Pax8 acquires UK-based cloud hosting company Wirehive
Pax8 is buying Wirehive in a deal that will give channel partners in North America and the U.K. more access to key cloud capabilities.
Pax8, of course, provides MSPs, VARs, agents and other intermediaries access to services and platforms such as Datto, Acronis, Zoom and RingCentral through its cloud marketplace. It also works closely with Microsoft aligned. Wirehive offers cloud hosting and consulting. The company is based in the UK and works with Microsoft Azure, Google Cloud Platform and Amazon Web Services.
Robert Belgrave, CEO of Wirehive (and soon-to-be CEO of Pax8 UK), told Channel Futures the pairing makes perfect sense.
"There is nothing in the UK. The current market offers what Pax8 offers, "he said. "I think the disruption these folks have achieved in the U.S. is pretty clear and the UK. Market desperately needs that. "
The benefits go both ways, said Nick Heddy, Pax8's chief revenue officer.
"Wirehive absolutely has the best reputation," he said. "They understand this Shop; Your customers and partners are very happy. "
Heddy added that the cultures of Pax8 and Wirehive fit together - an important consideration as many companies merge without regard to how people will work together.
"The first time we met, Robert had a Chewbacca hat on," Heddy said. "It was the fourth of May. We knew our cultures were aligned right away. "
The "2030 customer" has arrived a decade early
The timing of the Pax8 wirehive deal probably could not be better. As 2021 begins, organizations continue to support remote work enforced by COVID-19. They are also moving away from local IT architecture. That means they need partner help in buying and managing cloud services, as well as ongoing digital transformation. Together, Pax8 and Wirehive meet these needs.
"The 2030 customer arrived in 2020 because of COVID-19," Belgrave said. "Expectations have changed. The workforce has changed. There's an incredible acceleration toward cloud-based services and remote work."
In that case, companies are more likely to make aggressive technological changes, he said.
"They're going to be disrupted anyway, so they figure," we might as well go all-in and make a big transition, " Belgrave said.
Merging Pax8 and Wirehive facilitates all these changes in different ways.
"When we looked at what Pax8 and Wirehive have, there wasn't a lot of overlap in the Venn diagram," Belgrave said. "We're really on top of it."
John Street, CEO of Pax8, made a similar observation.
"The acquisition will enable both companies to explore new ways to automate cloud orchestration and optimization and expand our ability to simplify cloud strategies for IT professionals," he said in a prepared statement.
One-Stop Partner Shop
For channel partners, this means everything from a single source.
"Partners in the UK. Customers with locations in North America can now buy from a single source, "Heddy said.
The same goes for partners in the U.S. with customers in Europe, he said. This means not only getting cloud platforms for end users, but also includes professional services for partners. MSPs who may lack skills in apps and workflows can turn to Pax8 for support.
"We have a team that can do that and help you transform your customers," Heddy said.
I have found that both Pax8 and Wirehive partners are now receiving this expertise.
Belgrave agreed. Partners, he said, "have confidence that they can now rely on Pax8 globally."
To that point, this access across the pond offers another advantage. Wirehive adheres to strict GDPR compliance requirements in the UK. Partners don't have to fret about whether they comply with these government regulations.
