Chan­nel Chief

The erst­while CTO of CA Tech­nolo­gies, Yogesh Gupta took over as the global CEO of Kaseya in June 2013. Dur­ing his re­cent visit to In­dia, he spoke to Ram­das S on his plans for Kaseya, and the emerg­ing trends in the MSP mar­ket

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Yogesh Gupta

CEO, Kaseya speaks about his plans for Kaseya, and the emerg­ing trends in the MSP mar­ket

There has been an own­er­ship and man­age­ment change at Kaseya. What steps have you taken since com­ing on board?

Start of 2013, Ger­ald Blackie, Founder, Kaseya, and some se­nior mem­bers sold their stake in the com­pany to a pri­vate eq­uity firm, In­sight Ven­tures.

I came on board to lead Kaseya in June, and since then we have made sev­eral changes in the man­age­ment team and have been work­ing to­wards build­ing next-gen­er­a­tion prod­ucts that would help both MSPs and IT or­ga­ni­za­tions re­duce IT com­plex­i­ties while in­creas­ing pro­duc­tiv­ity.

The tech­nol­ogy land­scape has changed rapidly over the past two years. With cloud and mo­bil­ity gain­ing ground, the job of an IT man­ager has be­come even more dif­fi­cult, and this gives am­ple scope for MSPs to be more rel­e­vant to their cus­tomers as there are more prob­lems to be solved.

In the past few months, we have made two sig­nif­i­cant ac­qui­si­tions—Zyrion and RoverApps—that lay the foun­da­tion for fu­ture tech­nol­ogy in­no­va­tions at Kaseya. Zyrion has best-of-breed tools for cloud and data cen­ter man­age­ment, while RoverApps gives us the tech­nol­ogy to ad­dress IT au­to­ma­tion re­quire­ments for BYOD. Our im­me­di­ate goal is to en­sure that these new ac­qui­si­tions are in­te­grated into our prod­uct port­fo­lio, so that we can ad­dress the evolv­ing de­mands of the mar­ket.

Un­der your guid­ance, Kaseya has com­pletely switched to a sub­scrip­tion model. What are the rea­sons be­hind this move?

Kaseya is com­mit­ted to ad­dress­ing re­quire­ments of MSPs and IT or­ga­ni­za­tions es­pe­cially in mid-mar­ket. With cloud com­put­ing tak­ing cen­ter stage, in­creas­ingly cus­tomers are de­mand­ing pay-as-you-go model.

In In­dia, Kaseya was very ag­gres­sive till about two years back, but since then they have be­come very low pro­file.

Two years back we were sprint­ing, but now we are run­ning a marathon. The in­vest­ments we made in

“Two years back we were sprint­ing, now we are run­ning a marathon. The in­vest­ment we made from 2008-2012 wasn’t com­men­su­rate with the ma­tu­rity of the lo­cal MSP mar­ket”

In­dia from 2008 to 2012 weren’t com­men­su­rate with the ma­tu­rity of the MSP mar­ket in the coun­try then. As a re­sult the in­vest­ments didn’t bring in the de­sired re­sults. At that time, the In­dia lead­er­ship was think­ing and act­ing way ahead of time.

But over the past two years, we have con­sol­i­dated our op­er­a­tions and GTM by work­ing with key MSPs who have a clear roadmap for their man­aged ser­vices busi­ness.

With our key MSP part­ners do­ing well, we are see­ing more part­ners want­ing to get into the au­to­mated man­aged ser­vices (AMS) space. Also the cus­tomers of our key MSPs have seen the value AMS brings to their IT de­liv­ery, and hence more cus­tomers are now ready to lever­age it. So in essence, we have made solid progress in the past two years, but with­out much fan­fare.

The mid-mar­ket AMS soft­ware mar­ket is get­ting com­pet­i­tive with play­ers like Zoho and Sap­phire en­ter­ing the fray, and en­ter­prise play­ers like HP, IBM and CA ag­gres­sively fo­cus­ing on the mid-mar­ket. How does Kaseya plan to counter com­pe­ti­tion?

There is noth­ing wrong in hav­ing more com­pe­ti­tion. It will grow the mar­ket.

I am least threat­ened by com­pe­ti­tion from IBM and CA. At CA, I ran the Uni­cen­ter busi­ness for many years and let me tell you that their tools are too com­plex and ex­pen­sive for smaller MSPs and cus­tomers to de­ploy. CA has also been try­ing to at­tract SMB cus­tomers with Nim­soft which is free for up to 30 users. How­ever, that strat­egy hasn’t worked.

How­ever, we take com­pa­nies like Zoho more se­ri­ously—their prod­ucts and strat­egy are de­signed specif­i­cally for smaller MSPs and mid-mar­ket cus­tomers, which is also our tar­get au­di­ence. At Kaseya, our fo­cus is crys­tal clear—we tar­get cus­tomers that have any­where be­tween 250 to 5,000 end­points to man­age.

At one point, Kaseya had 80 MSP part­ners in In­dia, but to­day there are less than 30. Many part­ners got dis­il­lu­sioned as their MSP busi­ness failed to take off. How do you plan to con­vince these part­ners to start afresh with Kaseya?

To­day, a ma­jor­ity of suc­cess­ful MSPs in ev­ery re­gion are Kaseya part­ners. It is im­por­tant to un­der­stand how cer­tain part­ners found suc­cess and oth­ers did not.

The key step to build­ing a suc­cess­ful MSP model

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