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Why Service Providers Should Leverage IaaS

11 Mar 2015 by Shay Moser

Infrastructure-as-a-Service (IaaS) offers service providers an adaptable pricing model and frees up valuable resources.

Flexible Finances

As a service provider, financial flexibility is essential. If you do have the capital available, it’s an investment for the purposes of future consumption. While it’s a necessary part of your business, you may not always have the revenue to cover it up front or recover it quickly.

IaaS creates an opportunity for you to invest as you grow, since you’re not overspending up front to build out a service. Instead, you’re investing in a just-ahead-of-time manner to service your clients. This allows you to scale your business wisely and be responsive to your clients’ needs.

Refocusing Resources

If you’re a small- to medium-sized service provider, you may find it difficult to optimize staffing levels and acquire the right talent to help develop the architecture and manage the ongoing infrastructure. It’s a time-consuming process to achieve both acquisition and optimization. If you’re leveraging IaaS, much of the virtualization layer, and below, is managed for you. Your specialists are simply left managing the application or your value-add and differentiated products.

With the pace of change and innovation happening so quickly, our cloud team is helping service providers transform their businesses. Small- and medium-sized service providers have to focus on their core differentiation and their core product to compete; and that often amounts to what’s built on top of the infrastructure. In being able to better leverage talent, as menial work is often left to the IaaS provider, you can also focus on developing new capabilities within your core differentiated products.

For small- and mid-sized service providers, that’s truly where the transformation begins.