NSI Bags $15 MillionNSI Bags $15 Million

Business continuity will likely remain a hot topic in 2003 since some early venture-capital money is going to an established vendor in the data-replication market. NSI Software will receive $15 million this week in a combination of funding from ABS Capital Partners and J. & W. Seligman. NSI says it will use the money to strengthen R&D; continue the sales and marketing it needs to compete against bigger players such as Computer Associates, EMC, and Veritas; and expand internationally.

NSI stands out for its support of Microsoft Windows and its focus on replicating data in support of business-continuity efforts. Analyst Steve Kenniston at the Enterprise Storage Group says replication for business continuity will be essential for companies if spending picks up later this year. "When Veritas brings in their replication, they want to bring in services, and companies won't have the money for that," he says. "NSI is focused with good technology."