NetSuite Cloud Monitoring: A Managed Services Opportunity?

When I decided to attend this week’s NetSuite SuiteCloud partner conference in San Francisco, I expected to learn how some VARs are profiting from Software as a Service (SaaS) and cloud applications. But I also stumbled onto some managed services-oriented news and remote monitoring trends at the conference. The news involves Level Platforms. Here are the details.

Sometime today, I expect Level Platforms to announce support for NetSuite‘s cloud computing portfolio. According to an official statement from Level Platforms, MSPs that use Level Platforms’ Managed Workplace dashboard “can now remotely monitor NetSuite’s Business Software Suite alongside their customers’ on-premise network infrastructure and applications allowing rapid remediation of any issues impacting their customers’ end user experience.”

The move is part of a broader Managed Cloud Services strategy at Level Platforms, which allows MSPs to monitor and manage the health of on-premises and cloud applications.

This is part of a growing trend in the managed services industry. For instance, Nimsoft (acquired in March 2010 by CA Inc.), launched a Unified Monitoring Alliance in November 2009. The alliance allows Nimsoft’s MSPs to remotely monitor a growing list on on-premises and cloud applications.

Going forward, I do believe that MSPs will need to help customers manage and maintain a range of third-party cloud services. But I’m still not sure how MSPs will profit from remote cloud monitoring — especially when end-customers already pay vendors (NetSuite, Google Apps, Salesforce.com, Microsoft BPOS, etc.) to keep the SaaS lights on.

Still, some MSPs are jumping on the cloud monitoring bandwagon. In a prepared statement, Enabled Success CEO Walter Merkas called Level Platforms’ monitoring on NetSuite a “complete game changer.” Enabled Success is a NetSuite solutions provider, and the company intends to offer “proactive first level support” for NetSuite applications. I believe Merkas is attending NetSuite’s SuiteCloud conference, and I’ll try my best to catch up with him for additional insights.

And yes, I will pursue my original mission at the SuiteCloud event: Defining how VARs expect to profit from SaaS applications like NetSuite. More updates soon.

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