The Impact of Cloud Computing on Managed IT Service Providers

managed it services

Today, many managed service providers (MSP’s) are including cloud computing or cloud services in their spectrum. “There’s an opportunity to gain greater margins and support more customers and even tickets per customer, so you can scale your business to a greater extent,” – said Jeffrey Kaplan, managing director for analyst firm THINKstrategies Inc. With growing competition in the market, it is getting difficult for the MSP’s to deliver value to their customers while fighting the pricing war.

The explosive growth of hyperscale providers like AWS show that adoption is accelerating, with enterprise being a major driver of that growth. For businesses, establishing the most ideal configuration of secure on-premise and cloud infrastructure that checks all IT and business requirements is a difficult proposition and managed it support services or IT professional service providers are the right resource to tackle this.

What are managed IT services and Cloud Computing?

Managed IT Services are traditionally understood to be the practice of having your IT services to be outsourced to third party service providers. Here the service providers take over the IT operations management, their functions, and responsibilities from the internal IT department. This help organizations achieve their strategic goals, by solely focusing on their core business functions and not worrying about the IT infrastructure.

Whereas the term cloud computing refers the technology that enables businesses to set-up and run their IT infrastructure in a cloud-based environment without having to invest in creating in-house computing infrastructure. Managed IT service providers are responsible for the implementation and daily operations that can be scaled up or down at any point of time. This also allows companies to pay as per their usage and it helps in saving the costs of setting up an IT department and the people required to run it.

How Managed Service Providers Are Uncovering The Unknowns For Businesses 

Today the question is not about how relevant MSP’s are in the era of cloud computing, instead how they will be helping organizations to meet their demands by providing cloud computing as a solution. Managed It services have evolved, and IT service providers are now responsible for more than just fixing the pc’s or setting up the internet connection. Instead, Managed Services will now become about helping organizations understand how to effectively and optimally use the various capabilities made possible by Cloud Computing. It all began with a self-operatory model but with time and the growing need to simplify things, have more secure operations, managing cloud computing has become complex.

In a nutshell, managed service providers are here to stay and if they follow the right approach and focus on the right problem, they have the opportunity for a tremendous growth.