A potentially lucrative business in archiving social media for investment companies is enticing more competitors to join the race. The most recent announcement was by Symantec for its new Enterprise Vault 10. Though it would be a mistake to dismiss a heavy-weight contender like Symantec, there are others are already well ahead in industry acceptance – though we’ve barely completed the first leg of the marathon.
Here’s a brief rundown on companies that my research shows to be the top four: 
Socialware
The news that Morgan Stanley Smith Barney would allow its 17,800 financial advisers begin to use Twitter and LinkedIn in October 2011 and that Socialware would provide archiving and review services was a major coup for the Austin, TX- based firm. Founded in 2008 and run by CEO Chad Bockius, Socialware has received a reported $7.3 million in venture capital. The company seems to have made a strategic shift in direction recently away from small- to mid-size securities firms as it could be preparing for an IPO. Socialware would not divulge pricing.
Socialware’s “Compass” product uses a hybrid API- and proxy-based software system. Clients include NEXT Financial, Cambridge Investment Research, American Portfolios Financial Services, MWA Financial Services, Securities America, and Morgan Stanley Smith Barney.
Arkovi
Founded in 2009 by CEO Blane Warrene, along with principals Carl Cline and Tyson Lowery, Ohio-based Arkovi was chosen as one of two top archiving companies for securities firms in 2010 by Morningstar Advisor (along with Socialware). General Counsel Carl Cline was employed by NASD (now FINRA) for over 10 years as a district supervisor and served in executive roles with ING, Fifth Third, and JP Morgan Chase, giving the firm an advantage unique among archiving firms with his understanding of broker-dealer and RIA compliance issues.
Arkovi’s cloud-based archiving solution requires no hardware or software installation, with no configuration requirements. It works wherever there is a web browser. Its Enterprise Solution is priced at $99 per month for up to five users, with each additional user at $10 per month. Volume discounts apply. Clients include Trade PMR, Fidelity Bank, and Valmark Securities.
Actiance
A major player globally, Actiance— formerly known as Facetime—has a client roster of 1,600 companies in the financial services, energy & utilities, healthcare, pharmaceuticals, technology industries, as well as for the federal government. Its penetration into the highly-regulated securities industry is unclear at this point. The company has a 75% share of the North American financial services market, nine of ten top U.S. banks, and partnerships with Facebook, LinkedIn, and Twitter. Headquartered in Silicon Valley (Belmont, CA), Actiance has offices in Virginia, the United Kingdom, and India.
Actiance’s “Socialite” is a cloud-based system accessed over the Internet that moderates, manages, and archives social media traffic at a cost of $18-20 for a minimum of ten to 20 users, with volume discounts at roughly $15 per month per user.
Erado
Delivering archiving, compliance, security, and encryption services since 1994, Renton, WA-based Erado‘s Founder & Chairman is Craig Brauff. The company emerged as a major player in social media compliance after its announcement of a product on August 4, 2010. Since then, it has accumulated a roster of securities industry clients including LPL Financial, National Planning Holdings, Commonwealth Financial Network, and KMS Financial.
Erado’s solution is 100% cloud-based and operates at the API-level. Licenses are sold on a per social media account basis and are billed annually. Pricing is $8.00 per month per license with a one-time $25.00 account setup fee, although volume discounts apply.
Other Contenders
Among other firms in this space, you will find Cloud Preservation, Hanzo Archives, Page Freezer, Perpetually, Reed Technology, and Smarsh. None of them should be easily dismissed. Reed Technology Web Archiving Services has major backing as a member of the Lexis Nexis Group. Smarsh is renowned for its industry-standard email archiving solutions. Page Freezer has major corporations as clients. Any of those listed, or others not identified here, could break out of the pack.
Who will be the category-killer?
SCOTT PETERSON is co-founder of Relay Station Social Media LLC. We provide integrated Internet marketing, compliance solutions, training, and more to a wide range of organizations.
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