessary
for our data center operations, including our infrastructure hardware,
networking and software products, from industry leaders such as BMC, Cisco,
Hewlett-Packard, Dell, EMC, Microsoft, Oracle and Sun Microsystems.
Internet Connectivity. Our use of direct private transit Internet
connections to major Internet backbone providers differentiates our network
infrastructure from those of our competitors. We have redundant
high-capacity Internet connections to Level3, InterNap and Wiltel on the
east coast and Level3, XO Communications and Wiltel on the west coast. We
have deployed direct private transit Internet connections to utilize the
provider’s peering capabilities and to enhance routes via their networks to
improve global performance. Our private transit system enables us to provide
fast, reliable access for our customers’ Internet-based applications.
Services
In fiscal 2003, NaviSite expanded its service offerings and its customer
base. NaviSite’s acquisitions of ClearBlue Technologies Management, Inc.,
Avasta, Conxion, the Interliant Assets and, subsequent to the end of fiscal
2003, the data centers owned by ClearBlue Technologies, Inc. provided
NaviSite with an increase in, and significant diversification of, its
customer base from approximately 145 to over 800 and the ability to increase
and improve its suite of service offerings to its new and existing
customers. The universe of offerings is provided to customers a la carte,
enabling customers to design configurations to meet their particular needs
for availability, security and performance. NaviSite also has developed a
number of “ready made”, yet customizable, configurations that are based on
best practices and on field-proven architectures. The services provided to
NaviSite’s customers range from simple co-location to application managed
services.
NaviSite’s services consist of:
• Managed Application Services (A-Services);
• Managed Infrastructure Services (I-Services); and
• Managed Messaging Services (M-Services).
A-Services
A-Services consist of:
• Application Development;
• Application Hosting; and
• Collaborative Application Management Platform.
Application Development — These services combine NaviSite’s skill and
experience in designing attractive and effective Web brands and interfaces.
NaviSite’s tailored Web site workflow systems improve timeliness of Web site
content, empower multiple content administrators and improve Web site
control. NaviSite customizes back-end and user interface designs to enable
the customer to share Web-based information.
Application Hosting — NaviSite provides fully managed hosting for mid-sized
enterprises, divisions of large multi-national companies, government
agencies and other businesses conducting mission-critical business on the
Internet. NaviSite manages data centers, Internet connectivity, servers and
networking, security (including firewall, virtual private networks and
intrusion detection), storage, load balancers, database clusters and
operating system and Web and application servers. NaviSite also provides
more advanced management services for leading databases and applications.
Most application hosting services are available in one of NaviSite’s data
centers or via remote management on a customer’s own premises.
Collaborative Application Management (CAM) — The CAM platform enables
NaviSite, IT teams and systems integrator partners to work together to
provide seamless, integrated application management to end customers. The
CAM platform helps ensure full transparency and seamless operations of: (i)
hardware, operating system, database and application monitoring; (ii) event
management; (iii) problem resolution management; and (iv) integrated change
and configuration management tools. CAM includes:
• NaviSite Event Detection System — This NaviSite custom-developed
technology allows NaviSite’s operations personnel to efficiently process
alerts across heterogeneous environments. This system collects and
aggregates data from all of the major enterprise systems management software
packages utilized by an IT organization.
• Synthetic Transaction Monitoring — These NaviSite-developed synthetic
transaction methods emulate the end-user experience and monitor for
application latency or malfunctions that affect user productivity.
• Automated Remediation — NaviSite automatically applies domain expertise to
address predicted issues raised by automated monitoring. These automated
fixes help ensure availability and reliability by remediating known issues
in real time, keeping applications up and running while underlying problems
or potential problems are diagnosed.
• Component Information Manager — This central repository for network,
database, application and device information allows NaviSite to consolidate,
present and track disparate sources of critical system device information in
a unified view.
• Escalation Manager — This unique workflow automation technology allows
NaviSite to streamline routine tasks and escalate critical issues in a
fraction of the time that manual procedures require. Escalation Manager
initiates specific orders and tasks based on pre-defined conditions,
ensuring clear, consistent communications between NaviSite and its
customers.
An integral part of CAM is its customer portal that provides customers with
a real-time view into systems and application operations, including access
to metrics and reports, incidents, service requests, customer knowledge
base, standard remediation procedures and change control management. This
portal provides NaviSite’s customers with the transparency and control that
customers and strategic partners rely on to manage critical systems and
applications.
I-Services
I-Services consist of NaviSite’s infrastructure services, which provide the
building blocks for all Internet-enabled services. I-Services consist of:
• Co-location hosting;
• Bandwidth;
• Security;
• Disaster recovery; and
• Content distribution networks.
Co-location — NaviSite’s co-location data centers provide customers with a
secure place to gain rapid access to the Internet, without having to build
their own environments. NaviSite’s data centers include multiple levels of
security with camera surveillance, redundant uninterruptible power supply
and power, data grade heating ventilation and air conditioning, 24/7
customer access which is constantly monitored and advanced fire suppression.
Bandwidth — NaviSite’s data centers are carrier-neutral facilities,
providing connectivity via a wide range of separate carriers, and offering
competitive Internet access and bandwidth pricing.
Security — NaviSite offers industry standard security service offerings,
including managed firewalls, intrusion detection, denial of service attack
prevention and exposure analysis. We utilize commercial equipment products
such as Netscreen, Checkpoint and Cisco PIX.
Disaster Recovery — Features of NaviSite’s disaster recovery program include
a spare cabinet of equipment, redundant data centers for physical
separation, tape back-up and archiving off-site, storage on-demand, load
balancing, fully mirrored content, remote access and professional consulting
services.
NaviSite’s Content Distribution Network (CDN) business allows customers to
accelerate the distribution of all types of Internet-based data to users
while reducing costs typically associated with this function. Currently,
there are two primary areas of focus within this business, our caching
services, Cache on Demand and Delta Edge, and our enterprise software
distribution services, Conxion FTL.
NaviSite’s caching services are specifically designed to bring (or cache)
Web content, both static and dynamic, closer to the end user, which results
in a decrease in overall bandwidth usage for the customer as well as an
increase in overall performance regardless of the access type or connection
the user is using.
NaviSite’s software distribution services allow software manufacturers to
securely and reliably distribute patches, updates, and even large new
versions of their software products to its user base. This service allows
them to largely bypass traditional distribution processes of physical
compact disc (CD) creation, packaging and shipping resulting in a dramatic
decrease in their software distribution costs as well as an increase in
their ability to distribute updates quickly and accurately to their user
base.
M-Services
NaviSite’s M-Services manage messaging applications such as Microsoft
Exchange, Lotus Domino and other collaborative technologies.
M-Services consist of:
• Messaging Application Management: NaviSite provides fully managed Lotus
Notes and Microsoft Exchange services;
• IM and Collaboration: NaviSite’s instant messaging service provides
turnkey access to all of the benefits of secure, real-time chat; and
• Spam Filtering: NaviSite provides services that allow customers to keep
spam and viruses out of email systems.
Strategy
Enhancing stockholder value through growth, obtaining and sustaining
profitability and market leadership is our continued objective. We intend to
pursue growth through expanding our customer base, establishing
relationships with new strategic partners and augmenting penetration within
our established customers, and through the potential acquisition of
companies. Our strategic objective is to build a leadership position with
mid-sized enterprises, divisions of large multi-national companies,
government agencies and other businesses conducting mission critical
business on the Internet. We believe this can be accomplished by providing
an integrated set of business process outsourcing solutions for target
customers. We believe traditional outsourcers cannot serve these customers
profitably. NaviSite believes it can profitably customize services for these
customers. Key elements of our strategy include:
Leverage Existing Operating Platform Through Potential Acquisitions. We
intend to leverage our existing operating platform through the acquisition
of companies serving mid-sized enterprises, divisions of large
multi-national companies and government agencies. By acquiring companies
with a low cost basis, we can leverage fixed costs and improve margins by
servicing more customers with minimal additional administrative and fixed
costs.
Deepen our Relationships With Existing Customers by Adding New Service
Capabilities. We plan to increase our services portfolio so that we can
service our customers as the single point of management across solutions.
Acquisitions, such as Avasta, Conxion and the Interliant Assets, have
provided us with strategically important capabilities, such as application
management, content delivery and managed messaging. New service capabilities
will allow us to further penetrate existing client relationships and
increase sales.
Build Partnerships with Key System Integrators and Independent Software
Vendors. We plan to partner with key system integrators to deliver value
across the full lifecycle of each software solution. This allows systems
integrators to improve their competitive position and revenue opportunities
by presenting their customers with a hosted and managed solution that meets
their customers’ exact requirements. We also plan to partner with
independent software vendors in order to allow them to quickly create and
deploy their application software as a service in order to meet demand from
end-users for subscription-based application services.
Continue Driving Improvements in Industry-Leading Operational Metrics.
NaviSite plans to continue driving improvements in its operating metrics and
corresponding improvements in the quality of its customer service. NaviSite
believes it has developed and delivers to its customers consistently high
levels of operational metrics across the areas that are most critical to
businesses, including the performance of customer applications, network
elements and service levels.
ticker: NAVI
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