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Indian Host NetMagic Going GlobalBy Justin Lee, theWHIR.com
March 3, 2008 -- (WEB HOST INDUSTRY REVIEW) -- As the hosting market grows in India, the demand for data centers and hosting services has increased exponentially.
For more than 10 years, India-based managed hosting provider NetMagic (netmagicsolutions.com) has offered hosting services for customers, combined with efficient monitoring and management of their technology infrastructure.
Last month, the managed hosting provider received $20 million in financing, courtesy of Fidelity International and Nexus India Capital. Together with $5 million of its own capital, the money makes it possible for NetMagic to expand on an international playing field.
NetMagic is now able to build upon its presence in North America, which currently consists of a virtual data center in Sunnyvale, California. The company has multiple data centers in Mumbai and Bangalore.
"We will use this funding to first build more data centers and grow our team in India," says Sandip Gupta, NetMagic CEO and president. "The second is to grow our team beyond India, that is by the virtue of acquiring customers and also potentially acquiring companies that help us grow our international business."
NetMagic claims to have a 12 percent share of the total managed hosting market. Gupta says it is currently looking at other managed hosting competitors to possibly acquire to expand its global reach.
The company also intends to devote about $1 million specifically for branding purposes.
The global expansion is being led by Gupta, who joined NetMagic from Ensim (ensim.com), after serving as president and CEO of the hosting automation software provider.
"At Ensim, I was responsible for growing the business to 200 service providers around the world," says Gupta. "This was one of the key reasons why I thought this would be a great opportunity to join NetMagic and now I am responsible for international expansion."
The managed hosting provider says its facilities offer world-class infrastructure, services, tools and personnel, giving customers a cost-efficient way to extend their data center operations and deliver on service level agreements.
Additionally, Gupta says it has a competitive edge on the North American hosting market because it offers both virtual data center and remote infrastructure management services, which provide customers with failure and pre-failure notification, threshold alarms and statistical trend-analyses.
"All the Web hosts are all struggling with the skill set that is required to run hosting business, efficiently," says Gupta. "We can significantly add value to them by offering our data center infrastructure remote capabilities."
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