Top 10 tech startups for 2008

By Bill Snyder, InfoWorld |  Business Add a new comment

There are few clearer bellwethers as to the imminent direction of technology
than where venture capitalists put their money. They're about making money,
so they look for industry patterns they think will lead to sure bets. And that
means they invest where the tech industry has begun to coalesce its thinking,
not on exotic new science fiction. According to PricewaterhouseCoopers, VCs
have invested a
total of US$57 billion
in startups -- mostly tech ones -- in 2005, 2006,
and 2007.

InfoWorld also tracks tech startups but through a different lens. Our concern
isn't about a financial investment but about real technology innovation -- what
will drive technology forward in ways that could revolutionize some aspect of
business IT? That's why for the third year, we have selected the hottest technology
startups, with the emphasis on "technology." What did we seek? At
least one of three qualities: truly new technologies, innovative approaches
within existing technology areas, and technologies applied in new ways to solve
different problems.

Here are our winners for 2008, in alphabetical order.

_______________

Hot Tech Startup: Aerohive Networks

Founded: 2006

Tech breakthrough: A centrally managed wireless network built around
a controllerless architecture that can scale to thousands of access points.

Business problem addressed: As wireless networking becomes more central
to the enterprise, wireless LANs need to become much faster, more scalable,
and more resilient at a reasonable price point. By incorporating authentication,
access control, and other functions into the access point, Aerohive promises
greater flexibility and lower deployment costs than controller-based wireless
LAN solutions.

What the technology does: There's long been a gap between so-called
fat and thin access points in the world of wireless LANs. The earliest wireless
LANs, in which fat (aka intelligent) access points handled every facet of communication
between the client and the network, were quickly supplanted by a different configuration
-- thinner (aka dumb) access points managed by a centralized controller. That's
the architecture in general use today, and most IT staffers would assume that
it's a given. Vendors have beefed up the intelligence of access points over
the years, enabling them to carry out an increasingly sophisticated range of
marching orders -- but those marching orders continue to come from a wireless
LAN controller. Enter Aerohive, which has developed a hybrid architecture that
features intelligent, linked access points without the use of an expensive controller.
Even without that hardware, Aerohive offers centralized management, and the
company says its Cooperative Control Wireless LAN Architecture can scale to
thousands of access points. Furthermore, the decentralized architecture reduces
the number of failure points. Aerohive access points are more expensive than
conventional access points, but because there's no controller to pay for, the
total cost of the network is lower, the company says.

How the technology works: The control element of the network, which
has lived in the controller for the past few years, goes back into the access
point, which Aerohive calls a HiveAP. Simply stated, a hive is a network of
access points, generally in the same building. Each access point is aware of
the other access points in the network.

Along with distributed control comes fully distributed data, allowing the HiveAP
to route data directly to a desired destination without sending it first through
a controller. How does this work in practice? When a client logs into the network,
the access point builds a quick profile, including its identity, permission
rights and so on, using a technology Aerohive calls predictive roaming. Predictive
roaming is really an educated guess about which access point a client is likely
to access next. When it makes that guess, the access point passes the client's
profile on to a number of nearby access points, which are then ready to accept
the client without dropping the signal.

Forward spin: Aerohive expects to ship 802.11n products in July.

_______________

Hot tech startup: Cohesive Flexible Technologies

Founded: 2006

Tech breakthrough: Software that builds a base image of a server and
reformats it into a chosen virtualization configuration without first building
a physical server.

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