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Rackspace Hires Morgan Stanley to Evaluate Options

bloomberg.com

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Re: Rackspace Hires Morgan Stanley to Evaluate Options

#11

Post by ceejayoz »

127001brewer wrote: post #3
bruceb wrote: post #2

Contemplating moving from RS to Linode. Anyone done the same? Was it worth it for the savings?

For myself, I greatly appreciate having a service like Mailgun available to Rackspace customers - does Linode (or another company) have a similar e-mail service?

Lots of competitors - Mandrill, Sendgrid, Postmark, Amazon SES, etc.

Re: Rackspace Hires Morgan Stanley to Evaluate Options

#12

Post by JohnTHaller »

Rackspace's real strength is in their managed services. Either with a managed dedicated server or managed cloud account. The level of support and assistance you get is something that isn't even available from Amazon, Google, etc. It seems, however, that Rackspace is feeling the pressure from both large and small players and some businesses go with Amazon, Google, etc and do all the OS and stack management in house while others go with the lower end (features/price/SLA) of a Digital Ocean or similar.

Don't get me wrong, I think there's a place for all of them, and actually use both Digital Ocean as well as a Rackspace managed dedicated and cloud setup. But I think a lot of people are buying based on price and just accepting a lower level of support in the process. Oddly, some folks seem surprised by the lower level of support of some of these services (no phone support, lesser monitoring, increased downtime, backups that are lost when the node fails, etc), even several HN posters when these services have issues.

Re: Rackspace Hires Morgan Stanley to Evaluate Options

#13

Post by AJ72 »

bruceb wrote: post #2

Contemplating moving from RS to Linode. Anyone done the same? Was it worth it for the savings?

You should also consider the growing number of platform (PaaS) providers that make it super easy to manage the infrastructure yourself, and save you lots of money on the way. I believe that this is where most hosting providers are heading. Gone are the days that we should be dealing with infrastructure at the element level. While this is the wrong forum to list who to look at, if you have a Ruby on Rails app, look at Heroku or Ninefold

Re: Rackspace Hires Morgan Stanley to Evaluate Options

#14

Post by yuhong »

smacktoward wrote: post #10

Aaargh. I love Rackspace. I was looking forward to being a happy Rackspace customer until I was old and gray. And all the things I love about them would be the first things to go after an acquisition. Aaaaaaaaaargh.

I wonder what would be a good acquirer.

Re: Rackspace Hires Morgan Stanley to Evaluate Options

#15

Post by rhizome »

yuhong wrote: post #14
smacktoward wrote: post #10

Aaargh. I love Rackspace. I was looking forward to being a happy Rackspace customer until I was old and gray. And all the things I love about them would be the first things to go after an acquisition. Aaaaaaaaaargh.

I wonder what would be a good acquirer.

GoDaddy probably has the cash.

Re: Rackspace Hires Morgan Stanley to Evaluate Options

#17

Post by nodesocket »

us0r wrote: post #7

You generally don't see announcements like this. Are they having a hard time selling that's why it is out there? You would think some of these companies you read saying things like "we missed the cloud" would jump at this.

Really nobody left, RAX is too big and requires another public company, mainly a blue blood to acquire them. IBM got Softlayer. Google, Amazon, and Microsoft obviously have their own clouds. RedHat has its own PaaS OpenShift. Awkward spot really. Perhaps Facebook wants to join the cloud hosting business, but I doubt it, since they've just coughed up insane amounts of cash with Oculus and whatsapp.

Smart play though, Morgan Stanley will figure out the details and likely find a buyer eventually. MS is kind of like `The Wolf` from Pulp Fiction or Mike Ehrmantraut from Breaking Bad, no questions asked problem solvers.

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