This new virtual-appliance application delivery controller (ADC) will be sold under a Service Provider Licensing Agreement (SPLA) starting atper license per month with no startup or setup fees. The SPLA pricing model enables managed hosting providers (MHPs) and managed service providers (MSPs) to offer a dedicated server load balancer with the same functionality as KEMP’s hardware appliances at a price point affordable to a much broader range of business customers while significantly reducing operating costs.
As a virtual appliance, the Virtual LoadMaster removes the need to maintain hardware and reduces or eliminates costs associated with power consumption, cooling, rack space constraints and other environmental dependencies of hardware-based appliances. The VLM can be quickly configured and deployed, accelerating service provisioning and simplifying ongoing management, which aids in further reducing operating expenses and increasing ROI.
MHPs and MSPs implementing the Virtual LoadMaster are able to reduce the risk associated with stranded investment when customers disconnect services and leave the provider with hardware that has not yet been fully depreciated. Furthermore, the MHP is better positioned for aggressive marketing with the lower-priced software-based solution compared with hardware-based ADCs. When deploying the VLM, MHPs can then maintain margins while pricing their high-value services low enough to attract a new base of customer such as small and medium-sized businesses (SMBs) that previously thought the benefit of ADCs were out of reach.