What’s Hot — And What’s Not — In Managed Services
Economic concerns continue in the US, but some clear IT spending trends are beginning to surface. If you look at recent financial results from networking companies, PC companies, software specialists and service providers, you can get a better feel for how to shape your managed services practice for the rest of 2008.
Sector: Networking
The Upshot: Networking companies aren’t so hot. Nortel is struggling and even the mighty Cisco has expressed concerns about IT spending in selected markets. MSPmentor recommendations: Go deep in hot networking segments rather than broad. Check out Cisco’s intuitive “price per user per day” strategy, which could help you shape your managed services pitch to customers. Also, begin to explore how open source may impact network managed services. Digium’s latest quality guarantee to partners could help to accelerate demand for Asterisk, an open source IP telephony platform that’s gaining popularity in the managed services space. Also, begin to investigate how you can optimize specific applications for better network performance. F5 Networks, in particular, is attracting attention in that area.
Sector: Software as a Service
The Upshot: Salesforce.com just had a blowout quarter, some major enterprises are beginning to embrace Google Apps (an online software suite) for daily applications, and some pundits say SaaS is immune to an economic slowdown. We don’t think that’s the case, but we do believe SaaS continue to deliver new opportunities. MSPmentor recommendations: Start to explore how the SaaS and managed services sectors are converging. Level Platforms CEO Peter Sandiford provided some perspective in this guest blog entry.
Sector: Traditional Software
The Upshot: Skeptics like SugarCRM CEO Johnathan Roberts will tell you traditional software is dead, and open source is the way to go. But recent financials from Microsoft suggest otherwise. MSPmentor recommendations: Explore how traditional applications are moving into SaaS settings. One prime example is Microsoft Dynamics, which plenty of VARs are starting to host for customers.
Sector: Storage
The Upshot: Big, established technology companies — like EMC and Symantec — are moving into the storage-as-a-service market. This is a clear signal that storage as a service has reached critical mass, and should now be a basic offering in every MSP’s toolkit. MSPmentor recommendations: Get sophisticated. Push beyond backup and restore to focus on contingency planning and disaster recovery services. And keep your mind open as nimble storage specialists introduce managed storage partner programs. Vembu, for one, comes to mind. Also, check out third-party storage services that you can plug into. Amazon.com’s Simple Storage Service is turning some heads.
Sector: Security
The Upshot: Continues to be a hot sell, but you need to push beyond traditional anti-virus, anti-spyware solutions. MSPmentor recommendations: Read up on PCI compliance. Much like Sarbanes-Oxley a few years ago, PCI is the hot compliance topic of today. Looking ahead, many customers will insist that their MSPs offer PCI-compliant services. Here’s some more background on PCI for MSPs.
Sector: Open Source
The Upshot: Even long-struggling Novell, provider of SuSE Linux, is now raising its revenue estimates for 2008. But don’t limit your open source thoughts to Linux. MSPmentor recommendations: Begin to understand how open source is shaping managed security services (example partner: Untangle), managed VoIP, and hosted databases and hosted applications like SugarCRM.
The Difference Between HaaS and Leasing
Several dozen VARs are heading to a managed services luncheon today in New York, where they’ll learn about best practices for hardware as a service (HaaS), managed printing and managed security.
Windows Server 2008: Ho-hum Reaction From Managed Service Providers
As Microsoft launches Windows Server 2008, I’ve noticed a rather interesting market dichotomy: Traditional, mainstream server application providers (BEA Systems, IBM, Oracle, etc.) are falling all over each other to vow support for the new operating system. But managed service platform providers aren’t saying much about Microsoft’s latest server release. Here’s why.
Ingram Promotes Digital Signage SaaS
Digital signage: At first, it was considered a hardware opportunity for VARs. But a second look reveals that it’s a recurring revenue and software-as-a-service (SaaS) opportunity for managed service providers.
Salesforce.com: Stellar SaaS Financial Results
Salesforce.com delivered the goods today. The software-as-a-service (SaaS) company announced particularly strong quarterly profits and raised its rest-of-year financial guidance. That’s great news for SaaS and its close cousin, managed services. But let’s not get too giddy.
What Cisco’s Digital Signage Move Means to MSPs
When MSPmentor first wrote about revenue opportunities in digital signage, some managed service providers expressed skepticism. Frankly, we’re feeling a little vindicated today — based on Cisco Systems’ digital signage initiative. Here’s the scoop.
Managed Services Are Hot In the Land Down Under
N-able, the managed service platform provider, is looking to make a splash in Australia. Smart move. A few weeks ago, MSPmentor described how the managed services market is growing more than 20 percent annually in Australia. And N-able CEO Gavin Garbutt (pictured) estimates that there are nearly 2 million small and midsize businesses in Australia, providing fertile ground for managed service providers. Here’s how N-able — and some of its rivals — hope to grow that market.
VMware and Virtualization Meet Managed Services
A few weeks ago, I started hearing rumblings about managed service platform providers embracing the virtualization market. One of the first movers in this effort is Nimsoft, which today unveiled automation tools for monitoring VMware environments. But Nimsoft won’t be alone for long. Plenty of companies are looking to convergence virtualization with managed services. Here’s a sampling of what to expect.
Top 250 Managed Services Experts: Nominee Update…
MSPmentor is striving to identify the top 250 leaders, innovators and influencers shaping the global managed services market. We’ve received several dozen nominations since launching this project on February 21.
Google Apps and SaaS: The Office of Tomorrow?
If you’re still skeptical about managed services and software as a service (SaaS), spend a day at Long Island’s Hofstra University. Roughly 13,000 Hofstra students have access to Google Apps Education Edition to collaborate online, according to Robert W. Juckiewicz, Hofstra’s VP of IT.
