KPN Boasts 200.000 Cloud Subscriptions

We wrote about KPN’s Software Online offerings for the SMB market earlier, highlighting KPN’s somewhat broad definition of cloud. Since then, 50.000 new subscriptions have been added bringing the total to 200.000. KPN Software Online also expanded its core SaaS offerings through adding new functional domains and some mobility options (have a look at our XaaS expansion model to understand how we define core, horizontal, vertical and ecosystem expansion).

KPN does not disclose any revenue figures, but if the top 5 Software Online offerings are indeed Back-up, Domain name, Security, Webhosting and Storage we estimate 2012 revenues to be €10 million at the very top end.

KPN Software Online started in 2007, September 2010 they reached 100.000 subscriptions, November 2011 they reached 150.000 subscriptions, and now in March 2013 they have 200.000. In other words, it took 13 months to grow subscriptions from 100.000 to 150.000, it took 16 months to grow subscriptions from 150.000 to 200.000. If this rate continues, we estimate KPN Software Online will reach the 250.000 subscriptions milestone by September 2014.

While KPN’s cloud subscriptions are growing in line with the Dutch public cloud market, a revenue of €10 million is less than 1% of KPN’s overall B2B revenue, even excluding KNP IT Solutions. KPN will need to step up its SMB cloud efforts in order to grow faster than the market and contribute significantly to the business market topline.

Read more about KPN or cloud.

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About Pim Bilderbeek