Managed Service Providers (MSP) are survivors of the reseller purge seen in the early 2000s, or their founders are trying to be careful to avoid the mistakes made in that era. These organizations prevent the sale of one-time solutions and instead focus on monthly recurring revenue. The problem is that many MSPs still follow the familiar reseller model of reselling services instead of “owning” the services they are selling. They are, in essence, agents for a larger services provider who owns the infrastructure.
While MSPs who act as agents have successfully transitioned to a monthly recurring revenue model, there is limited value in their organization. Instead, MSPs need to look at bringing some of these services in house and owning the infrastructure that supports them.
To learn more, watch our Lightboard Video “How to Get the Highest Price for Your MSP Business.”
George Crump is the Chief Marketing Officer at VergeIO, the leader in Ultraconverged Infrastructure. Prior to VergeIO he was Chief Product Strategist at StorONE. Before assuming roles with innovative technology vendors, George spent almost 14 years as the founder and lead analyst at Storage Switzerland. In his spare time, he continues to write blogs on Storage Switzerland to educate IT professionals on all aspects of data center storage. He is the primary contributor to Storage Switzerland and is a heavily sought-after public speaker. With over 30 years of experience designing storage solutions for data centers across the US, he has seen the birth of such technologies as RAID, NAS, SAN, Virtualization, Cloud, and Enterprise Flash. Before founding Storage Switzerland, he was CTO at one of the nation's largest storage integrators, where he was in charge of technology testing, integration, and product selection.
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