BUSINESSWEEK ONLINE : NOVEMBER 20, 2000 ISSUE
BUSINESS WEEK E.BIZ -- PERSONALITIES

Hancock's Challenge


PROVIDE HIGH-MARGIN SERVICES:
Exodus ( EXDS) wants to expand from hosting others' Web sites to providing lucrative Web services. It's rolling out its first offerings now, but still playing catch-up: Exodus professional services rakes in $9,000 a month per corporate customer, vs. $80,000-plus for outfits like Loudcloud.

COUNTERBALANCE THE DOT-COM FALLOUT:
A slowdown in the dot-com market has dropped new Exodus customer wins in its three most recent quarters from 545 to 503 to 414. Hancock must win over more established companies. Already, Net startups have gone from 80% to less than 50% of Exodus customers.

DON'T TURN OFF PARTNERS:
Some 30% of new customers come from Web integrators like Scient ( SCNT), as well as software-service providers like Loudcloud. As Exodus moves into high-end services, relationships with partners are becoming strained. Hancock must navigate a delicate balance of cooperation and competition.

INTEGRATE GLOBALCENTER:
On Sept. 28, Exodus bought rival GlobalCenter. The deal will make Exodus the No. 1 Internet host, with 46 data centers, 2,000 salespeople, and 5,000 customers. Hancock has hired an exec to spearhead integration, but, ultimately, the job of melding the two diverse cultures falls on her.



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EBIZ Contents for issue dated Nov. 20, 2000


RELATED ITEMS
Making Her Own Luck

RESUME: Ellen Marie Hancock

TABLE: Hancock's Challenge

TABLE: Hancock on Hancock



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