IT and Business Insights for SMB Solution Providers

MSPs Expanding with IoT and Cybersecurity

According to research from CompTIA, MSPs believe gaining more skills in cybersecurity will be the No. 1 action to help ensure solid market performance going forward. By Colleen Frye

MANAGED SERVICE PROVIDERS are looking to the Internet of Things and cybersecurity as top revenue opportunities for the near future, according to new research from industry organization CompTIA.

The majority of respondents surveyed in CompTIA’s Trends in Managed Services report expect the market over the next two years to be “solid” or “excellent,” and two-thirds expect to increase the mix of services in their portfolio over the next year while keeping their standard help desk, network services, storage, and basic security offerings.

In particular, 52% of MSPs say that gaining more skills in cybersecurity will be the No. 1 action to help ensure solid market performance going forward. The research identifies three models of managed security: pure-play managed security services providers (MSSPs), which 38% of respondents identify as; MSPs that maintain a separate MSSP subsidiary or side business (35%); and MSPs that offer a few higher-level security services on top of their basic portfolio (27%). Nearly 3 in 10 MSSPs expect significant growth in the MSSP part of their business in the next two years, with just over half predicting modest growth.

Source: CompTIA, Trends in Managed Services, March 2020

And in the IoT arena, 55% of MSPs believe that the market holds significant revenue opportunity now, and another 37% expect that opportunity to come to fruition in the next year or two.

The top reported managed IoT offerings in full production today include monitoring/managing new IoT devices on the network, monitoring/managing “smart” equipment, predictive maintenance, monitoring/managing logistics and supply chain, monitoring/management HVAC and building systems, and real-time asset tracking.

Other higher-end services that MSPs are adding include developing tech roadmaps for core areas of IT, digital transformation consulting, roadmaps for emerging tech, and needs assessments.

Summing up the findings, CompTIA’s Carolyn April, senior director, industry analysis, said in a statement: "The successful MSP is likely to feature a combination of bedrock basic services and new, premium offerings."

Image: iStock

About the Author

Colleen Frye's picture

Colleen Frye is ChannelPro's managing editor.

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