Category Archives for "Managed Services News"

Cisco and AT&T have teamed up to offer as many as 1 million AT&T business customers Cisco Webex Calling.

AT&T Business is offering Webex Calling with AT&T – Enterprise to Cisco’s Unified Communications Manager – Cloud (UCMC). That will help businesses optimize operations and accelerate digital transformation in nearly any environment.

UCMC will enhance reliability and performance for all Webex Calling with AT&T – Enterprise users, the companies said. AT&T and Cisco expect to offer up to 1 million users the UCMC platform over the next five years.

New Hybrid Workplace

Javed Khan is senior vice president and general manager of Cisco Collaboration.

Cisco’s Javed Khan

“The shift to hybrid work changed how companies operate and accelerated adoption of integrated cloud collaboration solutions,” he said. “Our Webex solutions transformed the cloud calling experience and combine enterprise-calling features with market-leading virtual meetings and collaboration technology — all within the Webex app. And we’re proud to work with AT&T to provide its customers and employees with the tools and technologies they require to thrive in the new hybrid workplace.”

AT&T has a longstanding relationship of delivering voice services on Cisco’s platforms since 1997.

Recently, AT&T achieved Cisco’s UC Master Collaboration Specialization. That’s the highest level a third party can achieve. It also renewed its Gold Partner Certification. That’s the highest level of certification for Cisco partners.

AT&T Business serves nearly 2,000 of the largest multinational companies.

Rich Shaw is vice president of voice and collaboration for AT&T Business.

“Today’s environment requires tools that enable flexible and adaptable business operations,” he said. “Our work with Cisco is a great example of how we’re able to innovate faster, accelerate the deployment of cutting-edge technologies and unlock the full potential of our workforce and customers.”

Why must all MSPs understand the industry’s M&A landscape, even if they are not actively seeking a deal? Because even if you’re standing pat, your competitors aren’t. Plus, if someone suddenly makes you an offer, you’ll want to know whether it really is too good to refuse.

During a recent webinar with MSP veteran Gary Pica of TruMethods, now a Kaseya company, we dove into how things look today on the M&A front and where they’re heading tomorrow. The M&A topic is more crucial than ever because the market is really heating up due to a few key factors.

The target market for MSPs is small and midsize businesses, and SMBs are continuing to increase their technology spending–even during the current economic downturn and recovery. SMBs will continue spending a larger percentage of their revenue each year as they revolutionize their systems.

This M&A spending is attracting attention, which means more money flowing into the space. Private equity firms are taking over software companies and the MSP channel, following the money that indicates growing opportunity.

At the same time, running and growing an MSP has become much more complex as customers demand an increasingly broader set of solutions. Providing a holistic, customizable offering requires investments in tools, technology and training, along with hiring staff with the right skills in a tight labor market.

Last, but certainly not least, MSPs and their clients are under near-constant attack. The quantity and quality of cybersecurity threats are increasing and evolving, spurred by higher-quality bad actors backed by deep pockets and foreign governments. Because 70% of security is hygiene, process, compliance and governance, MSPs are faced with the choice of growing and maturing their operations themselves, merging or partnering with a third party to get their security stance up to par, or doing nothing and take their chances.

It’s Still Early Days

Despite what may feel like a flurry of M&A activity in the MSP industry, it is only the beginning. Billions of dollars are still waiting on the sidelines. Meanwhile, M&A is top of mind for many MSPs.

According to our 2021 MSP Benchmark Survey, 26% of MSPs are looking to make an acquisition in the next two to three years, while 8% are hoping to sell during that same time frame. Not only does that indicate a future surge in activity, but it also means some MSPs not currently contemplating an exit might start receiving some unsolicited inquiries in the not-to-distant future.

These events are changing the nature of competition in the MSP market, even for those that aren’t active in the M&A arena. Private equity rollups are forming massive players along with an increase in MSPs with more than $4 million in revenue. These larger entities have proper sales and marketing organizations (often utilizing Kaseya’s Powered Services) interacting with your customers, educating them and arming them with tougher questions for you. Throw in the increasing complexities and importance of cybersecurity, and it’s obvious that scale is now a major competitive advantage.

 Who’s Shopping and What Are They Offering?

There are a few main types of buyers in the MSP market. Private equity-backed rollups are targeting MSPs with at least $1 million in annual EBIDTA along with smaller tuck-in businesses for strategic purposes. Meanwhile, “super-regional” MSPs with more than $8 million in EBIDTA are looking to accelerate their growth by buying up smaller players in their market.

Then there are strategic buyers that aren’t currently in the MSP business but are looking to add those services to their portfolio. These are typically office technology and services business, such as photocopier companies and accounting firms that already have a footprint with lots of SMBs.

Of course, the million-dollar question is how much are these companies willing to pay to snap up MSPs that fit their target criteria. Unsurprisingly, the more an MSP makes, the more they’re worth, and private equity firms are willing to pay a premium for larger outfits since they can serve as a platform for additional acquisitions.

There really isn’t a universal formula to calculate these valuations, but in general it’s a multiple of

Cisco and AT&T have teamed up to offer as many as 1 million AT&T business customers Cisco Webex Calling.

AT&T Business is offering Webex Calling with AT&T – Enterprise to Cisco’s Unified Communications Manager – Cloud (UCMC). That will help businesses optimize operations and accelerate digital transformation in nearly any environment.

UCMC will enhance reliability and performance for all Webex Calling with AT&T – Enterprise users, the companies said. AT&T and Cisco expect to offer up to 1 million users the UCMC platform over the next five years.

New Hybrid Workplace

Javed Khan is senior vice president and general manager of Cisco Collaboration.

Cisco’s Javed Khan

“The shift to hybrid work changed how companies operate and accelerated adoption of integrated cloud collaboration solutions,” he said. “Our Webex solutions transformed the cloud calling experience and combine enterprise-calling features with market-leading virtual meetings and collaboration technology — all within the Webex app. And we’re proud to work with AT&T to provide its customers and employees with the tools and technologies they require to thrive in the new hybrid workplace.”

AT&T has a longstanding relationship of delivering voice services on Cisco’s platforms since 1997.

Recently, AT&T achieved Cisco’s UC Master Collaboration Specialization. That’s the highest level a third party can achieve. It also renewed its Gold Partner Certification. That’s the highest level of certification for Cisco partners.

AT&T Business serves nearly 2,000 of the largest multinational companies.

Rich Shaw is vice president of voice and collaboration for AT&T Business.

“Today’s environment requires tools that enable flexible and adaptable business operations,” he said. “Our work with Cisco is a great example of how we’re able to innovate faster, accelerate the deployment of cutting-edge technologies and unlock the full potential of our workforce and customers.”

Why must all MSPs understand the industry’s M&A landscape, even if they are not actively seeking a deal? Because even if you’re standing pat, your competitors aren’t. Plus, if someone suddenly makes you an offer, you’ll want to know whether it really is too good to refuse.

During a recent webinar with MSP veteran Gary Pica of TruMethods, now a Kaseya company, we dove into how things look today on the M&A front and where they’re heading tomorrow. The M&A topic is more crucial than ever because the market is really heating up due to a few key factors.

The target market for MSPs is small and midsize businesses, and SMBs are continuing to increase their technology spending–even during the current economic downturn and recovery. SMBs will continue spending a larger percentage of their revenue each year as they revolutionize their systems.

This M&A spending is attracting attention, which means more money flowing into the space. Private equity firms are taking over software companies and the MSP channel, following the money that indicates growing opportunity.

At the same time, running and growing an MSP has become much more complex as customers demand an increasingly broader set of solutions. Providing a holistic, customizable offering requires investments in tools, technology and training, along with hiring staff with the right skills in a tight labor market.

Last, but certainly not least, MSPs and their clients are under near-constant attack. The quantity and quality of cybersecurity threats are increasing and evolving, spurred by higher-quality bad actors backed by deep pockets and foreign governments. Because 70% of security is hygiene, process, compliance and governance, MSPs are faced with the choice of growing and maturing their operations themselves, merging or partnering with a third party to get their security stance up to par, or doing nothing and take their chances.

It’s Still Early Days

Despite what may feel like a flurry of M&A activity in the MSP industry, it is only the beginning. Billions of dollars are still waiting on the sidelines. Meanwhile, M&A is top of mind for many MSPs.

According to our 2021 MSP Benchmark Survey, 26% of MSPs are looking to make an acquisition in the next two to three years, while 8% are hoping to sell during that same time frame. Not only does that indicate a future surge in activity, but it also means some MSPs not currently contemplating an exit might start receiving some unsolicited inquiries in the not-to-distant future.

These events are changing the nature of competition in the MSP market, even for those that aren’t active in the M&A arena. Private equity rollups are forming massive players along with an increase in MSPs with more than $4 million in revenue. These larger entities have proper sales and marketing organizations (often utilizing Kaseya’s Powered Services) interacting with your customers, educating them and arming them with tougher questions for you. Throw in the increasing complexities and importance of cybersecurity, and it’s obvious that scale is now a major competitive advantage.

 Who’s Shopping and What Are They Offering?

There are a few main types of buyers in the MSP market. Private equity-backed rollups are targeting MSPs with at least $1 million in annual EBIDTA along with smaller tuck-in businesses for strategic purposes. Meanwhile, “super-regional” MSPs with more than $8 million in EBIDTA are looking to accelerate their growth by buying up smaller players in their market.

Then there are strategic buyers that aren’t currently in the MSP business but are looking to add those services to their portfolio. These are typically office technology and services business, such as photocopier companies and accounting firms that already have a footprint with lots of SMBs.

Of course, the million-dollar question is how much are these companies willing to pay to snap up MSPs that fit their target criteria. Unsurprisingly, the more an MSP makes, the more they’re worth, and private equity firms are willing to pay a premium for larger outfits since they can serve as a platform for additional acquisitions.

There really isn’t a universal formula to calculate these valuations, but in general it’s a multiple of

Cisco and AT&T have teamed up to offer as many as 1 million AT&T business customers Cisco Webex Calling.

AT&T Business is offering Webex Calling with AT&T – Enterprise to Cisco’s Unified Communications Manager – Cloud (UCMC). That will help businesses optimize operations and accelerate digital transformation in nearly any environment.

UCMC will enhance reliability and performance for all Webex Calling with AT&T – Enterprise users, the companies said. AT&T and Cisco expect to offer up to 1 million users the UCMC platform over the next five years.

New Hybrid Workplace

Javed Khan is senior vice president and general manager of Cisco Collaboration.

Cisco’s Javed Khan

“The shift to hybrid work changed how companies operate and accelerated adoption of integrated cloud collaboration solutions,” he said. “Our Webex solutions transformed the cloud calling experience and combine enterprise-calling features with market-leading virtual meetings and collaboration technology — all within the Webex app. And we’re proud to work with AT&T to provide its customers and employees with the tools and technologies they require to thrive in the new hybrid workplace.”

AT&T has a longstanding relationship of delivering voice services on Cisco’s platforms since 1997.

Recently, AT&T achieved Cisco’s UC Master Collaboration Specialization. That’s the highest level a third party can achieve. It also renewed its Gold Partner Certification. That’s the highest level of certification for Cisco partners.

AT&T Business serves nearly 2,000 of the largest multinational companies.

Rich Shaw is vice president of voice and collaboration for AT&T Business.

“Today’s environment requires tools that enable flexible and adaptable business operations,” he said. “Our work with Cisco is a great example of how we’re able to innovate faster, accelerate the deployment of cutting-edge technologies and unlock the full potential of our workforce and customers.”

Why must all MSPs understand the industry’s M&A landscape, even if they are not actively seeking a deal? Because even if you’re standing pat, your competitors aren’t. Plus, if someone suddenly makes you an offer, you’ll want to know whether it really is too good to refuse.

During a recent webinar with MSP veteran Gary Pica of TruMethods, now a Kaseya company, we dove into how things look today on the M&A front and where they’re heading tomorrow. The M&A topic is more crucial than ever because the market is really heating up due to a few key factors.

The target market for MSPs is small and midsize businesses, and SMBs are continuing to increase their technology spending–even during the current economic downturn and recovery. SMBs will continue spending a larger percentage of their revenue each year as they revolutionize their systems.

This M&A spending is attracting attention, which means more money flowing into the space. Private equity firms are taking over software companies and the MSP channel, following the money that indicates growing opportunity.

At the same time, running and growing an MSP has become much more complex as customers demand an increasingly broader set of solutions. Providing a holistic, customizable offering requires investments in tools, technology and training, along with hiring staff with the right skills in a tight labor market.

Last, but certainly not least, MSPs and their clients are under near-constant attack. The quantity and quality of cybersecurity threats are increasing and evolving, spurred by higher-quality bad actors backed by deep pockets and foreign governments. Because 70% of security is hygiene, process, compliance and governance, MSPs are faced with the choice of growing and maturing their operations themselves, merging or partnering with a third party to get their security stance up to par, or doing nothing and take their chances.

It’s Still Early Days

Despite what may feel like a flurry of M&A activity in the MSP industry, it is only the beginning. Billions of dollars are still waiting on the sidelines. Meanwhile, M&A is top of mind for many MSPs.

According to our 2021 MSP Benchmark Survey, 26% of MSPs are looking to make an acquisition in the next two to three years, while 8% are hoping to sell during that same time frame. Not only does that indicate a future surge in activity, but it also means some MSPs not currently contemplating an exit might start receiving some unsolicited inquiries in the not-to-distant future.

These events are changing the nature of competition in the MSP market, even for those that aren’t active in the M&A arena. Private equity rollups are forming massive players along with an increase in MSPs with more than $4 million in revenue. These larger entities have proper sales and marketing organizations (often utilizing Kaseya’s Powered Services) interacting with your customers, educating them and arming them with tougher questions for you. Throw in the increasing complexities and importance of cybersecurity, and it’s obvious that scale is now a major competitive advantage.

 Who’s Shopping and What Are They Offering?

There are a few main types of buyers in the MSP market. Private equity-backed rollups are targeting MSPs with at least $1 million in annual EBIDTA along with smaller tuck-in businesses for strategic purposes. Meanwhile, “super-regional” MSPs with more than $8 million in EBIDTA are looking to accelerate their growth by buying up smaller players in their market.

Then there are strategic buyers that aren’t currently in the MSP business but are looking to add those services to their portfolio. These are typically office technology and services business, such as photocopier companies and accounting firms that already have a footprint with lots of SMBs.

Of course, the million-dollar question is how much are these companies willing to pay to snap up MSPs that fit their target criteria. Unsurprisingly, the more an MSP makes, the more they’re worth, and private equity firms are willing to pay a premium for larger outfits since they can serve as a platform for additional acquisitions.

There really isn’t a universal formula to calculate these valuations, but in general it’s a multiple of

Cisco and AT&T have teamed up to offer as many as 1 million AT&T business customers Cisco Webex Calling.

AT&T Business is offering Webex Calling with AT&T – Enterprise to Cisco’s Unified Communications Manager – Cloud (UCMC). That will help businesses optimize operations and accelerate digital transformation in nearly any environment.

UCMC will enhance reliability and performance for all Webex Calling with AT&T – Enterprise users, the companies said. AT&T and Cisco expect to offer up to 1 million users the UCMC platform over the next five years.

New Hybrid Workplace

Javed Khan is senior vice president and general manager of Cisco Collaboration.

Cisco’s Javed Khan

“The shift to hybrid work changed how companies operate and accelerated adoption of integrated cloud collaboration solutions,” he said. “Our Webex solutions transformed the cloud calling experience and combine enterprise-calling features with market-leading virtual meetings and collaboration technology — all within the Webex app. And we’re proud to work with AT&T to provide its customers and employees with the tools and technologies they require to thrive in the new hybrid workplace.”

AT&T has a longstanding relationship of delivering voice services on Cisco’s platforms since 1997.

Recently, AT&T achieved Cisco’s UC Master Collaboration Specialization. That’s the highest level a third party can achieve. It also renewed its Gold Partner Certification. That’s the highest level of certification for Cisco partners.

AT&T Business serves nearly 2,000 of the largest multinational companies.

Rich Shaw is vice president of voice and collaboration for AT&T Business.

“Today’s environment requires tools that enable flexible and adaptable business operations,” he said. “Our work with Cisco is a great example of how we’re able to innovate faster, accelerate the deployment of cutting-edge technologies and unlock the full potential of our workforce and customers.”

Why must all MSPs understand the industry’s M&A landscape, even if they are not actively seeking a deal? Because even if you’re standing pat, your competitors aren’t. Plus, if someone suddenly makes you an offer, you’ll want to know whether it really is too good to refuse.

During a recent webinar with MSP veteran Gary Pica of TruMethods, now a Kaseya company, we dove into how things look today on the M&A front and where they’re heading tomorrow. The M&A topic is more crucial than ever because the market is really heating up due to a few key factors.

The target market for MSPs is small and midsize businesses, and SMBs are continuing to increase their technology spending–even during the current economic downturn and recovery. SMBs will continue spending a larger percentage of their revenue each year as they revolutionize their systems.

This M&A spending is attracting attention, which means more money flowing into the space. Private equity firms are taking over software companies and the MSP channel, following the money that indicates growing opportunity.

At the same time, running and growing an MSP has become much more complex as customers demand an increasingly broader set of solutions. Providing a holistic, customizable offering requires investments in tools, technology and training, along with hiring staff with the right skills in a tight labor market.

Last, but certainly not least, MSPs and their clients are under near-constant attack. The quantity and quality of cybersecurity threats are increasing and evolving, spurred by higher-quality bad actors backed by deep pockets and foreign governments. Because 70% of security is hygiene, process, compliance and governance, MSPs are faced with the choice of growing and maturing their operations themselves, merging or partnering with a third party to get their security stance up to par, or doing nothing and take their chances.

It’s Still Early Days

Despite what may feel like a flurry of M&A activity in the MSP industry, it is only the beginning. Billions of dollars are still waiting on the sidelines. Meanwhile, M&A is top of mind for many MSPs.

According to our 2021 MSP Benchmark Survey, 26% of MSPs are looking to make an acquisition in the next two to three years, while 8% are hoping to sell during that same time frame. Not only does that indicate a future surge in activity, but it also means some MSPs not currently contemplating an exit might start receiving some unsolicited inquiries in the not-to-distant future.

These events are changing the nature of competition in the MSP market, even for those that aren’t active in the M&A arena. Private equity rollups are forming massive players along with an increase in MSPs with more than $4 million in revenue. These larger entities have proper sales and marketing organizations (often utilizing Kaseya’s Powered Services) interacting with your customers, educating them and arming them with tougher questions for you. Throw in the increasing complexities and importance of cybersecurity, and it’s obvious that scale is now a major competitive advantage.

 Who’s Shopping and What Are They Offering?

There are a few main types of buyers in the MSP market. Private equity-backed rollups are targeting MSPs with at least $1 million in annual EBIDTA along with smaller tuck-in businesses for strategic purposes. Meanwhile, “super-regional” MSPs with more than $8 million in EBIDTA are looking to accelerate their growth by buying up smaller players in their market.

Then there are strategic buyers that aren’t currently in the MSP business but are looking to add those services to their portfolio. These are typically office technology and services business, such as photocopier companies and accounting firms that already have a footprint with lots of SMBs.

Of course, the million-dollar question is how much are these companies willing to pay to snap up MSPs that fit their target criteria. Unsurprisingly, the more an MSP makes, the more they’re worth, and private equity firms are willing to pay a premium for larger outfits since they can serve as a platform for additional acquisitions.

There really isn’t a universal formula to calculate these valuations, but in general it’s a multiple of

Cisco and AT&T have teamed up to offer as many as 1 million AT&T business customers Cisco Webex Calling.

AT&T Business is offering Webex Calling with AT&T – Enterprise to Cisco’s Unified Communications Manager – Cloud (UCMC). That will help businesses optimize operations and accelerate digital transformation in nearly any environment.

UCMC will enhance reliability and performance for all Webex Calling with AT&T – Enterprise users, the companies said. AT&T and Cisco expect to offer up to 1 million users the UCMC platform over the next five years.

New Hybrid Workplace

Javed Khan is senior vice president and general manager of Cisco Collaboration.

Cisco’s Javed Khan

“The shift to hybrid work changed how companies operate and accelerated adoption of integrated cloud collaboration solutions,” he said. “Our Webex solutions transformed the cloud calling experience and combine enterprise-calling features with market-leading virtual meetings and collaboration technology — all within the Webex app. And we’re proud to work with AT&T to provide its customers and employees with the tools and technologies they require to thrive in the new hybrid workplace.”

AT&T has a longstanding relationship of delivering voice services on Cisco’s platforms since 1997.

Recently, AT&T achieved Cisco’s UC Master Collaboration Specialization. That’s the highest level a third party can achieve. It also renewed its Gold Partner Certification. That’s the highest level of certification for Cisco partners.

AT&T Business serves nearly 2,000 of the largest multinational companies.

Rich Shaw is vice president of voice and collaboration for AT&T Business.

“Today’s environment requires tools that enable flexible and adaptable business operations,” he said. “Our work with Cisco is a great example of how we’re able to innovate faster, accelerate the deployment of cutting-edge technologies and unlock the full potential of our workforce and customers.”

Why must all MSPs understand the industry’s M&A landscape, even if they are not actively seeking a deal? Because even if you’re standing pat, your competitors aren’t. Plus, if someone suddenly makes you an offer, you’ll want to know whether it really is too good to refuse.

During a recent webinar with MSP veteran Gary Pica of TruMethods, now a Kaseya company, we dove into how things look today on the M&A front and where they’re heading tomorrow. The M&A topic is more crucial than ever because the market is really heating up due to a few key factors.

The target market for MSPs is small and midsize businesses, and SMBs are continuing to increase their technology spending–even during the current economic downturn and recovery. SMBs will continue spending a larger percentage of their revenue each year as they revolutionize their systems.

This M&A spending is attracting attention, which means more money flowing into the space. Private equity firms are taking over software companies and the MSP channel, following the money that indicates growing opportunity.

At the same time, running and growing an MSP has become much more complex as customers demand an increasingly broader set of solutions. Providing a holistic, customizable offering requires investments in tools, technology and training, along with hiring staff with the right skills in a tight labor market.

Last, but certainly not least, MSPs and their clients are under near-constant attack. The quantity and quality of cybersecurity threats are increasing and evolving, spurred by higher-quality bad actors backed by deep pockets and foreign governments. Because 70% of security is hygiene, process, compliance and governance, MSPs are faced with the choice of growing and maturing their operations themselves, merging or partnering with a third party to get their security stance up to par, or doing nothing and take their chances.

It’s Still Early Days

Despite what may feel like a flurry of M&A activity in the MSP industry, it is only the beginning. Billions of dollars are still waiting on the sidelines. Meanwhile, M&A is top of mind for many MSPs.

According to our 2021 MSP Benchmark Survey, 26% of MSPs are looking to make an acquisition in the next two to three years, while 8% are hoping to sell during that same time frame. Not only does that indicate a future surge in activity, but it also means some MSPs not currently contemplating an exit might start receiving some unsolicited inquiries in the not-to-distant future.

These events are changing the nature of competition in the MSP market, even for those that aren’t active in the M&A arena. Private equity rollups are forming massive players along with an increase in MSPs with more than $4 million in revenue. These larger entities have proper sales and marketing organizations (often utilizing Kaseya’s Powered Services) interacting with your customers, educating them and arming them with tougher questions for you. Throw in the increasing complexities and importance of cybersecurity, and it’s obvious that scale is now a major competitive advantage.

 Who’s Shopping and What Are They Offering?

There are a few main types of buyers in the MSP market. Private equity-backed rollups are targeting MSPs with at least $1 million in annual EBIDTA along with smaller tuck-in businesses for strategic purposes. Meanwhile, “super-regional” MSPs with more than $8 million in EBIDTA are looking to accelerate their growth by buying up smaller players in their market.

Then there are strategic buyers that aren’t currently in the MSP business but are looking to add those services to their portfolio. These are typically office technology and services business, such as photocopier companies and accounting firms that already have a footprint with lots of SMBs.

Of course, the million-dollar question is how much are these companies willing to pay to snap up MSPs that fit their target criteria. Unsurprisingly, the more an MSP makes, the more they’re worth, and private equity firms are willing to pay a premium for larger outfits since they can serve as a platform for additional acquisitions.

There really isn’t a universal formula to calculate these valuations, but in general it’s a multiple of