Greasing the wheels of Web commerce

April 2, 2001, 04:19 PM —  Computerworld — 

Few start-ups are talking about getting funding these days, much less going public. Web site analysis tool vendor Watchfire Corp. is a happy exception.

Having raised $25 million in venture capital financing in January, Watchfire is "pushing ahead full-steam" to become profitable by the end of the year and go public at about the same time, says Michael Weider, founder, president and CEO of the Kanata, Ontario-based company.

Why so optimistic? Because in a slowdown, the Global 2,000 companies that make up more than 80% of Watchfire's revenue are concerned with getting the most out of their existing Web sites, according to Weider.

"The last five years, the focus has been on building the infrastructure," he says. "Now the focus is on, how do we make it work?"

Watchfire Corp.

Location: 1 Hines Road, Kanata, Ontario K2K 3C7

Telephone: (613) 599-3888

Web: www.watchfire.com

Niche: Monitoring the integrity and accessibility of Web site content

Why it's worth watching: Watchfire's products promise to maximize a Web site's return by improving its accessibility.

Company officers: Michael Weider, president, CEO and founder Russ Jones, chief financial officer

Milestones: May 1996: Company founded November 1996: Linkbot released December 1999: Received $13 million in first-round funding October 2000: Launched Watchfire Enterprise Solution January 2001: Received $25 million in second-round funding

Employees: 150; growing at 300% annually

Burn money: $38 million in two rounds from Goldman Sachs & Co., Polaris Venture Partners Inc., BancBoston Ventures, Kodiak Venture Partners and others

Products/pricing: Watchfire Enterprise Solution begins at $5,200; Metadata Management System starts at $5,200.

Customers: Lockheed Martin Corp., Motorola Inc., Yack.com, The McGraw-Hill Cos., Lucent Technologies Inc. and others

Partners: Vignette, Ingram Micro Inc., Allaire Corp. and Gomez Inc.

Red flags for IT: Products are limited to examining Web site content integrity. Managers who don't want another monitoring tool to manage may find competitors' services more attractive.

Working the Web

Watchfire offers two main products. Its Enterprise Solution lets administrators create "spiders" that constantly crawl through Web sites searching for more than 50 types of content problems, such as broken links between pages and forms that don't work.

The Enterprise Solution comprises the Linkbot Enterprise Server, which stores data about Web site performance and delivers it in customized reports; the Linkbot Developer Edition, which makes the scanned data available to developers who can troubleshoot and fix the problems; and the Macrobot, Watchbot and Linkbot tools, which scan Web sites looking for broken links.

Watchfire's Metadata Management System helps Web administrators analyze and manage metadata about their sites, making it easier to organize and search Web sites. It's currently running on Web sites with as many as 5 million pages and 5,000 servers, says Weider.

Several customers praise Watchfire's ease of use, flexibility and scalability. Yack.com Inc., an online guide to Web-based events such as chat sessions and celebrity appearances,

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