LabTech Software Prepares Cloud and Hosted Strategy

LabTech Software Prepares Cloud and Hosted Strategy

LabTech Software, the on-premise remote monitoring and management (RMM) provider, is gearing up to support MSPs in the cloud. LabTech CEO Matt Nachtrab says his company is still formulating a strategy for hosted LabTech software -- but it sounds like the R&D efforts for LabTech in the cloud are under way.

Nachtrab concedes that LabTech's existing platform is not a multi-tenant solution. Plus, he says, it's not profitable to offer a hosted LabTech solution for SMBs with fewer than 100 agents because of underlying operating system costs.

So what's coming? Nachtrab offered some clues over email:

"We have a prototype system up with multitenant that we are testing right now, so we will have the ability to offer a hosted LabTech in a way that scales and can be profitable.  Because of the amount of proprietary knowledge and development work that will be required to scale a hosted multitenant LabTech solution, we are seriously leaning toward hosting it ourselves in North America and setting up partners to offer hosted LabTech outside of North America. We will have the technology vetted over the next few months and be ready for launch in Q1 2012. We are contemplating using an Amazon Cloud as well that offers dedicated servers to partners that want more control over their hosted solution."
Generally speaking, most RMM software providers offer on-premise and hosted versions of their software. A company called TechLabCloud briefly hosted LabTech in early 2011, but the TechLabCloud-LabTech relationship apparently ended in mid-2011.

When ConnectWise Capital first invested in LabTech, I wondered if LabTech's pure on-premise model would limit LabTech's appeal to MSPs. But LabTech has been signing up about 120 partners per month, so continued demand for on-premise managed services software seems plenty strong.

Meanwhile, I'm curious to see if cloud synergies emerge between the three ConnectWise Capital investments (LabTech, CharTec and Quosal) and ConnectWise itself. ConnectWise offers a hosted version of its PSA (Professional Services Automation) software in North America, Europe, Australia and Africa. Quosal's sales proposal software is available from the Windows Azure cloud. And CharTec works closely with Doyenz (cloud backup and disaster recovery), among other cloud partners.
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