The Weather Report

Kaseya Drops Axe on Employees, are RMM’s setting up to Implode?

Crisis ahead

Just a mere three months after Insight Ventures took over the once prominent channel darling Kaseya, a round of layoffs has seen approximately fifty of its employees without jobs; in what new management is calling a reorganization.

The sudden changes will be sure to have some customers questioning the strategic moves of the company and will have others wondering what’s next?

The RMM industry is set to see a real shakeup, with most of the major players now having been bought out, or taken over by larger businesses, we can expect to see major changes and employee losses.

This has already begun at companies such as Level Platforms and PacketTrap, where high profile employees and executives have either headed for the door or been pushed out.

In the bigger scheme of things, the revenues from channel sales may be too insignificant for enterprise type corporations to keep things the way they are. It is unlikely that any of these companies purchased these RMM providers for their channel strategy, but instead either they have bigger plans for the software to be integrated into their own solution offering or maybe even more devious, to eliminate the channel all together.

The latter may seem far-fetched to some, but companies like Microsoft and Dell have been very aggressive and forthcoming with their plans to become the ultimate solution provider. What better way than to take away the one piece that makes an MSP an MSP?

It will be interesting to see how Kaseya customers react to the news. My guess is that MSP’s are already looking for alternatives, however there are very few alternatives that are not sitting in similar positions. Are we seeing the beginning of something much bigger in our industry?

2 thoughts on “Kaseya Drops Axe on Employees, are RMM’s setting up to Implode?
  • Amy Luby says:

    I don’t necessarily think the RMMs are being bought for their strategies or for the size (or lack thereof) their reseller base. I think they’re being used for the analytics that can be derived from the data on devices & software running on the networks. Basically, rmm is part of an overall strategy to see into these networks for upsell & cross-sell opportunities.

    Otherwise, rmm in the traditional sense where it was used to manage devices/networks died a long time ago.

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