The prime mover of the scheme, Gary Connolly, says there’s also been progress in getting funding for the data vaults, which have $11 million of local and overseas money committed to them.
Connolly says he can’t name the investors but the New Zealand funds are coming from a “recognised investment group”.
Hogg says he decided to get involved after satisfying himself that the idea has solid local and overseas backing. He says he can see the potential of the data vaults for the investment banking industry, in which he retains contacts.
Connolly claims seven organisations are keen to begin using the vaults and five others are interested, all of which are overseas. On that basis, he says the vaults can begin breaking even in five months of being commissioned.
Hogg says the chain of vaults is similar to a data fortress scheme which he sought $100 million of government backing for in the late 1980s.
“That idea was probably too grand,” he says; and in relation to the current scheme, “from little acorns great oaks grow”.
Thus far Connolly and backers have called themselves Secure Data Vault New Zealand (SDVNZ), which was formed into a trust. Last week the trust leaders were to meet to discuss formation of a company, among whose directors would be Connolly and Hogg.
So far the group has two facilities, one on Auckland’s North Shore and the other in Southland.