Managed services have been playing quite a significant role in managing many organizations most critical IT infrastructure assets for some time now. Moving from on-premises equipment to an environment that is completely controlled by a team of dedicated experts comes with a plethora of advantages, and is spurring adoption across numerous industries. Managed services can benefit many areas like wireless, cloud, and software in almost any sales or service industry.
MSPs usually charge a flat monthly fee under the subscription model. This approach provides the MSP with a monthly recurring revenue stream, in contrast to IT projects that tend to be one-time transactions. MSPs often provide their offerings under a service-level agreement, a contractual arrangement between the MSP and its customer that spells out the performance and quality metrics that will govern the relationship.
These days MSPs are facing the challenge of cloud computing. The popularity of cloud computing has lead customers' IT infrastructure components migrate to the cloud which means, MSPs will have to find ways to manage hybrid cloud environments. MSPs also seek to provide their own cloud services or resell other cloud provider capabilities, with cloud-based backup and disaster recovery a common entry point.