Hosting Providers
✦ Federated Computer
Transform Your Hosting Business with High-Margin Cloud Software
Sell Business SaaS and DevOps Solutions to Your Hosting Customers
┌─────────────┐ ┌─────────────┐ ┌─────────────┐
│ Your VM │ → │ Cloud │ → │ Customer │
│ Infrastructure│ │ Software │ │ Success │
└─────────────┘ └─────────────┘ └─────────────┘
IaaS SaaS + PaaS High Value
The Opportunity in Cloud Computing
The Challenge
The hosting business is intensely competitive. Major cloud providers are expanding into every market. Offering just VMs isn’t enough differentiation anymore. What is a revenue-focused team supposed to do?
The Cloud Software Revolution
Cloud software (SaaS and PaaS) provides customers with more options to consume cloud services. Instead of relying on customers to use your infrastructure alone, you can now offer complete solutions—pre-built, kept up-to-date, and secure—expanding adoption of your cloud.
Cloud software lets you shift the conversation from lowest-common-denominator (features and price) to high-value, high-margin offerings targeted to the outcomes your customers want to achieve.
The Market is Exploding
Global Cloud Computing Market Growth (2022-2032)
Year IaaS SaaS PaaS Total Market
2022 $350B $150B $46B $546B
2023 $390B $180B $63B $633B
2024 $440B $210B $72B $722B
2025 $500B $250B $118B $868B
2026 $570B $300B $154B $1,024B
2027 $650B $350B $167B $1,167B
2028 $730B $400B $152B $1,282B
2029 $810B $450B $227B $1,487B
2030 $900B $550B $244B $1,694B
2031 $1,000B $650B $316B $1,966B
2032 $1,100B $750B $471B $2,321B
Market CAGR: 16%
2032 Market Size: $2.321 Trillion
SaaS and PaaS are the fastest-growing segments—capture that growth!
The Revenue Opportunity
When you bundle cloud software with hosting, you can add 100-200% revenue to existing ARPU with minimal cost. Each dollar invested returns more than $10 in revenue.
But you need the right partner to deliver cloud software to your customers.
Your Partner: Federated Computer
Founded by the inventors of cloud computing (US Patents 8,346,935; 8,555,276; 8,789,050; 8,959,217), Federated Computer helps hosting companies deliver high-value, high-margin cloud software solutions.
🏢 Your Infrastructure
↓
⚡ + Federated Cloud Software
↓
📈 High-Margin Revenue
Comprehensive SaaS Portfolio
📧 Groupware & Email Professional email, calendars, contacts, and collaboration
🌐 Website Hosting & Management Build, deploy, and manage professional websites
🔒 Cybersecurity Suite VPN, password management, firewalls, and security monitoring
💼 Business Applications
- CRM (Customer Relationship Management)
- Project management and task tracking
- Team chat and collaboration
- No-code databases
- Customer service and support ticketing
- Knowledge management and wikis
📹 Video Conferencing Enterprise-grade video meetings and webinars
☎️ VoIP Communications Business phone systems and unified communications
🎯 Scheduling & Automation Meeting scheduling, workflow automation, and integrations
DevOps & PaaS Solutions
🗄️ Managed Databases PostgreSQL, MySQL, MongoDB, Redis—fully managed and optimized
🔥 Firewalls & Security Application firewalls, DDoS protection, and security policies
🚀 PaaS Platforms Deploy applications in multiple languages without managing infrastructure
🌐 Security & Overlay Networks Private networks, VPNs, and secure connectivity solutions
📦 Code Management Git repositories, CI/CD pipelines, and version control
🤖 AI Integration Private AI solutions integrated into development workflows
📊 Monitoring & Observability Production monitoring connected to development team communications
“It Just Works” - Complete DevOps solutions that integrate seamlessly
How It Works
Simple Integration, Powerful Results
After paying a small monthly licensing fee, your customers can purchase individual cloud software titles or bundles from your existing eCommerce platform at prices you determine.
🔌 API-First Integration Purchase, modification, or cancellation is simply an API call to the Federated Computer platform.
⚙️ Flexible Deployment
- Deploy on Federated infrastructure, OR
- Deploy on YOUR infrastructure (we manage via API)
- You choose based on your business model
🛡️ Continuous Updates Federated Computer keeps all software operational and up-to-date with the latest features and security patches.
💬 Customer Support We provide email support with:
- 3-hour response time
- 6-hour issue resolution Support tickets route to Federated Computer automatically
💾 Enterprise Backup All data backed up using Backblaze B2—trusted by infrastructure providers for 15+ years
📈 Go-to-Market Support We help develop bundles, campaigns, and sales materials so your team can successfully pitch and sell cloud software
Sales Enablement
Selling Cloud Software vs. Virtual Machines
Selling cloud software is different from selling VMs—but Federated Computer provides comprehensive support:
📋 Bundle Development We help create compelling product bundles for different customer segments
🎨 Marketing Materials Campaigns, sales collateral, and customer-facing documentation
🎯 Sales Training Virtual participation in sales calls and ongoing sales enablement
🧠 Subject-Matter Expertise Technical experts available to support your team when needed
You’re partnering with both a technology provider and a go-to-market expert.
Cloud Software Drives Cloud Services Revenue
The Multiplier Effect
Federated Computer Cloud Software empowers your Managed Service Provider network and sales team to sell more services on your cloud.
📊 Industry Standard:
$1 in VM spend → $3-$5 in services revenue
Strategic Advantages
🚪 Wedge Strategy Use cloud software to enter new client relationships
📈 Land and Expand Start with one application, grow to comprehensive solutions
🏆 Technical Prestige Elevate your marketplace positioning with complete solutions
💡 MSP Enablement Give your partner network powerful tools to drive cloud adoption
Who Uses Federated Computer?
Our customers span every industry and continent (except Antarctica!):
🦷 Healthcare 🏫 Education
• Dental practices • Schools
• Medical offices • Universities
• Seminaries
⚖️ Professional Services 🏛️ Government
• Law offices • Federal agencies
• Consulting firms • State/local gov
• Accounting • Non-profits
🔧 Trades & Services 👨💻 Technology
• Plumbers • Software developers
• Electricians • DevOps teams
• Contractors • Startups
• Event companies • AI/ML projects
⛪ Organizations 🏠 Families
• Churches • Home organization
• Community groups • Education
• Associations • Collaboration
SaaS Customers
Most SaaS customers come to Federated Computer because we save them thousands every month.
The typical customer using Google Workspace or Microsoft 365 spends:
- $100+ per seat per month
- Costs scale linearly with team growth
Federated Computer operates on an “unlimited” basis:
- ✓ Buy features, not seats
- ✓ Grow your business without growing software costs
- ✓ Tremendous value drives customer loyalty
DevOps Customers
Development shops use Federated Computer to:
- ✓ Automate continuous development and design
- ✓ Integrate private AI solutions into projects
- ✓ Connect production monitoring to team chat
- ✓ Reduce friction in development workflows
- ✓ Use more cloud services as a result
The Economics of Cloud Software
Transform Customer Profitability
Consider a customer, “Robert,” with a $500/month cloud spend. You understand those economics:
- Server purchase and racking costs
- Software updates and maintenance
- Power and cooling expenses
- Support costs
VM margins are thin and getting more expensive.
Add Cloud Software for High-Margin Revenue
If Robert subscribes to the Business Bundle including:
- Office productivity suite
- Video conferencing
- VoIP communications
- CRM system
- Customer support tools
- Email hosting
- VPN access
- Password management
You charge: $250/month for cloud software
┌─────────────────────────────────────┐
│ Customer: Robert │
├─────────────────────────────────────┤
│ VM Infrastructure: $500/month │
│ + Cloud Software: $250/month │
│ ═══════════════════════════════════│
│ Total Revenue: $750/month │
│ │
│ 50% revenue increase │
│ Minimal marginal cost │
│ Significantly higher profit │
└─────────────────────────────────────┘
The marginal costs are small, but Robert’s overall profitability for your business has jumped considerably.
Partnership Options
Choose the partnership level that fits your infrastructure and business strategy:
🏆 On Premise Level
$15,000/month
Deployment: Federated Core Platform on YOUR hardware and private cloud
What’s Included:
- ✓ Full platform installation, maintenance, and updates on your premises
- ✓ Customized bundles and products from our software catalog
- ✓ Third-party software integration options
- ✓ Administrative tools for resource monitoring
- ✓ eCommerce system integration
- ✓ Comprehensive marketing support (go-to-market, product development, sales calls)
- ✓ Customer support through your support system (3hr response, 6hr resolution)
→ You retain 100% of revenue from software sold
Best For: Large hosting providers who want complete control and maximum margins
🚀 Marketing-Assist Level
$5,000/month
Deployment: Federated manages platform, customers deploy to YOUR VMs via API
What’s Included:
- ✓ Federated Core Platform managed by us, deployed to your infrastructure
- ✓ API-to-API integration (you call our API, we call yours)
- ✓ You cover internal costs for VMs (capture infrastructure revenue)
- ✓ Customized bundles and products from our software catalog
- ✓ eCommerce and public cloud API integration
- ✓ Comprehensive marketing support (go-to-market, product development, sales calls)
- ✓ Customer support through your support system (3hr response, 6hr resolution)
→ You retain 70% of revenue from software sold
Best For: Hosting providers who want marketing support and prefer customers on their infrastructure
💼 Customer-Support Level
$2,500/month
Deployment: Federated manages platform, customers deploy to YOUR VMs via API
What’s Included:
- ✓ Federated Core Platform managed by us, deployed to your infrastructure
- ✓ API-to-API integration
- ✓ You cover internal costs for VMs (capture infrastructure revenue)
- ✓ eCommerce and public cloud API integration
- ✓ Customized bundles and products from our software catalog
- ✓ Customer support through your support system (3hr response, 6hr resolution)
→ You retain 50% of revenue from software sold
Best For: Hosting providers with existing sales/marketing capabilities
🌱 Entry Level
$500/month
Deployment: Federated manages platform, customers deploy to YOUR VMs via API
What’s Included:
- ✓ Federated Core Platform managed by us, deployed to your infrastructure
- ✓ API-to-API integration
- ✓ You cover internal costs for VMs (capture infrastructure revenue)
- ✓ eCommerce and public cloud API integration
- ✓ Existing Federated bundles and products
- ✓ Customer support via Federated support system (3hr response, 6hr resolution)
→ You retain 30% of revenue from software sold
Best For: Hosting providers testing the cloud software market
🎁 Try Federated Computer FREE for 30 Days
Test the complete platform yourself:
- Visit https://federated.computer
- Sign up for a 30-day free trial
- Tell us you’re testing—we’ll provide a guided walkthrough
- Experience all applications and options
No credit card required. No commitment.
Proven Technology
The Federated Core Platform
Operating successfully for 3+ years, delivering quality solutions globally.
🌍 Global Reach
└── North America
└── Europe
└── Asia-Pacific
└── Africa
└── South America
🛡️ Battle-Tested Reliability
- Years of proven uptime across production environments
- Multi-region redundancy and failover
- Enterprise-grade performance monitoring
🔐 Security-First Architecture
- Built to resist intrusions from the ground up
- Continuous security updates and patches
- Compliance with industry standards
🚀 Innovation Heritage Created by the engineers responsible for:
- Node.js (server-side JavaScript)
- Container technology (Docker, Kubernetes)
- Cloud operating systems
- Cross-platform coding frameworks
🔧 Production-Ready Infrastructure
- Automated deployment and scaling
- Self-healing systems
- Zero-downtime updates
- Comprehensive monitoring and alerting
Technical Resources
Complete Documentation
Platform Overview & Software Catalog: https://enterprise.federated.computer
Detailed Software Catalog: https://enterprise.federated.computer/docs/software-catalog/software-catalog/
API Documentation: Available upon partnership signup
Architecture Overview
┌─────────────────────────────────────────────────┐
│ Your eCommerce Platform │
│ (Customer purchases software via your site) │
└────────────────┬────────────────────────────────┘
│ API Call
↓
┌─────────────────────────────────────────────────┐
│ Federated Computer Core Platform │
│ • Order Processing │
│ • License Management │
│ • Deployment Orchestration │
└────────────────┬────────────────────────────────┘
│ Deployment
↓
┌─────────────────────────────────────────────────┐
│ Your Cloud Infrastructure │
│ • Virtual Machines │
│ • Storage │
│ • Networking │
└─────────────────────────────────────────────────┘
│
↓
┌─────────────────────────────────────────────────┐
│ Customer Success │
│ • Software running on your infrastructure │
│ • You earn VM revenue + software revenue │
│ • Customer gets complete solution │
└─────────────────────────────────────────────────┘
Why Now?
The Industry is Shifting
The cloud market is evolving rapidly:
📊 Market Growth: 16% CAGR through 2032 💰 $2.3 Trillion Market by 2032 🚀 SaaS/PaaS Growing Faster than IaaS
Competitive Advantages
Hosting providers who offer cloud software gain:
🎯 Differentiation Stand out from commodity VM providers
💰 Higher Margins Software revenue is significantly more profitable than infrastructure
🔒 Customer Retention Software creates stickiness—customers stay longer
📈 Revenue Growth 100-200% increase in ARPU
🏆 Market Position Compete with hyperscalers on value, not just price
Customer Demand
Your customers are already looking for solutions:
- Small businesses want alternatives to expensive per-seat licensing
- DevOps teams need integrated toolchains
- MSPs want to offer complete solutions
- Enterprises seek private cloud options
Meet them where they are with Federated Computer Cloud Software.
Success Stories
The DevOps Team
Challenge: Development team spending $2,500/month across multiple SaaS tools
Solution: Consolidated to Federated DevOps bundle on hosting partner’s infrastructure
Results:
- 60% cost savings ($1,000/month for complete toolchain)
- Increased VM usage (more workloads on partner’s cloud)
- Partner earned software revenue + infrastructure revenue
The Growing Business
Challenge: 50-person company facing $5,000/month Google Workspace bills
Solution: Moved to Federated Business Bundle via their hosting provider
Results:
- $3,200/month savings (40% reduction)
- Unlimited users (not per-seat pricing)
- Hosting partner added $1,800/month software revenue
- Customer increased cloud usage for other workloads
Let’s Build the Future Together
Our Vision
We believe hosting providers should capture the full value of cloud computing—not just infrastructure, but software and services too.
The industry is pivoting toward integrated solutions. Customers want:
- ✓ Complete solutions, not just infrastructure
- ✓ Single vendor relationships with trusted partners
- ✓ Better value than hyperscaler per-seat pricing
- ✓ Support from providers who understand their business
Your Opportunity
Federated Computer provides everything you need to capitalize on this shift:
- Technology platform that integrates with your infrastructure
- Go-to-market support to help your team sell successfully
- Customer support to keep your customers happy
- Flexible partnerships that align with your business model
The Partnership Journey
Working together requires:
- Investment in go-to-market capabilities
- Willingness to pivot and optimize based on customer feedback
- Commitment to finding the right product mix for your market
Our experience proves customers want to buy software from their hosting provider.
Next Steps
1. Try the Platform
Sign up for a free 30-day trial at https://federated.computer
2. Schedule a Demo
Let us show you how it works for hosting providers
3. Discuss Your Strategy
We’ll help you determine the right partnership level and go-to-market approach
4. Start Small, Scale Fast
Begin with Entry Level, prove the model, then upgrade as you grow
Contact Us
Ready to add high-margin cloud software to your hosting business?
David Young
Founder & CEO
Email: david@federated.computer
Website: https://federated.computer
Federated Computer, Inc.
Founded by the inventors of cloud computing.
Trusted by organizations worldwide.
Partner with the experts.
Are You Missing Out?
Should 2026 be the year you invest in cloud software to achieve significant revenue growth?
The market is growing at 16% annually. SaaS and PaaS are the fastest-growing segments. Your customers are looking for complete solutions, not just VMs.
What will be your answer?
We’d like to help you solve the problem.
✦ Federated Computer
Cloud Software for Hosting Providers
Transform Infrastructure → Deliver Solutions → Grow Revenue