Continuum's chief executive Michael George (pictured) has thrown his weight into the master MSP debate, claiming that it is "impossible" for MSPs to competitively provide their own NOC and SOC services.
George's comments comes after Continuum's owner, private equity firm Thoma Bravo, took over MSP tools vendor ConnectWise. Thoma Bravo also owns SolarWinds MSP and Barracuda MSP which all sell into the managed services space.
ConnectWise selling up to Thoma Bravo reignited the debate around whether MSPs should be outsourcing helpdesk support, service delivery and even their security and networking operations centres (SOC and NOC) to white-label providers.
One UK-based MSP exec voiced their opposition to backing off core components to a service desk MSP such as Continuum, claiming it would lose differentiation and become a "reseller of MSP services" rather than a fully fledged MSP.
But research from Service Leadership found that MSPs that use Continuum enjoy gross margins that are eight per cent higher than its counterparts.
Continuum claims to be the largest MSSP for companies with fewer than 250 employees. George said Continuum is currently covering more than 100,000 end-points worldwide with its SOC and SIEM capabilities, employing more than 1,000 service delivery staff in India and Manila.
Speaking to Channel Partner Insight, George went so far as saying that the future of the MSP model depends on outsourcing these functions, claiming that those that don't "will simply lose".
He argued against the notion that MSP margins will suffer through outsourcing service delivery and even claimed that there's nothing wrong with MSPs becoming "resellers of MSP services".
"The ones that think they have to touch every knob and turn every dial will lose; plain and simple. Why would you think you have to employ people to deliver services in order to be a service provider? It's foolish! It's antiquated, it's a dinosaur, it's dead," he said.
"There isn't an MSP that can financially and effectively provide comprehensive services with a lack of automation and local talent at an affordable price. Nobody is doing it effectively unless they're outsourcing it."
Watch out for the full write-up from our interview with Continuum CEO Michael George, where he answers questions about potential fallout after ConnectWise's sale to Thoma Bravo, and whether the private equity firm is busy building a "master MSP"
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