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 Channel Futures

Strategy


Kaseya, Tata: India’s Big Managed Services Deal

  • Written by Joe Panettieri 1
  • August 11, 2009

Kaseya and Tata Consultancy Services see a massive managed services opportunity in India, according to Kaseya CEO Gerald Blackie. In fact, Tata hopes to serve 50 percent of India’s SMB managed services market within 10 years. Here’s some fast math to show what’s at stake in India.

Kaseya and Tata announced their India relationship back in May 2009. Blackie shared some additional perspectives with me during a chat at CompTIA Breakaway 2009 last week in Las Vegas.

According to Kaseya‘s discussions with Tata, India has roughly 32 million small and midsize businesses. Assuming each SMB has at least 10 desktops — a conservative estimate, notes Blackie — then roughly 320 million desktops across India are up for grabs as the world shifts to managed services.

Tata hopes to command roughly 50 percent of India’s SMB managed services market within 10 years, Blackie says. Not by coincidence, the consulting firm is leveraging Kaseya’s software to help grab managed services market share across India.

A source close to Kaseya — no, not Blackie — says it’s reasonable to expect Tata to leverage 1 million or more Kaseya licenses in the very near future.

Also of note: Blackie says Tata will be pushing India’s SMB customers to standardize on easily managed Linux desktops — reinforcing the fact that open source continues to pressure Windows desktops in emerging markets.

Separately, Blackie told me more about Kaseya’s hybrid on-premise/SaaS strategy in this MSPmentor FastChat Video.

Follow MSPmentor via RSS; Facebook; Identi.ca; and Twitter. And sign up for our Enewsletter; Webcasts and Resource Center.

Tags: Cloud Service Providers Digital Service Providers MSPs VARs/SIs Strategy

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14 comments

  1. Avatar Praveen Bhadada August 12, 2009 @ 3:51 am
    Reply

    Good article on opportunity assessment. But there are some “not-so-correct” assumptions being taken. The 32 million + SMBs in India are mostly small sized (less than 5 employees). According to our estimates they account for 76% of the total SMBs. If we put a filter of less than 10, the share is 96%. So assuming 10 desktops per SMB is grossly inflated a number and hence an inflated opportunity assessment

  2. Avatar Joe Panettieri August 12, 2009 @ 5:17 am
    Reply

    Praveen: Fair points. I realize the blog entry had some room for debate in terms of India’s SMB market size. Sounds like you think the India opportunity, nevertheless, is a pretty large market even if the typical company has fewer than 5 employees…

  3. Avatar Prakash Chaudhari August 18, 2009 @ 5:48 am
    Reply

    Joe, I do not want to sound like an authority for the India market, however, I would like to say that the market in India is grossly underestimated. Unfortunately, there has not been any serious research on this segment in India. Whatever reports I have read so far seems very conservative and what I have disliked is that unfortunately these reports have been made by companies who do not even have a presence in India!

    I wrote about the India market in my blog http://managedservicesleadership.blogspot.com/2009/01/welcome-2009-welcome-india.html at the start of the year.

    Let me give you some random sampling, which is the basis of most research reports. I recently visited a village called Dhamangon in the district of Amaravati, Maharashtra State (a village, having a population of just 3000, which is definately small considering India’s population). It takes less than a day to explore the entire village. Now this village itself has 7 engineering colleges with a student base of 480 each, 3 diploma colleges with 280 students each, all having computers for each student. This sample itself makes the total computer base for managed services to 4200 workstations. Not to mention the number of cybercafes in and around. And there are many such villages in India.

    I am confident, not many MSPs in North America would have such assets under management.

    The irony is that, there is no proper research on this segment.

    We need to have some authetic research on this segment. Now, this is clearly a market opportunity for MSP Mentor :)!

  4. Avatar Joe Panettieri August 18, 2009 @ 12:02 pm
    Reply

    Prakash: Always good to hear from you. Please keep us posted as you see more MSP-related market data and trends in India. We strive to offer global coverage. And your localized perspectives further that effort.

  5. Avatar Sivaramakrishnan August 20, 2009 @ 1:18 am
    Reply

    Recently I studied the MSP ecosystem in the US, Canada, UK, Ireland, China, Middle East and India in terms of the maturity of the Service Offering(SO) capability of the vendors and Service Adaptability(SA) by the SMEs.

    – US, Canada, UK amp; Ireland can be rated Mature in both SO capability and SA
    – China is pre-mature in SO capability, but mature in SA
    – The SO capability is in mature state in India, while SA is still in a pre-mature state. Though there is enough talent and enthusiasm among the Indian IT service providers to move towards the MSP model, this market would require huge efforts in nurturing the customers and help them understand the benefits of this model. I completely agree with Prakash in terms of the available oppurtunity.

  6. Avatar Chaitra December 17, 2009 @ 9:04 am
    Reply

    I think, Jamcracker Software Technologies Pvt Ltd, is better than above. Its Indian Based company amp; will get all at uniqe and indian reasonalbe price.

    Regards,
    Chaitra,
    Accenture Services Pvt.Ltd, – Bangalore

  7. Avatar Joe Panettieri December 17, 2009 @ 1:02 pm
    Reply

    Chaitra: I hope you don’t mind the following question but are you a real person or automated comment spam? I noticed two comments from you (on separate posts) that are essentially identical. Please let me know. You’re welcome to post comments but we scan/remove redundant items regularly.

    Thanks.
    -jp

    Joe Panettieri
    Editorial Director
    MSPmentor

  8. Avatar jaykrish October 31, 2012 @ 10:38 am
    Reply

    Better than Kaseya you can trust HFN-inc nano heal product[www.hfn-inc.com], much economical better service.
    contact 9036644797

  9. Avatar Joe Panettieri October 31, 2012 @ 9:57 pm
    Reply

    Jaykrish: Can you disclose to our readers your connection with HFN-inc? What is your role with the company?
    -jp

  10. Avatar jaykrish December 10, 2012 @ 7:31 am
    Reply

    HI Joe,

    Sorry for the late replay,

    I am business development consultant here @ HFN-Inc.
    Thank you !

  11. Avatar Joe Panettieri December 11, 2012 @ 3:22 pm
    Reply

    Jaykrish: Thanks so much for looping back with that disclosure, and for your readership.
    -jp

  12. Avatar jay krish December 21, 2012 @ 7:20 am
    Reply

    Hello Joe,
    I need a small suggestion from your side as we now catering to the needs of MSPs in India , what would be an ideal price to quote for them , if you have no concern in suggestion us please throw some lights on us,

    Rgds,
    Jay

  13. Avatar Ajit January 10, 2013 @ 7:14 pm
    Reply

    Hello Joe,

    I think this post is 3years 6 months old. It would be exciting to know the MSP opportunity in India. While no of companies are high who have more than 5 or 10 PC , the number of IT engineers/technicians are very high hence focus is still to have a person who can take care of services and update patches. I think the 1 mn licences may look really beyond the horizons.

    Ajit Joshi

    disclosure : I work for Ingram Micro but post is personal.

    Please follow me on twitter, My handle is @AjitGJoshi

  14. Avatar Joe Panettieri January 11, 2013 @ 7:25 pm
    Reply

    Ajit:

    I will check back with Kaseya to see whatever became of this deal. My general feeling: The India market has been very, very difficult for US MSP software companies to crack. Seems like there are plenty of IT resellers in India to engage… but reaching them is really, really difficult. Just my 2 cents (American currency, for what it's worth…).
    -jp

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