Dedicated Web hosting leader, The Planet, introduces premium end-to-end services via Northstar Managed Hosting solution.

They sure like to do things big in Texas don’t they? Seemingly, that extends to the Web hosting business as well.

The Planet, based in Houston, TX, introduced Planet Northstar Managed Hosting, a premium full-service offering. That’s fairly big news but four other announcements accompanied that move: a new website launch, new advanced dedicated services, a Yankee Group white paper, and in not so many words, a serious warning to the sector leader to take notice… big notice.

Some will ask: why now?

The market research numbers paint a rosy picture for the sector. By 2010, research group Tier 1 says the managed hosting market will climb to $17 billion with key growth spurts in 2008 and 2009.

In preparation for this market entry, The Planet has been offering complex, end-to-end services since April this year on a limited availability basis with great success, according to Urvish Vashi, Director of Product Development.

Also, key personnel additions have been made starting last summer. Jeff Nelson (General Manager of Planet Northstar) and Rob Waters (General Manager of Storage & Backup) have both provided input and guidance on attacking the managed services market. It’s no coincidence, both came from Rackspace.

“It’s what customers want, right now. And (as a company) we have the ability to invest. Tier 1 will tell you the dedicated market is growing at 11 percent, we’re growing at twice that rate,” maintained Vashi.

One also has to consider the intolerance that Web visitors display when sites go down. This has prompted businesses to seek out solutions and service providers capable of delivering on 100 percent uptime. The Yankee Group study, Leveraging Capex-Free Managed Hosting co-authored by the Planet, indicates that customers want detailed Service Level Agreements (SLAs) that offer assurances that websites will be up and running around-the clock. And to hold providers accountable if these agreements are not met, customers can easily switch hosting companies without having to replace in-house hardware or staff.

A recent New York Times story reiterates that even big companies such as Amazon.com, Yahoo! and Research in Motion (RIM) are not exempt to problems associated with website downtime. Such high profile incidents have paved the way for managed hosting providers to step up and show their mettle.

Rackspace, says Vashi, has enjoyed market dominance because they’ve been “largely uncontested.” “That’s about to end. Rackspace’s delivery capability through Fanatical Support (is enviable, but) our competitive pricing and proficiency in automation” makes Planet Northstar a viable alternative.

“We’ll measure (our success) in hundreds of customer wins per month…it’s the same strategy, get customers, keep them happy and (continue to) offer good products and services.”

Indeed, the Lone Star State has other companies gunning for managed hosting wins. Plano-based SoftLayer and Layered Tech, which scooped up FastServers.net to beef up its arsenal, will have something to say in the days to come. Big stakes, big players and much more big news awaits.

Further reading:
The Planet Enters Managed Hosting Market

The Planet Galvanizes Hosting Landscape With Full Breadth of Management Services

The Planet Extends Leadership in Dedicated Hosting with New Advanced Services

Yankee Group Underscores Managed Hosting as Route to Eliminating IT Capital Expenses

Global Hosting Leader, The Planet Unveils New Web Site

Layered Technologies to Acquire FastServers.net

Is the Managed Hosting Option Right For You?