Still skeptical about the managed services market? Sure, the transition from reseller to MSP can be difficult. But a look at Kaseya's recent momentum suggests that plenty of VARs are making the move.

Kaseya says it recorded a 208 percent increase in sales bookings in the first half of 2007 compared to the same period in 2006. The MSP platform provider has also bolstered its endpoint security offerings, and launched a technology alliance program that includes Autotask, Catbird and Tigerpaw.

So are managed services on the technology adoption curve? Kaseya certainly sounds bullish, but partner Autotask thinks we've only scratched the surface of the MSP market. Kaseya rivals like N-able are also seeing strong demand for their solutions.

Despite all of this recent momentum, The VAR Guy expects an MSP reality check to occur within the next six to 12 months. While many VARs will succeed in the transition to managed services, we'll surely hear a few horror stories related to poor planning, personnel push back and missed expectations.