Managed hosting is still where the margins are. Partners should focus on being (or becoming) the trusted advisor and competing on value and ROI – not price.

Tier1 data projects 25% segment growth from 2009 to 2010 and 24% for the year after.

John also shows the updated IDC data with the economic climate factored in a November 2008 paper. Upward adjusted CAGR to 17.5% over 2008-2012. They uplifted the July2008 release of this research from WW SaaS Revenue forecast to move from 16B$ to about 20B$ by 2012.

Just picking on the trends slide with the Developers and ISV component. We’re calling out to partners that these ISVs needs reliable partners to host and manage their apps. Check the Incubation Center program if you’re interested in learning how we educate and expose our hosters to this opportunity.

POWER OF CHOICE

Let there be no mistake: partner hosted is still the way to go. First evidence: 2 pillars of the business show partner-hosted direct and partner-hosted white label as ways to go. Second point of evidence: lots of tools and materials (Hyper-V whitepaper, Hosting Deployment Accelerator, Hyper-V fast start programs….)