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Techaisle Blog

Insightful research, flexible data, and deep analysis by a global SMB IT Market Research and Industry Analyst organization dedicated to tracking the Future of SMBs and Channels.

MSPs and the Cloud: A Successful Partnership or Not

Techaisle’s survey of 2115 partners shows that while many VARs offer managed services to their customers, only a small percentage successfully achieve consistent growth and profitability. In contrast, MSPs have been more successful in their managed services business model and have also begun to achieve success in the cloud. MSPs are well aligned with the business requirements associated with cloud sales. They can act as a logical extension to partner activities by providing discrete services that can be delivered efficiently. However, unique business requirements and partnering practices associated with cloud suppliers have proved challenging for MSPs.

Techaisle data shows that 65% of VARs offer managed services to their customers. Still, only 50%, less than one-third of all VARs, successfully achieve consistent growth and profitability within managed services. The data is similar to 2018. Conversely, 71% of MSPs have succeeded in their managed services business model, and 29% are still striving to achieve profitability and success. Unlike the last several years, MSPs have begun to achieve success in the cloud. 89% of MSPs currently offer cloud, and 72% have achieved cloud success. It is two-thirds of all MSPs, up from less than half in 2018.

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OpenText - A Cybersecurity Powerhouse Built on Strategic Acquisitions

OpenText's transformation from a Canadian document management company to one of the world's leading software providers is nothing short of remarkable. The driving force behind its growth has been a focus on cloud-based solutions, which led the company to go on an acquisition spree, bringing several specialized companies/brands under its umbrella. Cybersecurity is one arena where OpenText has taken a deliberate approach over the last decade with multi-billion dollars of capital investment to bring together critical purpose-built solutions to provide holistic coverage to its customers.

The company’s acquisition of data protection provider Carbonite (ninth cloud-specific acquisition overall) and endpoint/threat intelligence software provider Webroot marked a significant milestone in its quest to create a single, unified, and robust security portfolio.

With the Carbonite and Webroot acquisitions, OpenText became a go-to option for managed service providers (MSPs) and small and medium businesses (SMBs) seeking a one-stop shop for security and data protection, filling a void in the market with its broad portfolio. Experts have opined on OpenText’s offerings: “It's one vendor, one brand, one program, one partner strategy, one go-to-market, so small customers and partners don't need to work with multiple vendors. OpenText Cybersecurity can provide all of it."

However, this was just the beginning. OpenText's subsequent acquisitions of email encryption software provider Zix, security software provider AppRiver, Network Detection and Response provider Bricata, and enterprise software provider Micro Focus further strengthened its position in cybersecurity. The approach to consolidate all security and data protection services in a single platform – serving as the foundation to deploy the right capabilities and manage and administer their environment has made things easier for customers of all sizes. In addition, OpenText's comprehensive portfolio provides a robust and reliable option for businesses seeking to enhance their cyber resiliency. In the following sections, we will explore OpenText's trajectory to becoming one of the leaders in the cybersecurity domain.

opentext acquisitions 1

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Red Hat’s ecosystem initiative gains momentum with new partnerships with SAP, Oracle, and Google Cloud

Open Hybrid Cloud, a strategy for architecting, developing, and operating a hybrid mix of applications, delivering a flexible cloud experience with the agility, stability, security, control, and scale required for digital business transformation, is the North Star for IBM and Red Hat. Open Hybrid Cloud is a computing model that combines the benefits of public and private clouds and on-premises and edge infrastructure. It is a complex paradigm to comprehend, and Open Hybrid Cloud is a multifaceted and challenging undertaking for all organizations. However, one of the critical advantages of an Open Hybrid cloud is that it enables organizations to leverage the power of a partner ecosystem. And empowering a robust ecosystem that delivers Open Hybrid Cloud is the guiding principle of Stefanie Chiras, SVP, Red Hat Partner Ecosystem Success. In a discussion with me, she said, “Red Hat’s strategy on Open Hybrid Cloud is dependent upon our ecosystem; the value of it only gets delivered with our ecosystem. And as we tout the value of the flexibility, the scalability, having a secure, security-focused mindset, being driven by the platform, but that optionality that comes with it is only delivered through the ecosystem.”

Red Hat’s ecosystem initiative is powering on with three key announcements:

1. Red Hat partnership with SAP for RISE with SAP
2. Red Hat partnership with Oracle Cloud Infrastructure
3. Red Hat Ansible Automation Platform on Google Cloud Marketplace

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Ten Key SMB, Core Midmarket, and Upper Midmarket Cloud Trends

Techaisle’s research of 2150 SMB, core midmarket, and upper midmarket firms reveals ten key cloud trends. The importance of cloud cost optimization, automation, and orchestration cannot be understated. Techaisle’s research of 2150 SMB, core midmarket, and upper midmarket firms reveals ten key cloud trends. The importance of cloud cost optimization, automation, and orchestration cannot be understated. Techaisle survey data shows that cloud cost optimization has moved from 2nd priority to 1st in cloud initiatives for 59% of SMBs and 55% of upper midmarket firms. In addition, it is the top consulting services priority for 100% of firms.

The explosion in cloud use has led to considerable increases in the extent of automation within SMBs and midmarket firms. SMBs are absorbing cloud systems at a very rapid rate: many core infrastructure requirements, systems of record, and systems of engagement either are or soon will be cloud-based, and the cloud is paving the way for new automation in these areas, and in systems of insight (analytics) within SMBs.

techaisle ten key smb midmarket cloud trends

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