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Magazine
MSP Solutions
High Margin Storage

Affordable Object Storage for MSPs: Drive Profitability with Predictable Cloud Costs

10.09.2025

9

Minutes
Thomas Demoor
CTO Impossible Cloud
Eliminate unpredictable fees and vendor lock-in with an S3-compatible storage model designed for MSP growth and margin stability in 2025.

For Managed Service Providers, profitability hinges on predictability. Yet, traditional cloud storage models make budget planning nearly impossible, with fluctuating egress fees and API call charges turning profitable contracts into losses overnight. This unpredictability is the #1 pain point for enterprises and MSPs alike, creating strategic risks and vendor lock-in. The solution is a transparent, S3-compatible object storage platform designed for data control and cost efficiency. By eliminating hidden fees, this approach provides the stable foundation needed to build competitive and profitable Backup-as-a-Service (BaaS) and Disaster-Recovery-as-a-Service (DRaaS) offerings.

Key Takeaways

  • Eliminate unpredictable cloud storage costs with a model that has zero egress fees and zero API call charges, cutting expenses by 60-80%.
  • Leverage full S3-compatibility for a drop-in replacement that works with existing backup tools and scripts without code rewrites.
  • Increase service margins and offer competitive BaaS/DRaaS pricing with a predictable cost structure designed for MSP profitability.

Escape the Hidden Costs Eroding Your Margins

Most MSPs find that unpredictable costs are their biggest challenge in the cloud. Hidden egress fees and API charges can inflate a monthly storage bill by 3-5x in data-intensive workloads. This makes accurate ROI calculation for your services nearly impossible. Recovering just 10TB of client data can generate over $900 in egress fees alone. Vendor lock-in makes this problem worse by making a switch prohibitively expensive. This cycle of unpredictable billing forces you to either absorb costs, hurting your margins by over 15%, or pass them to clients, risking customer trust. A transparent pricing model is the only way to build a scalable services business.

Achieve Predictable Profitability with a Transparent Model

A truly affordable object storage for MSPs is one that is predictable by design. Imagine quoting BaaS and DRaaS solutions with 100% confidence in your cost structure. Our model eliminates the variables that destroy profitability, offering zero egress fees, zero API call costs, and no minimum storage durations. This transparency allows organizations to realize 60-80% cost savings on backup and disaster recovery workflows. This direct cost reduction immediately improves your service margins by double digits. You can find more details in our cloud storage pricing comparison. This financial stability is the foundation for sustainable growth.

Deliver Enterprise-Grade Security and Compliance

Clients in regulated industries demand robust security and verifiable compliance. Our platform provides enterprise-grade features without the enterprise price tag. We ensure data is protected with multi-layer encryption and is compliant with SOC 2 and ISO 27001 certifications. These standards are critical for financial services and healthcare clients. Ransomware protection is mission-critical, which is why we offer the following security features:

  • Immutable Storage / Object Lock: This feature makes your backup data unchangeable for a set period, creating a powerful defense against ransomware attacks that increasingly target backup infrastructure.
  • Identity and Access Management (IAM): Granular, role-driven policies with MFA and RBAC support ensure only authorized personnel can access sensitive data, reducing insider threats by over 50%.
  • Country-Level Geofencing: Keep data within specific geographic regions to meet data residency and compliance requirements with 100% certainty.

These features allow you to offer compliant MSP backup storage that meets stringent client requirements.

Boost Performance with an 'Always-Hot' Architecture

Complex storage tiers create operational headaches and performance bottlenecks. Fragile tiering policies often lead to restore delays and API timeouts, impacting your service levels. Our 'Always-Hot' object storage model ensures all data is immediately accessible, eliminating restore fees and surprises. This architecture delivers up to 20% faster backup performance compared to traditional cloud storage. Consistent low latency means your RTO goals are always met. This simplified, high-performance model is a key component of best-in-class cloud storage for MSPs. It ensures your tools and workflows run without interruption.

Seamless Integration and Partner-Ready Management

An effective S3-compatible alternative must be a drop-in replacement for existing workflows. Our platform offers full S3 API compatibility, ensuring your current apps, scripts, and backup tools work without any code rewrites. This protects your past investments and reduces migration risk to nearly zero. For our partners, we provide a suite of tools designed for efficiency:

  1. A multi-tenant partner console for streamlined client management.
  2. Full automation capabilities via API and CLI for simplified operations.
  3. Detailed reporting for clear visibility into usage and costs.
  4. Fast onboarding to get your services to market in under 48 hours.

Our collaboration with backup ISVs like NovaBackup further simplifies offering a compliant and affordable S3 storage for Veeam and other leading platforms.

Build Your Competitive Advantage with a Built-In Exit Strategy

The ultimate form of data control is the freedom to leave without penalty. Vendor lock-in is a top concern for over 70% of IT leaders. We provide an exit strategy by design, combining S3-compatible APIs with a policy of no egress fees. This allows you to break free from vendor lock-in and preserve your long-term negotiating power. This freedom is a powerful competitive differentiator for your MSP. By offering your clients data portability, you build trust and demonstrate a commitment to their independence. This positions your services as a true partnership.

Start Building More Profitable Cloud Services Today

Making the switch to a predictable and affordable object storage platform is straightforward. By eliminating surprise costs, you can immediately enhance your margins and deliver more competitive pricing to your clients. The average MSP can increase profitability on existing contracts by 15-25% within the first year. Take control of your cloud storage costs and build a more resilient, profitable business. Talk to an expert or calculate your savings to see the impact. This is the first step toward offering cloud storage with no hidden costs.

FAQ

What does S3-compatible object storage mean?

S3-compatible object storage means the service uses the same API as Amazon's S3 (Simple Storage Service). This allows you to use your existing tools, applications, and scripts that were designed for AWS S3 without needing to rewrite any code. You can simply change the endpoint to our service, and everything continues to work, ensuring a seamless migration.


How does your pricing model help MSPs increase margins?

Our pricing is predictable by design. We eliminate egress fees, API call charges, and minimum storage durations. This transparent model removes the surprise costs that erode MSP margins, allowing you to price your Backup-as-a-Service and DRaaS offerings confidently and competitively, leading to more stable and higher profitability.


Is your storage solution secure enough for regulated industries?

Yes. Our platform is built with enterprise-grade security and compliance. We offer multi-layer encryption (in-transit and at-rest), Immutable Storage with Object Lock for ransomware protection, and robust IAM controls. We are also SOC 2 and ISO 27001 certified, making our storage suitable for workloads in finance, healthcare, and other regulated sectors.


What is 'Always-Hot' storage?

An 'Always-Hot' storage model means all your data is immediately accessible at all times, without any delays or retrieval fees associated with tiered or archived storage. This simplifies operations, ensures predictable performance for backups and restores, and eliminates the risk of surprise costs when you need to access your data urgently.


Can I manage multiple clients with your platform?

Absolutely. Our platform is designed for our partners. It includes a multi-tenant management console with role-based access control (RBAC) and MFA, allowing you to securely manage storage for multiple clients from a single interface. We also provide automation via API/CLI and detailed reporting to streamline your operations.


How do you ensure I won't be locked into your service?

We believe in data control and independence. Our service is built on the S3 API standard, which prevents proprietary lock-in. Furthermore, we have a strict policy of no egress fees. This means you can retrieve your data and move to another provider at any time without facing financial penalties, giving you a built-in exit strategy.


Would you like more information?

Send us a message and our experts will get back to you shortly.