Two
Compelling Case Studies: The Lurie Company and inSORS
July
15, 2001
CHICAGO,
IL --- The business real estate tenant community is marching
toward true broadband connectivity. Meanwhile, a primary
tenant demand is enhanced Internet access speed. So states
a survey of over a thousand building owners and managers
that was completed last year by the Building Owners and
Managers Association (BOMA) International. One owner in
particular, the Lurie Company in downtown Chicago, has
taken this precept to heart. It is using Cogent access
to bolster marketing efforts for leasing its space to
a diversified group of businesses, including high-tech
enterprises. A prime Lurie tenant, inSORS Integrated Communications,
is already taking full advantage of Cogent technology
to significantly increase the speed and reliability of
its product offerings.
Lurie Company and Cogent Partner to Create High Tech
High Rise
The Lurie Company has recently transformed its LaSalle-Wacker
Building in the Chicago central business district into
a technology presence through the installation of fiber-optic
cable and by offering a welcome mat there for a cluster
of tenants who support technical enhancements. Even its
corporate web site at www.tlcchicago.com conveys a high-tech
aura with camera-eye virtual tours of various buildings.
Once Cogent made the building its Chicago hub, Lurie realized
it could use Cogent to help market the building while
boosting its profitability.
Lurie plans to set up a "meet me" room for interested
parties to test first-hand Cogent's high-speed Internet
access, and to provide insight into the creation of a
"high-tech" building. Cogent has also spurred
Lurie to look into the temporary rental of rack space
for Cogent customers in other locations. Such clients
may need immediate access in the interval before Cogent
connects their building, and could locate their Internet
servers and hookups in the racks without relocating physically.
"This is like creating a mini collocation center
to immediately address access issues with a temporary
solution," said Larry Cohn, Vice President of Lurie.
"This model is ingenious," added Guy Banks,
Director of Real Estate for Cogent, "because it maximizes
the rent of spare office space, and can generate up to
three times the rental rates the space would normally
bring in through a standard tenant lease."
Cogent's fast speed and low-cost access have been instrumental
in bringing four tenants to the building at LaSalle-Wacker
Building. Two tenants, inSORS and SlamLam, have relocated
their businesses in part to gain entrée to Cogent,
along with placement in a building geared to serving a
high-tech clientele.
inSORS leverages Cogent Technology to Deliver Data-Intensive
Audio and Video Applications
The inSORS company is a Lurie tenant and Cogent client
of special interest, as it has employed Cogent technology
to slash costs and grow its operations. inSORS develops,
tests, and integrates data-intensive voice, video, and
audio applications. It accesses the Cogent network from
its quarters in the LaSalle-Wacker building to conduct
demonstrations of its flagship real-time distance learning
and collaboration system, the inSORS Grid (IG) .
Brian Gleason, inSORS' Director of Business Development,
says price is a key Cogent plus. "Its 100-megabyte
at $1,000-a-month service is a price point that makes
our system that much more attractive."
inSORS carefully evaluated Cogent against rival offerings.
"We must have had 15 to 20 service providers through
here benchmarking," stated Gleason. "Compared
to the offerings of other vendors, the cost savings were
striking." So low was Cogent's price that some competing
firms "thought Cogent was misquoting us."
Speed and quality are other big advantages. The inSORS
executive noted that prospective clients were initially
"tuning out our conferencing system because it ate
up too much bandwidth
.We had to crank down the audio
and video quality to make it work." Then, after installing
Cogent, "we cranked it up to as high as we liked."
Cogent's network has allowed the IG product to meet its
demanding requirements for instantaneous video, audio,
and data interaction among geographically dispersed groups
of workers. "We've been able to perform really successful
demos of our system for prospective customers."
The crispness of the real-time video transmissions is
stunning. Some who've dropped in on IG demos, after eyeing
the life-like images cast off by its projector, have called
out greetings to people on the screen, believing them
to be physically in the room. Cogent's ease of installation
is another selling point. Cogent installers simply "ran
the riser to our suite, and plugged the adapter into our
router. We were up and running the same day."
The most important result is a bigger, more profitable
inSORS. Cogent-fueled applications have "led to expansion
of our office space, to more hiring, and to more product
development," remarked Gleason.
Among those using the IG are corporate training and financial
services firms, as well as educational institutions. Indeed,
one notable user is the Illinois State Board of Education.
The Board is charged with maintaining teacher certification
for 26,000 instructors state wide, and is using the IG
to give certification classes to educators at far-flung
locations.
For such customers, notes Gleason, "it's a great
return on investment. It decreases travel costs through
the ability to disseminate information to greater numbers
of people from a single expert." Gleason is upbeat
about the growing appeal of data-intensive services. "Once
technologies like Cogent bring down costs, applications
that use a lot of bandwidth will take off."