amuck-landowner

EIG acquires Arvixe, LLC Assets

XFS_Duke

XFuse Solutions, LLC
Verified Provider
Yeah 24x7 phone support is to give idea that support is USA based.  It's not about the phones.

They don't elsewhere or nearly as prominently proclaim:

"24x7 ticket support (and other forms) provided by non USA based".

I mean it's partially telling the truth, but bet your bottom dollar, it's wrote that way to be deceptive.

I remain AMAZED at the adoption of foreign workers in this industry and how "embarrassed" everyone is of such.  

I mean I have yet to see anyone say:

"We are able to offer low prices to you, our customer, because we leverage the economy of employing workers in poverty stricken, low-per-capita earning nations.  By not paying USA workers (or others major industrialized nations) we can slash our prices"

Companies engaging in such should just be embarrassed of themselves.  I am sure their parents decades ago wouldn't have appreciated such marketing / sales distortions and certainly wouldn't have smiled about the whole labor force gimmick.
LOL yea. But one thing about Arvixe, they paid everyone pretty good. I cannot say that everyone got paid the same, or even remotely the same but most of the foreign workers got paid pretty good under a 1099. I know a few that got $9/hour plus. I made a good bit more than that, but taxes at the end of the year KILLED me. I really enjoyed working there, but once one of their "management" guys told me they didn't care about my daughter and her speech therapy even though it was approved by my manager at the time, I knew I couldn't stay there any longer. My daughters health and hearing was more important to me than dealing with them. Sad thing, they called me on my day off and told me I was supposed to be working and then let me go because I couldn't jump on right away since I was about an hour away fishing. Lovely, right?
 

drmike

100% Tier-1 Gogent
@XFS_Duke
 
Workers rights and human dignity continues to challenge masses of "employers". Shame to hear management say they don't care about your children like that.  Some will say two sides to every story, me I tend to say that is how companies operate.  Folks should know how companies operate and where their interests are.

Unsure what they paid and believe me if I catch wind of companies gouging labor and playing offshore false advertising games I'll blow the whistle.  Someone needs to.  Lack of journalism in this industry and what exists might as well be corporate advertising/marketing/PR department for these companies.

This is the issue when the whole business model is basically paid advertising.  Always was in traditional media and continues with online whoring-for-ad-dollars.

Start naming industry publications and sites with any teeth and remote chance they have properly bit anyone lately.  Anyone can name one?
 

DomainBop

Dormant VPSB Pathogen
As for the combo dealing, $70+ million.  Hard to do a teardown on what was sold here and values.

Arvixe should have been $5-10 million - but hard to say without better info.  Sad if the owner said he'd never sell and obviously just did.
It's probably safe to say the majority of that $77 million combined went towards the purchase of BuyDomains (which  owns over 1 million domain names --> good fit with EIG which is now the 2nd largest domain registrar after its acquisition of BigRock/ResellerClub early this year).  It's also probably safe to say that the VC company that controls NameMedia took a loss on BuyDomains when they sold it to EIG because they paid $72.5 million plus stock for BD when they acquired it in 2005.
 

rds100

New Member
Verified Provider
Why would a domain registrar with 1 million domains be worth $70 million? This makes what, 7 years turnaround from 1 million $10/year domains? Makes zero sense to me.
 

DomainBop

Dormant VPSB Pathogen
Why would a domain registrar with 1 million domains be worth $70 million? This makes what, 7 years turnaround from 1 million $10/year domains? Makes zero sense to me.
BuyDomains isn't a domain registrar.  They make their money buying and selling premium domains and generally won't buy any domain that they can't resell for at least $1K   They own those domains.   They typically buy domains at auction or acquire domain portfolios (their average acquisition price for the domains they own was $80+) and then turn around and sell them (their average sales price is $1200-$1500).  $1500-$80=nice profit on each domain sold.  Estimated revenues per year around $20 million and profits of $10-$12 million.

edited to add a link: http://domainnamewire.com/2014/11/04/endurance-buydomains/
 
Last edited by a moderator:

rds100

New Member
Verified Provider
So is it expected that Arvixe would get better now, or worse? Because we keep getting UDP floods from some of their IPs.

Although i haven't bothered contacting them about it and just filter it, i hoped they would monitor their traffic and take measures to not allow their servers to be used as a DoS source.
 

Epidrive

New Member
Verified Provider
Suprised by the list of EIG companies -- thats a lot :O
 
Last edited by a moderator:
LOL yea. But one thing about Arvixe, they paid everyone pretty good. I cannot say that everyone got paid the same, or even remotely the same but most of the foreign workers got paid pretty good under a 1099. I know a few that got $9/hour plus. I made a good bit more than that, but taxes at the end of the year KILLED me. I really enjoyed working there, but once one of their "management" guys told me they didn't care about my daughter and her speech therapy even though it was approved by my manager at the time, I knew I couldn't stay there any longer. My daughters health and hearing was more important to me than dealing with them. Sad thing, they called me on my day off and told me I was supposed to be working and then let me go because I couldn't jump on right away since I was about an hour away fishing. Lovely, right?
Brian mentioned you both were given the boot because Arvixe found out about Xfuse.
 

XFS_Duke

XFuse Solutions, LLC
Verified Provider
Brian mentioned you both were given the boot because Arvixe found out about Xfuse.
No, Brian got the boot because of that. I got the boot so to speak from what I said. I did a lot for them at the time and every Tuesday at around 11am CST I needed to be off of phones for an hour to allow my daughters speech therapist to come in and help her. She had ear issues when she was a baby and it affected her speech progression. I got it approved by the manager at the time and it was a recurring thing. It was every week at the same time. Long story short, Kevin Hall got mad cause he actually had to work and answer phones one day and was mad about that. The next Monday I was off of work and decided to go fishing. I checked my tickets before I left and didn't have many so I didn't think it was an issue, most were just replies to setup emails and such. Eh, so I get out to the fishing spot and about 10:30am or so I get a call about why my tickets aren't done... I said they're only replies to setup emails and stuff, nothing big. Well, apparently we had a bunch of orders that day and I didn't know since the tickets were pushed to be AFTER I left. Keep in mind, my off days were Monday and Friday... I told him I was going home now and will get them done, but on the clock, obviously. I got home and Kevin Hall started bitching at me over Skype and brought up the issue of me getting off the phones for an hour. He told me he didn't care about my childs needs and that Arvixe comes first. I told him that my kids come first to me because they'll be there for my entire life, Arvixe may not be. I can't remember the exact conversation, but it turned out that he said he could do my job better and he told me if I didn't want to abide by his rules I can go, so I got gone. I told Arvand about the situation and he didn't care and pretty much resonated the same thing about my kids. I told them none of them have kids and have NO clue what is needed to be a parent of a sick kid. Needless to say, I liked the job, just couldn't handle the bitching from a douchebag who couldn't even do his own job properly and instead of communicating with his managers decided to jump to conclusions. Funny thing, I was a shift manager on Saturdays and Sundays in the AM shift and dealt with all the chat, phone and ticket staff... Oh, didn't get paid more for that either lol
 

Alex - Arvixe

New Member
Verified Provider
we keep getting UDP floods from some of their IPs.

Although i haven't bothered contacting them about it and just filter it, i hoped they would monitor their traffic and take measures to not allow their servers to be used as a DoS source.
Hello rds100,
If you reach out to us we can investigate this and resolve it as quickly as possible. Can you email abuse[at]arvixe.com or myself personally at alex.ali@arvixe.com with the relevant details?
 
Last edited by a moderator:

Dylan

Active Member
Regardless if you think EIG is the devil or not, this is the nature of the industry. They are probably the largest holder of the shared hosting market share.
They're definitely big, but GoDaddy's bigger:

Hosting market share in the Alexa top 1M:

GoDaddy+MediaTemple 39,952

Unified Layer+Endurance International Group+HostGator 37,942

 

Full rankings:

http://www.datanyze.com/market-share/hosting/
 
Last edited by a moderator:

DomainBop

Dormant VPSB Pathogen
Hosting market share in the Alexa top 1M:
The Alexa top 1M probably doesn't paint an accurate picture of the size (number of websites hosted, customer base) because the top 1 million represent just a tiny fraction of the total number of websites, and the percentage of websites in the top 1 million who use overloaded "unlimited" shared hosting, which is EIG's bread  and butter, is lower than the overall percentage of websites that use shared hosting.

If you extend it out to the top 5 million websites, then according to this survey EIG brands  would rank #2 (HostGator), #3 BlueHost, and #21 ("EIG") http://myip.ms/info/top_hosting/TOP35_World_Website_Hosting_Companies_2014_year_Real_Time_Statistics.html

If you include all websites, then Digital Ocean is now the 4th largest hosting company in the world according to Netcraft
 
Last edited by a moderator:

drmike

100% Tier-1 Gogent
So, someone did kindly by me....

Pointed me to the public filing since EIG is required to file public disclosures:

"On October 31, 2014, the Company acquired Arvixe, a California-based web presence provider to small and medium-sized businesses for a purchase price of $22.0 million, which consisted of a cash payment of $17.6 million at the closing with the remainder payable 12 months following the closing."

^--- There you are.  Arvixe sold for $22 million.
 

drmike

100% Tier-1 Gogent
With regard to speculation about employees and concerns for job loss and offshoring:

As we acquire other businesses, we regularly combine data center, sales and marketing, support and engineering operations and the general and administrative function to better leverage our cost structure by eliminating redundant costs. In order to remove these costs, we may incur charges for employee severance, exiting facilities and restructuring data center commitments and other related costs. During the three months ended September 30, 2014, we completed the process of closing office locations in California and Colorado. These office closings resulted in the elimination of approximately 90 positions, for which we have taken severance charges of $1.8 million, which was incurred during the nine months ended September 30, 2014. We have paid $0.6 million of severance costs during the nine months ended September 30, 2014 and accrued a severance liability of $1.1 million as of September 30, 2014 related to these severance costs. We expect the employee-related charges to be completed during the year ended December 31, 2014. We may incur additional severance costs related to these restructuring activities during the three months ended December 31, 2014. We do not, however expect any additional severance costs to be material to our financial position and results of operations. We have approximately $3.0 million in remaining lease obligations for these closed facilities and have recorded a charge for remaining lease payments, net of expected sublease income, of $1.6 million during the third quarter of 2014.
 

XFS_Duke

XFuse Solutions, LLC
Verified Provider
Sad thing is the person from Arvixe doesn't even reply to this stuff... Sad day for sure... I'm glad I'm not a customer anymore. If I was, I would certainly move.
 
Last edited by a moderator:

XFS_Duke

XFuse Solutions, LLC
Verified Provider
@Alex - Arvixe any ideas behind this? Don't mean to throw you guys under the bus, but aren't you worried about your job in the next several months?
 

QuadraNet_Adam

Active Member
Verified Provider
Interesting read: http://www.thewhir.com/blog/endurance-international-group-acquires-arvixe-look-numbers

@Alex - Arvixe any ideas behind this? Don't mean to throw you guys under the bus, but aren't you worried about your job in the next several months?
Duke, that is none of your concern. Just because Arvixe let you go doesn't mean you have to give everyone a hard time about it and try to make everyone feel sorry for you (quite evident what you are trying to do from your previous posts). Move on, and tend to your own knitting.
 
Top
amuck-landowner