Oxford Networks to invest $5M in Brunswick data security startup

Resilient Tier V President and Chief Scientist Charles Largay (left) chats with Oxford Networks CEO Craig Gunderson (right) in one of the rooms the startup is building on Wednesday, Sept. 21, 2011.
Resilient Tier V President and Chief Scientist Charles Largay (left) chats with Oxford Networks CEO Craig Gunderson (right) in one of the rooms the startup is building on Wednesday, Sept. 21, 2011.
Posted Sept. 28, 2011, at 12:01 a.m.
Print this   E-mail this    Facebook this   Tweet this     
Oxford Networks CEO Craig Gunderson (left) and Resilient Tier V President and Chief Scientist Charles Largay stand in one of the secure records rooms at the startup's headquarters in the former Brunswick Naval Air Station on Wednesday, Sept. 21, 2011.
Oxford Networks CEO Craig Gunderson (left) and Resilient Tier V President and Chief Scientist Charles Largay stand in one of the secure records rooms at the startup's headquarters in the former Brunswick Naval Air Station on Wednesday, Sept. 21, 2011.

BRUNSWICK — Two Maine companies — one an established telecommunications firm, the other a data security startup — have teamed up on an innovative deal that will enhance their, and the state’s, technology future.

Oxford Networks of Lewiston and Brunswick-based Resilient Tier V said the $5 million deal will speed up the build-out of the startup’s data center at the former Brunswick Naval Air Station, while expanding the offerings the telecom provider can make to its 12,000 existing customers — and to future ones.

Oxford and its investors have entered into an agreement with Resilient to invest $5 million to move the companies’ plans forward, explained Craig Gunderson, Oxford CEO. “We’re tremendously excited about it. We see what it does for Maine, what it does for Oxford, what it does for our customers.

“It’s a catalyst for Maine being more and more recognized as a real technology player,” he added.

Oxford Networks will be Resilient’s second-largest shareholder. Overall, said Charles Largay, president and chief scientist at Resilient, startup costs for the company are more than $12 million. Aside from the Oxford funding, investment comes from several partners and from Largay and his wife, Maureen Largay, Resilient’s CEO and primary owner.

The Largays opened Resilient’s doors this spring, taking advantage of two ultra-secure buildings on the former Navy base for their plans to build a secure data storage and disaster recovery business.

“We have this very secure data center, our customers are out there at the edge doing whatever they’re doing, and we need to connect securely,” said Maureen Largay. “That’s key — being able to have a network that we can really maintain, control, understand. And Oxford’s got an awesome offering.”

Gunderson said Oxford’s customers have been pushing the company for more services beyond providing the telecommunications fiber network. The customers were looking for data center services, cloud computing services — even disaster recovery solutions, which would allow a company to begin operations quickly after anything from a fire to a flood.

A strategic fit

Oxford’s strategic plan called for the company to begin offering those services. But with Resilient’s entry into the state, the companies began to explore a partnership.

“It’s an incredibly strategic fit, in terms of allowing us to do what our customers are asking us to do,” said Gunderson.

The two have entered into multidecade agreements. Through Resilient, Oxford will be able to offer disaster recovery services for its customers. Resilient will secure Oxford’s network and develop monitoring applications so customers can store data at the former base and keep track of it. In addition, Oxford will keep its own data backed up at Resilient, making the telecom company even more secure.

While the Largays and their partners have extensive contacts in the government and Fortune 500 worlds, this partnership will allow Resilient to work with a telecom network it trusts and to open up the market of Maine-based companies and their data, as well.

“We’re putting it in a place that was a national security asset, that handled some of the most confidential, most secure information,” Charles Largay said of the former naval base. “We’re taking a Fortune 50 solution and we’re making it available to the small and medium businesses in the state of Maine — at a cost-competitive, value-priced level.”

For the Largays, opening Resilient in Brunswick represented more than a new business opportunity. It was also a homecoming.

The Largays have been married for 30 years. He grew up in Bath; she in Bar Harbor. Charles Largay earned his degree at Bowdoin College and studied engineering at the University of Maine; Maureen Largay earned her business degree at UMaine. The two have long careers in data systems.

Before leaving to start Resilient, he spent 16 years at IBM where he largely focused on network-centric operations and crisis management. She was at IBM for 15 years, with work on data systems including projects for Boeing Data Systems, Space Shuttle Mission Safety and end-to-end testing of the data infrastructure systems for the 1996 Summer Olympic Games.

Charles Largay said he began talking about using former secure military base buildings for data centers back in 2003, when the latest round of base closings began to be discussed. He proposed the idea at IBM, but the company decided against it. In talking about the idea with his friend and mentor, who was then the chief operating officer at IBM, Largay decided to pursue the business plan with Maureen as a startup. They left IBM in late 2007.

Reusing military assets

A few factors drove the plan, said Charles Largay. One was physical assets, the military buildings, that would be coming onto the market. For relatively cheap prices, Resilient was able to enter into a 30-year lease at the former BNAS.

The buildings are essentially bomb-proof, with bunkers built up on the outside, high-tech biometric security inside and room after room secured with blast-proof doors, vaults, filing cabinets and other measures.

“You could run a loaded 737 into the building,” said Charles Largay. “You’d notice it, but you’d still be here.”

In addition, the Brunswick site is not in the typical path for major hurricanes. Generally speaking, there’s little seismic activity and, should there be some major catastrophic event, it is away from major metro areas.

Because of their former mission, the buildings have heavily redundant air-heating-power and communications systems. There are more fiber optics coming into the building than IBM has at its massive data center in Connecticut, said Charles Largay, and that’s going to increase over the next year.

The company has leased 66,000 square feet at the former BNAS. It employs 33 people now and plans to be at more than 124 within a year.

Another factor was that Charles Largay, through his military work for IBM, was privy to the “raging cyberwar that’s been going on, that most people don’t see.”

“It impacts most business, most people. These aren’t onesies or twosies or college kids in rooms — these are organized attacks either by nation-states or by crime syndicates, and they are on a scale that people can’t even imagine,” said Charles Largay. “It is all cross-linked to the war on terror.”

That, he said, drives the need for cyber-security.

The company hopes to offer not only secure data storage but also complete disaster recovery options. A company’s leadership team could easily be evacuated from a natural disaster or geopolitical schism, loaded onto a plane and flown right to the runway at the former BNAS. The firm’s data already would be at Resilient, and the company has vast space for such a team to work at temporarily and securely. And there’s nearby base housing, and even a hotel, on the former base where the team could live.

Resilient is also building mobile data servers, enclosed in composite shells made by the company, to place at customers’ sites. Complete with generators and satellite communications, these boxes are like “slices of the data center,” said Maureen Largay, to be placed at some customer sites. If there’s a disaster — say, an ice storm cuts out power and telecom — the boxes will kick in, allowing a client to keep operating.

The company is aimed at vertical markets including federal, state and local government, the defense and intelligence communities, health care and insurance, logistics, energy and legal compliance.

“Every one of those industries is driven by regulation and the need to keep the information secure and private,” Charles Largay said.

The idea behind Resilient is that it’s replicable. Particularly after the Brunswick site is set up, the company can easily move into similar, secure ex-military buildings and recreate the operations. The Loring Commerce Center is a consideration, said Charles Largay. The former air base in Limestone is on a separate power grid from the rest of New England, making it attractive.

All in all, the company has identified five other sites that it may want to acquire should the plan prove successful.

“But this will be headquarters. This is home. It took me 30 years to get back here,” Charles Largay said.

Similar articles:

Marketplace News

Marketplace

Guidelines for posting on bangordailynews.com

The Bangor Daily News encourages comments about stories, but you must follow our terms of service.

In brief:

  1. Keep it civil and stay on topic
  2. No vulgarity, racial slurs, name-calling or personal attacks.
  3. People who harass others or joke about tragedies will be blocked.

The primary rule here is pretty simple: Treat others with the same respect you'd want for yourself. Here are some guidelines (see more):

  • Anonymous

    Great glad to see all these business coming to maine again. seem like that slightly low income tax level seem to help that process. Good job to all involved. 

  • Anonymous

    I think the took out the internet buzzword dictionary and used every word in it they could find.  A lot of words that don’t mean a whole lot.  Nothing new here, maine has several secure data centers now.  

  • http://pulse.yahoo.com/_FAFPBUNT45MDVT46IWVGOEDQLQ Thomas

    More jobs, more economic development for Cumberland County.  And my God, they don’t even have a casino.  Wake up Bangor!  Our priorities are warped!

  • http://twitter.com/bdnbiz Matt Wickenheiser

    Interesting – Such as?

  • Anonymous

    I’m glad to see it too but doubtful that they have low taxes- its much more likely that they have no taxes as they are obviously ideally suited for the legislature’s “targeted sector” -the special interest faction which gets tax perks and other benefits, paid for by the “un-targeted sector” and the general tax payer.

    With 2009′s transformation of the Pine Tree Zone into a state wide program targeting companies that employ 250+, this company probably gets an 80% payroll tax credit as well- which someone- ie, the un-targeted sector, will have to pay, being that payroll taxes pay for real expenses, leaving the un-targeted sectors to pay their “full share” of their own payroll tax and their “fair share” of the targeted sector’s payroll tax.

    Maine is not a low tax state – it is a no tax state for those that the legislature deems as desirable businesses, with that burden being dumped on the rest of the economy which is taxed without being represented.

    It sounds like this business had a lot of reasons to chose this location without the tax exemptions being offered to the special interests favored by our legislature. I wish Maine were a low tax state- low taxes for all- as opposed to a no tax state for the ones favored by our government.

    From this article, it sounds like the company is privately invested, which is a relief, if it is true.

  • PaulNotBunyan

    and some buzzwords aren’t there that would mean a lot. The cost of bringing bandwidth into Maine was the biggest problem I saw a few years ago. They’re talking about services that can be bandwidth intensive so I guess they’ve made some advances in that area. Believe me, it’s no fun at all when you have to ship your servers out to be installed at a data center in another state.

  • Anonymous

    How many jobs are created?  Server Farms usually only employ 1 -3 people, they pretty much run on automatic and can be monitored remotely.   I am not saying this is a bad thing, overall any investment that takes place in Maine is a plus, this just seems much ado about nothing.  

    An economic impact study passed out to the Maine Legislators yesterday shows that the cable industry employs over 1,700 workers in Maine, and  has invested $289.4 million in the last 4 years – $45.4  million in 2010 alone – in Maine.  

    Oxford Networks invests $5 million and it makes front page.

  • Anonymous

     catalyst….ultra-secure …. cloud computing….disaster recovery solutions…..strategic fit…..monitoring applications….national security asset…..cost-competitive….value-priced ….network-centric ….crisis management….biometric security….raging cyberwar…war on terror…geopolitical schism…vertical markets….replicable – - all tools of a good salesman

  • http://twitter.com/bdnbiz Matt Wickenheiser

    As the article states – it currently has 33 employees, and plans to have more than 124 employees by this time next year. Which would be more than the building had working there when it was Navy – Tks – Matt

  • http://twitter.com/bdnbiz Matt Wickenheiser

    I’d argue they’re also the words of a modern business; Maybe Maine is more associated with words like sawmill, trawler, pulp, bobbins, etc. – but the economy has shifted, continues to shift, and we can’t rely solely on what has been our strong points in the past.

  • Anonymous

    That’s great!  I wish them success!

  • Anonymous

    Looks like we need a new dictionary as well!  

  • Anonymous

    Unless this company decided to turn down the benefits that our legislature is granting it via the Pine Tree Zone-The more workers they employ- the greater the payroll tax burden on that sector of the economy that is excluded from the “targeted sector”- and so every job created in “the targeted sector” drives out the “un-targeted sector” through the increased taxation without representation that the CEO’s of our corporate state are relegating unto them. When the un-targeted sector leaves the state, who then will pay the payroll taxes?- the property owners perhaps?

  • Anonymous

    I wonder if the facility is protected against an EMP, my bet is probably not.  Within the next 20 years, I predict that someone will set off an EMP that will wipe out all electronics as we know them.  Relatively simple methods can protect electronic equipment and data but very few facilities have taken the steps necessary to protect themselves.  I doubt that a miltary facility that was built decades ago would have taken this into consideration…but who knows

  • Anonymous

    I wonder if the facility is protected against an EMP, my bet is probably not.  Within the next 20 years, I predict that someone will set off an EMP that will wipe out all electronics as we know them.  Relatively simple methods can protect electronic equipment and data but very few facilities have taken the steps necessary to protect themselves.  I doubt that a miltary facility that was built decades ago would have taken this into consideration…but who knows

  • Anonymous

    I wonder if the facility is protected against an EMP, my bet is probably not.  Within the next 20 years, I predict that someone will set off an EMP that will wipe out all electronics as we know them.  Relatively simple methods can protect electronic equipment and data but very few facilities have taken the steps necessary to protect themselves.  I doubt that a miltary facility that was built decades ago would have taken this into consideration…but who knows

ADVERTISEMENT | Grow your business

Marketplace Coupons

ADVERTISEMENT | Grow your business