Kaseya’s Fred Voccola Hints at Huge News in 2024

Kaseya CEO Fred Voccola has promised news in 2024 that “will make the announcement of buying of Datto seem insignificant.”

Voccola was speaking with Channel Futures at the Kaseya+Datto M&A Symposium for MSPs in London.

The CEO said MSPs can expect the announcement at Kaseya Connect in April 2024. While he said he couldn’t reveal the news yet, he ruled out a number of major scenarios.

“We’re not buying anyone. We’re not going public. We’re not partnering with anyone,” he said.

Voccola also said it was not a sponsorship or a product announcement. All he would say was that “any MSP powered by Kaseya will be impossible to beat. MSPs not powered by Kaseya will find it very, very tough.”

Voccola: More Acquisitions for Kaseya

Voccola also said Kaseya will make a couple more acquisitions before the event in Las Vegas.

“We have a couple of acquisitions that we’re about to close on,” he said. “We’re very close to signing two more small ones. Nothing huge, but really enhancing more in our security world.”

He also said there would be more focus on both Kaseya’s networking and backup businesses and in 2024.

Private Investment in MSP Market to Grow

On M&A, the exec also said that the MSP market is attracting huge levels of private investment.

“There is smart money entering this space,” said Voccola. “We have seen for the last several years, institutional money coming in. I say 'entering' because while there’s a fair amount of private equity activity here, it’s just scratching the surface of what will be in the next five years.

Related:Kaseya’s Fred Voccola: Enterprise Software Vendor Execs Are 'Desperate, Not Talented'

“It’s so attractive because there’s such a humongous addressable market," he continued. "Every single small-to-midsize business … is somewhere on the journey of becoming a technology first company. It's massive, larger than the digital transformation we saw in the '90s.”

Voccola said small-to-midsize businesses are digitally transforming “nonstop, spending a ton of money and they will for the next five, 10, 15 years.”

“[MSPs'] growth is high, and their margins are high. And it’s a recurring revenue model. It’s a very desired business. And we’re going to see more and more smart money coming in," the CEO added.

Voccola also said Kaseya customer research indicates that 2024 will be a great year for MSPs.

“What we were told is more than nine out of 10 SMBs, end customers, are going to spend a larger portion of their revenue on technology in 2024 than they did 2023. And then 2025, [more than in] 2024. That’s unbelievable. That’s huge.”

In the same interview, Voccola said enterprise software companies turning to MSPs to try to hit their growth targets is “a sign of desperation.”

Related:New ‘Powered by Kaseya’ Branding Initiative Aims to Double MSP EBITDA