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The Web Host Industry Week in Review.
2005-03-11, HostMan.biz In something of a continuing trend from recent weeks, much of the biggest news in Web hosting this week actually came from outside the Web hosting business, as a UK registrar left customers stranded, a carrier announced efforts to bounce spammers from its network and a US rock star sued hosting companies involved in serving video stolen from him by hackers. Early in the week, it was reported that Limp Bizkit singer Fred Durst had filed suit against ten Web site operators, including Web hosts and Internet service providers, for allegedly hosting footage from a homemade sex tape stolen from Durst's hard drive. Durst, who secured copyrights to the video before filing the lawsuit, is reportedly seeking more than 70 million in damages. The suit reportedly names Hurricane Electric, Peer 1 Network, ServInt Internet Services, The Planet Internet Services, Everyone's Internet and Verio among the defendents. While the week's other big stories didn't feature outright legal action, several others included legal or regulatory issues. Telecommunications carrier Global Crossing announced that it had been hard at work removing known spam operations from its network. The company said it was concerned with its protecting its customers' security, adding that it is implementing tools and policies designed to prevent customer networks from being hijacked for criminal activities. Anti-spam organization Spamhaus, usually known for identifying illicit activity on carriers' networks, applauded Global Crossing's work, calling the company a leader. On Thursday, it was reported that UK-based registrar Firevision had left thousands of UK domain owners stranded and apparently unable to buy, move or renew domains registered through the company. Firevision was reportedly put under the authority of the official receiver late last year. But while the companies debts have reportedly been paid, the company does not appear to have continued trading. UK registry Nominet has said it would investigate any problems reported, but does not yet appear to consider Firevision a significant problem at the moment. While many of the week's most notable news came from just outside the hosting business, there was plenty of news from within, some of it featuring some notable acquisitions or mergers. On Tuesday, Web hosting firm Globix announced that it had completed its merger with optical networking provider NEON Communicaitons, creating a technology firm with 1,500 customers, an integrated suite of services and a more diversified revenue base. Globix says the two firms combined for $110 million in revenue last year. The merged company will operate data centers in New York, Atlanta, Santa Clara and London, with colocation sites integrated along NEON's fiber network. On Wednesday, hosting provider Host Color announced that it had acquired small budget hosting company 60 Host, which provides roughly 500 customers with a single package featuring 600MB of space and 6GB of bandwidth. Host Color says it plans to add features to the plan, but will keep the cost below $5 per month. And on Thursday, Irish Web host Novara.ie, announced that it had merged with Tornado Dedicated Servers, a hosting firm specializing in providing dedicated servers for Irish enterprise customers. The merged company will be known as Servers.ie. Novara, which focused on domain registration and shared hosting, says the merger will enable the company to move into new markets. Tornado owner Dermot Duignan will continue with Servers.ie. Evidence of the opportunity presented by the right merger came with the announcement by Peer 1 Networks, on Wednesay, that it had opened a new 12,000 square-foot data center, largely in response to the demand the company has been experiencing for the services of ServerBeach, acquired by Peer 1 in October of 2004. Peer 1 says it will use the new facility to house its own colocation customers as well, but will immediately begin accommodating ServerBeach clients in the new space. Also adding new facilities this week was email service provider Postini, which announced that it has opened two new data centers, in the United Kingdom and The Netherlands, in an effort to enhance its services in Europe. The company also announced that it had added a second anti-virus engine to its Postini Perimiter Manager solution. Postini says the new data centers and the new engine will prepare the company for continued global growth and success. This week's Web hosting news had the obvious sensational news of rock stars, sex tapes and $70-million lawsuits, making it possible to overlook a week of otherwise solid and promising growth, including a handful of small but purposeful mergers, and evidence of the success of a much larger one. |
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