LogLogic's Compliance Appliance

Red tape can be healthy for the startup world.

Startup LogLogic Inc. today rolled out plans to sell a series of appliances that help IT managers monitor compliance with those red-tape-spawning legislative acts known as Sarbanes-Oxley and the Health Insurance Portability and Accountability Act (HIPAA).

LogLogic's new LX appliances will capture "log" or performance data from devices such as firewalls, servers, and switches, using the Syslog standard for recording network "events," says the company. These figures can then be analyzed to identify problems in the system or used to support regulatory compliance. Many firms, for example, are still struggling to come to terms with Sarbanes-Oxley, which will require them to draw information from a variety of sources within their IT infrastructure (see Gartner: Sarbanes Struggle Continues).

This is the first major product launch from the Sunnyvale, Calif.-based company, which was founded in April 2002. Earlier this year, LogLogic announced $5.5 million of Series A funding from Sequoia Capital and TeleSoft Partners.

LogLogic, of course, isn't the only startup mining this potentially rich regulatory goldmine: Computer Associates International Inc. (CA) (NYSE: CA), NetIQ Corp. (Nasdaq: NTIQ), and Symantec Corp. (Nasdaq: SYMC) already offer software-based products for recording log data, although appliance-based products are still thin on the ground.Network Intelligence Corp. already offers a number of appliances in its Network Intelligence Engine product line, although analysts say there is plenty of room for a new addition to the market.

LogLogic's LX appliances, the 500, 1000, and 2000, handle different capacities. This ranges from 200 sustained "events" or messages per second on the LX 500, up to 3,000 messages per second on the LX 2000. However, these figures are yet to be independently audited.

In addition to the LX range, LogLogic also unveiled its new ST appliances today: the 2000 and the 3000, which provide long-term storage for archived log data. The appliances offer up to 20 terabytes of capacity, although the ST 2000 can be expanded via built-in network interfaces, according to LogLogic.

LogLogic's CEO is Christopher Brennan, the former CEO of software firm Banter Systems Inc. Prior to joining Banter, Brennan was the CEO at Mobileum, which is now called Roamware Inc.

Phebe Waterfield, security solutions analyst at Yankee Group says, "There is still room for new players nobody has a product that meets all the [users'] needs."Meta Group Inc. vice president Paul Proctor believes that, with Sarbanes-Oxley and HIPAA looming large, firms need some form of log analysis, and appliance-based products are a good fit for many businesses.

"Companies like the appliance form-factor because they can drop it into their enterprise – it's easier for them," he says.

Waterfield agrees: "Appliances are certainly easier to support – they don't require as much maintenance, and it's easier to estimate [the financial] outlay."

But it's not all clear sailing. Waterfield warns that, when using an appliance to capture log data, users depend much more heavily on the vendor for upgrades, and the initial expenditure tends to be higher.

— James Rogers, Site Editor, Next-gen Data Center Forum0