1. Lots of “SaaS” companies are struggling to get their business models right. Yet they benefit from SaaS hype.
2. Lots of MSP platform providers have perfected SaaS — but few analysts (tech, financial or otherwise) realize that fact. The MSP folks should seek the SaaS credit they deserve when raising money and/or moving into public markets.

If an MSP has no intention of going public, then I dont see how it matters very much except that more standardization of services make for more efficient and profitable operations. I’d think you guys would embrace it since you are already doing an AAS model yourselves but its maintenance, network mgmt, or whatever you want to call it, as a service.

The only issue I see, and it seems like one you can make $$ on are the cloud/multiple cloud issues that come up.

Stu

We make too much on project installs and reoccurring fees babysitting SBS boxes. Since MSPs are undoubtedly one of strongest influencers over technology buying decisions of Small Businesses, most will continue the same old strategy.

However, what happens when Dell, Microsoft, and others spend billions of dollars in marketing/sales on educating Small Business owners of their options and the benefit of SaaS model?

One of the reasons why the Small Business market has been unattractive to these mammoth IT companies is because of the complexity of the market. Its too diverse to standardize, client XYZ’s SBS box is not running exactly same config as Client XXZ’s SBS box. So take away the box in the first place and just give the business what it needs, then you control the infrastructure and its completely standardized.

If you’re a small business and your presented with two options, which would you choose?

Option 1.

Buy a Server, Put it in your office or pay for Collocation
Purchase MS SBS Server Licensing and CALs
Purchase Office Licensing for your Staff
Contract a MSP to manage it all for you
Repeat process every 3-5 years

OR

Option 2.

Pay monthly fee to have your needed Apps/Data delivered via SaaS

We’re getting excellent reception to Option 2.

There’s an old saying: Keep your friends close but keep your enemies closer. Whether MSPs embrace or fear SaaS strategies from Microsoft, Dell and others, the MSPs need to study and understand those services in order to (A) compete effectively and (B) offer consistent responses to customers about such services.

I’m a little confused, are you saying MSPs need to embrace SaaS or just the vocabulary?

-jp