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Q&A: Rich Lee, Springboard Hosting

Carrier Hotels Staff Posted Mar 1, 2004

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Rich Lee is CEO of Springboard Managed Hosting in Cary, N.C., and owns 14 years of experience in the systems integration and Internet data market space. In 1996, Lee founded MPInet, which grew to become the largest privately held ISP in Florida before being sold in 1999 to Duro Communications, where Lee became President. He graduated from Auburn University in 1987 with a bachelor's of science degree in building sciences.

1. What's your take on the "State of the Industry?" What do you see as the most important developments and trends of the past year?

I'm very bullish on how 2004 is shaping up for those of us in the managed hosting sector. I think customers in general are starting to feel comfortable that data center operators left standing are in
pretty good shape and feel much more comfortable outsourcing mission critical services now. The runup in stock prices of some of the players in our space also bodes well for everyone and providers that are generating positive cashflow will continue to do well.

Important developments and trends would seem to be where manufacturers are moving in regards to on-demand computing and virtualization of servers and appliances. We are keeping a close eye on this.

2. How have bankruptcies and their outcomes affected the competitive landscape? Has it been more or less disruptive than you expected?

Bankruptcies and their outcomes have been very disruptive in our space, and I'm sure every operator has had to bend over backwards in regards to sharing financials, etc. that they normally wouldn't have in order to secure business.

3b. For service providers and analysts: What's your assessment of current demand for data center services? What products and services are getting the most customer interest?

Demand for colo and managed hosting will continue to have strong demand, but we are starting to see more customer interest in managed services and business continuity from clents.

4. Give us your outlook for 2004. What are the key trends you see affecting the industry?

I think 2004 is going to be a bright year for data center operators that have momentum and have found a niche. We continue to stay focused on what we do well, and will be rolling out new products and services in 2004 which we are very excited about.