Solution providers have noted that backup tapes are becoming obsolete in the small-business sector due to their cost and the manual processes involved, especially for companies without on-site IT staff.
Matthew Mosteller, owner of Vashon IT, which caters to microbusinesses in Washington state, emphasized the dangers of relying on tapes for data backup. He shared a cautionary tale of a construction firm that lost crucial data after erasing tapes for over a year, leading to a month-long recovery process that nearly bankrupted the company.
The trend towards storage as a service for small businesses is expected to increase as companies become more comfortable with outsourcing their data management. Doug Chandler, director of storage software and services at IDC, highlighted the growing acceptance of third-party handling of sensitive business information.
New players in the small-business backup market, such as eFolder and SOS Online Backup, are actively seeking partnerships with solution providers. These companies offer secure online backup services with options for different partner levels and revenue-sharing models.
Steve Harper, president of Network Management Group, praised eFolder for its user-friendly technology and strong channel commitment. Vashon IT also partners with eFolder for its hosted data center services, citing the low startup costs and attractive margins.
SOS Online Backup, based in Australia, aims to recruit 1,000 U.S. small-business solution providers in the next year. The company offers compressed data backup with AES encryption and recently introduced live continuous backup for real-time data protection.
Vembu Technologies from India has entered the U.S. market with backup software solutions for home and small businesses. Their Service Provider Edition of Vembu StoreGrid software allows partners to offer online backup services with quick setup and client data protection.
Overall, the shift towards cloud-based backup solutions is gaining momentum in the small-business sector, offering cost-effective and secure alternatives to traditional tape backups.