Cloud: It’s not going away. In fact, cloud has completely redefined the IT industry and managed services. MSPs today need to embrace the cloud in order to meet the demands of clients having more and more remote workers, and the first step to this is by adopting a cloud-first strategy. What are the advantages and disadvantages to becoming a cloud-first MSP?
What is a cloud-first MSP? Given the choice between relying on a local, on-premises resource or one based in the cloud, a cloud-first MSP chooses the latter. This doesn’t mean that MSPs must move every part of their business to the cloud, but it does mean taking a “cloud-first” approach when making decisions for client technology. By making the cloud the default basis of their operations, MSPs gain the following advantages:
- Scalability: they can increase or decrease resources on demand.
- Flexibility: they can now access cloud-based resources from anywhere.
- Fixed and predictable costs with no upfront capital expenses.
- Less time spent setting up on-premise equipment.
- Higher reliability: cloud-based infrastructure is less likely to fail.
- The potential for increased MRR.
While a cloud-first approach can sound very exciting, there are some drawbacks that need to be considered.
- Network bandwidth limitations can be a challenge if you are delivering managed services that involve large amounts of data. How you configure you cloud servers is key.
- Internet dependency can mean that a connectivity outage can severely disrupt your client’s operations. Having a backup for your client may be necessary.
- In certain cases, regulatory requirements may prevent your client’s data from existing in the cloud. Make sure you understand what your client needs and plan accordingly.
- In many ways the cloud is more cost-effective, but this is not always true. It is important to do the math and understand if the cloud will save your client money or not.
If you haven’t yet explored the ways you can use a cloud-first approach in your MSP business, now is the time. It has more benefits than you may think.