MSPs Emphasize Cloud Strategies Amid Merger Discussions
A year or two ago, companies like mindSHIFT and Alpheon consistently described themselves purely as managed services providers. But take a look at mindSHIFT’s buyout of Alpheon today, and you’ll see cloud computing entering the mix. No doubt, the managed services market continues to grow. But MSPs with cloud strategies seem to be grabbing plenty of attention amid merger and acquisition discussions.
Here’s the history lesson. When mindSHIFT merged with Invision in September 2007, the press release clearly described both companies as managed services providers. Fast forward to January 2010, and mindSHIFT now blends cloud into its managed IT services marketing efforts. For instance, today’s mindSHIFT-Alpheon press release states:
mindSHIFT Technologies, the largest provider of IT and cloud services, today announced the acquisition of Alpheon Corporation, a Morrisville, North Carolina-based provider of managed IT services to small and mid-size organizations with a strong vertical presence in the healthcare market.
Looking Ahead, And Above
And when I spoke with Alpheon CEO Greg Donovan earlier today, he described how mindSHIFT will empower Alpheon with more cloud-centric services and virtual desktop integration (VDI) offerings.
Cloud, cloud, cloud. For skeptical MSPs and VARs I wonder if you’re getting the message: Yes, cloud is filled with hype. But the opportunities are real. mindSHIFT and Alpheon both land on the annual MSPmentor 100 report (produced by TalkinCloud’s sister site), which tracks the world’s leading MSPs. So I trust mindSHIFT and Alpheon when they say they plan to work on more cloud initiatives together.
But which VARs and MSPs will perform best in the cloud? We hope our Talkin’ Cloud 50 survey (open to all solutions providers worldwide) will attempt to answer that question.
In the meantime, some MSPs are pursuing strategic mergers. And if you listen closely to the boardroom discussions, a lot of the chatter involves a race to the cloud.
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Update: mindSHIFT CEO Paul Chisholm told me 40 percent of the company’s recurring revenues now come from cloud services. Details here.
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Joe Panettieri
Editorial Director
Talkin’ Cloud