Datto’s Thoughts on the Kaseya-Unitrends Merger

May 04, 2018

Datto’s Thoughts on the Kaseya-Unitrends Merger

By Matt Richards

News of the Kaseya-Unitrends merger was welcomed with a smile here at Datto. Having built our business entirely around the MSP market, and having spent a decade promoting it and cheering on its growth, we are always pleased to see others investing in this category. It’s an exciting time to be in this space, and we wish both companies success with their merger. Having only recently completed a merger of our own, we know just how challenging and how rewarding such a move can be.

We are also happy to see that our commitment to a broader product portfolio is being replicated within the industry, and believe that combining PSA, RMM, and other capabilities is key to giving MSPs the advantages they need to compete in an increasingly dynamic and demanding environment.

As those of us working closely with the channel know, SMBs now face a wide array of complexities: data storage, once a simple operation, is now an intricate affair that requires moving data off-site for storage in the cloud, and the Internet of Things has made data much bigger and security a much thornier issue. Who would have thought you could hack a casino network through a fish tank thermometer? This is why so many tasks that were once entrusted to an in-house IT professional are increasingly outsourced to MSPs, and why MSPs are grateful for the rise in products and services catering to their needs. We at Datto have focused exclusively on MSPs from the very beginning; Kaseya, on the other hand, has directly targeted the midmarket sector as well, which creates a channel conflict. It remains to be seen how MSPs will react to having the new entity be both a vendor and an occasional competitor, a conflict that isn’t easy to resolve.

Another hurdle Kaseya now faces is making sure its combined services don’t overlap, something we were very mindful of when we merged with Autotask late last year. Kaseya has a long history of M&A, not all of it seamless: Their acquisition of Vorex in 2016, for example, had the company competing in the unified PSA/RMM space against their own other products, leading to needless confusion.

To avoid such pitfalls in the future, smooth integration is key. At Datto, we’re proud that our suite of services and products fit together like a Swiss army knife, modular and efficient. In this competitive market, just offering a drawer full of good tools will no longer do.

Finally, while every company in this space offers its own approach, it’s important to remember what unites us and what fuels all of our success: the MSP market is growing in leaps and bounds, and we are all fortunate to be here to help this growth along. We at Datto remain committed to open platforms so that MSPs can choose the products that work for them, and look forward to our continued partnership with Kaseya.

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