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Zayo Group, LLC Reports Financial Results for the Second Fiscal Quarter Ended December 31, 2012

Second Fiscal Quarter Adjusted EBITDA of $137.3 Million on Revenue of $243.5 Million, Representing $549.2 Million and $974.0 Million of Annualized Adjusted EBITDA and Revenue, Respectively; Net Loss for the Second Fiscal Quarter of $(20.0) Million

LOUISVILLE, CO -- (Marketwire) -- 02/08/13 -- Zayo Group, LLC ("Zayo Group" or "the Company"), a leading provider of Bandwidth Infrastructure and network-neutral colocation and interconnection services, announced results for the three months ended December 31, 2012.

The Company has experienced sequential quarter revenue and Adjusted EBITDA growth since inception. Second quarter growth was a function of both organic growth and acquisition-related growth, resulting primarily from the recent acquisitions of FiberGate, USCarrier and First Telecom Services.

During the three months ended December 31, 2012, the Company made net capital expenditures of $58.9 million, which included adding 436 buildings to the network.

Financial Highlights

FY 2013 Q2 compared to FY 2013 Q1

  • Zayo Group generated quarterly revenue of $243.5 million; a $13.8 million sequential quarter increase.
  • Adjusted EBITDA for the quarter was $137.3 million, which was $14.7 million higher than the prior quarter.
  • Loss from continuing operations of $20.0 million for the quarter was $33.4 million lower than the $53.4 million net loss for the previous quarter.

FY 2013 Q2 compared to FY 2012 Q2

  • Quarterly revenue and Adjusted EBITDA increased by $154.5 million and $92.2 million, respectively, over the second quarter of fiscal year 2012.
  • Quarterly loss from continuing operations increased by $18.9 million over the first quarter of fiscal year 2012.

Recent Developments

Acquisitions closed during FY 2013 Q2


In connection with the Company's acquisition of American Fiber Systems on October 1, 2010, the Company acquired an ownership interest in USCarrier. As of June 30, 2012, the Company's ownership in USCarrier was comprised of 55% of the outstanding Class A membership units and 34% of the outstanding Class B membership units. On October 1, 2012, the Company acquired the remaining equity interests in USCarrier not previously owned for total consideration of $15.9 million, subject to certain post-closing adjustments. Beginning October 1, 2012, the Company began to recognize 100% of the results of USCarrier in its consolidated statement of operations. The acquisition was funded with cash on hand.

The USCarrier business operates a 3,700 route mile regional fiber network that connects major markets such as Atlanta, Jacksonville, Tallahassee, Nashville and Chattanooga along with 40 smaller cities throughout the Southeast region of the United States.

First Telecom Services

On December 14, 2012, the Company acquired 100% of the equity interest in First Telecom Services, an Ohio limited liability company, for total consideration of $110.4 million, subject to certain post-closing adjustments. The First Telecom Services business operates an 8,000 route mile regional fiber network that connects markets throughout the Northeastern and Midwestern United States. First Telecom Services provided dark fiber and wavelength services primarily to wireline and wireless carrier customers. The acquisition was funded with cash on hand.


On December 31, 2012, the Company acquired 100% of the equity interest in Litecast, a provider of metro Bandwidth Infrastructure services in Baltimore, Maryland, for total consideration of $22.2 million, subject to certain post-closing adjustments. The acquisition was paid with cash on hand.

Litecast owns and operates a Baltimore metropolitan fiber network, connecting over 110 on-net buildings, including the city's major data centers and carrier hotel facilities. Litecast is focused on providing dark fiber and Ethernet-based services to a concentrated set of Baltimore enterprise and government customers, particularly within the healthcare and education segments.

Refinancing of Term Loan
On October 5, 2012, the Company amended the terms of its credit facilities. Among other changes, the interest rate was reduced by 187.5 basis points on both of the Company's $1,620.0 million term loan and $225.0 million revolving credit facility. On October 5, 2012, the effective rate on the Company's floating rate term loan was 5.25%. The Company paid a $16.2 million early call premium during the second quarter of Fiscal 2013 in order to consummate the amendment.

Second Fiscal Quarter Financial Results
Three Months Ended December 31, 2012 and September 30, 2012
Figure 1.0

Zayo Group Summary Results
($ in millions)                                     Three months ended
                                                December 31,  September 30,
                                                    2012           2012
                                               -------------  -------------
Revenue                                        $       243.5  $       229.7
  Annualized revenue growth                               24%
Gross profit                                           208.6          197.0
  Gross profit %                                          86%            86%
Operating income                                        44.1           46.2
Loss from continuing operations before taxes           (14.0)         (80.7)
Provision/(benefit) for income taxes                     6.0          (27.3)
                                               -------------  -------------
Loss from continuing operations                $       (20.0) $       (53.4)
                                               =============  =============

Adjusted EBITDA from continuing operations     $       137.3  $       122.6
Purchases of property and equipment                     58.9           66.7
                                               -------------  -------------
Unlevered free cash flow                       $        78.4  $        55.9
                                               =============  =============
  Annualized EBITDA growth                                42%
  Adjusted EBITDA margin                                  56%            53%

Contributing to the sequential quarterly revenue increase of $13.8 million were the acquisitions of FiberGate, USCarrier and First Telecom Services. Also contributing to the revenue growth was positive net installations during the quarter. The Company generated additional monthly revenue of $4.7 million associated with gross installations accepted during the quarter ended December 31, 2012. This increase in revenue related to organic growth was partially offset by total customer churn of $3.3 million in monthly revenue during the quarter. Also contributing to the revenue growth was an increase of $2.2 million to other revenue recognized during the quarter ended December 31, 2012 as compared to the quarter ended September 30, 2012. Other revenue recognized during the quarter ended December 31, 2012 primarily related to construction services and early termination charges.

Sequential quarter Adjusted EBITDA growth of $14.7 million was driven by revenue growth (both organic and acquisition related) and the realization of cost savings associated with the AboveNet acquisition.

Loss from continuing operations decreased by $33.4 million in the quarter ended December 31, 2012 as compared to the previous quarter. The decrease in the loss is attributed to the aforementioned growth and cost savings. Additionally, a $65.0 million loss on extinguishment of debt was recognized in the first quarter of Fiscal 2013 as compared to a loss on extinguishment of debt of $5.7 million recognized in the second quarter of Fiscal 2013. Also contributing to the decrease in loss was a reduction in transaction costs (costs incurred as a result of acquiring companies) of $9.7 million and a reduction to interest expense of $9.9 million resulting from the Company's October 2012 debt refinancing. Transaction costs represent expenses which are directly related to the Company's acquisitions. Partially offsetting the quarter-over-quarter decreases to loss from continuing operations were a $23.0 million increase in non-cash stock-based compensation and a $33.3 million increase in the Company's provision for income taxes during the current quarter.

Three Months Ended December 31, 2012 and December 31, 2011
Figure 1.1

Zayo Group Summary Results
($ in millions)                                     Three months ended
                                                December 31,   December 31,
                                                    2012           2011
                                               -------------  -------------
Revenue                                        $       243.5  $        89.0
  Revenue growth                                         174%
Gross profit                                           208.6           69.7
  Gross profit %                                          86%            78%
Operating income                                        44.1           13.4
Earnings from continuing operations before
 taxes                                                 (14.0)           1.9
Provision for income taxes                               6.0            3.0
                                               -------------  -------------
(Loss)/earnings from continuing operations     $       (20.0) $        (1.1)
                                               =============  =============

Adjusted EBITDA                                $       137.3  $        45.1
Purchases of property and equipment                     58.9           31.4
                                               -------------  -------------
Unlevered free cash flow                       $        78.4  $        13.7
                                               =============  =============
  EBITDA growth                                          204%
  Adjusted EBITDA margin                                  56%            51%

Revenue increased $154.5 million over the second quarter of fiscal year 2012 principally as a result of our Fiscal 2012 and Fiscal 2013 acquisitions. The remaining increase in revenue recognized during the three months ended December 31, 2012 as compared to the three months ended December 31, 2011 was a result of organic growth. Since December 31, 2011, the company has received acceptance on gross installations that have resulted in additional monthly revenue of $12.5 million as of December 31, 2012 as compared to December 31, 2011. This increase in revenue related to our organic growth is partially offset by total customer churn of $9.3 million in monthly revenue since December 31, 2011.

Gross profit increased $138.9 million, principally as a result of our Fiscal 2012 and 2013 acquisitions. The gross profit percentage increase by nine percentage points primarily as a result of gross installed revenues having a lower component of associated operating costs than the prior period's installed revenue base due to a higher percentage of our newly installed revenue being supported by our owned infrastructure assets (i.e. on-net). The gross profit percentage also benefited from a higher percentage of acquired revenue being on-net and from synergies realized related to our Fiscal 2012 and 2013 acquisitions.

Adjusted EBITDA increased $92.2 million as compared to the second quarter of fiscal year 2012, due to the Adjusted EBITDA contribution from our Fiscal 2012 and 2013 acquisitions, synergies realized from those acquisitions, and organic revenue growth.

Conference Call

Zayo Group will hold a conference call to report fiscal year second quarter 2013 results at 11:00 a.m. EST, February 8, 2013. The dial in number for the call is (800) 773-0519. A live webcast of the call can be found in the Investor Relations section of Zayo's website or can be accessed directly at https://cc.readytalk.com/r/br0gy9s9ytb1. During the call the company will review an earnings supplement presentation that summarizes the financial results of the quarter, which can be found at http://www.zayo.com/financial-earnings-release.

About Zayo Group
Based in Louisville, Colorado, privately owned Zayo Group (www.zayo.com) is a provider of fiber-based Bandwidth Infrastructure and network-neutral colocation and interconnection services. Zayo Group is organized into autonomous operating segments supporting customers who require lit and dark fiber services and carrier-neutral colocation. Zayo Group's business units provide these services over international, national, regional, metro and fiber-to-the-tower networks.

Forward Looking Statements
Information contained or incorporated by reference in this earnings release, in other SEC filings by the Company, in press releases and in presentations by the Company or its management that are not historical by nature constitute "forward-looking statements" which can be identified by the use of forward-looking terminology such as "believes," "expects," "plans," "intends," "estimates," "projects," "could," "may," "will," "should," or "anticipates" or the negatives thereof, other variations thereon or comparable terminology, or by discussions of strategy. No assurance can be given that future results expressed or implied by the forward-looking statements will be achieved and actual results may differ materially from those contemplated by the forward-looking statements. Such statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those expressed or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to, those relating to the Company's financial and operating prospects, current economic trends, future opportunities, ability to retain existing customers and attract new ones, outlook of customers and strength of competition and pricing. In addition, there is risk and uncertainty in the Company's acquisition strategy including its ability to integrate acquired companies assets. Specifically, there is risk associated with the Company's acquisitions of AboveNet, Fibergate, USCarrier, First Telecom and Litecast and the benefits thereof, including financial and operating results and synergy benefits that may be realized from the acquisitions and the timeframe for realizing those benefits. Other factors and risks that may affect the Company's business and future financial results are detailed in the Company's SEC filings, including, but not limited to, those described under "Risk Factors" within the Company's Annual Report on Form 10-K. The Company cautions you not to place undue reliance on these forward-looking statements, which speak only as of their respective dates. The Company undertakes no obligation to publicly update or revise forward-looking statements to reflect events or circumstances after the date of this presentation or to reflect the occurrence of unanticipated events, except as required by law.

This earnings release should be read together with the Company's unaudited condensed consolidated financial statements and notes thereto for the three months ended December 31, 2012 included in the Company's Quarterly Report on Form 10-Q filed with the SEC on February 8, 2013 and the audited consolidated financial statements and notes thereto for the year ended June 30, 2012 included in the Company's Annual Report on Form 10-K filed with the SEC on September 14, 2012.

Non-GAAP Financial Measures

The Company provides financial measures that are not defined under generally accepted accounting principles in the United States, or GAAP, including earnings before interest, taxes, depreciation and amortization ("EBITDA"), Adjusted EBITDA. EBITDA and Adjusted EBITDA are not measurements of our financial performance under GAAP and should not be considered in isolation or as alternatives to net income or any other performance measures derived in accordance with GAAP or as alternatives to cash flows from operating activities as measures of liquidity.

"Adjusted EBITDA" is defined as EBITDA from continuing operations adjusted to exclude transaction costs, stock-based compensation, and certain non-cash or non-recurring items. Management uses EBITDA and Adjusted EBITDA to evaluate operating performance, and these financial measures are among the primary measures used by management for planning and forecasting future periods. The Company further believes that the presentation of EBITDA and Adjusted EBITDA is relevant and useful for investors because it allows investors to view results in a manner similar to the method used by management and makes it easier to compare our results with the results of other companies that have different financing and capital structures.

EBITDA and Adjusted EBITDA have limitations as analytical tools, and should not be considered in isolation from, or as substitutes for, analysis of our results as reported under GAAP. For example, Adjusted EBITDA:

  • does not reflect capital expenditures, or future requirements for capital and major maintenance expenditures or contractual commitments;

  • does not reflect changes in, or cash requirements for, our working capital needs;

  • does not reflect the significant interest expense, or the cash requirements necessary to service the interest payments, on our debt; and

  • does not reflect cash required to pay income taxes.

The Company's computation of Adjusted EBITDA may not be comparable to other similarly titled measures computed by other companies because all companies do not calculate Adjusted EBITDA in the same fashion.

Because the Company has acquired numerous entities since inception and incurred transaction costs in connection with each acquisition, has borrowed money in order to finance operations, has used capital and intangible assets in the business, and because the payment of income taxes is necessary if taxable income is generated, any measure that excludes these items has material limitations. As a result of these limitations, EBITDA and Adjusted EBITDA should not be considered as measures of discretionary cash available to invest in the growth of the business or as measures of liquidity.

In addition to Adjusted EBITDA, management uses Unlevered Free Cash Flow, which measures the ability of Adjusted EBITDA to cover capital expenditures. Adjusted EBITDA is a performance, rather than cash flow measure. Correlating our capital expenditures to our Adjusted EBITDA does not imply that we will be able to fund such capital expenditures solely with cash from operations.

Gross profit, defined as revenue less operating costs, excluding depreciation and amortization, is used by management to assess profitability prior to selling, general and administrative expenses, stock-based compensation and depreciation and amortization.

Consolidated Financial Information
Zayo Group
Consolidated Statements of Operations
Figure 1.2

Consolidated Statement of
($ in thousands)

                                  Three months ended     Six months ended
                                     December 31,          December 31,
                                 --------------------  --------------------
                                    2012       2011       2012       2011
                                 ---------  ---------  ---------  ---------
Revenue                          $ 243,504  $  88,974  $ 473,198  $ 167,417
                                 ---------  ---------  ---------  ---------

Operating costs and expenses
  Operating costs, excluding
   depreciation and amortization    34,888     19,275     67,605     37,425
  Selling, general and
   administrative expenses          73,048     26,059    158,842     48,655
  Stock-based compensation          33,445     10,372     43,926     14,077
  Depreciation and amortization     57,978     19,820    112,478     36,882
                                 ---------  ---------  ---------  ---------
    Total operating costs and
     expenses                      199,359     75,526    382,851    137,039
                                 ---------  ---------  ---------  ---------

Operating income                    44,145     13,448     90,347     30,378
                                 ---------  ---------  ---------  ---------

Other expenses
  Interest expense                 (52,635)   (11,504)  (115,189)   (20,672)
  Loss on extinguishment of debt    (5,707)         -    (70,682)         -
  Other income/(expense), net          224        (19)       809        (29)
                                 ---------  ---------  ---------  ---------
    Total other expense, net       (58,118)   (11,523)  (185,062)   (20,701)
                                 ---------  ---------  ---------  ---------

(Loss)/earnings from continuing
 operations before provision for
 income taxes                      (13,973)     1,925    (94,715)     9,677

Provision/(benefit) for income
 taxes                               6,025      2,994    (21,295)     7,598
                                 ---------  ---------  ---------  ---------

(Loss)/earnings from continuing
 operations                        (19,998) -  (1,069)   (73,420)     2,079

Earnings from discontinued
 operations, net of income taxes         -          -      1,808          -

                                 ---------  ---------  ---------  ---------
Net (loss)/earnings              $ (19,998) $  (1,069) $ (71,612) $   2,079
                                 =========  =========  =========  =========

Zayo Group
Consolidated Balance Sheets
Figure 1.3

Consolidated Balance Sheet
($ in thousands)

                                                December 31,     June 30,
                                                    2012           2012
                                               -------------  -------------
Current assets
  Cash and cash equivalents                    $      97,614  $     150,693
  Trade receivables, net                              84,579         31,703
  Due from related-parties                            10,560            231
  Prepaid expenses                                    13,295          7,099
  Deferred income taxes, net                          25,031          6,018
  Restricted cash                                          -         22,417
  Other assets                                         5,181          4,429
                                               -------------  -------------
    Total current assets                             236,260        222,590

Property and equipment, net                        1,657,791        754,738
Intangible assets, net                               609,435        128,705
Goodwill                                           1,373,733        193,331
Debt issuance costs, net                              91,638         19,706
Investment in USCarrier                                    -         12,827
Deferred income taxes, net                            95,123         30,687
Other assets                                          26,023          9,070
                                               -------------  -------------
    Total assets                               $   4,090,003  $   1,371,654
                                               =============  =============

Liabilities and member's equity
Current liabilities
  Current portion of term loan                 $      16,200  $       4,440
  Accounts payable                                    31,005         16,180
  Accrued interest                                    55,569         10,863
  Other accrued liabilities                          140,679         45,385
  Capital lease obligations, current                   4,380          1,148
  Deferred revenue, current                           44,585         22,940
                                               -------------  -------------
    Total current liabilities                        292,418        100,956

Long-term debt, non-current                        2,819,525        685,281
Capital lease obligation, non-current                  3,610         10,470
Deferred revenue, non-current                        247,681        146,663
Stock-based compensation liability                    97,866         54,367
Other long-term liabilities                           15,029          8,068
                                               -------------  -------------
    Total liabilities                              3,476,129      1,005,805

Member's equity
  Member's interest                                  704,120        388,867
  Accumulated other comprehensive income               4,384              -
  Accumulated deficit                                (94,630)       (23,018)
                                               -------------  -------------
    Total member's equity                            613,874        365,849
                                               -------------  -------------

    Total liabilities and member's equity      $   4,090,003  $   1,371,654
                                               =============  =============

Zayo Group
Consolidated Statements of Cash Flows
Figure 1.4

Consolidated Statements of Cash Flows
($ in thousands)

                                                     Six months ended
                                                       December 31,
                                                    2012           2011
                                               -------------  -------------
Cash flows from operating activities
    Net (loss)/earnings                        $     (71,612) $       2,079
    Earnings from discontinued operations              1,808              -
                                               -------------  -------------
    (Loss)/earnings from continuing operations       (73,420)         2,079
  Adjustments to reconcile net (loss)/earnings
   to net cash provided by operating
    Depreciation and amortization                    112,478         36,882
    Loss on extinguishment of debt                    70,682              -
    Non-cash interest expense                         13,973          1,564
    Stock-based compensation                          43,926         14,077
    Amortization of deferred revenues                (15,947)        (5,688)
    Additions to deferred revenue                     23,336         24,373
    Provision for bad debts                            1,385            314
    Deferred income taxes                            (22,072)         6,631
    Changes in operating assets and
     liabilities, net of acquisitions
      Trade receivables                              (22,111)        (2,773)
      Prepaid expenses                                12,000            441
      Other assets                                    (7,702)          (166)
      Accounts payable and accrued liabilities        50,260        (19,431)
      Payables to related parties, net                (3,660)          (925)
      Other liabilities                                2,280            (69)
                                               -------------  -------------
        Net cash provided by operating
         activities of continued operations          185,408         57,309
                                               -------------  -------------

Cash flows from investing activities
  Purchases of property and equipment               (132,459)       (62,817)
  Broadband stimulus grants received                   6,894          2,798
  Acquisition of Abovenet, Inc., net of cash
   acquired                                       (2,212,492)             -
  Acquisition of FiberGate, net of cash
   acquired                                         (118,335)             -
  Acquisition of USCarrier Telecom, LLC, net
   of cash acquired                                  (15,949)             -
  Acquisition of First Telecom Services, LLC,
   net of cash acquired                             (110,420)             -
  Acquisition of Litecast/Balticore, LLC, net
   of cash acquired                                  (22,177)             -
  Acquisition of 360networks Holdings (USA)
   inc., net of cash acquired                              -       (318,042)
  Arialink, purchase consideration returned              797              -
  Acquisition of Marquis Holdings, LLC, net of
   cash acquired                                       1,875        (15,456)
  Mercury Marquis Holdings, LLC purchase price
   returned                                                               -
  Principal payment received on related party
   loans                                               3,000              -
                                               -------------  -------------
        Net cash used in investing activities
         of continued operations                  (2,599,266)      (393,517)
                                               -------------  -------------

Cash flows from financing activities
  Equity contributions                               341,483            100
  Return of capital                                        -            (46)
  Principal repayments on capital lease
   obligations                                          (581)          (497)
  Principal payments on long-term debt              (886,846)             -
  Payment of early redemption fees on debt
   extinguished                                      (55,997)             -
  Proceeds from issuance of long-term debt         3,024,417        335,550
  Debt issuance costs                                (83,404)        (9,022)
  Advance from Communications Infrastructure
   Investments, LLC                                        -         10,951
  Change in restricted cash, net                      22,412           (361)
  Cash contributed to ZPS (Note 3)                    (7,218)             -
                                               -------------  -------------
        Net cash provided by financing
         activities of continued operations        2,354,266        336,675
                                               -------------  -------------

        Cash flows from continuing operations        (59,592)           467

Cash flows from discontinued operations
  Operating activities                                 3,914              -
  Investing activities                                 2,424              -
                                               -------------  -------------
        Cash flows from discontinued
         operations                            $       6,338  $           -
                                               -------------  -------------

Effect of changes in foreign exchange rates on
 cash                                                    175              -
                                               -------------  -------------
Net (decrease)/increase in cash and cash
 equivalents                                         (53,079)           467
                                               -------------  -------------

Cash and cash equivalents, beginning of period       150,693         25,394
                                               -------------  -------------
Cash and cash equivalents, end of period       $      97,614  $      25,861
                                               =============  =============

Zayo Group
Reconciliation of Non-GAAP Financial Measures
Figure 1.5

Adjusted EBITDA and
 Cash Flow
($ in millions)               Three months ended          Six months ended
                       -------------------------------  --------------------
                        December  September   December   December   December
                          31,        30,        31,        31,        31,
                          2012       2012       2011       2012       2011
                       ---------  ---------  ---------  ---------  ---------
Net earnings/(loss)    $   (20.0) $   (51.6) $    (1.1) $   (71.6) $     2.1
Earnings from
 operations, net of
 taxes                         -       (1.8)         -       (1.8)         -
Interest expense            52.6       62.5       11.5      115.1       20.7
 for income taxes            6.0      (27.3)       3.0      (21.3)       7.6
Depreciation and
 amortization expense       58.0       54.5       19.8      112.5       36.9
Transaction costs            1.6       11.4        1.5       13.0        1.8
 compensation               33.4       10.5       10.4       43.9       14.1
Loss on extinguishment
 of debt                     5.7       65.0          -       70.7          -
Foreign currency gain
 on intercompany loans      (0.1)      (0.6)         -       (0.7)         -
                       ---------  ---------  ---------  ---------  ---------
 Adjusted EBITDA       $   137.3  $   122.6  $    45.1  $   259.8  $    83.1
Purchases of property
 and equipment              58.9       66.7       31.4      125.6       60.0
                       ---------  ---------  ---------  ---------  ---------
Unlevered Free Cash
 Flow, as defined      $    78.4  $    55.9  $    13.7  $   134.2  $    23.1
                       =========  =========  =========  =========  =========

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IoT is rapidly becoming mainstream as more and more investments are made into the platforms and technology. As this movement continues to expand and gain momentum it creates a massive wall of noise that can be difficult to sift through. Unfortunately, this inevitably makes IoT less approachable for people to get started with and can hamper efforts to integrate this key technology into your own portfolio. There are so many connected products already in place today with many hundreds more on the h...
When shopping for a new data processing platform for IoT solutions, many development teams want to be able to test-drive options before making a choice. Yet when evaluating an IoT solution, it’s simply not feasible to do so at scale with physical devices. Building a sensor simulator is the next best choice; however, generating a realistic simulation at very high TPS with ease of configurability is a formidable challenge. When dealing with multiple application or transport protocols, you would be...
Detecting internal user threats in the Big Data eco-system is challenging and cumbersome. Many organizations monitor internal usage of the Big Data eco-system using a set of alerts. This is not a scalable process given the increase in the number of alerts with the accelerating growth in data volume and user base. Organizations are increasingly leveraging machine learning to monitor only those data elements that are sensitive and critical, autonomously establish monitoring policies, and to detect...
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settl...
In his session at @ThingsExpo, Dr. Robert Cohen, an economist and senior fellow at the Economic Strategy Institute, presented the findings of a series of six detailed case studies of how large corporations are implementing IoT. The session explored how IoT has improved their economic performance, had major impacts on business models and resulted in impressive ROIs. The companies covered span manufacturing and services firms. He also explored servicification, how manufacturing firms shift from se...
DevOpsSummit New York 2018, colocated with CloudEXPO | DXWorldEXPO New York 2018 will be held November 11-13, 2018, in New York City. Digital Transformation (DX) is a major focus with the introduction of DXWorldEXPO within the program. Successful transformation requires a laser focus on being data-driven and on using all the tools available that enable transformation if they plan to survive over the long term. A total of 88% of Fortune 500 companies from a generation ago are now out of bus...
The Jevons Paradox suggests that when technological advances increase efficiency of a resource, it results in an overall increase in consumption. Writing on the increased use of coal as a result of technological improvements, 19th-century economist William Stanley Jevons found that these improvements led to the development of new ways to utilize coal. In his session at 19th Cloud Expo, Mark Thiele, Chief Strategy Officer for Apcera, compared the Jevons Paradox to modern-day enterprise IT, examin...
IoT solutions exploit operational data generated by Internet-connected smart “things” for the purpose of gaining operational insight and producing “better outcomes” (for example, create new business models, eliminate unscheduled maintenance, etc.). The explosive proliferation of IoT solutions will result in an exponential growth in the volume of IoT data, precipitating significant Information Governance issues: who owns the IoT data, what are the rights/duties of IoT solutions adopters towards t...
Amazon started as an online bookseller 20 years ago. Since then, it has evolved into a technology juggernaut that has disrupted multiple markets and industries and touches many aspects of our lives. It is a relentless technology and business model innovator driving disruption throughout numerous ecosystems. Amazon’s AWS revenues alone are approaching $16B a year making it one of the largest IT companies in the world. With dominant offerings in Cloud, IoT, eCommerce, Big Data, AI, Digital Assista...
Organizations planning enterprise data center consolidation and modernization projects are faced with a challenging, costly reality. Requirements to deploy modern, cloud-native applications simultaneously with traditional client/server applications are almost impossible to achieve with hardware-centric enterprise infrastructure. Compute and network infrastructure are fast moving down a software-defined path, but storage has been a laggard. Until now.