Fresh opportunity for MSPs lies in everything-as-a-service

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Research firm says future lies in regionals, vertical markets

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14 July 2017 | 0

The next big cloud opportunity is with vendors and service providers that are able to offer ‘everything-as-a-service’, according to US-based 451 Research.

With the as-a-service model moving beyond SaaS (software-as-a-service), IaaS (infrastructure-as-a-service) and PaaS (platform-as-a-service) comes the increase in demand for different managed services such as security, networking and hosting.

Technology vendors and service providers are realising they must adapt their approach to hosting and cloud services to gain from the growing need for managed services.

With the increase in cloud services options, channel partners have a “more important than ever” role in delivering support, maintenance and consulting services, according to the research firm.

Managed service providers (MSPs) able to connect the dots between managed services, hardware appliances and security requirements will be at an advantage with as-a-service solutions becoming more and more popular, according to the research firm.

In addition, the move from cloud construction – with a focus on technology and infrastructure – to cloud consumption – with an emphasis on service choice and delivery – increases the importance of established customer relationships and the ability to offer a retail model for cloud.

451 Research sees a big opportunity for vendors and providers who deliver high automation, rapid provisioning and services that address complex needs.

There is also opportunity for providers focused on specialist regional and vertical markets. The opportunity exists because of enterprises reducing complexity of its IT infrastructure and focusing on digital transformation.

According to the research firm, managed services and security services are attached to roughly half of the total hosting and cloud opportunity, and are increasing year-on-year.

“This spending trend, alongside feedback from providers, indicates there is an appetite for a wider range of bundled offerings from the managed service sector including systems integrators, VARs and others with service delivery experience,” said research director for managed services and hosting, Rory Duncan.

“We see a significant opportunity for technology vendors to partner with service providers to offer higher value, niche and vertical offerings as these services rapidly emerge.”

IDG News Service

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