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The Ride of Their Lives
The folks at bandwidth.com -- including two ORU grads who majored in history and accounting -- are determined to be the best at what they do (and have lots of fun along the way)
By Rachel Wegner 07 * Photos courtesy of bandwidth.com
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Today, Morken is the co-founder and president of bandwidth.com, with Barstow working alongside him as the chief technology officer. Fostering a unique company culture and garnering national recognition, bandwidth.com works as an Internet service provider and sets up telecommunications for small and medium businesses in the United States.
"The vision is quite simple," Morken said. "It's to serve businesses by providing excellent and affordable phone and Internet service. We have a fundamental focus on being excellent, innovative, and disruptive with our technology."
Based in Cary, North Carolina, bandwidth.com will earn $60 million in revenue during 2007, up from $32.4 million in 2006, and Morken said they are on pace to earn more than $100 million by the end of next year. They have established about 5,000 customers, spanning all 50 states, and have been recognized as one of the fastest-growing private businesses in America by Inc. 500 magazine. In light of the growing success of bandwidth.com, Morken still remembers its humble beginnings.
"It started in my spare bedroom," Morken said. "We've grown from those early days to today, with nearly 150 employees."
Morken had originally purchased the domain name for bandwidth.com after graduating from the University of Notre Dame Law School in 1994, but was called into active duty in the Marine Corps in June of 1995. He served as a company commander, Judge Advocate, and prosecutor in the Marines for four and a half years. He resumed building bandwidth.com in 1999 after his stint in the Marines.
That same year, Morken caught the attention of Henry Kaestner, who owned a telecommunications business out of London at the time. In the process of negotiating an initial marketing relationship, they learned that they were both Christians and both avid mountain bikers. Kaestner took the opportunity to fly Morken to North Carolina for a mountain biking outing. They eventually reached an agreement to join forces. In 2001, Kaestner and Morken merged their small operations into bandwidth.com and began building their staff. Barstow joined the team in 2002.
"Scott's a very smart, methodical thinker," Kaestner said. "Things move a million miles an hour around here. In his position as CTO, he needs to make sure we have the right technology to support our initiatives. He does a great job of being circumspect and helping us to focus in what areas and systems that can best help us. It makes me wonder why we haven't hired a hundred ORU grads."
As Kaestner and Morken continue to build bandwidth.com, they have infused a partnership into their roles with the company. While they consider themselves co-founders, Kaestner acts as CEO and Morken acts as the president, chairman of the board, and chief operating officer. Though their responsibilities are divided, they are accountable to each other. Kaestner said that such a relationship is very rare in the business world and that it requires both partners to share the same values and to have a good friendship established. They meet each week to discuss progress in their areas and consider new ideas for the company.
Under the leadership of Morken and Kaestner, the concepts of camaraderie and athleticism are reflected in the company culture of bandwidth.com. The staff maintains an active lifestyle and can be found waging battle on the intramural fields of the company's campus during their lunch hours. The company also takes an annual ski trip to Park City, Utah, and recently went on a surfing expedition to Costa Rica. The bandwidth.com offices are adorned with photos of company outings and events, employees, and the families of various staff members. But in the midst of camaraderie and fun, the company culture also includes the driving competition of the business market.
"There are times that we've been well ahead of the marketplace with some of the offerings that we had," Barstow said. "We constantly looked over the horizon and found opportunities that are really unique and required a lot of innovation and pushed our technology envelope as well. The people here are constantly looking for better ways to do things."
While striving to develop as a company, Morken said they have been challenged to find a balance between integrity and growth. For example, bandwidth.com refuses to provide service to pornography companies, which causes them to miss millions of dollars in potential revenue. However, the staff of bandwidth.com has had no problem building a solid customer base. They are regularly recognized for their high-quality customer service, as is evidenced by their 99.4 percent customer retention rate and positive feedback from customers.
"We have a keen sense of integrity with how we treat people at the company," Morken said. "It comes directly from our value system we have as Christians. But I'm not going to apologize for the fact that, at the core, we are fire-breathing, meat-eating, American capitalists. We wake up every morning to win."
Morken also personally gives outlet to his competitive nature by training and participating in triathlons and endurance races. First becoming involved in triathlons during his time in the Marines, Morken was the first overall finisher from North Carolina in the 2005 Ironman World Championships held in Kona, Hawaii. Out of the 1,800 participants in the competition, he finished 243rd.
As a businessman, a devoted husband, and a father of six, Morken said it is a challenge to set aside time to train. However, he has still managed to maintain excellent physical condition and continues to race. In early September, he participated in the Wasatch 100, a 100-mile marathon through the mountains of Utah. He was forced to drop out at mile 75 due to physical issues, but it didn't seem to dampen his spirit.
"I enjoyed every step of the journey and I'll definitely do it again," Morken said. "It's a worshipful experience running on mountain trails. It goes back to body, mind, and spirit. You've got to make use of the gifts you're given. The whole-man concept is a sound one."
Kaestner said that he not only sees Morken as a wonderful father, athlete, and Christian, but also as a talented businessman and leader.
"I have never come across a human being that does what he does," Kaestner said. "I've never seen a better negotiator or someone who's a better leader. I've never seen someone who can be so passionate and, at the same time, even-tempered. He is a brilliant business thinker and an incredibly effective leader."
Reflecting on their time at ORU, Morken and Barstow agreed that ORU taught them valuable concepts and gave them a sound education. Both agree that Oral Roberts is one of the most remarkable men they have ever encountered. They also said that ORU yielded a vital network for them.
"What is represented in Scott and I working together illustrates the greatest thing about ORU: the people while you are there," Morken said. "The number-one thing you will get out of ORU are the people sitting to your left and to your right during chapel."
Morken, a 1991 graduate, resides in Chapel Hill, N.C., with his wife, Chrishelle, and their six children. Barstow, who also graduated in 1991, lives in Raleigh, N.C., with his wife, Meredith (Mayton), a 1993 graduate, and their two children.
Editor's Note: Since the publication of this story, Scott Barstow joined the ranks at Symantec Corporation as their director of development. He focuses on products that have to do with research and development. He no longer works for Bandwidth.com in any capacity.
