one.com (‘the Group’), a leading European provider of web hosting services, has today announced the acquisition of Hostnet for an undisclosed consideration. The businesses are highly complementary given their focus on private customers, small to medium enterprises (‘SMEs’) and small office home offices (‘SOHOs’) and given that one.com is a leading web hoster across Northern Europe including Benelux and Hostnet operates principally in the Netherlands.
Founded in 1999 and headquartered in Amsterdam, Hostnet is a leading web hosting provider in the Netherlands with a hosting-led proposition focused on SMEs. It employs approximately 130 staff and serves over 210,000 customers. In particular, Hostnet is focused on mass-hosting with a product suite that targets both non-technical and technical users including domain-only, web hosting, WordPress, email hosting, Office 365 and Virtual Private Servers (‘VPS’) on both a Managed and an Unmanaged basis. Hostnet has maintained a strong focus on customer service and success with industry-leading satisfaction metrics and customer support.
This transaction is the third major acquisition as part of one.com’s buy and build strategy which started under Cinven’s ownership, following the acquisitions of SYSE in February 2020 and Digital Garden in September 2019. As part of the Group’s growth strategy, and with Cinven’s support, one.com is looking to continue expanding both organically and through acquisitions into its core markets of the Nordics, Benelux, the UK and the DACH region as well as other geographic regions.
Both organisations benefit from an exceptional degree of similarity and overlap including (but not limited to) mass hosting products with focus on reliability and quality of product and service, rapid historical organic-only growth, cultural proximity. These strong similarities, together with one.com’s single platform story will therefore maximise the collaboration and strengthen the partnership between the companies.
“We are pleased to announce the acquisition of Hostnet given its focus on operational excellence and high brand awareness. As a result of this transaction, we are now a leading operator in the Dutch hosting market that is core to the development of our business strategy. We look forward to working with the team at Hostnet and significantly enhancing our European presence and product range for our customers,” saidStephan Wolfram, Group CEO of one.com.
“Hostnet is a highly regarded player in the hosting market with capabilities, awareness and products that will contribute to further accelerate the development of one.com’s business. Within the consolidating hosting market, it was important for Hostnet to connect with a strong partner. We found it in one.com, an ambitious party with a lot of knowledge and experience. This offers plenty of possibilities and opportunities for the future,” said Harold Douwes, Founder and CEO of Hostnet.
“Cinven has a strong track record of successfully growing businesses through a structured buy and build strategy. We are excited about this acquisition as it represents a milestone for one.com becoming a market leader in the Dutch region, and is a clear example of the Group’s ambitious future growth plans,” commented Thomas Railhac, Partner at Cinven.
Since the advent of internet technology, enterprises are continually dealing with increasing workloads or what is commonly known as the ‘big data’. Managing workloads include the proper alignment of company data, resources and targeting them towards desired business outcomes.
For any organization, managing these workloads can be difficult sometimes, especially when it lacks the required IT skillset. Hiring or training the existing IT teams can be both time-consuming and expensive.
Moreover, with the IT industry facing issues with digital transformation like transitioning from hardware or software solutions to as-a-service cloud solutions, they need help in selecting the right technology stack, its implementation and support to ease their transition. Here, the role of Managed Services Provider comes in.
Before we jump on to understanding the role of managed services providers and the latest managed services trends, it is imperative to know what are managed services.
What are managed services?
Under Managed Services, the users make use of application or resources that are completely managed by a third party i.e. a managed service provider. The MSPs allow users to outsource their various network and application needs with complete support. The applications are hosted and managed by the managed service provider only.
Gartner explains a managed service provider (MSP) as A managed service provider (MSP) delivers network, application, system and e-management services across a network to multiple enterprises, using a “pay as you go” pricing model.
Hosting and managed service providers play an active role when it comes to helping enterprises evaluate right digital transformation strategies, migrate workloads, managing networks and infrastructure, backed with securing data and applications.
There presents a vast set of opportunities for managed service providers with increasing application and infrastructure migration from on-premises to cloud.
The cloud managed services market size is projected to grow from USD 27.15 Billion in 2017 to USD 53.78 Billion by 2022, at an expected CAGR of 14.6%. – marketsandmarkets.com.
But, it’s important to know where and how opportunities are appearing and what will be the benefit to the early adopters.
Latest trends in managed services and web hosting industry
Following are the managed services trends and web hosting industry trends that will provide a guide to market opportunities for providers of these services:
1) Increasing Web Hosting and Cloud computing trends
The enterprises will continue their shift towards Hosting and Cloud Services. A report by 451 Research (451 Global Digital Infrastructure Alliance) found that 53% of the survey respondents expect to see high spending on web hosting and cloud in the coming 90 days while, only 3% expected a decrease.
Amongst this, SaaS and application hosting will incur major area of spending (51%), followed by infrastructure services (29%) and managed services (10%).
It will be a golden opportunity for the managed service providers, as the report also stated that users of SaaS and application hosting services will spend 59% on managed services.
This shows that enterprise cloud spending is growing.
2) Infrastructure monitoring and alerting is the most used managed service
The 451 Research report suggested that the infrastructure/application monitoring and alerting services will be the most used managed service, accounting for 53%. It will be followed by other managed services like Backup and Recovery (49%) and Disaster Recovery (41%).
This can be due to the increasing concerns for data security. Organizations look for reliable services that provide complete security to their valuable business data. Managed service providers by offering DR and Backup services ensure that the organization’s data is protected against any sudden disasters and is recoverable in case of any loss.
3) Growth in channel partner MSPs and M&As
MSPs will see a rise in the number of customers who look for complete technical support and migration apart from the basic implementation services.
Some may even start running partner programs for their resellers to help them manage the end customers. This will help MSPs reach the market faster.
For this, the service providers need to re-align every business process and evaluate resources, lines of business, system integrations, brand value proposition etc. Both organizations need to ensure their financial health and capacity before getting into any M&A activity.
Rise of new, innovative services in the cloud and hosting will be a normal affair. To accommodate all these services in a unified offering, MSPs have started offering bundled solutions.
“The markets for unmanaged IaaS and SaaS are dominated by large, hyper-scale vendors. However, this spending trend indicates there is an appetite for the type of bundled services a broader market of managed service providers are well positioned to deliver. A strong opportunity exists for service providers offering a diversified set of hosting and cloud services that includes infrastructure and application hosting, as well as managed services and security services delivered around them.” -Liam Eagle, Research Manager at 451 Research.
In the coming years, too, bundled solutions will be a good way to upsell and cross-sell services. This is because they stand as enterprise-wide solutions, fulfilling all requirements at one place – a win-win solution for the end customer and the seller.
5) Shifting focus on hybrid and multi-cloud management services
Earlier, enterprises went either to a privately hosted solution or a public cloud, but now they want to make use of mixed benefits of both, through hybrid cloud.
Gartner predicts that by 2020, 90 percent of organizations will adopt hybrid infrastructure management capabilities.
The rise in the hybrid cloud adoption is making MSPs shift their focus towards the flexibility and versatility of hybrid cloud solutions.
“As the demand for agility and flexibility grows, organizations will shift toward more industrialized, less-tailored options. Organizations that adopt hybrid infrastructure will optimize costs and increase efficiency. However, it increases the complexity of selecting the right toolset to deliver end-to-end services in a multi-sourced environment.” – DD Mishra, research director at Gartner.
Hybrid cloud can meet the needs of the cloud customers for a wholesome solution, while providing MSPs with various opportunities to provide the needed services, manage and support the multi-sourced hybrid environment.
These are the latest managed services trends and web hosting industry trends. These trends are the results of emerging technologies and customer demand changes in the market.
To succeed and thrive in this era of cloud computing, Internet of Things (IoT), AI, cybersecurity and always-on access to apps and data, MSPs need to identify trends faster and grab the opportunity before their competitors do.
The Plesk APAC Partner Day 2019 eventkicked off in Singapore on October 11, bringing together the web hosts, tech enthusiasts, and like-minded people in the industry.
With the theme “Drive Digital Transformation Now”, the event explored what’s new in Plesk Obsidian, a look behind the development of Obsidian, WordPress Community insights, valuable marketing tips, and much more.
Plesk Obsidian is a powerful management platform for servers, websites, applications, as well as hosting & cloud businesses. It became generally available this month only. Full details and the new features of Plesk Obsidian are available here.
Along with these, the Plesk APAC Partner Day 2019 also provided a platform to the attendees to meet peers, inspiring speakers, and explore new opportunities to network and connect with experts and leaders in the industry.
There were around ten sessions about Plesk Obsidian, Managed WordPress hosting, the impact of digital transformation on the web hosting industry, expanding business with Acronis, etc.
These were the key topics discussed at the event:
The Rise Of Plesk Obsidian – Jan Löffler, CTO, Plesk
A look behind the scenes of Plesk Obsidian Development – Andrey Kugaevsky, Senior Program Manager, Plesk
Vickson’s Diaries – Vickson Tan, Graphic web designer and digital marketing strategist, Exabytes
The PleskAPAC Partner Day 2019 was a great success, with positive responses from the web hosts, partners, and other attendees. If you attended the event, let us know your experience via the comments below.
One.com (‘the Group’), a leading European provider of web hosting services and domain names to a combination of private customers, small-to-medium enterprises (‘SMEs’) and small-office home-offices (‘SOHOs’), has today announced the acquisition of Digital Garden for an undisclosed consideration. This follows the acquisition of One.com by international private equity firm, Cinven in February 2019.
Established in 2014, Digital Garden is one of Norway’s leading web hosting businesses. Digital Garden was formed through the merger of UniWeb and FastName – both founded in the early 2000s – and provides domain names, web hosting and email hosting as well as a number of add-on products predominantly to SMEs.
Since their merger to form Digital Garden, both UniWeb and FastName are marketed as separate brands today. Digital Garden currently has three datacentres in Oslo, around 100,000 domain names and approximately 40,000 active customers. The combination of One.com and Digital Garden strengthens both companies‘ footprint in the Nordic region with an attractive brand and product offering targeting all customer types.
This transaction is evidence of One.com’s buy and build strategy, backed by Cinven, which is set to continue. With Cinven’s support, One.com is looking to grow both organically and through acquisitions into other geographic markets including its core geographic markets of the Nordics, Benelux, the UK and the DACH region (including Germany, Austria and Switzerland) as well as other strategic markets.
“We are delighted to welcome Digital Garden into the Group. There is a natural fit and strong affinity between both businesses and we look forward to working together to continue One.com’s growth trajectory, increasing our offering and broadening our platform both in Norway and across the Nordic countries,” said Stephan Wolfram, Group CEO of One.com.
“Cinven has a strong track record of buy and build investment strategies, and significant experience of the web hosting services industry as part of our TMT team’s subsector focus,” said Thomas Railhac, Partner at Cinven.
He added, “In particular, during our ownership of HEG, the largest privately owned web services provider in Europe, Cinven strongly backed the organic and inorganic growth of HEG having completed 16 add-on acquisitions. We also plan to expand the One.com business through continued investment and further acquisitions. In addition, we intend to widen its offering and services to customers to further strengthen both One.com and Digital Garden’s customer proposition.”
Over a week ago, cPanel had announcedits shifting to an account-based pricing and licensing structure. Following harsh feedback from the partners, it is now making some updates to assist the community in implementing the licensing model changes.
In their follow-up email, cPanel wrote, “In the days following our announcement, we have heard from many of our Partners, both online and over the phone, and the feedback has been clear. Our analysis of use cases was incomplete, and we underestimated the amount of support that some of our Partners require to implement these licensing model changes. This was a miss on our part, and we are sorry for any concern we have caused as a result.”
Since the account-based pricing requires additional efforts from the partners, cPanel will provide implementation support to all the partners.
“We will apply a one-time credit to cover part or all of your September 15th invoice up to $10,000 USD,” explained J. Nick Koston, CEO, cPanel, in a blog post.
For the customers who aren’t yet ready to adopt cPanel Plus Cloud that requires a 100 account+ Premier license, cPanel has introduced a new 50 account “Plus” package.
“We will provide fixed cPanel Premier Packages starting with 100 account licenses, and we are making additional packages available in 50 account increments (i.e., 150, 200, 250, etc.) for customers where auto-scaling is not a good fit,” added Koston.
For existing WHMCS customers, the new pricing model will become effective once the WHMCS adds support for it. After the release of support, the customers will be charged at the current pricing rate for next one month and then they will be charged with the new pricing.
For the direct customers, cPanel is restoring the Solo licenses (Cloud) in the cPanel Store. These licenses will be available at $15/month, only on Cloud. Further, the existing cPanel Solo licenses will no longer be converted to the Admin package.
The customers whose licenses are expiring between June 27 and July 20, 2019, will get more time to select a new option in the Managed Licenses in the cPanel Store.
WorldStream, an international IaaS hosting provider experiencing more than 40% year-over-year growth for 5 years in a row now, today announces its achievement of compliance with the Payment Card Industry (PCI) Data Security Standard (DSS) version 3.2.
Designed to minimize the exposure of credit card data to the risk of fraud or compromise, the PCI DSS certification being achieved is important for WorldStream to have as their webshop hosting clients are asking for payment security level guarantees. The 3rd party audited PCI DSS certification was issued by IT audit company Noordbeek B.V.
With more than 15,000 dedicated servers installed in its company-owned data centers in Naaldwijk, the Netherlands, WorldStream serves customers globally with clients including cloud service providers (CSPs), broadcasters, systems integrators, independent software vendors (ISVs), Software-as-a-Service (SaaS) providers and e-commerce hosting clients.
The successful completion of the PCI DSS audits and obtaining the certificate is adding to the other certifications already achieved by WorldStream including ISO 9001:2015, and ISO/IEC 27001:2015 for information security management, as well as ISO 14001:2015 – specifying the requirements for WorldStream’s environmental management system and sustainable operations.
“The IT audit firm has checked and validated all relevant PCI DSS related processes within the WorldStream organization as well as the management and operating controls that are in place,” said Lennert Vollebregt, CEO and co-owner of WorldStream.
“Complying with the PCI DSS directives is important for us, as WorldStream is serving quite some merchants and also managed hosting providers with webshop operators among their clients. The fact that WorldStream fully meets the rigorous PCI DSS requirements gives our e-commerce customers peace of mind with regard to the secure handling and storing of credit card information and payment data.”
Global Network: 10Gbps
The PCI DSS certificate validates WorldStream’s physical security measures in their offices and two company-owned data centers in Naaldwijk, the Netherlands. Next to that it also validates WorldStream’s documentation of organizational processes and IT system management for example, as well as the way the company manages its suppliers and guaranteeing its business continuity. To learn more about all 12 primary requirements mandated by the PCI DSS standard, visit https://www.pcisecuritystandards.org/.
WorldStream’s global network backbone with ample bandwidth available, currently more than 10Gbps, is working like a magnet on e-commerce hosting customers and managed service providers (MSPs) dealing with e-commerce hosting clients, stated the WorldStream CEO.
“Online merchants normally have demanding requirements when it comes to their e-commerce hosting environments,” added Mr. Vollebregt. “Especially during the holiday season when webshops are experiencing traffic spikes it becomes obvious that the network speed, as well as the latency and availability can make or break online businesses. The main components for efficient and effective e-commerce hosting infrastructure include the scalability of available bandwidth, the speed of the network backbone, as well as the network’s security levels and ability to mitigate DDoS (Distributed Denial-of-Service) attacks. We have invested more than 3 million euros in this global network backbone recently, which is paying off for e-commerce hosting clients as it provides them with business continuity guarantees.”
The announcement follows the news of WorldStream revealing its plans to further build-out its flagship data center in Naaldwijk, the Netherlands. Within the course of a year, WorldStream will be doubling its facility capacity from 268 data center racks to 536 racks at this location.
To support e-commerce hosting customers and other demanding clients with maximum uptime guarantees, WorldStream has chosen a highly redundant and energy-efficient design for its data center with an N+2 setup. The expanded facility will also be equipped with a fully modular UPS system to facilitate hot-swappable maintenance and avoiding any downtime.
This 2nd phase expansion in WorldStream’s flagship data center allows the hosting company to further grow its dedicated server capacity in its data centers to 20,000 servers, but WorldStream is already eying another greenfield data center build nearby.
Hostinger will now offer easy to use and affordable SEO tools to their Customers
Search Engine Optimization (SEO) tools provider MarketGoohas partnered with Hostinger, a leading hosting company. Designed with non-technical customers in mind, MarketGoo will be powering Hostinger’s SEO Toolkit Pro, which enables any website owner to grow their business by optimizing their site for higher search rankings and more traffic.
“Offering search engine optimization tools to our customers is in line with our customer-centric approach, and something we are sure will help us on our mission of making life easier for our customers,” said Balys Kriksciunas, CEO of Hostinger.
Hostingercustomers can now generate comprehensive SEO audits, download reports and act upon easy-to-read results and instructions that will help guide their digital strategy.
The MarketGoo-powered SEO Toolkit Pro generates a report of the user’s website, presenting a custom plan with improvements that should receive priority attention and simultaneously giving instructions on how it should be done. Features include:
User-friendly, step-by-step search engine optimization plan Tools and recommendations focused on increasing sites’ quality traffic and inbound links Analytics to help track improvements Competitor tracking Mobile Optimization and improvements
“We immediately connected with Hostinger over our shared aim of helping people succeed online, and because we have similar approaches to shaping our company cultures. It was important for them to help their customers improve traffic and search engine results in an intuitive way and we’re thrilled we could help them achieve this,” said Wences García, CEO of MarketGoo.
MarketGoo, a Spain-based SEO solutions provider, today announced that it has partnered with Endurance International Group, a leading provider of cloud-based platform solutions designed to help small and medium-sized businesses succeed online, to introduce a new SEO offering from Endurance’s key hosting brands.
“MarketGoo and Endurance share a similar goal of empowering website owners and their businesses to achieve their online goals. This SEO toolset is designed to help small businesses with no previous technical knowledge and it blends in seamlessly with the user experience across Endurance’s brands. We’re incredibly excited to see Endurance’s hosting customers improve their online results,” said Wences Garcia, CEO of MarketGoo.
By generating a report of the user’s website, MarketGoo presents an SEO plan with improvements that should receive priority attention and simultaneously gives instructions on how to implement the changes. Features include:
User-friendly, step-by-step website optimization checklist and plan;
Tasks and recommendations focused on increasing a site’s quality traffic and search engine results;
Analytics and reports to help track improvements;
Integration with Google Analytics to display accurate traffic numbers;
Competitor tracking: the user can list competitors and get details on how they are positioning themselves in terms of SEO;
Keyword tool: users can research and pick the best keywords for their site;
Mobile: the tool checks whether the site works well on mobile devices, and lists potential improvements.
“It is clear that site optimization for search engines is in high demand and falls into the ‘need-to-have category’ for many of our customers,” said Mitch Haber, senior vice president of corporate strategy and partnerships at Endurance. “MarketGoo’s solution fulfills that need seamlessly for our customers.”
The MarketGoo SEO solution is currently available on Bluehost and HostGator for the U.S. market, and Enduranceplans to expand it to additional brands and geographies in the coming months. Customers can purchase it separately or as a bundle with hosting and other solutions.
Leading web hosting services provider, One.com, which has more than one million customers globally, is getting acquired by the private equity firm Cinven.
Founded in 2002, One.com is based in Europe and serves domain names and web hosting services to small and medium businesses to customers all around the world, with a focus on Northern Europe.
With an increasing number of small and medium enterprises establishing their presence on the web and using web applications, the web hosting market is growing at a vast pace. One.com is a renowned company in this industry with a huge customer base globally. This opens a door of opportunity for Cinven in the hosting industry.
Another reason for Cinven’s investment is the attractive business model of One.com that generates high recurring revenues, and strong cash flow. The private equity firm can accelerate the growth of One.com with acquisition.
“We have more than 15 years’ experience in web hosting services and are today one of the leading companies in Europe in the sector. The pride we have in our achievements to date is matched by our growth ambitions for the future and, in Cinven, we have a partner whose expertise in the sector and financial resources can support our compelling growth strategy,” said Jacob Jensen, founder and CEO of One.com.
It is not the first time that Cinven is investing in a web hosting company. In August 2013, it had acquired HEG (Host Europe Group) which was also a leading provider of web hosting services in Europe. Cinven experienced significant profits with platform investment in HEG. In January, Cinven eventually sold HEG to its strategic partner GoDaddy.
“We are very excited to invest in One.com alongside Jacob. It is a high-quality business with an attractive brand and scalable technology platform, operating in a market with structural growth drivers. This is a subsector we know well through Cinven’s successful investment in HEG in Fund 5, continuing to invest in both the organic growth story and targeted acquisitions,” said Thomas Railhac, Partner at Cinven.
According to Verisign, the global domain name registrations count reached 339.8 million across all top-level domains (TLDs) in the second quarter of 2018, representing registration of around 6 million new domain names in the quarter.
Domain name registrations have increased by 1.8% quarterly and 2.4% year-over-year. The .com domain name base reached 135.6 million domain name registrations at the end of second quarter, while the .net domain name base reached 14.1 million domain name registrations.
The .com and .net TLDs together totaled to approx. 149.7 million domain name registrations in the second quarter, up 0.9% or 1.4 million domain name registrations from the first quarter of 2018. This represents an increase of 3.7% or around 5.3 million domain name registrations year over year.
As per Verisign, there were around 9.6 million new .com and .net domain name registrations since the second quarter of 2017.
Top 10 largest TLDs by number of reported domain names
At the end of second quarter 2018, the top 10 TLDs .com, .cn, .tk, .de, .net, .uk, .org, .ru, .nl and .info.
Top 10 ccTLDs
The country-code TLDs (ccTLDs) domain name registrations count totaled to approx. 149.7 million at the end of 2Q18, an increase of 2.4% or 3.5 million domain name registrations from 1Q18. The ccTLDs grew by around 5.5 million domain name registrations or 3.8% YoY.
At the end of second quarter, the top 10 ccTLDs were .cn (China), .tk (Tokelau), .de (Germany), .uk (United Kingdom), .ru (Russian Federation), .nl (Netherlands), .br (Brazil), .eu (European Union), .fr (France), and .it (Italy).
The number of new gTLDs domain name registrations were around 21.8 million at the end of second quarter, up 1.6% from the first quarter, but down 10.4% year over year. The top 10 ngTLDs accounted for more than 50% of the total ngTLDs domain name registrations.