The second-annual Ingram Micro Cloud Summit is set to start later today (June 1) in Phoenix, Ariz. But if you take a closer look you’ll discover that the event was spun off from another annual gathering involving Ingram Micro Seismic MSPs. So what’s the difference between Ingram Micro Cloud and Ingram Micro Seismic? Less and less. Here’s why.
Ingram launched Seismic to help VARs and aspiring MSPs pursue recurring revenue opportunities. Initially, those opportunities involved remote PC and server management. But gradually, Seismic gained cloud-related services like online backup, disaster recovery and hosted email. By September 2010, Renee Bergeron arrived as VP of managed services and cloud computing. And by November 2010, Bergeron unveiled the Ingram Micro Cloud portal — which features numerous third-party SaaS and cloud solutions for VARs and MSPs.
I suspect dozens of Ingram Micro Seismic partners will attend this week’s Ingram Micro Cloud Summit. And gradually, I think the line between Seismic managed services and Ingram’s cloud push will disappear. Ultimately, we’ll be blogging about VARs and MSPs pursuing cloud opportunities, even as they continue to manage customers’ on-premise equipment.
Still, the blurring of managed services and cloud computing doesn’t mean the end of MSPs. By most estimates, the managed services market continues to grow at least 20 percent annually. And generally speaking, cloud vendors are opening their arms to MSPs — because MSPs are already experts on recurring revenue business models.
Ingram’s Bergeron is set to keynote the Ingram Micro Cloud Summit the morning of June 1. I think roughly 300 VARs and MSPs — plus about 100 vendor representatives — will be on hand for the keynote. By the end of the keynote, I suspect the line between managed services and cloud computing will further blur. Bottom line: The shift to recurring revenue continues to accelerate.
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Blurring is a great word for what is occurring as it also refers to the confusion that this convergence is causing. Not only to MSPs/VARs but also to business decision makers that are treading the murky waters of IT outsourcing, trying hard to understand what is right for their business IT requirements. When shopping for insurance, you call an insurance broker. When shopping for book keeping services, you call an accounting firm. This logic comes from painstaking industry marketing and message clarity – with uniformity. Something that is severely lacking in our industry.
Osama,
I understand your points but I also think the insurance and accounting industries have built-in advantages for promotions and marketing.
1. Insurance: Many insurance brokers are affiliated with larger companies — AllState, State Farm, etc. So there is national air cover marketing for the local insurance offices…
2. Accounting: Individuals and businesses have to file taxes. So ultimately, you HAVE to find an accountant.
3. VARs/MSPs: Small business owners grew up buying PCs from big box retailers. The SMB owners traded poor in-store service for great pricing. When those small business owners were finally ready for some real IT, their behaviors had already been trained in a negative way. SMBs often shop on price and worry about service later… VARs and MSPs suffer because of that.
4. How to Potentially Change the System: It would be great for CompTIA or another association to launch a channel-oriented marketing campaign that targets SMB customers. It could be similar to how the dairy industry launched the “Got Milk” campaign. Individual dairy farmers all contribute into a fund, used by an association or group to launch blanket marketing. Imagine if CompTIA advertised the value of VARs and MSPs to end-customers.
-jp