Product Line or Service Data
Quality Control Software products that radically simplify the process of improving the
accuracy and usability of critical data within a database, including data marts, data
mining databases, data warehouses, marketing databases, sales force automation databases,
and customer information systems.
Technology/Proprietary Rights Software products are copyrighted
and trademarked. All intelligence algorithms used within the software products were
developed internally and are proprietary to DataFlux. The software also takes maximum
advantage of ODBC technology as part of its commitment to open systems.
Market Opportunities The DataFlux Corporation is a Cary,
NC-based, development-stage data quality control (DQC) software company with a core
mission to position its high-performance, cost-competitive product lines as the premier
data quality control brand for small and mid-sized companies that have adopted the
Microsoft Windows NT server platform.
In an age where competitiveness depends upon the quality of decision making, companies
are investing heavily in departmental and enterprise-wide database management systems and
associated decision support systems. The Business Intelligence applications market, which
includes data warehousing, decision-support systems, and other markets, is projected to
exceed $70 billion by 2001. The Decision-Support Systems market, which includes the Data
Mining and OLAP market segments, is expected to grow from $3.3 billion in 1997 to $8.4
billion in 2000, according to the META Group. Due to the incredible demands placed upon
data warehousing companies to keep up with the rapid growth of this market, in addition to
the lack of appreciation of DQC early in the industry lifecycle, fundamental DQC
procedures were often disregarded or abbreviated. Some of the leading decision-support
systems companies are experiencing triple-digit growth and, in their haste, are installing
data mining applications under the false assumption that the data in the data warehouse is
clean. Consequently, the quality of information generated by data mining declines, the
time to produce DSS results increases, and the resultant decision-making suffers. The
Gartner Group contends that the data mining specialists utilize a mere 20% to 40% of their
time actually mining data, and must devote 60% to 80% of their time addressing data
DataFlux will also develop DQC products for the eCommerce Software Tools market, which
Forrester Research projects will grow by 300% annually and reach $3.2 billion by 2000. In
addition, DataFlux will package the data-conversion capabilities of its technology as a
Y2K data solution for the $300 billion Y2K market, and utilize this product as a mechanism
for increasing sell-through of DataFlux comprehensive DQC solutions.
The Companys first prototype product was successfully sold to customers in the
telecommunications, utilities, managed healthcare, direct marketing, and financial
services industries, including marquee clients such as Nortel, Blue Cross Blue Shield,
Mercedes-Benz Credit Corporation, Marquette Bank, Sealaska, Pacific Bell, and the
Environmental Protection Agency. Only a few months after the release of the Companys
prototype software, DataFlux is beta testing and preparing for the commercial launch of
its next-generation DQC solutions, which will be distributed through an alliance of VARs,
SIs, and OEMs.
Marketing/Sales and Distribution DataFlux will distribute its
products and services through strategically appropriate VARs, SIs, and OEM partners. These
partners have been and will continue to be targeted because they are currently selling
products in which the DataFlux technology enhances their solution.
DataFlux has developed a diagnostic product that can be used by VARs to easily, and in
a uniform manner, demonstrate the ease-of-use and return on investment derived from
DataFlux solutions. There will also be a version of the ROI diagnostic tool that will be
distributed at trade shows and conferences, and downloaded from the DataFlux website.
Competition The are a few mainframe-oriented service-based
organizations such as Vality, ISI, and Trillium which are focusing on the Fortune 500