Egnyte’s core focus has been providing an On Demand File Server to the SMB market. Backup capability has never been our leading value proposition. Much to our surprise, we continue to get significant interest from customers who want to use Egnyte only for backup. Ease of use, easy access to backed up data online, automatic versioning of changed files and ability to search – are some of the reasons.

We, therefore, are being pulled by the market to enhance backup. I am wondering should we buy a company which has been working on backup and nothing else – doing smart de-deuping, data compression and potentially with a hadup architecture in the back, or build some of these capabilities ourselves.

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