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Cincinnati Bell's arrival creates Fujitec question

By Justin McClelland

Staff Writer

Thursday, March 06, 2008

Cincinnati Bell Technology Solutions has announced plans to open an Information Technology Center in Lebanon, bringing about 100 jobs to the area. But in doing so, questions have arisen about another company's future in Lebanon — Fujitec, which employs more than 100 people.

CBTS has purchased the Fujitec building and surrounding area along Ohio 48 for $16 million. CBTS will refurbish the facility into 50,000 square feet of data center capacity to serve the northeast area of the Cincinnati corridor.

Extras

The site will be equipped to offer a full range of data center capabilities including data storage, backup and recovery systems as well as managed and professional services.

Fujitec America President Vic Harada said Fujitec will remain in the facility for about one year while refurbishing takes place. Following that, Harada said, Fujitec, a Japan-based company that manufactures elevators and escalators, is planning to relocate to a new facility in the area. He would not comment further on the move.

"Moving our base of operations will give us the chance to upgrade our technology and equipment," Harada said. "We're working with a task force team made up of our employees to determine our next course of action."

Harada said he expected to have a more definitive answer to the company's future in the next four to six months.

Center expects to be up and running within a year

Cincinnati Bell Technology Solutions will open a data technology and storage center in the site of the current Fujitec building, bringing approximately 100 jobs to Lebanon.

Steve Herman, Managing Director of Data Center Business Development for CBTS, said he expected the refurbishment process to begin immediately and for operations to begin running in late 2008 or early 2009.

Herman said CBTS doesn't always convert previously existing buildings to suit its needs, but that "If you find the right facility to convert, it can be easier," he said.

"The Fujitec facility suited our needs, so it proved to be the solution in this instance," Herman said.

Herman also said Lebanon was chosen to host a facility because of its location within the Cincinnati Bell network, and because of the company's previous dealings with the city during the sale of the city's telecommunications section to Cincinnati Bell in 2006.

"We already have facilities south of Cincinnati and in the northwest, so this made sense as an area to develop into," he said.

In January, Lebanon City Council passed an inducement agreement to help attract CBTS in which the city would provide electric utility credits to CBTS for the next seven years based on the size of the company's payroll.

CBTS serves small and large businesses, providing information technology services, data center hosting and data storage.

Contact this reporter at (513) 696-4544 or jmcclelland@coxohio.com.

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