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Daily Digest: April 23, 2010
Archiving, E-Discovery, & Compliance

FileTek Announces StorHouse for Life Sciences
Safeguarding High-Volume Biomedical Research Data for the Long-Term
FRI Comment: You can see that biomedical information would have to be archived for a long time, as in 25 to 50 years or more. An even clearer case is for civil engineering records, eg those relating to bridge design

Iron Mountain to Present at Legal IT 4.0 Conference on Practical Strategies for Bolstering Software Licensing Agreements
Software Escrow: Practical Strategies for Bolstering Licensing Agreements
FRI Comment: When the packaged software industry started, customers were very concerned that if the vendor disappeared, they (the customer) should be able to access the source code. Now, this demand is far less widespread. For customers, the source code is usually way too complex and impractical to maintain

Applied Discovery Receives Strongest Possible Ratings in The 451 Group's "E-Discovery and E-Disclosure Survey" and in the "3rd Annual eDiscovery Survey of Illinois Lawyers"
End User Survey Results Highlight Proven Performance and Continued Growth of Applied Discovery

Metalogix to Support Content Migration from SharePoint 2010 Beta 2 to SharePoint 2010 RTM
Customers Can Use a Microsoft Supported Solution to Move Valuable Content from Pilot Projects to the Production-Ready Release of SharePoint 2010
FRI Comment: Archiving vendors have long pointed out that their technology can be used to ease migrations. They are right and perhaps this benefit should be more widely recognized.

Email, Messaging & Collaboration

modusGate Email Security wins Silver award from MSExchange.org
Vircom modusGate, an antispam gateway software for Microsoft® Exchange, is reviewed and awarded by independent Exchange specialist J. Peter Bruzzese.

Fidelis Security Systems Teams with Backbone Security to Provide Further Defense-In-Depth for Evolving Cyber Threats
Combined Offering Provides Detection & Prevention of Steganography
FRI Comment: Read if you want to know what steganography is

New Cisco Mobile Collaboration Application for BlackBerry Offers Millions of Users Access WebEx Online Meetings
Free Cisco WebEx Meeting Center application, designed specifically for BlackBerry smartphones, helps users to easily collaborate in Cisco WebEx online meetings

Tungle.me for IBM Lotus Notes Collaboration Software Now Available; Makes Scheduling Meetings Easier for the Many Millions of Lotus Notes Users Worldwide  

Gigantic Companies and Enormous Email Capabilities
Exclusive hour-long webinar May 5, 2010
FRI Comment: Wow, what a fun title

Return Path Debuts In-Email Video Via Partnership With Liveclicker
The Latest Certified Premium Services Offering From Return Path Designed to Help Marketers and Publishers Increase Email ROI with Seamless, Embedded Videos

Apptix Launches Encrypted Email Solution
Apptix Secure Mail provides end-to-end encrypted delivery for regulatory compliance needs

Autonomy Wins the United Kingdom's Prestigious Queen's Award for Enterprise for a Second Year in a Row
Recognized for Continuous Achievement in International Trade

Blog Item(s)

Autonomy Creative Accounting?

We heard an interesting speculation recently from a chum at a well-known investment bank, that Autonomy is cooking its books. We'd welcome further input.

First, a couple of relevant bits of background information:

  • Autonomy's core business is its Idol enterprise search product. The search market in general has been somewhat stagnant for several years.
  • Autonomy's biggest competitor was FAST. FAST cooked its books and had major product issues. FAST was acquired by Microsoft. Autonomy's other big competitor is the Google Search Appliance.
  • Autonomy's acquisitions in the archiving field--Zantaz and EAS--have suffered substantial vicissitudes. We don't know the details, but acquired staff have often been very disillusioned, and more recently we've talked to major EAS clients who are very dissatisfied and are considering moving elsewhere.

The speculation is as follows:

  • Autonomy is buying businesses to increase its revenues.
  • It's often reclassifying deferred income as current income. For example, if a sale is for three years of business, it's taking the three years of revenue in the current year rather than spreading it over three years.
  • Hence, in order to maintain attractive revenues and profitability, Autonomy is obliged to keep doing deals.
  • Further, cooking the books in this way explains why the company has had a cash conversion ratio of some 75%.

Generally, the investment bank feels that Autonomy's published financial information needs to be far more transparent.

Similar concerns are expressed by Dave Kellogg, CEO of an Autonomy competitor, in his Kellblog.

Can anyone provide further information? It seems things are seriously amiss at Autonomy. If you want to contribute without your identity being revealed, contact me at david.ferris@ferris.com, or (415) 367-3436.

... David Ferris, with thanks to the investment banker that provided advice, and also software analyst Curt Monash


About Ferris Research

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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:

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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 2010.


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