Rackspace Named Top-Tier Software Vendor by APPS RUN THE WORLD in the APPS TOP 500 Market Report

Rackspace Strengths, Domain Expertise, and Key Differentiators

The Multicloud Services segment comprises managed services for both public and private clouds, coupled with professional services for designing and constructing multicloud solutions and cloud-native applications. This integrated suite spans their private cloud, major public clouds, and colocation facilities. Their managed cloud services assist customers in strategically determining, managing, and optimizing infrastructure, platforms, and services for deploying applications, ensuring optimal performance, agility, security, and cost efficiency.

Rackspace Recent Developments

In March 2025, Rackspace Technology announced the launch of Rackspace AI Business, a new AI-optimized hybrid cloud platform designed to meet the growing demand for scalable, secure, and high-performance infrastructure for AI workloads. The offering targets enterprises engaged in AI training and inferencing, addressing the increasing complexity of deploying and managing AI across hybrid and multi-cloud environments. As organizations seek to operationalize AI as a core component of their business strategy, Rackspace aims to reduce barriers related to infrastructure, expertise, and integration. The new platform reflects Rackspace’s broader strategy to position itself as a key enabler of end-to-end hybrid cloud and AI solutions in a market where agility, flexibility, and performance are becoming critical to AI success.

In November 2024, Rackspace Technology introduced Rackspace Technology Adaptive Cloud Manager, a proprietary solution designed to simplify customer adoption of hybrid cloud architectures using Microsoft Azure. Built on Microsoft Azure Arc and enhanced with Rackspace's services automation, the offering streamlines the onboarding and management of hybrid environments. This launch underscores Rackspace's continued focus on delivering value-added multicloud and AI services by leveraging strategic partnerships and proprietary automation to address enterprise demand for flexible, scalable, and efficiently managed hybrid cloud solutions.

Rackspace Mergers and Acquisitions (M&A) Activities

The announcement of Rackspace Hosting's $4.3 billion acquisition by Apollo Global Management marks a significant shift for the 18-year-old managed cloud services provider, transitioning it from a publicly traded company to a privately held entity. This development confirms long-standing buyout speculation that has circulated for several years. Industry observers generally view the move positively, suggesting that private ownership could provide Rackspace with the flexibility to restructure, invest in long-term strategy, and better compete in the fast-evolving cloud services landscape without the short-term pressures of public market expectations.

Rackspace Customers in ARTW Customer Database

Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying Rackspace applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of Rackspace and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified Rackspace Cloud customers.

Rackspace Key Enterprise and Cloud Applications

Rackspace Cloud

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Rackspace Direct vs Indirect sales

Rackspace Customers - Breakdown by Geo, Size, Vertical and Product

List of Verified Rackspace Customers

No. of Rackspace Customers: 140000

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Rackspace's extensive clientele encompasses over 1,000 enterprises, in addition to a comparable number of mid-market businesses and over 114,000 small and medium-sized enterprises (SMBs) spanning 120 countries. Notably, Rackspace boasts a client portfolio that includes more than half of the Fortune 100. Among the clients are prominent entities such as Banwire, British Heart Foundation, Envizi, Dominos, Charles River, Feeding America, Invotra, HK Express, Equis National Kidney Registry, LiveNation, Payless, GoCompare, Oxfam, Synchronoss, ReviewPro, Metro Bank, Teva, Under Armour, Trading Point, Wyndham, and a myriad of other discerning organizations.

Rackspace Market Opportunities, M&A and Geo Expansions

Rackspace Technology holds significant opportunities in the market as a leading multi-cloud solutions provider. With growing global demand for digital transformation, cloud migration, and managed services, Rackspace is well-positioned to capitalize on several key trends. It partners with major cloud platforms such as AWS, Microsoft Azure, and Google Cloud, allowing it to offer end-to-end services across cloud strategy, modernization, optimization, and ongoing management. The company’s focus on innovation—particularly in areas like AI/ML integration, cybersecurity, and cloud-native development—opens up new revenue streams and long-term growth potential. Additionally, Rackspace's commitment to hybrid and multicloud environments appeals to enterprises seeking flexibility, security, and scalability, giving it a competitive edge in an increasingly complex cloud landscape.

Rackspace Risks and Challenges

Rackspace Technology faces several market risks that could impact its growth and stability. One major risk is intense competition from larger cloud service providers like Amazon Web Services, Microsoft Azure, and Google Cloud, which not only act as partners but also as direct competitors in managed services. Additionally, the rapid pace of technological change in the cloud industry requires constant innovation and investment, posing a risk if Rackspace fails to keep up. The company is also vulnerable to cybersecurity threats and data breaches, which could damage its reputation and lead to legal liabilities. Economic uncertainty and IT budget constraints among enterprise clients may also affect demand for its services. Furthermore, Rackspace's reliance on third-party cloud platforms exposes it to risks related to pricing changes, platform dependency, and strategic shifts by those providers.

Rackspace Ecosystem, Partners, Resellers and SI

Rackspace extends its strategic partnerships, fostering collaborations with prominent entities including Braze, High Tech Campus Eindhoven (HTCE), Connexion Telematics, and Google Cloud. This expansion signifies Rackspace's commitment to forging meaningful alliances with key industry players, further enhancing its ecosystem and positioning itself for continued growth and innovation.

Rackspace's expansive ecosystem, comprised of over 3,000 partners, operates as a seamless extension of the direct sales force, further fortifying the company's collaborative approach to meeting the evolving needs of its clientele.

In November 2021, Rackspace introduced Rackspace Elastic Engineering for VMware, a groundbreaking offering that introduces a distinctive engineering and support model. This model is designed to deliver premium value, facilitating companies in their overarching strategic objectives related to cloud transformation. It specifically focuses on optimizing orchestration, automation, and general tooling for VMware multi-cloud computing infrastructure.

Research Methodology

Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.

Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).

For additional information on our methodologies, here's the link: