A Case Study by: Egenera Inc.
South Florida-based service provider partners with Egenera to deliver flexible, reliable, profitable cloud services to its clients
Gradient Data Solutions specializes in serving healthcare organizations, financial service firms, non-profit organizations and industrial manufacturing firms throughout Miami with reliable IT support. Customers typically have between 15 to 80 employees.
The Business Challenge
Gradient Data Solutions has been delivering safe and reliable managed services for eight years. In 2014 Gradient decided to look into offering services to prepare for the inevitable question from customers, "what about cloud?"
"We spent a lot of time evaluating all types of cloud service providers before ultimately choosing Xterity. One of the things we decided was that doing business with the large, commodity CSPs would actually be costlier, more complex, and we’d have less control than if we partnered with Xterity. It was not a difficult decision."
President and CEO
Gradient Data Solutions
"We had a few customers begin asking for cloud so we spent a lot of time doing our homework by evaluating all types of CSPs, from AWS to Microsoft to Google, before we came across Xterity,” said Jose Noriega, president and CEO of Gradient. "Xterity offered us the cloud services we were looking for with higher margins, a simple to use portal that allowed us to make configuration changes with a few clicks, and a better partnering experience than the bigger players."
Noriega noted that the total cost of doing business with Egenera was lower than it would have been with the larger players. We found that the large CSPs advertised low costs for their IaaS services but when we looked below the surface we found an abundance of hidden costs that would’ve greatly raised our overall costs, and killed our margins."
"We quickly came to the conclusion that the total cost of doing business with the big guys would be higher than with Xterity. The larger players give you only a turnkey solution and you don’t get access to the right people in the right departments for user support or other information. Sure, they have good infrastructure, but getting a solution or experience that was tailored to our customers would have been cost prohibitive," he said.
Higher level of customization, better margins with Xterity
From a product perspective, Noriega said that Xterity’s cloud designer, flexibility, level of customization, and higher margins were superior to the offerings of the larger players. "We like Xterity’s cloud services designer because it gives us the right amount of flexibility to build out environments and to customize offerings the way we need to. It’s drag-and-drop interface makes it extremely easy to use, and helps us be more responsive to our customers," he said.
Gradient now offers Xterity’s full suite of offerings, including Infrastructure as a Service (IaaS), Backup as a Service (BaaS) and Disaster Recovery as a Service (DRaaS), to its existing customer base and is “the cloud” to attract new customers.
"Our customers have been extremely happy with the cloud and they’re surprised at how well it works. They have their servers in the cloud and can easily access files through a VPN. It’s really no different than having a server on premise but they don’t have to worry about infrastructure refreshes and the added costs," said Noriega. "We believe that our cloud offerings will enable us to go after new customers who can benefit from these types of services, and we don’t have to worry about hardware costs, infrastructure build out delays or ongoing operational costs and headaches."
Noriega said that Gradient is seeing higher margins than expected with Xterity. "We’re seeing an increased interest in cloud from old and new customers who are seeking a pay-as-you-go experience and we’re looking forward to growing our business through Xterity. Xterity does all of the IaaS heavy lifting, freeing us to deliver the higher end services our customers are demanding. From my perspective, it’s a win-win partnership for Gradient."