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Cloud MSP Market Update

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Ephor Group | www.ephorgroup.com | 24 E. Greenway Plaza Suite 440 | Houston, TX 77046

Cloud MSP Market Update The cloud is a transformational change catalyst which is creating significant revenue opportunity for providers.

Cloud growth is on pace to outgrow traditional IT by 5X.

Cloud MSP services is on pace for $4B in 2014 (Total Cloud Spend 300B in 2014 and 500B by 2020 (Gartner & IDC).

For business the cloud enables self-service, economies of

scale, and infrastructure optimization. For IT cloud

computing technologies reduce the capex IT investment

costs that were once a barrier to market entry for many

sizes and types of businesses further expanding the cloud

market beyond large enterprises to a broader segment of

organizations.

Cloud management services constitute a new segment

comprising cloud security services, IT operations

management and storage management (including backup and recovery services). The segment is forecast to grow to

$4 billion by 20141 and the global market for cloud computing technologies is growing at a CAGR of 24% over the

next five years, with an aggregate of over $300 Billion over that period.

1 http://www.gartner.com/it/page.jsp?id=2163616

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Ephor Group | www.ephorgroup.com | 24 E. Greenway Plaza Suite 440 | Houston, TX 77046

Cloud MSP Solution Provider Landscape Snapshot While there are numerous IT consultants and integrators providing cloud infrastructure management, monitoring, setup, and optimization services in the USA2; of these professional service firms the market is grouped into several tiers.

I. Global consulting & service providers which provide cloud solutions with greater than $1B in annual revenues. For a complete list visit the IAOP Top Global 100.

II. Approximately 500 North American midmarket private companies whose focus includes Information Technology Cloud Managed Solution services with revenues between $5M and $100M of which approximately thirty (30) firms have credential experts and competency in both private and public cloud managed services.

2 System Center 2012 helps you manage your IT environments across traditional datacenters, private and public clouds, client computers, and devices.