Category: San Antonio (Page 40 of 62)

San Antonio’s Startup Catalyst Geekdom Celebrates Its First Year

Graham Weston and Nick Longo, co-founders of Geekdom

Graham Weston and Nick Longo, co-founders of Geekdom

A year ago, Graham Weston and Nick Longo created Geekdom to build a startup community in San Antonio.
“We wanted to put entrepreneurs and geeks together and watch the sparks fly,” said Weston, chairman and founder of Rackspace and co-founder of Geekdom.
“It way exceeded our expectations,” Weston said.
Geekdom is now the state’s largest co-working space and technology incubator with 500 members occupying 45,000 square feet at the Weston Centre downtown.
“We’re adding 40 members a month every month,” Weston said. “We look forward to doubling again next year.”
On Wednesday, hundreds of people turned out to celebrate Geekdom’s one-year anniversary at the Weston Centre downtown. The Spazmatics band entertained the crowd along with Comedian Steve Trevino. At the party, Geekdom showed off its new Geekbus, which SparkEd’s Louie Pacilli heads up. Starting in January, he will visit area
The Spazmatics entertain the crowd at Geekdom's 1st Anniversary Party.

The Spazmatics entertain the crowd at Geekdom’s 1st Anniversary Party.

schools three times a week in the bus to teach technology skills. Geekdom also provided tours of the co-working site. And rides on a mechanical bull.
SparkEd Director Louie Pacilli with the Geekbus, which will start visiting local schools in January.

SparkEd Director Louie Pacilli with the Geekbus, which will start visiting local schools in January.

In just a year, Geekdom has helped more than 50 startup companies.
“We really think Geekdom can create a heartbeat for the technology community in San Antonio,” Weston said. “So many people believed that Geekdom wouldn’t work in San Antonio. Little did we know there was so much pent up demand for a place for the geek community to come together to rally around.”
IMG_0064Geekdom has become the place where technology entrepreneurs connect and collaborate, said Nick Longo, mentor-in-chief, cofounder and executive director of Geekdom. He joked that he started the site so he could live vicariously through the startups and founders.
“In my mind, I’ve done 200 startups,” Longo said. “It hasn’t cost me a dime. I don’t have to guess about the future. I have a bright outlook that I’m going to succeed.”
In reality, Longo has helped mentor dozens of companies at Geekdom during its first year. He’s also volunteered at 3 Day Startup and he has spent countless hours consulting with startup founders. Geekdom has held more than 220 tech events and programs so far including SparkEd, a weekend program which teaches at-risk middle school students how to build a robot, program it, build a business and a website.
Geekdom also recently created a video and sound studio on its 10th floor. It also has a 3-D printer and other equipment in its Makers Lab focused on robotics and circuit work on the 11th floor. And early next year, Geekdom will open the Open Cloud Academy on the 6th floor to train and certify military veterans and the public to become system administrators.
Geekdom is a magnet that’s drawing people from all over the state interested in
Nick Longo and Graham Weston, co-founders of Geekdom with visiting Texas A&M students.

Nick Longo and Graham Weston, co-founders of Geekdom with visiting Texas A&M students.

technology and startups, said Shelly Brenckman, marketing director for Startup Aggieland. She drove from College Station with four Texas A&M students for the Geekdom party. They spent the night at the Hyatt Regency on the Riverwalk. The trip was all worth it because the students got to meet and talk with Weston, a graduate of Texas A&M and highly successful businessman, and visit Geekdom, Brenckman said.
“Everything we’ve done at Aggieland Startup, we’ve modeled after what Geekdom has done,” Brenckman said.
Weston is changing the landscape of Texas technology and education, Brenckman said.
“I don’t think people realize how much Graham is doing to help Texas,” she said.
Geekdom has also expanded to San Francisco and will open that site in April, Longo said. And it’s eyeing expansion into Asia, South America and Europe.
“We’re considering other cities as well,” Weston said. “I think the exciting thing is that so many people have heard the name Geekdom and they know just a little about it. Yet it resonates so quickly they want to be a part of it.”
Other cities have approached Weston about establishing a Geekdom in their communities.
Stacey and Paul Ford at Geekdom's 1st Anniversary Party

Stacey and Paul Ford at Geekdom’s 1st Anniversary Party

“It’s really the pioneer of open ideas,” Weston said. “Everyone is working on different things but everyone around you at Geekdom wants you to succeed. They will take the time to help you.”
Geekdom is about going from an idea to a fundable startup, Weston said. To support that, Geekdom offers a fund, which invests $25,000 in startups. Every month, a board meets to review the applications and interview the entrepreneurs.
“A number of companies that have been started are from former Rackers,” Weston said. “Geekdom has been part of helping them realize their entrepreneurial dream.”
The Geekdom process has happened naturally, Weston said. It’s a supportive, collaborative environment and company founders can learn and grow with the help of seasoned mentors. The entrepreneurial process is not easy, but it can be rewarding.
“It’s exciting to be in charge of your destiny,” Weston said.
Vid Luther, founder of ZippyKid

Vid Luther, founder of ZippyKid

ZippyKid’s CEO and Founder Vid Luther would agree with that statement. He moved his company into Geekdom when it opened. He had five employees. Today, he has 10 employees.
“It’s just a cool working space from ZippyKid’s perspective,” Luther said.
For the community, Geekdom has served as a catalyst to bring together the city’s technology industry and to put a spotlight on all that’s going on here.
“A lot of people didn’t realize how much technology talent was here until Geekdom,” Luther said. “I think Geekdom is a movement and people will remember this as what made San Antonio show up on the nation’s technology map. This is just a start.”
Paul Ford, vice president at Soft Layer, agreed.
“This is the new style of doing business and Geekdom has been at the forefront of the technology movement in San Antonio,” Ford said. “It’s remarkable what they accomplished in a year.”
Rebecca Schenker, an architect with a self-described geeky side, joined Geekdom last Spring because she liked the community.
“I like the idea of having a place where you can be a part of something bigger,” she said. “It’s fun and it’s educational.”
Louie Pacilli of SparkEd, Dan Garcia and Jon Dobbertin, co-founders of CallGrader and Patrick Deuley with Geekdom

Louie Pacilli of SparkEd, Dan Garcia and Jon Dobbertin, co-founders of CallGrader and Patrick Deuley with Geekdom

Jon Dobbertin and Dan Garcia, two of the co-founders of CallGrader, which just completed the DreamIt incubator program in Atlanta attended the party and credited Geekdom for helping the company get off the ground.
“For us, Geekdom was the starting point,” Dobbertin said. “We moved in last December and we were one of the first companies based there. It helped us immensely. It’s definitely a great catalyst.”
Being around other startups and like-minded people helped a lot, Garcia said.
Jeremy Karney and Zac Harris of Monk's Toolbox

Jeremy Karney and Zac Harris of Monk’s Toolbox

Monk’s Toolbox, a software start which automates the back end of breweries, just recently moved into Geekdom following its formation at 3 Day Startup.
“Geekdom’s about mentorship, collaboration and camaraderie,” said Zac Harris, Chief Monk. “It’s probably one of the best things to happen in my career trajectory. It’s a breath of fresh air for San Antonio.”

Geekdom is a sponsor of Silicon Hills News

UTSA CITE Competition Creates New Student Tech Startups

By ANDREW MOORE
Reporter with Silicon Hills News

Lapara Medical beat five teams to win first place at the University of Texas at San Antonio biannual $100,000 Student Technology Venture Competition.
The Lapara Medical team includes business majors Warren Norket, Shelbi Chrislip and Duncan Hughes, and engineering majors Richard Canty, Adam Daufen, Luis Davila and Justin Ernest.
“We thought we had a really good chance of winning, but there was some healthy competition,” Daufen said.
Lapara Medical created a prototype for a laparoscopic cooling system for kidney surgeries. The system is more effective and less invasive than the current method, which involves making a large incision in the patient and placing ice packs next to the organ. The student’s laparoscopic device requires much smaller half-inch incisions, cools the organ more easily, and keeps the organ at a more consistent temperature — allowing surgeons a larger window of time to operate without risking damage to the organ. It also results in less scarring, less pain, and a shorter hospital stay.

Lapara Medical Team: From left: Justin Ernest, Adam Daufen, Richard Canty, Luis Davila, and advisor Yusheng Feng

UTSA engineering students Davila and Canty designed the device with the help of Yusheng Feng – who runs the Computational Bioengineering and Control Lab at UTSA. The students worked on prototypes for more than a year.

Lapara Medical Team Members – From left: Duncan Hughes, Warren Norket, and Shelbi Chrislip


Following the competition and finals, the students have little time to rest — their startup needs to incorporate, move into new offices, restructure and hire a seasoned CEO like their mentor, Mr. Rubén Zamorano, currently CEO of Bexar Medical Inc. He has mentored five teams in CITE competitions. Lapara Medical might also change its name to avoid sounding limited to laparoscopic devices.
As the winners, the team will receive $100,000 in cash and services from the competition’s sponsors. They will receive legal help from the Cox Smith law firm and office space for a year from the San Antonio Technology Center.
The Center for Innovation and Technology Entrepreneurship – or CITE – hosted the competition to give students hands-on experience as early stage entrepreneurs.
“It pairs up seniors of engineering and seniors of business to turn their innovations and business plans into real start-up potential,” CITE Director Cory Hallam said.
In addition to Lapara Medical, Jack Rabbit and Western Immersion Engineering finished second and third. The other teams included Gear Flux, Minesweep and Wind Hawk.

The Jack Rabbit

The Jack Rabbit is a remote controlled vehicle jack designed by engineering student David Hughes. It can be driven under a disabled vehicle and, while working in tandem with another Jack Rabbit, can lift the disabled car and actually move it across a vehicle shop floor. Justin Ernst, Luke Walker and Brooke Forest and Hughes founded the startup. They plan to move forward with their product after conducting additional market research and making design improvements. Jack Rabbit has just recently brought on marketing major Alan Schaffler and finance major Tim Nieland. The team was excited to get second place.
“Once we placed, we just were like ‘whoa we just placed!’ — we can actually start this company, we can actually go somewhere with it,” Walker said.

The Jack Rabbit Team – From left: Luke Walker, Brooke Forest, Justin Ernest, David Hughes


So far, the team has spent $1,200 and they need around $1,500 more to create a fully functioning prototype. Hughes said that if they could raise around $25,000, they could work with a manufacturing company and get the product to market much faster.
Western Immersion Engineering’s RowdySim 240 is a motion gaming chair that moves and pitches when used with racing games or flight simulators. Team lead Breanna Oliver is confident that the product will sell. She has some interested investors and has already sold the prototype that her team presented.
CITE Director Hallam said that while a few of the many startups created in the CITE competition are in the process of becoming successful companies, the students will more often license their inventions to an established company.
“We are equipping our undergraduates with the ability to analyze and prototype any new product,” Hallam said.
In the program, the students learned to work together, negotiate and take a product to market by researching price and competition. Just like a real business, the teams can fire members who are not cooperating or pulling their weight. At mid-semester, industry professionals visit and drill students with questions.
“I think I learned more in the (CITE) program than all my classes combined,” Walker said. “You actually take what they tell you and put it to use. You go through problems and have to figure them out yourself; no one’s going to help you, really. It’s hands on learning is what it is.”
For first place winner Lapara Medical, the future is exciting but still very uncertain. At present, the team needs to raise $330,000 in their first round of funding to start the animal clinical trials for their product. And eventually, they can go to the Food and Drug Administration seeking approval for human trials – a step that will cost them a total of $3.4 million. The team plans to pitch in the first $49,000. It’s a big step for the students, but for now they are just grateful for the opportunity.
“Thanks to UTSA’s CITE competition we get to just go in and just have our own business,” Daufen said.

Webhead Thrives in San Antonio, Moves Into Its Own Building

BY RANDY LANKFORD
Reporter with Silicon Hills News

Janie Gonzalez, founder of Webhead

Even in San Antonio, where Latin culture permeates every aspect of life, some biases can be hard to overcome. Being a woman and of Mexican descent made Janie Gonzalez feel like she already had two strikes against her when she started Webhead.
“There’s an unfortunate belief that certain minorities should stick to mundane jobs they’re stereotyped for,” Gonzalez says. There are also those who don’t believe women are suited to leadership positions in high-tech companies. Gonzalez busts both those myths.
“My personal and business journey as a Latina CEO has been a trying experience with many ups and downs.”
A San Antonio native and UTSA graduate, Gonzalez founded Webhead as a website hosting company in 1994 while still in college. It has since expanded to include cyber-security support, e-commerce system design and a number of digital analysis and advisory services.
“I envisioned the potential the Internet would bring to all areas of business as well as the social impact, especially through the demand for website design and development.
“Our clients look to us for the latest, most cost-effective, online business technology solutions and techniques. We take pride in being pioneers in the Internet world and making a mark on the cyber frontier. Our efforts range from helping our nation with cyber defense to assisting clients with emerging online needs.”
Operating in what Gonzalez describes as a state of “constant innovation,” Webhead has grown considerably in its 18 years of operation. The company will move into its own newly purchased building in 2013 after starting with $500 cash and a $2,500 line of credit at Circuit City.
“No venture capital investment,” says Gonzalez of the company’s organic growth. “One client, sweat equity and many odds against it. We survived three major financial downturns including the burst of the Internet bubble.”
The purchase of Webhead’s own building is, according to Gonzalez, her third career milestone.
“The first was landing my first big account for $3.5 million. It only took 12 years into my career. The second was moving from micro lending to a conventional bank and establishing solid banking relations with a sizable line of credit.”
Gonzalez is using her success to support the community as well through Webhead’s “Get Involved” program focusing on volunteerism, donations, sharing and spotlighting. Webhead employees participating in the program are encouraged to donate at least 20 hours per year to community service focused on medical research, education, military and mentoring.
“I come from humble beginnings and would not be as successful without the support my family and I received growing up. We have a social responsibility to help those less fortunate and contribute to the common good to improve the communities we work, play and live in.”
The drive and desire to make a difference was inspired by Gonzalez’s parents.
“As the oldest of five siblings, it was agonizing to see my parents struggle financially. Growing up, I watched my father labor in his trade as a mechanic to make ends meet. He had no formal education or training and spoke limited English. Despite his situation, he worked tirelessly to see that his family did not lack the basic necessities. I watched and learned. Tired, injured, frustrated he never missed work and still doesn’t. I admire my dad’s character of strength, teamwork, professional appearance and his attitude.
“My mother dedicated herself to her children and husband. She invested in her children’s education, spirituality and community development. She spent every ounce of energy on her children. She was a school volunteer, coordinated talent shows and made sure we participated in extracurricular activities: the Girls Scouts, basketball, track, baseball/softball, dance lessons. She was a domestic entrepreneur. We sold raspas, crafts, and items at the flea market. She did all of those things to pay for all the extracurricular activities. Again, I watched and learned; fatigued yet always with a smile and spirit of giving, not expecting anything back from anyone including her children. I admire my mother’s big heart, her faith, and desire to give to others.”
As for her business success, Gonzalez quotes entertainer Bill Cosby. “In order to succeed, your desire for success must be greater than your fear of failure.”
Webhead is certified as a contractor to the U.S. Government under the Small Business Administration’s 8(a) business development program, as both a woman-owned and a minority-owned small business. The company is certified with both the SBA’s HUBZone neighborhood development project and the equivalent Texas state program.
“The Webhead team did an excellent job of taking our ideas and turning them into a reality,” explains Kathy DeWaal, chairman of NIOSA, in describing Webhead’s Content Management System implementation and web development, custom design, information architecture, mobile site development and maintenance, and Quick Response or QR Code design and development.
“They were very easy to work with, informative, and always accommodated our questions and concerns. They gave us a wonderful new look and made sure we were aware of the steps being taken throughout the design process.”
Gonzalez, who grew up on San Antonio’s south side, chose the location of the company’s headquarters carefully.“Webhead’s office has and will continue to be in the inner city. Economic development cannot take place without employers who provide high-wage occupations. I’ve made a point of giving back to my community by fostering economic development in the inner city.”

Austin Ranks Among the Nation’s Largest Tech Hubs

Julie Huls, president of the Austin Technology Council

Austin lands on a lot of lists for best place to live and work and fittest city.
But Julie Huls, president of the Austin Technology Council, is most excited Austin is being recognized nationally as a leading tech hub in a new economic development report.
The report, Technology Works: Patterns of High-Technology Employment and Wages in the United States, also highlights the Austin-San Antonio corridor as a well-defined center of high tech employment.
“It’s data driven,” Huls said. “It’s not an opinion piece. This is a snapshot of the local technology economy from a national standpoint. It ranks Austin on a national scale. Austin is now being associated with the likes of Silicon Valley, Boston and Seattle.”
ATC partner Engine Advocacy sponsored the study, which was prepared by the Bay Area Council Economic Institute.
“Engine’s report provides an important validation for companies that choose to grow their products in Austin’s unique environment,” Kevin Callahan, MapMyFitness co-founder, said in a news release. “The elements that originally drew talent and capital are still here and Austin’s tech community is determined to create a new, distinct, and competitive tech ecosystem.”
The report highlights the importance of high-tech jobs to regional employment and income.
“Since the dot-com bust reached bottom in early 2004, employment growth in the high-tech sector has outpaced growth in the private sector as a whole by a ratio of 3 to 1. High-tech sector employment has also been more resilient in the recent recession-and-recovery period…. The unemployment rate for the high-tech sector workforce has consistently been far below the rate for the nation as a whole.”
The report also showed that job creation surrounding Science, Technology, Engineering and Math, known as STEM, jobs exceeds all other sectors.
“Employment growth in STEM occupations has consistently been robust throughout the last decade, outpacing job gains across all occupations by a ratio of 27 to 1 between 2002 and 2011.” The report showed growth in all occupations totaled less than a percent, whereas STEM grew 16.2 percent.
In 2011, Austin/Round Rock, with 10.7 percent of its workforce in tech jobs, claimed the No. 14th spot on the list of the top 25 Metros for high tech employment concentration in the country. The U.S. average is 5.6 percent. In comparison, San Jose had nearly 29 percent and Boston had just over 20 percent.
Austin didn’t make the list of the top 25 Metros with the highest growth in their technology workforce because it already had a large pool of high tech workers. But San Antonio made the list. It increased its high-tech workforce by 8.4 percent from 2010 to 2011, compared to the national average of 2.6 percent. From 2006 to 2011, San Antonio has seen nearly a 24 percent increase in its high-tech workforce.
Lastly, Austin has seen its high tech wages rise nearly 5 percent from 2010 to 2011, with an average wage of $101,000. Wages in San Jose, where nearly 29 percent of the jobs are tech, wages rose nearly 6 percent in the same time period and average wages were $170,000, almost $70,000 more than Austin. San Antonio’s average high-tech wage was $74,254 and 5 percent of its workforce have high-tech jobs. The average high-tech wage in Texas was $95,848, about the same as the national average.

Technology Works

Local Startups to Pitch to Startup America at Cowboys Stadium

On the 50-foot tall Jumbotron at Cowboys Stadium in Dallas, a handful of Texas startups will get the chance of a lifetime to pitch their companies in front of successful entrepreneurs on Friday.
They’ll be pitching to board members of the Startup America Partnership, including CEO Scott Case, co-founder of Priceline.com, Reid Hoffman, co-founder of LinkedIn, Kevin Plank, founder and CEO of Under Armour and Chairman Steve Case, co-founder of America Online.
The audience will also include Carl Sparks, CEO of Travelocity and Ingrid Vanderveldt, Entrepreneur in Residence at Dell. The event takes place from 1 p.m. to 3 p.m. with a cocktail reception following the company presentations.
Startup Texas is hosting the event, which is open to the public, but requires registration. Founded a year ago, Startup Texas is the regional arm of the Startup America Partnership, founded in January of 2011.
Startup America is a non-profit organization working with the White House Startup Initiative to support entrepreneurs. The Kauffman Foundation just published this report on Startup

Sweb Development’s Slides on the Cowboys Stadium Jumbotron, photo by Magaly Chocano

America’s impact showing that “what startup entrepreneurs need most is the mentorship and fellowship of other entrepreneurs who can help them avoid missteps and point them toward customers, funders and talent. This learning shifted Startup America Partnership’s focus toward becoming the catalyst for a movement of entrepreneurs, by entrepreneurs, through startup regions.”
That’s why Startup America holds regional events, like the one at Cowboys Stadium on Friday.
At that event, HeyRide and Engine will pitch from Austin along with Sweb Development of San Antonio. Other Texas startups presenting include iLumi and PayTap from Dallas and Recycle Match and Hurl from Houston.
The companies will have two minutes and six slides to present their ideas on one of the largest big screens in the world.
“It’s the first time they are doing this type of event,” said Josh Huck, CEO and co-founder of HeyRide. “For us, it’s mostly about the opportunity to meet some of these movers and shakers in the VC world.”
HeyRide provides peer-to-peer transportation in the Austin area. It launched a few months ago and has more than 1,400 users and 100 verified drivers. It has created quite a stir in the local transportation industry with taxicab companies asserting that HeyRide is operating as an unlicensed cab company.
HeyRide will be meeting with Austin city officials soon to explain its business plan, Huck said.
“Ultimately we think HeyRide is beneficial to the community,” Huck said. “Once we communicate our vision, I think it’ll be easier to find common ground and move forward.”
The pitch session is a great place to receive some “edifying advice on growing one’s business,” Huck said.
HeyRide is currently raising a Series A round of funding with Silverton Partners in Austin leading the round. The company has five full time employees and one part employee.
David Johnson, CEO and Founder of Engine Inc. is thrilled for the opportunity to present at Cowboys Stadium.
His company started in January and launched its first version of its software program in October. It recently went through the Central Texas Angel Network and is close to closing on $500,000 in seed stage funding, Johnston said.
Engine has created an intelligent search engine for email that allows people to gather results related to a message in the sidebar of their inbox.
“My inspiration is usually a big pain point,” Johnston said. He had 85,000 emails in his inbox.
“I did some basic calculations,” he said. “I was getting an email every 14 minutes. There was no way I could keep up with all this information.”
So he came up with an idea to link data together in one place to make it more accessible and easier to understand. Johnston went through TechRanch’s Venture Forth 15, an eight-week entrepreneur class for technology startups. Kevin Koym, director and founder of TechRanch, heard about the opportunity and encouraged Johnston to apply for the pitch session.
“What am I going to tell them in 2 minutes?” Johnston said. “Here’s the problem – email overload. Here’s our solution to connect together your different sources of data and make it relevant. Here’s our team that can make it a reality.”
Sweb Development’s Magaly Chocano will be flying up on Friday morning and is excited to have the opportunity to tell the story of her company, which now has 13 employees.
“My goal would be to open the doors to other opportunities and letting people know what we do,” Chocago said. “It’s to let people know San Antonio does have very high quality developers. We want to put our name out there.”
In addition to the pitch session, the group is meeting for the end of the year wrap up of Startup America, which has more than 11,000 startups listed nationwide, including 864 in Startup Texas. They’ll be discussing plans for 2013.
Startup Texas will also announce the launch of a new statewide co-working space collaborative called “Startup Texas Passport.” That passport will allow members to work at co-working spaces anywhere in the state.

Sweb Specializes in “Stupid Awesome” Mobile Apps

By RANDY LANKFORD
Reporter with Silicon Hills News

Magaly Chocano, founder and CEO of Sweb Development in San Antonio

Magaly Chocano, CEO of Sweb Development, knows success sometimes requires reinvention, whether it’s of herself or her business. After coming to San Antonio from Spain to get her college degree in communications, Chocano saw her first iPhone and realized communications was about to move in an entirely new direction.
“I lived in San Antonio for four years and then left and came back in 2004,” the Madrid native explains. “I didn’t really have a specific career path or trajectory.
“I worked at Bromley Communications for about four-and-a-half years and I learned a tremendous amount there. But I wanted to get out on my own. I thought, ‘If I don’t try to do something now, then when?’ So I resigned and started my website development business in late summer of 2008. No sooner did I get the doors open, than the economy tanked. My timing couldn’t have been worse. I had to really think fast and make a quick turn.”
Chocano credits a three-day weekend startup workshop with the brainstorm that saved Sweb.
“I had my iPhone and I was as tech-savvy as the average consumer. I liked what mobile technology could do but I didn’t know a whole lot about it. I was first introduced to Twitter in 2008 at a startup workshop. When I saw what was possible I was thinking, ‘This is nuts. I really need to understand this.’ There were aspects of mobile communications I hadn’t even begun to realize but I felt like we were just on the tip of the iceberg and I wanted to dive in. I could see mobile apps were going to be huge. That opened up a whole new area of marketing for most companies.”
And a whole new line of business for Chocano. Sweb Development would start creating smartphone applications in addition to traditional websites.
As is the case with most visionaries, there were plenty of people telling Chocano hers was a bad idea. “Everyone was saying ‘iPhones are too expensive. They’ll never catch on. They’re just a fad.’ But I could see they were going to be a key part of the way people communicated in the future.”
Chocano started small, creating apps for some of her existing website customers in San Antonio. The earliest ones were novelties attracting a small but enthusiastic audience. “No one was putting any budget into developing apps. Most people didn’t know what they were or how they could impact their business,” Chocano says.
“We got our first big hit from a company in Washington, D.C. They commissioned an app from us that was our breakthrough. It was built for iPhones and when I went back to sell them a second version for Blackberry (Androids weren’t even on the horizon back then), they said no. They didn’t have the budget for it.
“I was thinking, ‘If they can’t afford another app then nobody can.’ That must have been spring of 2009 and I thought I really had to refocus and come up with something that would sustain my company. That’s when I had the idea of creating this online do-it-yourself application building tool. That’s when Sweb Apps was born. It was the very first online platform where you could build your own app.”
Even with the growth of the use of smartphones, tablets and other mobile devices, many consumers still consider apps something just short of voodoo.
“We get a lot of that,” laughs Chocano. “People are definitely a lot more educated about websites and apps than they used to be but there’s still a lot of confusion about what’s the real difference between the two. Native applications are true software development if you will, where a mobile-optimized website is really just a mobile viewing of your website.
“We have clients who already have their web systems in place and they want to build an extension of that. AJE – Al Jazeera English is one of our clients and they needed an iPad app to stream all of their programming. So we built that for them. We also built an ABC app to teach people Arabic for them.
“Other clients, like U.S. Global Investors, wanted to have all their blogs and tickers and all of their information in applications so we built that for them. And some clients start with a website and then realize it really makes sense to move over to mobile as well. So we develop pretty much everything for them.”
Molly Cox, a marketing and communications consultant working with the city’s SA2020 volunteer coordination project, says the work Sweb did in updating the initiative’s website and creating the accompanying native smartphone application went beyond awesome to “stupid awesome.”
“We had an idea for a volunteer sign-up website that was sort of Match.com meets Netflix meets Groupon but couldn’t find the technology to do it anywhere. Magaly was not only able to do what we wanted, but created the whole thing from scratch. It’s just stupid awesome.”
Sweb Development also provides social media marketing for clients who want to have a presence in communities like LinkedIn, Facebook and Twitter.
Chocano, now 38, feels like she’s found her place in the high-tech community and is looking forward to the next opportunity.
“We’re just moving at lightspeed with what we can do within native applications themselves. It’s really exciting to see how it’s growing. It’s just amazing. Little by little, we’ve built our knowledge base to where we are today. Who knows what tomorrow will bring?”

Rackspace Hosting Expands in Austin

By ANDREW MOORE
Reporter with Silicon Hills News

Rackspace’s New Offices

Cloud computing company Rackspace Hosting Inc. has a new home in Austin.
The company moved into an 87,000 square foot location next to I-35 in north Austin in October. The offices can accommodate more than 500 employees. The web hosting company currently has 400 people – adding around 100 employees per year for the last two years. Rackspace wants to hire 50 more employees this year.
Rackspace, founded in 1998 in San Antonio, has more than 3,000 employees in San Antonio at its headquarters in the former Windsor Park Mall on Walzem Road. The company also has an office in San Francisco. Rackspace reported revenue of $1.24 billion last year and net income of more than $100 million. The company has a market cap of more than $9 billion.
Rackspace attributes the steady growth over the last few years to its service-oriented business model of web hosting.

Bill Blackstone, Austin Community Outreach Leader for Rackspace

“When you call you get a human, not an IVR,” says Rackspace Community Affairs Leader Bill Blackstone. “You get routed to your team that you know by name… literally in five rings.”
According to Blackstone, the support teams are fully authorized to make important decisions and resolve a customer’s issue without having to check with a supervisor or another department. They are also available at any hour. It all fits into Rackspace’s often touted motto of providing “fanatical support”.
But the support aspect is only one of the four pillars of service to which Rackspace attributes its success. The other three: The security found in physical dedicated servers, the scalability found in virtual servers, and the ability to combine physical and virtual servers to fit a client’s need.
“The combination of those is something that doesn’t exist elsewhere,” says Blackstone.
Rackspace also has an advantage in being the co-founder of the new standard-setting cloud computing platform called OpenStack. Developed in partnership with NASA, Rackspace helped set the standards for OpenStack that are now used industry-wide. The new technology is open-source and available for anyone to use. As a result, over 850 organizations are currently working to further improve the technology. While this means that any competitor can provide OpenStack service, Rackspace hopes to retain the lion’s share of potential new customers due to their reputation for support and their status as a leader in the OpenStack technology.
“We still believe that at the end of the day it’s not necessarily the actual technology, but the service that makes the difference,” said Blackstone.

Rackspace prides itself on “Fanatical Support”

National economic pressures have also impacted Rackspace’s success. While the ongoing recession has stunted Rackspace’s national growth to 30 percent a year – it was originally projected at more than 50 percent – it has caused a higher interest in the profitability of cloud computing. Austin Site leader Max Thoene says that much of the market had been resistant to the concept of cloud computing before the recession.
“The folks that were established that were doing this were like, ‘No, I like my physical server,’ even though it was only 6 percent utilized,” says Thoene.
But as the recession hit, companies feeling the pinch were forced to take a look at cloud services for the cost savings that they desperately needed. As a result, many made the big leap to cloud technology within the last few years. Thoene sees it as a glass-half-full situation.
“It really served as a vehicle to get people to kick the tires and look under the hood of cloud a lot more closely than they would have (otherwise),” said Thoene.
In fact, the International Data Corporation (IDC) — a market research firm — has released an often quoted prediction that “80 percent of new commercial enterprise apps will be deployed on cloud platforms” by the end of 2012 – a major swing for the hosting industry since the 2008 recession. Rackspace is second only to

Rackspace Austin Site leader Max Thoene

Amazon in the cloud computing industry and is sure to benefit from new cloud-using companies.
Rackspace Hosting is also enjoying the advantages of an Austin location. Just one of many tech companies expanding in Austin, Rackspace is experiencing rapid growth due to the city’s educated population and its popularity as a place to relocate talent. The local tech scene provides an ideal recruitment spot for Rackspace.
“We find that there is a great cross section in Austin that has both the technical skill and the service leadership type of skill set that we are looking for,” says Thoene.
According to Austin Technology Council President Julie Huls, this is a common trend for tech companies in the Austin area.
“Companies the size of Rackspace — which are growing at the same pace — are attracted to Austin for its culture. I think we have ample talent as it relates to certain skill sets. We have a very creative workforce here,” says Huls.
In fact, Rackspace enjoys a special symbiotic relationship with the hotbed of tech start-ups in Austin. It works with both the Greater Austin Chamber of Commerce and the Austin Technology Council to invest in new start-ups. They also sponsor fairs – such as Chamberfest – and provide mentoring for new companies trying to get off the ground. In turn, many of those companies can then take advantage of potential cost savings with Rackspace’s cloud services – gaining the company more customers in the long run.
Thoene sees Rackspace’s tech community involvement as something that benefits both the company and the City of Austin by creating a healthy business environment.
“It’s a win-win,” says Thoene. “It’s a win for Rackspace because we get great people and it’s a win for Austin because we keep people employed.”

Story and photos by Andrew Moore

San Antonio-based One Source Networks Acquires OuterNet of Austin

One Source Networks, a managed voice, data and cloud services provider, has struck an agreement to buy OuterNet, a cloud managed solutions provider, based in Austin.
The San Antonio-based company did not provide the details of the sale but reported it’s expected to close in the next month.
The deal also includes OuterNet’s 10,000 square foot data center in Austin. One Source Networks has data centers in Greensboro, N.C., Dallas, Chicago and Los Angeles.
“We are very excited about what this acquisition will mean for our customers, and the OSN and OuterNet team members,” Ernest Cunningham, CEO, One Source Networks, said in a news statement. “OSN and OuterNet have worked together for the past three years to deliver managed network services to our enterprise clients. The OuterNet team has a deep level of technical expertise and talent which will be a valuable asset for our customers, and their hands-on, customized approach to enterprise networking meshes perfectly with OSN’s. The combined capabilities will allow us to deliver even greater value and innovation to enterprises.”
The San Antonio Business Journal reports that OuterNet, founded in 1994, has 22 employees while One Source Networks has 45 employees.

AirStrip Technologies Changes the Way Doctors Practice

BY RANDY LANKFORD
Reporter with Silicon Hills News

Dr. Cameron Powell, a San Antonio obstetrician, likes to joke about the only time he was ever propositioned in a church parking lot. When Trey Moore, a software developer, invited him to have coffee in 2004 Powell assumed it was to talk about a doctor for his wife.
But Moore wasn’t concerned with just one baby. He wanted to talk about thousands.
Referring to the cutting-edge mobile technology of the day, a PalmPilot, Moore asked, “If you could see any information on a device like this, that would transform the way you practice medicine for yourself and for your patients, what would it be?”
Powell had a ready answer.
“I’m never just sitting at the mom’s bedside while she’s in labor. I’m seeing patients, I’m scrubbing up, I’m in surgery, I could be in my office, I could be anywhere. And I generally rely on the nurse to relay to me the condition of the mother verbally; just describe what’s happening with the baby’s heart tracing and the mother’s contraction patterns. If I could see that waveform data on a device like that in real-time that would change everything.”
And it has.
Fast forward 18 months from that initial meeting and Powell and Moore were keynote speakers at Apple’s Worldwide Developers Conference, explaining their new way in which doctors could monitor patients’ conditions from anywhere in the world.
Today, the company Moore and Powell founded, Airstrip Technologies, serves thousands of patients in hundreds of hospitals with its AppPoint software platform, securely sending patient information directly from hospital monitoring systems, bedside devices and electronic health records to a clinician’s mobile device.
Airstrip’s development platform enables the creation of device-neutral applications able to scale and adapt to an ever-changing world of mobile operating systems and hardware. FDA-cleared, CE-marked and allowing for compliance with HIPAA regulations, the AirStrip platform delivers live waveform and other relevant clinical data, not just to obstetricians, but to healthcare professionals in numerous fields such as cardiology, telemetry, home healthcare and geriatrics.
“The OB application is the proof of concept for the broader suite of what we do,” explains the company’s Chief Strategy Officer Bruce Brandes. “In fact, one in six babies born in the U.S. today is protected by AirStrip OB.”
Most of that meteoric growth has taken place since the introduction of Apple’s iPhone in 2009. “We had a handful of customers,” says Brandes, “but when the iPhone came out and opened up Apple’s Software Developer’s Toolkit, Trey saw that and shifted all the development from Windows to the iPhone. ‘This is the future of mobility,’ he said, ‘this device.’ That’s when we really started to scale in earnest.”
AirStrip has not only increased its size, according to Brandes, it’s also expanded its scope.
“We’re expanding the platform to include all the other elements of data a physician or team of physicians needs to see. Not only when they’re within the hospital but increasingly, as the reimbursement model of healthcare shifts from yesterday’s that’s based on an episode of care to today, where it’s based on clinical outcomes and ultimately to tomorrow, when it will be based on population health from chronic diseases, you’re going to see a shift in the use of our application.
“AirStrip will be of use not only in the hospital but across the entire continuum of care, so that we’re mobilizing data pre-hospital, before the patient ever arrives, in the ambulance for example, all the way through monitoring those patients who are at high risk in their homes so we can proactively intervene before an event happens that sends them to the hospital.”
Dr. Jane Atkerson, a San Antonio physician who has seen AirStrip work at the Baptist Health System, says she wouldn’t want to be without it. “I’ve been an AirStrip user since it started. The speed at which the screens upload, going seamlessly between data and tracings, is wonderful. I’ve made it part of my everyday care for my patients in labor.”
Brandes sees a day when mobile technology will render distance irrelevant in patient care.
“We’re riding the coattails of this mobility revolution. What we’re uniquely focused on doing is riding that revolution to specifically leverage mobility to address the challenges healthcare’s always faced that have never been able to solve because it took a transformational technology like mobility to change the way in which things work.
“We like to say our technology essentially eliminates all the traditional geographical boundaries that have historically restricted healthcare. You could have a cardiologist in New York City consulting on a patient in rural West Virginia. It could be someone in a remote area of Africa. And we’re seeing that today. Our clients are using this now.”
And it all started with a cup of coffee.

San Antonio’s CallGrader In DreamIt Ventures Philadelphia

Jon Dobbertin. co-founder of Call Grader


By L.A. LOREK, Founder of Silicon Hills News

At InnoTech San Antonio’s beta summit earlier this year, CallGrader won the competition.
The group of four close-knit friends created a software as a service customer application program for companies in the heating and cooling industry. They worked out of Geekdom on their venture.
A few months later, CallGrader applied and got selected to participate in the incubator program DreamIt Ventures, based in Philadelphia.
In September, Jon Dobbertin, Dan Garcia, Ben Niemietz and Chip Mobley all packed up and flew to Philadelphia. They rented two one-bedroom apartments close by the accelerator. Their wives, all four are expecting babies within four months of each other with the first due date set for Dec. 1, stayed in San Antonio.
“It’s been a little crazy,” Dobbertin said. He was in town last weekend and stopped by Geekdom for the 3 Day Startup San Antonio pitches on Sunday night. “We’ve been flying back and forth. But it’s been a phenomenal experience.”
The program has allowed Call Grader to expend its network, Dobbertin said. Every week, they meet with business people and listen to seminars from entrepreneurs who have been there and done that.
Dobbertin especially liked talks with Duck, Duck Go Founder Gabriel Weinberg and David Rose, founder of Gust.
CallGrader had a beta product in the marketplace when it entered the program, but now the company has launched and its revenues are projected to exceed what the team originally forecast by the end of the year, Dobbertin said. He declined to provide specifics.
“We’ve had a really successful launch out of Beta,” he said.
CallGrader has also pivoted into a cloud-based platform for providing businesses a way to efficiently communicate with customers. It has also built a rich database that allows companies to get all kinds of information on their customers including social media profiles to better tailor their service, Dobbertin said. And next year, it’s rolling out a chat platform, he said.
The DreamIt program has been hectic but it has pushed the team members to do more work in a short period of time than they would have gotten done on their own, Dobbertin said.
“We’re working around the clock, seven days a week and putting in 14 hour days,” he said. “In that three months we were able to do 12 months worth of work.”
CallGrader receied $25,000 in cash and $75,000 worth of credits for free hosting from Rackspace, Amazon and Azure. It has also received another $20,000 worth of legal and accounting services, Dobbertin said. But the most valuable part of the experience has been the mentorship and network the team received, he said.
To get to the next level, CallGrader plans to raise a seed round of investment, Dobbertin said. The company would like to raise its money in San Antonio so they can stay here. But they have already applied to the Benjamin Franklin Technology Fund, which would require Call Grader to be based in Philadelphia, Dobbertin said.
“We hope to find our funding here so we don’t have to move everyone to the East Coast,” he said.
Call Grader shows what’s possible for startup companies in San Antonio, said Alan Weinkrantz, a public relations expert who knows the team.
“It’s nice to see a company start and incubate here and go on to get accepted to a top tier incubator and relocate to Philadelphia.”

DreamIt Ventures recently expanded its program to Austin. It is based at Capital Factory. DreamIt Ventures just selected its first class of companies. They will have their demo day at SXSW 2013.

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