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Can MSPs compete with the big players like HP, DELL and IBM in IT services?

Recently we have seen an about-face as DELL unloads their IT services to NTT Data and HP announced plans to spin off their IT Services to CSC. These multi-billion dollar deals may be a significant indication of what’s to come. Seems like the size of the enterprise outsource IT deals are dropping.

Meanwhile, smaller MSPs are moving up stream. Enterprise level Cloud solutions are emboldening the MSPs to get into the bigger game a lot faster than expected. There are a lot of companies developing all sorts of solutions to help MSPs win and scale business. As such, smart MSPs are starting to look and feel a lot like the bigger players. With hundreds of larger MSPs competing as well as merging, the end result seems to be greater opportunities for the channel.

Outsourcing IT is still big business and the space is getting a lot more competitive. We have recently researched some of the moving parts of the IT service business such as the Networking Operations Centers and it seems like the channel landscape is slowly morphing towards a global outsourcing direction. More MSPs can now offer 24/7 IT services to global clients. It’s a sector that was typically reserved as the exclusive domain of the big players.

Recently, we launched a business assessment tool to simply help MSPs benchmark their strengths and weaknesses in over 12 areas of best practices with 200 data points. The MSPs with the top highest scores per country will receive a Best 50 Managed IT Companies award. The MSPs with the top 50 scores globally will with a 50 Best Global Managed IT Companies award. This information is giving us a deeper peek into the most successful MSP companies.

As our research deepens, we are seeing an abundance of MSPs growing rapidly with their aim being set higher as they build momentum. Will the bulk of the future IT services market go to a larger number of MSPs? Will the larger IT Services companies loose their stronghold in the Enterprise sector? We will see…

Julian Lee