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
data-quality

Value over volume, RackWare says of expanded channel partner program

Aim is to have the right coverage with close relationships, VP says

divorce-pa

The velvet divorce? Options and disruptions to come from HP split

News that Hewlett-Packard is breaking into two companies continues to reverberate through the channel. While the ultimate impact on HP partners and customers remains unclear, the new entities will have plenty of options for plying their futures

treasure-chest-with-gold-coins

Channel strikes gold selling to non-techies

Tech sales staff busy selling to business units as much as tech staff, according to Gartner

jessica-m-225x300

Welcome to the new Channelnomics

Channelnomics goes live with new-look site. Join us on Twitter to give us your thoughts - @channelnomics

Visitor comments
Add comments
blog comments powered by Disqus
In-depth
Broken heart

An amicable split?

Where will HP and Symantec's conclusion that the sum of their parts is greater than the whole leave partners?

elvis67878787

Suspicious minds in the post-Snowden world

Investment in new technologies being avoided with security experts wary of cloud and new technologies post-Snowden

Old-fashioned cash register

Vendors need to get with the times, Channel conference hears

MSPs need up-to-date support from vendors, including working together

seo-checklist

‘Internet of Things’ shifting IT spending priorities

Analyst firm Gartner says enterprises spent more than $40 billion on what could be called Internet of Things (IoT) programs. As more IP-enabled devices get connected, enterprises may shift spending patterns and disrupt the way IT is acquired and supported