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Managed services already a major channel revenue contributor

Simon Quicke

Managed services already accounts for a significant portion of business for a growing number of resellers with it set to grow in the next couple of years.

According to the latest survey last month, of its Candefero 4,000 strong reseller membership base across Europe Canalys has identified that for 20% of the channel managed services now contribute around 20% of revenues.

With analyst groups, including Canalys, predicting steady growth in managed services the expectation is that the portion of revenue coming from services rather than physical product will continue to grow.

But already there are warning signs that some resellers are being left behind with a portion of the market, not far off half those quizzed, failing to generate any significant revenues from services with the levels this year coming in at below 10%.

"Managed services are very much a component of the channel and it is a pretty important part of the revenue for the channel community," said Canalys principal analyst Alistair Edwards.


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