iYogi: Remote Support Specialist Raises $15 Million
iYogi, which provides remote PC support to consumers and small businesses, has raised roughly $15 million in its third round of funding. On the upside: The news shows continued financial investment in remote managed services. On the downside: The investment is another warning sign that MSPs need to move beyond basic remote management. Here’s why.
In some ways, iYogi is like a virtual, global Geek Squad. As our sister site, The VAR Guy, pointed out in August 2009, iYogi has a simple business model:
“Online computer support is simple. You give us the green-light to connect to your computer remotely and we will fix your PC while you kick back and relax.”
Now as TechCrunch points out:
“iYogi offers a number of tech support services like PC installation and recovery, anti-virus/spyware, data back-up and PC speed optimization. Its annual unlimited tech support plan starts at $139.99. Most of its tech support services are centered around Microsoft software, but Google and Apple products are also listed on iYogi’s website.“
Every MSP should re-read that last paragraph. Basically, iYogi is trying to support consumers and small businesses for about $12 per system per month. Next, read about Geek Squad’s Virtual Agents.
See a trend? Remote monitoring and management is now your base offering. As an MSP, you need to build beyond that base — much in the way that cable companies kept pushing new services over broadband connections.
I like the folks at iYogi. And in I respect what they’re building. But it’s also a timely reminder that low-end MSPs can’t rest on their laurels.
Side note: Thanks to NTRglobal for the iYogi news lead. I spotted the news in NTRglobal’s Twitter feed out on our own MSPtweet site.
JP, great post and really drives home the point from the other day when we were discussing “Freemium”. I am starting to see some successful MSP’s just giving away the RMM services and gaining traction out there.
I can’t stress the importance right now of looking beyond being a “computer tech”! Something like the “Trusted Advisor” mindset but more more. We need to really sit down and serve our clients and work with them beyond just technical support.
Good luck out there
Stuart Crawford
Calgary, AB
http://www.stuartcrawford.com
Stuart: Once again you’re proving that there isn’t a “one size fits all” strategy in the managed services market. Models seem to vary greatly from one MSP to the next. Keep us posted as your Q1 shapes up.
-jp
Hey JP, lots of stuff happening…stay tuned
Stuart