DH2i moves into IoT market with DxOdyssey for IoT

DH2i’s new initiative involves an expanded relationship with Microsoft around its new Azure SQL Edge data engine, and their offering will be available in the Azure marketplace.

Don Boxley, DH2i’s CEO and Co-Founder

DH2i, which has been focused on multi-platform Software Defined Perimeter [SDP] software as a VPN replacement, has moved into the Internet of Things space with the launch of DxOdyssey for IoT. This lower latency version of their DxOdyssey VPN replacement is delivered through a small-footprint container, to let organizations build and manage secure, dynamic end-to-end data tunnels between data centre and cloud hubs and IoT edge devices. This provides the highest possible level of security, with a Zero Trust network architecture that virtually eliminates any attack surface. DH2i is also working closely with Microsoft around the new Azure SQL Edge data engine, and expects that the joint marketing will greatly expand the total addressable market for the solution.

“Originally, DxOdyssey was designed as a VPN replacement when we introduced it in 2018,” said Don Boxley, DH2i’s CEO and Co-Founder. “Over the course of working on that business, we had an engagement with a larger partner that persuaded us to focus on IoT. That led us to optimize our product for the IoT use case. We leveraged all the technology that we made a part of DxOdyssey, took what would normally run in an enterprise data centre, and shrunk it down to run on a Raspberry Pi 3.”

Boxley said that this IoT strategy made sense on several levels. An obvious one is the large projected growth in the IoT space. Verified Market Research has reported that the Global IoT market size, which was valued at $212.1 billion in 2018, is expected to grow 25.68% between 2019-2026 and reach $1,319.08 billion by 2026.

“There was going to be a huge explosion of IoT devices at the edge, and VPNs and open ports just aren’t an answer for providing remote access there,” Boxley said. “In addition, because DxOdyssey for VPN has a very long sales cycle, that market has become slower because of COVID.”

The traditional DxOdyssey for VPN is still there, but the IoT version is an entirely separate product.

“We are continuing our activities around VPN replacement, and have a large Proof of Concept going on in Japan,” Boxley indicated.

Moving into the IoT space required a lot of design work.

“We knew we could manage things in IoT, but we didn’t have the development product behind it,” Boxley said. “We spent 2019 developing the container that could run an end to end tunnel in an ARM processor. We were fortunate that the way that we designed our SDP was very well suited to attack the IoT marketplace. Normal design is to have a very smart controller in the middle, and dumb endpoints. We are the opposite, with smart endpoints, and a controller that isn’t as smart. That means that it can be out of the mix. There’s a direct connection with our TCP to UDP tunnel, which is why Microsoft reached out to us.”

That Microsoft connection will be critical to the success of DxOdyssey for IoT.

“Microsoft just recently announced Azure SQL Edge, their edge-optimized IoT database,” Boxley said. “It allows SQL to be developed once and then deployed anywhere. What we do is to make sure that data can be securely transported to the hub that the customer wants, with everything fully encrypted.”

DH2i’s joint development with Azure is part of the announcement, as is the fact that the offering will be available in the Azure marketplace as an Edge module.

“We will be supporting each other from a marketing standpoint,” Boxley said.

This includes a live Microsoft IoT Deep Dive on Channel 9 – “Secure IoT Deployments with Azure SQL Edge & DxOdyssey,” which will premiere on October 21 from  9:00 am – 10:00 am PDT. It will demonstrate a complete solution highlighting how DxOdyssey’s tunneling technology secures data as it moves beyond edge networks through Azure SQL Edge and Azure IoT Hub.

“Because Microsoft is much bigger than us, this will take us into opportunities in verticals like industrial, automative and medical that we would be hard pressed to get into by ourselves,” Boxley stressed. “We really think that this will be a winner.”