Cloud-based contact centers are an active space. Here’s an opportunity to get up to speed with the developments.
Sramana Mitra: Let’s first introduce yourself to the audience as well as what you do in the company.
Mike Burkland: I’m the CEO of Five9. I joined here as CEO back in January, 2008 – over six years ago. Five9 was founded in 2001. We’re a leading pure cloud software provider to the call center market or, as we refer to it today, the contact center market. Five9 has over 2,000 businesses as clients. They run their contact centers on our cloud solution. They actually process, on an annual basis, about 3 billion customer interactions across the Five9 platform. When I joined, we were about $10 million in revenue. Now, >>>
Sramana Mitra: You are more of a service side?
Danny Yu: It was a network analysis product. By helping companies solve problems with networking, it gets us to understand the problem better because a test company has to understand the test cases. What effectively happened is we gathered all these expertise across all these different applications about what problems we need to solve at a system level to enable all these applications to work together. The company shifted to being the solutions platform company. The company then picked the lowest-hanging fruit of vertical application to go after, which was commercial lighting.
Sramana Mitra: I think the process that you’ve outlined is a very effective process. I’ve seen case study after case study where people have been successful in doing this. That’s to take some existing product that’s in the market, start selling and do some sort of a value-added reseller or system integration kind of partnership. That enables entrepreneurs to get close to customers, learn their problems, and then productize and build IP based on that knowledge. You’ve very clearly articulated a process that absolutely works. It’s a tried and true proven process.
Phil Copeland: I couldn’t agree more. I’ve run through this talk a few times. There’s a time and place too for getting venture-backed businesses, but I have to say that some of the worst disasters I’ve seen in businesses starting up are companies that have had too much money to start with. There was a classic company in Australia in the early 2000s that was backed by two really first-class >>>
Danny Yu: We have one application in retail. It’s a restaurant chain. They actually use a temperature sensor to detect whether or not their freezers have stayed cold. The reason why they do that is because if the power goes out and they’re not able to monitor and track the temperature of the freezer; then as per Federal Regulations, they have to throw out their food. That’s thousands of dollars. In this case, the sensors are located near the freezer.
Sramana Mitra: Double-clicking one more level down, how does a sensor pick-up occupancy? Temperature is easier.
Sramana Mitra: What did you do after that?
Phil Copeland: There were a lot of lessons learned out of that. First of all, the original business was self-funded and was grown out of cash flow. Spot On was my first venture capital-based business, and it was also started in San Francisco. That was a really interesting experience. After that, I returned with my family to Sydney and once again, spent a bit of time wanting to start another technology business. I wanted one that was self-funded because after the dot-com boom, it was much harder to raise capital. Frankly, I was looking for a new idea for business that we could self-fund. It needed to earn money pretty much from the outset. >>>
Enterprise Internet of Things is getting a lot of hype these days. I sat down with Danny Yu, CEO of DainTree, a company that is actually selling an energy management solution for controlling the energy usage at commercial facilities. Very interesting window into a segment of the industry that is likely to create a couple of very large companies.
Sramana Mitra: Let’s start with a bit of context for our audience. Tell us about you and the company.
Danny Yu: DainTree is a provider of smart building control and energy management solutions. What we bring to our industry is the simplification of building energy management, which allows for tremendous energy and operational cost reduction and simplification of how enterprises run their business.
Phil Copeland: I had started that business from home. My wife was working at that time and it was self-funded. Five or six years later, I think we had about 70 or 80 employees. We’ve become established as one of the significant distributors and service providers around client server computing in the Asia Pacific region. In 1996, we were acquired by a large US software company Open Environment Corporation, which had recently listed on NASDAQ. They were looking for a business partner and a base to establish their Asia Pacific operation as well as acquire some of the products that we built along the way. That was my first exit from a company. In fact, the irony of that story was that six months later, I stepped in as the acting CEO of Open Environment for a year during its sale to Borland. >>>
Phil bootstrapped Avoka using services around an Adobe product, and then developed core IP and a product of his own at Avoka. The methodology is tried and true, and worth learning from.
Sramana Mitra: Let’s start with the beginning of your story. Tell us where you’re from, where you were born and raised, and in what kind of circumstances.
Phil Copeland: I was born in Sydney, Australia in 1958. I attended school in Australia and studied Architecture in the late 70s and graduated in the early 1980s. People of my generation had little computer education at school and even at universities. My first exposure to computing was when I was writing my thesis on passive solar design. >>>