MYOB: Getting Aussie Business online... in Singapore

By Brett Winterford on Mar 3, 2011 10:53 AM
Filed under Networking

Chief executive apologises after launch gaffe.

MYOB and Google have been embarrassed by revelations that a free web site and domain name offer to Australian businesses is hosted not in Australia - as advertised during its launch - but in Singapore.

MYOB chief executive Tim Reed [pictured] had told iTnews at a press event yesterday that the sites offered to small Australian businesses would be hosted in Australia.

He also said that it would be MYOB rather than Google that would own the database of Australian small businesses developed via the offer.

An eagle-eyed iTnews reader alerted this publication late yesterday that several sites created for the launch of the "Getting Business Online" offer appeared to be hosted by Amazon Web Services in Singapore.

Today iTnews tested three such web sites, plus the sign-up pages for the service, and validated the reader's information. We also studied the terms and conditions, which clearly state that the data submitted will be owned by both MYOB and Google.

"You consent to the sharing of information including your Personal Information between us and Google Inc in relation to your application," the terms and conditions state, "for the purpose of marketing MYOB or Google products to you."

The terms and conditions also suggest that customer data is shared with Amazon.com.

"We may share your Personal Information with service providers we have retained to perform services on our behalf, such as providing web hosting or database management services."

Early this morning iTnews took this information back to MYOB.

A spokesman for the business software vendor has passed on apologies from the chief executive, who was said to be "deeply embarrassed" on both counts.

The spokesman said that as soon as Amazon.com makes its AWS cloud compute available from within Australia, MYOB will shift Australian customer web sites back onshore.

Matt Mulligan, general manager at MYOB and founder of the MYOB-acquired Ilisys web hosting business, told iTnews that the AWS service was chosen as no similar capability was available in Australia.

"[On AWS], when our client sites get load, extra instances can be spun up instantly and – programmatically rather than by humans," he said. "Our priority is providing a great web experience."

Should Australian businesses care whether their data is hosted in Singapore? Stay tuned for an in-depth analysis.

MYOB: Getting Aussie Business online... in Singapore

MYOB chief executive Tim Reed.

6 comments in this discussion

"Should we care? No more than anyone using Optus for any type of service I guess, considering they are owned by SingTel. Personally id trust my data a lot more on a singapore host than I would say ..."

By Mordd

Tags

myob, google, singapore, getting business online, aws, amazon web services, ilisys

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Comments: 6

Matt 99 Mar 3, 2011 3:04 PM	I had a look into this product and they are doing more harm to the businesses that use it than good. It's important for most if not all business to be online, but giving them this product is ridiculous. Nothing more than a glorified listing.
rodzilla666 Mar 3, 2011 3:14 PM	Some years ago in the USA I saw a huge sticker plastered across the tailgate of an F250 that read "Google is NOT your friend!" I guess the guy was just ahead of his time. :)
BlueCentral Mar 3, 2011 3:23 PM	I certainly do not agree with the statement "the AWS service was chosen as no similar capability was available in Australia" At Ozhosting.com we have always prided ourselves on locally hosted infrastructure. We offer the same if not better site builder products and domain name services locally. Should Australian businesses care where data is stored, ITNew report last year sums it up perfectly - http://www.itnews.com.au/News/234695,privacy-revisions-present-risk-for-offshore-clouds.aspx
shanep Mar 3, 2011 7:01 PM	How is this helping Australian Business !!!! Well that has answered a number of questions i have as to where MYOB ilisys is going NO WHERE. I have been waiting for ilisys to offer Cloud type Solutions so I could resell an Australian Product but looks like I will have to use an overseas company. Does this mean ilisys services arn't as good as amazon.com and should I be looking at other hosting providers for my clients. Why own a web-hosting ccompany and send the business to an opposition company. What sort of uni degree does these directors hold.
maxim Mar 4, 2011 4:34 PM	You'd think MYOB would try and fix the graphic problems it's software has before pissing off all the web designers in Australia. I suppose Tim's just so happy about his new bed mates that he had to go straight to the pub to tell us all how great the sex was. Accounting Software firms should stick to accounting and software and stay well away from anything creative or God help us all!
Mordd Mar 4, 2011 6:49 PM	Should we care? No more than anyone using Optus for any type of service I guess, considering they are owned by SingTel. Personally id trust my data a lot more on a singapore host than I would say a chinese host. Could MYOB have found an australia host instead? Possibly, im not up with the state of the cloud infrastructure here, and BlueCentral posting on behalf of OZhosting did not even address the specific point in the article about why they went with AWS, so maybe there is nothing onshore that suits the requirements MYOB had at the moment. Ultimately I really don't think it matters, its really only embarassing because they said one thing which turned out to be false, if they hadn't said anything no-one would probably have even raised the issue at all.