Business briefs: Scots internet exchange | Mowat | Paradigm

IT FIRMS are joining forces to build an internet exchange in Scotland, so that website traffic doesn’t have to be sent back and forth to London.

Charlie Boisseau, head of network operations at Commsworld, said: “The decision to go ahead and build an exchange at Pulsant’s datacentre in the South Gyle [in Edinburgh] was ratified by the community. There were also talks about where the exchange could reach in future with data centres in Glasgow and Aberdeen both highlighted as obvious locations.”

Cash troubles hit engineering firm

• An engineering firm which includes SSE and Wood Group among its clients has gone into administration.

Caithness-based Mowat Technical and Design Services, which works in the energy infrastructure, transport and construction sectors, employs 26 staff with a turnover of about £2 million.

The administration has been blamed on cash flow problems, partly due to heavy investment in R&D. Joint administrator Iain Fraser of RSM Tenon said the firm had a “strong pipeline of potential work”.

• Paradigm Flow Services has seen operating profits soar from £300,000 to £800,000 on turnover up from £3.3 million to £5.3m.

The Aberdeenshire-based oil services company, which is aiming to boost turnover to £9m, also announced contract wins worth more than £3m for projects in the Gulf of Mexico, offshore Nigeria.

Paradigm has expanded its 40-strong team by four in the past three months and is leasing additional space at the Thainstone Business Centre.