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Rackspace Technology

US Cloud MSP

Managed CloudAWSAzureGoogle Cloud +2
3.0
/ 5.0
★★★☆☆
5000 reviews
💬

"A once-great company in decline. High risk, low compensation — only suitable as a short-term stepping stone."

👍 Good cloud training and certification support. Fanatical Sup… 👎 Constant layoffs. Below-market compensation. PE cost-cutting…
👥
14000
Employees
📅
1999
Founded
📍
San Antonio
Headquarters

US-based managed cloud computing company that pioneered the 'Fanatical Support' customer service model. Provides managed cloud services across AWS, Azure, and GCP with professional services for cloud migration and optimisation.

🏢 Culture & Red Flags

✅Pioneer of 'Fanatical Support' — 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
🚩Financial distress — 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) — among worst of major MSPs
🚩Business model disruption from hyperscalers going direct to customers

Worker Pros

👍 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 Cons

👎 Financial instability — 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 — squeezing Rackspace's business model

💰 Financial Profile

ASX Ticker
RXT.NASDAQ ↗
Price & Charts →
Annual Revenue
$3.0B
Typical Salary Range
$50,000 - $140,000

Ensure your compensation aligns with their margins. Do not subsidise their profitability with unpaid overtime.

📊 Employee Sentiment

Overall: Negative

  • 🔴 Employee Satisfaction Low
  • 🔴 Career Growth Limited
  • 🟡 Work-Life Balance Mixed
  • 🔴 Job Security Very Low
  • 🔴 Management Poor

🎓 Certifications & Specialties

Certifications
AWS Premier PartnerMicrosoft PartnerGoogle Cloud PartnerISO 27001
Specialties
Managed CloudAWSAzureGoogle CloudKubernetesDevOps
Typical Clients
EnterpriseMid-MarketSMBHealthcareFinancial Services

📰 What's Being Said — Rackspace Technology (6 items)

🔥 5,000 Glassdoor reviews: 'Fanatical support for everyone except employees'
📌 Massive layoffs: 10% in Nov 2022, 15% in Aug 2023, ongoing reductions in 2024
📌 Founder Lanham Napier left, strategic direction unclear since
📌 PE backing (Apollo Global) drives margin obsession over employee well-being
📌 AWS and Azure increasingly bypass Rackspace for direct enterprise relationships
📌 Stock down 95% from 2021 IPO — market has lost confidence

🗣️ Employee Sentiment

What employees like

Good cloud training and certification support. Fanatical Support legacy has some genuine value.

What employees dislike

Constant layoffs. Below-market compensation. PE cost-cutting. Business model under threat from hyperscalers.

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This profile is actively maintained — data sourced from Glassdoor, SEEK, and public filings.
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