The Cloud E-mail Tipping Point Is Near

  • Tweet  
  • LinkedIn  
  • Facebook  
  • Google plus  
  • Send to Kindle
  • Send to  

Hosted Exchange partner Intermedia says it’s the first Microsoft cloud application syndication partner in the world to reach the 500,000 mailbox milestone. Intermedia’s growth isn’t exclusive, as other Microsoft partners report strong growth in e-mail and other hosted services. Is the tipping point near when all e-mail is in the cloud?

Cloud application provider Intermedia is celebrating: Today, it officially topped the half-million supported e-mail accounts mark, becoming the first Microsoft partner globally to reach this impressive milestone and capping a 40 percent customer activation growth rate.

Intermedia, though, isn’t alone in supplying cloud-based e-mail services. Microsoft has literally hundreds of hosted Exchange providers in the U.S. and around the world. Many with which Channelnomics has spoken, including AppRiver, Perimeter and Reflexion, report strong and sustained growth in account activations as more end users migrate from on-premises e-mail servers to cloud-based services. And scores of managed service providers and data service providers are also supporting or offering cloud e-mail.

Related articles

Microsoft is expanding the availability of Office 365, which includes e-mail, to partners through its once-limited syndication model. The change gives Microsoft partners the ability to host and bill for cloud services previously available only through a referral model. The expansion of the syndication model means companies like Intermedia are losing their privileged exclusivity held since the debut of BPOS and the “software plus services” model in 2008.

While Microsoft practically owns the on-prem e-mail server market, it’s hardly alone in the cloud e-mail world. Day in and out, Microsoft battles Google for mind and market share in cloud e-mail. IBM wants to rekindle its e-mail business with the cloud version of Lotus. And VMware has cloud ambitions for its Zimbra platform.

Intermedia’s 500,000 hosted Exchange e-mail accounts is impressive, but it’s hard to say what the exact percentage of cloud e-mail is in terms of the total market. According to a recent Spiceworks Inc. survey, only 15 percent of SMBs have adopted cloud e-mail services. That’s probably indicative of the rest of the market, but the market is shifting rapidly as more users see the convenience, cost savings and manageability of cloud e-mail services.

What the Intermedia milestone and the continued success of other hosted e-mail providers may reflect is a tipping point when on-prem e-mail becomes obsolete and cloud-based e-mail is the dominant digital communications medium. In that regard, Intermedia and other service providers like it are leading the way into the e-mail cloud.

  • Tweet  
  • LinkedIn  
  • Facebook  
  • Google plus  
  • Send to Kindle
  • Send to  
More on Channel Business
learn-chalkboard

Watch and learn: Brocade EMEA merge watched carefully by U.S. arm

Benefits of channel and OEM business merge apparent in EMEA and APAC

Clouds jigsaw

More to channel life than cloud - Microsoft

Firm's UK channel lead says hybrid solutions may be the answer for many

digital-hugging

CA embraces channel to build Application Economy

CA is shaking off its record of channel ambivalence to embrace partners’ capabilities to reach and service customers’ evolving and dynamic needs in the unfolding ‘Application Economy’

target-person

U.S. giants missing the mark in the UK

Insight and Misco took financial hits in the UK in 2013

Visitor comments
Add comments
blog comments powered by Disqus
In-depth
Jarrett Miller

Vendor Q&A Series: Jarrett Miller, Bromium

The latest channel exec to sit in the Channelnomics hotseat is Bromium's VP of global channel sales

John Schweizer - DataStax

Vendor Q&A Series: John Schweitzer, DataStax

Our latest exec to sit in the Channelnomics hotseat is John Schweitzer, executive vice president, worldwide field operations at DataStax

digital-hugging

CA embraces channel to build Application Economy

CA is shaking off its record of channel ambivalence to embrace partners’ capabilities to reach and service customers’ evolving and dynamic needs in the unfolding ‘Application Economy’

target-person

U.S. giants missing the mark in the UK

Insight and Misco took financial hits in the UK in 2013