Ouch, Quarterly Financial Reports Highlight Managed Service Quality Issues

B. Ostergaard

Summary Bullets:

• MSSPs are having to invest more in improving their service quality, as customers get more critical
• The solution could be better overall customer support and more security outsourcing

Reviewing the latest Q3 2011 financial performance metrics, a common trait is emerging: many service providers (carriers like Verizon and IT service providers like T-Systems) are investing a lot of their revenues into improving the quality of their managed service delivery – which has put a dent in Q3 profits. Some are making the investments defensively because customers are complaining; others are doing it proactively to avoid future grief.

The Public Cloud May Be Smarter Than You Think

B. Shimmin

Summary Bullets:

• Traditionally, public cloud collaboration services offer little customization options outside of white label branding.
• Partner- and customer-led PaaS ecosystems are ushering in new opportunities to both integrate and extend collaboration services in the cloud.

Cloud-borne services have proven their value time and again in cutting infrastructure costs and soothing the upgrade, downtime and support aches and pains traditionally suffered by IT on a daily basis. Of course, as with most gift horses of this caliber, it’s best not to look them too closely in the mouth. Upon closer inspection, enterprise customers of full-on multitenant, software-as-a-service (SaaS) offerings have found a distinct lack of flexibility. They may be able to apply custom branding, conduct basic back end data queries, and in some cases modify the UI to display select components, but that’s typically where the sidewalk ends in terms of customization.