Sramana Mitra: Yes, but that’s still infrastructure. I’m wondering how the application-level technology is going to make it out to the nodes.
Fred Voccola: That’s a very vertical question. If I’m an insurance broker, and I have 10 sales people in my office and two underwriters. I’m not only a broker but I’m also taking my own risks. If I’m looking at who my sales people should call, there’re AI-based applications that are targeting specific sales productivity functions in the B2B and the B2-VerticalB space.
Most managed service providers focus on vertical industries not because the infrastructure is so unique but because it’s easier to >>>
Fred Voccola: It’s important for MSPs and companies like Kaseya that provide the platform for MSPs to be constantly looking at the platform that they’re operating on and making sure that the managed services they offer are delivering the value that these capabilities can have. Let’s talk about cloud. Office365 is a SaaS application that has fundamentally changed the MSP market.
If you go back seven years ago, even three years ago, the typical small business would have an on-premise server of Microsoft Exchange. It’ll be one of the most critical applications in their business. Here comes Office365. It’s delivered in the cloud. There’s >>>
Sramana Mitra: Interesting. How many customers do these MSPs typically cater to?
Fred Voccola: It depends. A typical profile of a manager service provider starts with an individual. They work at a large company in the IT department. At some point in time, they got laid off or they got tired of their boss. Usually, it’s by necessity that they left their job. It’s not easy for that individual to find another job. To pay the bills, they would pick up doing IT work for local companies in their community. Very quickly, they build a recurring revenue business.
That or the managed service provider was one of the VARs from the 90’s. As e-commerce destroyed the margins of reselling Dell computers or HP computers, they realized they need >>>
Sramana Mitra: Are there dynamics that are different from geography to geography? You said you’re catering to 35,000 MSPs around the world. Is there anything that is different?
Fred Voccola: That’s a fantastic question. Your audience is global I’m assuming.
Sramana Mitra: It is global. We know a lot about the dynamics of small businesses around the world. For example, we have a very big adoption in India. We know the Indian SMB market is very high touch. If you’re an MSP trying to cater to the small business market in India, that is an incredibly high-touch market. SMBs struggle with providing that kind of high-touch customer service profitably. >>>
Sramana Mitra: What’s in your technology that’s helping these 35,000 MSPs do their jobs to cater to the needs of SMBs?
Fred Voccola: There are a couple of key things that MSPs require. We’ve built our entire company around delivering what MSPs need. I’ll give you a couple of very specific examples. The first thing that a managed service provider needs is a comprehensive integrated platform. There’re about seven different functional areas of IT that a managed service provider delivers for their customers.
They have to manage endpoints. They have to back up data. They have to secure and protect the network, data, and the >>>
Sramana Mitra: Talk a bit about the trends of your industry. Let me be very specific about what industry we’re talking about. Let’s talk about the SME IT services industry. What do you see?
Fred Voccola: This is super exciting. The growth that we’re seeing for SMEs and SMBs in IT infrastructure and technology consumption is astounding. In the enterprise world, from 1992 to 2006, IT infrastructure spending grew at a rate of about 4 times GDP growth. Technology infrastructure was the largest single investment made by the Fortune 500 companies. >>>
This is a very interesting and close look into the IT Managed Services Industry.
Sramana Mitra: Let’s start by introducing our audience to yourself as well as to Kaseya.
Fred Voccola: I’m the CEO of Kaseya. We are the leading provider of IT and cloud infrastructure management solutions for small to mid-sized businesses. Everyone defines SMBs a little bit differently. >>>
Oracle (NYSE: ORCL) recently reported its fourth quarter results that surpassed market expectations. But the Street was not very thrilled as the analysts remained worried about the continued slowdown in the cloud segment. >>>