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Rackspace: The Cloud Pioneer Losing Its Edge
A $2.95B revenue giant fighting for relevance in the multicloud era
In 2008, Rackspace pioneered cloud computing by launching OpenStack, democratizing infrastructure for millions. Today, with 74% of traffic coming from direct searches and a 1.2-star Trustpilot rating, the company faces a stark reality: it's no longer the innovator, but the incumbent fighting to stay relevant.
"When 35,000 people search for 'rackspace' monthly but 557,000 search for 'cloudflare down,' you know the market has shifted."
The Loyal Base vs. The Lost Opportunity
Rackspace's traffic tells a story of legacy loyalty. With 74% direct traffic and 21% organic search, they own their brand—but the real battleground is the 5% that comes from elsewhere. The top search terms reveal a painful truth: 'rackspace webmail' (8,070 monthly) and 'rackspace email' (2,710 monthly) dominate over cloud infrastructure queries. This isn't a cloud provider; it's becoming an email service with a cloud attachment.
The Multicloud Promise vs. Reality
Rackspace bets everything on 'multicloud solutions'—managing AWS, Azure, and Google Cloud for enterprises. But here's the brutal math: Cloudflare, a pure-play CDN and security company, sees 557,280 monthly searches for 'cloudflare down,' dwarfing Rackspace's entire brand search volume (35,380). The market votes with its queries, and it's voting for specialized tools over managed services.
The company's tech stack reveals a modernization effort—Vite, Tailwind CSS, and Google's analytics stack—but the product narrative feels dated. While competitors like AWS and Azure innovate at breakneck speed, Rackspace's 1.2-star rating suggests customers aren't buying the 'managed multicloud' story. The VP of AI and Chief Architect roles exist, but where's the AI-powered differentiation? The gap between marketing and execution appears wide.
- Revenue stability at $2.95B masks underlying churn risk
- 74% direct traffic shows brand strength but limited discovery
- 1.2-star rating indicates severe customer satisfaction issues
- Top searches (email/webmail) don't align with cloud positioning
Rackspace is at an inflection point
It must either reinvent itself as a true cloud innovator or accept its fate as a legacy managed service provider. The $2.95B revenue buys time, but not much.
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Rackspace Technology | Multicloud Solutions Provider
As a cloud computing services pioneer, we deliver proven multicloud solutions across your apps, data, and security. Maximize the benefits of modern cloud.
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Reviews (20)
2 weeks notice of a 335% price increase…
2 weeks notice of a 335% price increase for every mailbox. Utterly disgusting and completely unacceptable. I’m sourcing a new provider as a matter of urgency. Avoid these charlatans like the plague.
300% Price increase with Limited Notice?!
Still exceptional customer support, some idiot now decided to jump their IMAP email from $2.50 to $10, a 300% increase with 1 month's notice... wow they really don't want customers anymore?
Terrible product
Terrible product, nothing they offer works perfectly, everything is half way. Customer service is so so.
Forget about using this company…
Forget about using this company anymore. Before aws and Azure they were good (at best) but now they are also rans. They are a black and white TV in an Ultra HD world. Terrible support, hopeless interface, convoluted billing and absolutely terrible at resolving customer problems on a timely basis. I would not trust them with more than hosting my pet cacti's my space account.
Just echoing the same experience as the…
Just echoing the same experience as the rest of the reviewers. They were great 6 years ago, then they offshored to Indian and the support now is shockingly abysmal. I swear I've lost a decade of my soul when I have the misfortune to have to deal with support. It ends up with spending the entire day and night chasing up what on earth is going on. I requested an urgent restore, repeatedly asking for updates and getting canned responses, and 3 days later still no completed restore. Thank the gods we're moving away from them in the next month or so. Good riddance to a dreadful company.
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About rackspace.com
As a cloud computing services pioneer, we deliver proven multicloud solutions across your apps, data, and security. Maximize the benefits of modern cloud.
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rackspace.com uses 17 technologies across their website including YouTube Embed, OneTrust, HubSpot, and more.
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Traffic & Audience
rackspace.com receives approximately 3.1M monthly visitors and ranks #20,167 globally. The website has a bounce rate of 21% with visitors viewing an average of 4.0 pages per visit. Users spend an average of 3:33 on the site.
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