Microsoft reveals Irish details of start-up support

MICROSOFT HAS revealed the Irish details of BizSpark, its new global initiative to support technology start-ups with technology, advice and publicity.

Start-ups who sign up to the programme will get access to development tools and server and application products which they can use to launch commercial products.

Companies who are in business for less than three years and have revenues of under $1 million qualify for BizSpark, explained Clive Reeves, general manager of Microsoft's emerging business team.

Veteran venture capitalist and technology executive Brian Caulfield says the value of the software alone could be worth €100,000 to a start-up.

"Microsoft needed to do something to create a compelling alternative to an open source stack for developers," said Caulfield.

"Open source provides low-cost development and deployment but it doesn't deliver potential access to customers and partners like BizSpark is promising."

As well as providing access to Microsoft software, the programme also includes technical support, legal, financial and business advice from a network of Microsoft partners and exposure to potential investors, partners and customers through a dedicated BizSpark website.

Locally, BizSpark members can avail of special offers from hardware providers such as Dell, training companies including New Horizons, and web hosters such as Blacknight, C-Infinity, Digiweb, Eircom and Hosting365.

Microsoft has also teamed up with the Digital Media Forum, Irish Internet Association, Irish Software Association and Momentum NI to promote BizSpark to their members.

Mr Reeves said that currently about two-thirds of start-ups are building software that will be offered as a service over the internet rather than installed on a customer premises.

"At the end of the three-year engagement we will bill them for $100 - that's the only commitment we are asking," says Mr Reeves.

However, cynical observers might suggest that the scheme is a way to lock start-ups into Microsoft technology at an early stage and then start charging them for licences.

"If they are providing software as a service the cost of our software licences is a small percentage of their data-centre costs," counters Mr Reeves.

Paul Rellis, managing director of Microsoft Ireland, believes BizSpark is even more relevant in the current tough economic climate when start-ups may have difficulty attracting venture capital funding.

"As a country we will reap huge rewards if we give support to start-ups in difficult economic times," says Mr Rellis. "Innovation can be the fuel of the economy's engine."