Partnership to Accelerate Growth, Foster Innovation and Enrich Digital Experiences for SMBs

QualityHosting, a Microsoft Cloud Solution Provider (“CSP”) specializing in solutions such as Microsoft 365 and Azure, today announced a strategic growth investment from PSG Equity, a leading growth equity firm that specializes in partnering with software and technology-enabled services companies to drive transformational growth.

Headquartered in Gelnhausen, Germany, QualityHosting provides Microsoft Cloud distribution and value-added managed services through its highly-automated proprietary platform to over 15,000 small-to-medium sized businesses (“SMBs”) as end customers and more than 1,000 partners.

QualityHosting was established in 1998 by co-founders Christian Heit (CEO) and Markus Oestreicher (CTO). The company is a Microsoft Solution Partner with designations in Modern Work, Infrastructure, and Security, and a member of Microsoft’s European Cloud Council. QualityHosting became Germany’s first Microsoft CSP in 2014, and today also provides high-value Microsoft add-on products and services such as security, compliance and governance.

QualityHosting operates in a large and fragmented market and stands to benefit from structural tailwinds, such as accelerating cloud adoption across Europe, including amongst SMBs, as they seek flexibility, better digital tools and productivity gains. Additionally, with increased levels of Managed Service Provider (“MSP”) outsourcing and a growing partner ecosystem, bundled managed services, AI and security have become key priorities for SMBs. Microsoft is the default IT backbone for SMBs, with over 85% adoption across cloud, security and productivity.

With PSG Equity’s support, QualityHosting will seek to accelerate growth through a combination of organic and inorganic initiatives, to deliver high value-added services around Microsoft and enrich the digital experience end-to-end for SMBs. The partnership will also enable QualityHosting to broaden its existing product suite and deepen its AI capabilities to better support the digital needs of SMBs across Microsoft 365, Azure and security offerings.

“Partnering with PSG Equity is a significant milestone for QualityHosting,” said Christian Heit, CEO at QualityHosting. “This investment validates our position as a leading Cloud Solution Provider and will be pivotal in our desire to drive further digital innovation among the SMB community. With PSG Equity’s support, we look forward to deepening our capabilities, including through the use of AI, and continuing to deliver the highest quality cloud solutions to SMBs across Europe.”

“QualityHosting stands out as a leader in its field, and the company’s robust offering is a testament to the team’s deep expertise in the cloud solutions space,” said Christian Stein, Managing Director at PSG Equity. “PSG Equity has strong conviction in the Microsoft ecosystem, with significant opportunities to enhance QualityHosting’s product offering through M&A and AI services automation. We look forward to supporting Christian, Markus and the wider team in their mission to deliver high value-added automated services to enrich the digital experience for SMBs.”

About QualityHosting

Founded in 1998, QualityHosting is a leading Microsoft Cloud and Hosting provider in the DACH region. With over 27 years of experience and a strong focus on Microsoft cloud services such as Microsoft 365 and Azure, the company serves more than 15,000 SMB customers and works with over 1,000 partners. QualityHosting has established itself as a market leader for Hosted Exchange in the DACH region and became Germany’s first Microsoft CSP in 2014. As a Microsoft Solution Partner with designations in Modern Work, Infrastructure, and Security, QualityHosting combines deep expertise with a strong partner ecosystem to deliver innovative cloud and managed services. To learn more about QualityHosting, visit www.qualityhosting.de.

About PSG Equity

PSG Equity is a growth equity firm that partners with software and technology-enabled services companies to help them navigate transformational growth, capitalize on strategic opportunities, and build strong teams. Having backed more than 160 companies and facilitated over 530 add-on acquisitions, PSG Equity brings extensive investment experience, deep expertise in software and technology, and a firm commitment to collaborating with management teams. Founded in 2014, PSG Equity operates out of offices in Boston, London, Paris, and Madrid. To learn more about PSG Equity, visit www.psgequity.com.

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