Gartner identifies 4 advantages of third party maintenance

Servers slowing filling up with advantages

Posted on Thursday, November 23, 2017

As the average corporate data centre grows in terms of storage volume and complexity, third party maintenance (TPM) services have also increased in popularity.

No longer a niche service, TPM has attracted the attention of industry analysts Gartner, leading them to identify four key advantages over OEM maintenance services.

1. Cash savings

TPM support contracts typically offer similar levels of coverage to their OEM counterparts – but at significantly lower cost. With savings of between 30% and 50% as standard, businesses can make a measurable cash saving, rather than less tangible “efficiency gains” or similar.

That cash can then be reinvested into other strategic projects that help push the business forwards.

2. Extended asset lifespan

CTOs typically plan in terms of 3 to 5 year hardware refresh lifecycles based on OEM upgrade cycles. But with the assistance of a TPM provider, even “end of service life” storage hardware can remain in service for longer.

Keeping assets in place for longer helps to increase return on investment and lower total cost of ownership.

3. Flexible contract terms

The shortest OEM support contract is usually 12 months in duration. This rigid, long-term agreement is the exact opposite of the agility demanded by digital transformation strategy however.

TPMs maintenance contract durations typically start at just one month. These agreements are also much more configurable, allowing CTOs to define SLAs and coverage on a per-asset basis, and giving them greater control of maintenance spend and support provisions.

4. OEM maintenance cost avoidance

There are three certainties in life – death, taxes and annual maintenance contract cost increases by OEMs. The cost inflates artificially year on year as way to force regular hardware refreshes.

TPM maintenance contracts offer more stability – even if there are annual increases, the cost will still be lower than the OEM equivalent.

Act now

Obviously the earlier a TPM agreement is signed, the sooner your business can take advantage of these factors. Indeed, Gartner recommends adopting TPM at the end of existing maintenance contracts rather than waiting until assets reach end of service life, creating even greater savings.

To learn more about third party maintenance for your assets – pre- or post-warranty – please get in touch.