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Kaseya’s Fred Voccola Answers 10 Questions About MSPs In 2020

“Just because we’re ahead doesn’t mean we’re sitting on our butts. We need to continue to innovate. Innovate doesn’t mean ‘Just build cool products.’ Innovate means make Kaseya easier to do business with. Make Kaseya more financially appealing for our customers. Asking ourselves, ‘What can Kaseya do to make sure a Kaseya MSP is growing faster than the market?” Kaseya CEO Fred Voccola says.

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What does this trend look like to an MSP? How is this helping their growth?

The overall software investment that's been made over the last 20 years -- how much money has gone into software companies, how much money has been retained in earnings from like the Microsoft's and the EMC's -- the numbers are upwards of in the in the high hundreds of billions, if not trillions, most of that has gone to companies and for technologies that are enterprise facing.

Eight years ago, if you were going to invest a billion dollars, you’d invest in companies that are selling to Fidelity, not to companies that are selling to the five hundred tiny little banks.

Well, now the tiny little banks, or the MSPs that serve them, or the channel that supports them, whatever phrase you want to use, they're making up a larger growth in spending than the enterprises. So now the investment community -- not just venture and private equity guys -- but you know retained earnings of Cisco and people like that, they're saying, you know ‘We got to build products for that market.’

Well that market -- the market for SMBs, and the MSPs that serve them and the channel that serves them, those local partners that are delivering the technology for these small companies -- the biggest problem they face is that they have technology people like their service delivery folks, people that are delivering the tech to the to the small hospital or into the doctor's office, they're multifunctional. They're generalists. They do everything; answer the answer the calls from the customer, they'll do their backups, they'll do security. The products that have been built and invested in for 18 years are not purpose built for those guys. They’re purpose built for Fidelity. Where at Fidelity, the IT people do one thing each. If you do back up at Fidelity, that’s all you do.

If you are an MSP serving 50 small banks you’re doing backup, answering the phone, and helpdesk and security.

These small companies are investing more and more of their revenue into technology. So, first and foremost we’re going to see the partner community: resellers, VARs, MSPs, … in aggregate they’re growing at 17 percent a year. It’s really good. We’re going to see that trend continuing. Surveys that we do with MSPs within the customer community, we expect that number to approach 20 percent in small to midsize business spending on technology year over year. That’s massive.

 
 
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