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Daily Digest: July 3, 2009
Messaging & Collaboration

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MX Logic Update

Here's an update on email and Web hygiene SaaS vendor MX Logic:

  • SaaS offering:
    • Virus/spam/malware control for email
    • Email archiving
    • Email disaster recovery/continuity
    • Web malware filtering
  • Main competition: Google/Postini and Symantec/MessageLabs.
  • Competitive strengths: value pricing, ease of installation and use, strong reseller channel.
  • Around 75% of sales are now through resellers; goal is to get 85% of revenues in 2009 this way, and ultimately to 90%.
  • Company now spreading its reach internationally. Has good penetration in Japan.
  • Financials: Privately held. Ferris Research estimates current revenue rate at $35M to $40M annually. VP Product Management Ryan Walsh says that the company has been profitable since February 2009.


  • The company has a big commitment to the channel, with some 1,800 partners. It expects almost all sales to be done by third parties, including sales to large organizations. That's an interesting point of differentiation.
  • It's interesting that Microsoft's anti-virus/spamware/malware SaaS offering isn't the main competition. Microsoft has gone quiet in this regard over the last few years, presumably as it incorporates its FrontBridge acquisition.
  • Another point of differentiation is value for money. MX Logic services are priced aggressively by its resellers. End customers often pay $1 to $3/user/month, depending of course on volume and mix of services.
  • Given the current climate, it might be best if the recently achieved profitability can be maintained. That said, investment cash is available for pure startups and growing companies with a proven track record, so further fund-raising should be possible should MX Logic seek this.
  • MX Logic has built its own cloud platform and feels its multitenant scalability is a major underlying strength. We see no reason to disbelieve this, although our knowledge of the platform is currently limited.

... David Ferris


Below are various active gossip threads on current events in the industry. To contribute information, follow the appropriate link or see our Gossip page for other vendor threads.

Upcoming Webcasts

Veritas Acquires KVS: In Retrospect
Wednesday, July 29, 2009
8:30 a.m. Pacific, 11:30 a.m. Eastern, 4:30 p.m. U.K., 5:30 p.m. CET. One hour.

In September 2004, Veritas Software purchased KVS for its email archiving product, Enterprise Vault. Veritas merged with Symantec, and thus the product is now Symantec's Enterprise Vault, the market-leading archiving software. In this webcast, we discuss the Veritas/KVS acquisition with key individuals involved. Topics include KVS's history, KVS's motivations for being acquired, Veritas' motivations for the acquisition, how the negotiations took place, the terms of the transaction, what went well, what was more difficult than anticipated, and lessons learned.

To register for the webcast, click here. For more information, click here.

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About Ferris Research

Messaging. Collaboration. Compliance. Ferris Research analysts bring more experience in these areas than any other firm. Period.

Major areas of interest are email, spam and malware control, archiving, e-discovery, information leak prevention, unified communications, instant messaging, SharePoint, and mobile communications. We help:

  • IT staff evaluate, implement, and maintain these technologies
  • Vendors understand the marketplace and its technologies; explain their products or services to the marketplace; and find strategic partners, raise funds, or sell their company
  • Investors find and evaluate investment opportunities

We've been in business since 1990-longer than any other analyst firm in our field:

  • Clients include many of the world's largest organizations as well as computer vendors from major corporations to small startups.
  • We have published more than 200 formal reports and 1,100 short bulletins.
  • Our news service has approximately 10,000 readers and covers more than 2,000 highly specialized announcements annually.
  • Our research team shares many decades of experience in our core competencies.

In short, our technology and industry depth helps you understand today's products, where they've come from, where they're going, and their value.

Have news you want to share with us or product or interest area that you would like us to cover? Send press releases to releases@ferris.com.

Copyright © Ferris Research 2009.


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