Cloudbusters

Will Level Platforms and N-Able Suffer same fate as PacketTrap?

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It was reported today by MSPMentor that Dell would not be pursuing any new development on PacketTrap MSP or PacketTrap PSA, both of which were acquired as part of an acquisition of Quest software a year ago. The news had social media and industry people questioning the future of the RMM space.

With both N-Able and Level Platforms recently being acquired by larger companies and a number of recent moves by staff in both companies, the fate of RMM software as a whole comes into question.

Will these once beloved channel companies fall into the same “trap”?

From evidence of many recent acquisitions across the channel and outside of the channel by large companies, the answer is maybe. From how it would appear on the outside, the acquisitions by smaller players like that of LabTech by Connectwise and Zenith Infotech RMM by Continuum have helped to bolster development, growth, and have ultimately strengthened the businesses. This would point to a possible correlation between smaller investors building acquired companies and larger investors suppressing or even completely shutting down potential progress.

Many would ask, “Why buy these companies at all then”? As for the Dell PacketTrap deal, PacketTrap was just a small piece of a much larger acquisition for Quest Software. It is highly likely that it was never the intention of Dell to continue on with the RMM business as it had already gone down that road with its Silverback purchase years back.

As for LPI and N-able these may be less clear as the intentions for building and developing a complete suite of cloud services appears to be at the foundation of the acquisitions. What I would say though is if the acquisitions do not show profits or growth quickly, meaning over the next years time, we very well may see a similar fate to those companies.

One thing is for sure; the choices in RMM have definitely gotten tougher, especially with how much is up in the air in the space. I would expect this news will have all current RMM vendors fielding questions and concerns over the state of the industry and especially the core product for many of their MSP practices.

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