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Rackspace’s infrastructure-agnostic managed cloud services brings it into competition with many operators

Catherine Hammond Principal Analyst, Research

"Rackspace's shift towards offering infrastructure-agnostic managed cloud services brings it into direct competition with many telecoms operators."

Rackspace provided an update regarding its delivery and management of hyper-scale public clouds (including AWS and MS Azure) at its recent analyst day for Europe and the Middle East (EMEA).

The revenue generated by hyper-scale public cloud platforms continues to grow at a rapid rate, and enterprises are increasingly adopting a multi-cloud strategy. It is therefore becoming more difficult for smaller providers such as Rackspace to provide a complete solution to customers based on their own infrastructure. Rackspace is increasingly turning its attention to driving growth by acting as a service provider for hyper-scale cloud providers such as AWS. Alongside this, it offers cloud management, managed security and end-user applications, underpinned by a growing professional services capability. As such, it is competing directly with telecoms operators that are following the same strategy.