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A Continuing Trend in Network & IT Management
July 20th 2022, Würzburg
The “as a Service” trend
In the last couple years, a clear trend has become increasingly undeniable in the marketplace. The “as a Service” development is indicative of a deeper shift in the way companies of all shapes and sizes wish to handle the monitoring and management of their network environments (and really, how they purchase software solutions generally). It is, in fact, a trend that has been prevalent for at least two decades in increasingly saturated marketplaces that are now open to the massive pressures of globalization and international competition. The way forward, as many see it, is to focus on core competencies. This means dedicating as many resources as possible to becoming even more well-known, more successful and capturing more market share with the services and products that you know best.
Our response to the trendWhile this general development is true across the globe, small and medium-sized companies are extremely important to the German economy, the German workforce and the global competitiveness of the “Made in Germany” country of origin nomenclature. The StableNet® managed service portfolio was a direct response to this trend. And while these companies focus on their core competencies, that means that they also need to remain agile to market demands. They are often looking for network management solutions that do not require heavy upfront expenditures. So-called “capital expenditures” (CAPEX) are burdensome and can lead to unnecessary budgetary restrictions.
Reasons why Managed Services is neededMany companies are interested in a “Managed Service” instead of investing in classic software products. This is mainly due to the growing technical complexity, the increase in Internet traffic volume and the worsening staff shortage in the IT and Telco industry. Many CTOs and IT managers are facing major challenges. This evolution is driving the business away from “software product” to “managed service”. In other words, there is a pronounced shift towards OPEX-oriented models that don’t necessitate heavy investments in non-core competencies.
Current challenges for organizations in their network management
We don’t see the outsourcing of the complete IT and Telco organization here. We see more and more the targeted purchase of dedicated “Managed Service” services without handing over the responsibility. Due to this development, Infosim® has decided to extend its product portfolio accordingly with “Managed Service” services. I would like to provide just a couple recent examples that we have seen from the marketplace from customers that have been in contact:
A system integrator and “managed service provider”The company’s goal is not only to market hardware (Cisco, Huawei and others), but also to generate their own value from services. The goal is to enrich hardware deals with an operating service. Since the medium-term goal is not to rely 100% on Cisco, a vendor-independent platform makes sense. Furthermore, the company has limited resources and know-how. Therefore, our StableNet® as a Service (SNaaS) portfolio is very interesting. The company has grown up with a smaller service portfolio and is now trying to enter the market more broadly.
A tier 3 service provider in Bavaria
This company is mainly struggling to manage the complexity of the network with the limited human resources available. They are, of course, also interested in automating the network operations with appropriate software and also outsourcing parts of the network operations to competent “managed service” providers if necessary. It is important to note that they do not want to hand over their core competencies.
Public transportationA public transportation company is interested in a dedicated Vulnerability and End of Life Service, which they would like to integrate into the existing NOC activities currently being provided by a certified StableNet® partner. The goal is to purchase the service as a “managed service” and the communication and opportunity are being driven by our trusted partner.
StableNet® Partner in the UKOur partner is in close exchange with Infosim regarding “Managed Service”. Especially in the UK, we have seen that the market demand is above average for SaaS solutions. They have signaled that customer support, especially in the startup phase, can be very interesting. So a quick start-up, coupled with the ability to take over management of the SaaS solution when they are ready, has been a genuine draw.
End thoughts and first insights on StableNet® Managed Services
The SNaaS portfolio, then, has grown and developed through real interactions with real customers and partners. It may be the response to a global trend, but our unique approach has been focused on the real-world problems we see close to home. In the coming weeks and months, we will be building our communication platform and really treating SNaaS as a core extension of the StableNet® portfolio. We will continue to talk with our closest partners and customers and make sure that the options we provide are meaningful to them. The goal is to take advantage of the proven StableNet®platform while providing a flexible solution that works for each customer and partner. That is why we say that, with SNaaS, you have a solid platform (StableNet®) beneath your feet and a trusted partner by your side.
To give you a foretaste of our SNaaS portfolio, here is a rough overview. Details will be released over time.