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Transfer Spotlight: SynapSense

Planet Profit Report logoJanuary 03, 2011

Bringing data center monitoring out of the Dark Ages

By Amanda C. Kooser

COMPANY: SynapSense, www.synapsense.com, Folsom, CA

FOUNDED: 2006

DATA CENTERS AND ENERGY: It takes a lot of muscle to keep the computing world running. All those machines in data centers across the globe require power, temperature control and environmental maintenance. That takes energy. Lots of it. Historically, data centers have used a few wired instruments that gives off alerts when an issue such as overheating occurs. SynapSense makes that kind of technology look like the Dark Ages. The company is commercializing a wireless data center monitoring and management solution that can reduce energy use by up to 20 percent.

THE TECHNOLOGY: SynapSense president and CEO Peter Van Deventer has positioned his company at the leading edge of what he calls the third wave of wireless. First, it was cell phones. Then, it was technologies like Wi-Fi. The third wave is about replacing wired instruments with wireless ones. "We develop complete hardware and software solutions that are the tools that help optimize data center facility operations," says Van Deventer. "The net result of our product is it gives you the ability to fine tune the facility operation and keep it fine tuned on a regular basis." The company's solution involves deploying wireless sensors around a data center that track parameters like energy consumption and cooling. An active control system component can automatically adjust to real-time needs such as throttling up the air conditioning to cool off hot servers. It takes the guesswork out of running a data center.

THE PLAYERS: Van Deventer joined up with co-founder Dr. Raju Pandey to launch SynapSense. Van Deventer provides international business experience that includes a decade with Intel. Pandey led the development of the wireless sensor network technology that is the basis for the company while at the University of California at Davis. "He had the technology piece and I had the marketing and operations piece. We got together, got funded and haven't looked back since," says Van Deventer.

MARKET SMARTS: SynapSense's technology has the potential to address a lot of different markets. The company settled on power hungry data centers as its focus. "We sized the market opportunity for the products we sell in the range of $6 to $7 billion," says Van Deventer. The wireless nature of the SynapSense solution means that hundreds or thousands of sensors can be installed while allowing flexibility to move equipment around. "We have invested a significant amount in turning that data into business intelligence. You can start saving energy very rapidly. That quick return on investment is a big plus," says Van Deventer. SynapSense's technology has already been adopted by Facebook, NBC, IBM, Stanford University and GE, among others.

FUNDING: SynapSense has raised a total of $25 million in funding. Investors include heavy hitters like Sequoia Capital, Bosch and GE.

THE FUTURE: Van Deventer expects SynapSense's new active control system to be a big product line in 2011. "That is the future of data center operations," he says. The company is busy working on ways to tie its system more closely into IT infrastructure, right down to the fans and heat sources on servers. "One of the fun things about what we do is we are inventing every day. Not many companies get to say that," says Van Deventer.


About Amanda C. Kooser

Amanda C. Kooser is a freelance writer in Albuquerque, N.M. with over a decade of experience covering small business, technology and Southwestern regional topics. She is a regular contributor to the New Mexico Business Weekly, Restaurant Business Magazine and AOL Small Business.