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Interactive vs Rackspace Technology: Which MSP is Better? | The MSP Playbook

Article 2026-07-27

Interactive vs Rackspace Technology

A detailed comparison of two major Australian Managed Service Providers.

Feature Interactive Rackspace Technology
Overall Score3.63.0
TypePrivate Cloud / HardwareUS Cloud MSP
Employees200-40014000
Founded19891999
HeadquartersMelbourne, VICSan Antonio, Texas, USA
RevenuePrivate$3.0B
Salary Range$75,000 - $155,000$50,000 - $140,000
SpecialtiesData Centre, Managed Cloud, Hardware, SecurityManaged Cloud, AWS, Azure, Google Cloud, Kubernetes, DevOps
CertificationsDell Partner, HP Partner, VMware Partner, Fortinet PartnerAWS Premier Partner, Microsoft Partner, Google Cloud Partner, ISO 27001
Green FlagsGood work-life balance
Stable employment
Strong vendor partnerships
Pioneer of 'Fanatical Support' β€” differentiated managed cloud support model
Strong multi-cloud expertise across AWS, Azure, GCP
Good for early-career cloud engineers seeking certification support
Private equity backing provides capital for growth
Red FlagsBelow-market salaries
Can be bureaucratic
Limited international exposure
Financial distress β€” loss of founder leadership, multiple restructurings
Below-market compensation across most roles
PE ownership creates margin pressure and cost-cutting mentality
Massive layoff cycles (2022: 10%, 2023: 15%, 2024: ongoing)
Awful Glassdoor rating (3.0) β€” among worst of major MSPs
Business model disruption from hyperscalers going direct to customers
Worker ProsWork-life balance
Stable
Vendor partnerships
Strong multi-cloud managed services expertise
Fanatical Support training instills good customer service habits
Cloud certification support and exam coverage
Good for early-career cloud engineers building a resume
Worker ConsBelow-market pay
Bureaucratic
Limited international
Financial instability β€” multiple layoff rounds and loss of founder CEO
Below-market salaries across all roles
PE ownership drives constant cost-cutting and margin pressure
Hyperscalers (AWS, Azure) going direct β€” squeezing Rackspace's business model

Which MSP Should You Choose?

Both Private Cloud / Hardware and US Cloud MSP have strengths and weaknesses. Your choice depends on your priorities β€” whether that's career growth, salary, work-life balance, or technical exposure.

Use the side-by-side comparison tool for a deeper look, or check out individual profiles for detailed employee reviews.