Enterprise use of AI is booming, but experts warn the rush to adopt AI without a trusted partner - like managed service providers (MSPs) - could be a recipe for chaos for CTOs, CISOs, and IT security teams.
Amid the AI adoption frenzy, MSPs are uniquely suited to guide businesses through this complex landscape. With expertise in data governance and cybersecurity, MSPs can steer AI away from becoming a potential business liability into a transformative asset—helping clients deploy it securely while avoiding the chaos of past tech revolutions like BYOD, IoT, and cloud services.
The potential revenue growth for MSPs is significant, as the AI market is projected to reach over $631 billion by 2028. This makes investing in AI-driven services a strategic move for staying relevant and capturing financial opportunities.
MSPs' Key Advantages in Implementing Generative AI
MSPs have extensive experience managing IT infrastructure and security, which is crucial for safely deploying AI systems. AI tools are data-hungry, and without the right governance, they can easily expose organizations to compliance risks, data breaches, and unintended biases. MSPs can leverage their expertise in cybersecurity to mitigate these risks, ensuring that AI is integrated in a manner that aligns with regulatory and ethical standards.
Blue Mantis, a Portsmouth, New Hampshire-based MSP specializing in cybersecurity and cloud solutions, has recently teamed up with MSP AI Technology Partners (AITP) to help clients securely integrate generative AI tools, such as Microsoft 365 Copilot, into their workflows. This partnership exemplifies how MSPs can leverage collaboration to transform AI from a buzzword into a value-generating asset for their customers, all while ensuring security remains paramount.
The collaboration between Blue Mantis and AITP focuses on the Microsoft ecosystem, recognizing that many organizations already house significant volumes of sensitive data within Microsoft’s services—from emails to SharePoint.
The partnership allows Blue Mantis to provide comprehensive AI-driven services while preserving security, Blue Mantis said, and with Microsoft's inherent security features, the MSP's clients don’t have to worry about data privacy, data exfiltration or compliance nightmares.
The Importance of Data Management and Governance
MSPs understand the importance of data management and governance. Data governance ensures data consistency and trustworthiness—essential for successfully deploying AI solutions. MSPs can guide clients in developing robust data governance frameworks, helping them to classify, manage, and protect data effectively.
As an end user, an important first step for an organization is knowing their data landscape, Blue Mantis said. Assessing and classifying data is the foundation that allows organizations to safely harness the benefits of generative AI tools without falling prey to inadvertent data exposure.
This not only enables clients to make better decisions but also ensures compliance with emerging regulations like the European Union’s AI Act, which will impose strict requirements on "high-risk" AI systems.
Avoiding the Mistakes of Past Technology Revolutions
Industry experts have warned about the risks associated with rushing AI adoption without proper oversight. Michelle Lee, CEO of Obsidian Strategies, emphasizes the need for robust governance frameworks to avoid repeating the mistakes of past technology revolutions, such as cloud sprawl and BYOD chaos. Renee Murphy, Principal Analyst at Verdantix Research, notes that AI, like cloud computing before it, risks being deployed without sufficient controls, leading to significant vulnerabilities.
Recent findings underscore the need for secure deployment, especially as organizations increasingly face data breaches and compliance risks tied to improper AI use. A survey conducted by Next DLP at Infosecurity Europe revealed that 73% of security professionals admitted to using unauthorized software, highlighting how even experts aren’t immune to shadow IT.
These findings emphasize the real-world consequences of using unauthorized tools, including data breaches and compromised security. Blue Mantis is a good example of how an MSP is positioning itself as a trusted guide to avoid AI pitfalls and ensure clients have full visibility over AI-driven data flows.
Balancing Innovation and Security
MSPs are in a unique position to prevent these mistakes by providing AI-driven services focused on data privacy and compliance. This includes data classification, establishing AI usage policies, and ensuring that AI tools are used ethically and transparently.
For example, cryptographic flaws in end-to-end encrypted cloud storage services highlight the importance of secure data integration as AI’s appetite for data knows no limits. Researchers at ETH Zurich found five vulnerabilities in several major encrypted cloud services. These flaws could allow attackers to access or tamper with sensitive data, making secure integration of AI even more crucial.
MSPs can help clients navigate these challenges by implementing encryption best practices and ensuring data integrity throughout AI deployment.
Laura Thomas from Twilio highlighted the need for governance frameworks that allow for innovation without compromising security. MSPs can help clients establish guardrails that facilitate responsible AI experimentation. Richard Marcus, chief information security officer at AuditBoard, pointed out that regulations like the European Union’s AI Act and California’s upcoming AI Transparency Act signal that the days of “move fast and break things” are over.
MSPs can assist businesses in preparing for these regulations, ensuring that AI deployments are innovative yet compliant and secure.
The need for effective data governance is more critical than ever, with the rise of AI and sophisticated technologies requiring better data management strategies, said David Washo of AHEAD in a June interview with Channel E2E.
He emphasized that data governance is not a new concept but a foundational element that ensures consistency and trustworthiness of data—essential for successfully deploying AI solutions. For MSPs, helping clients develop robust data governance frameworks can lead to better decision-making, improved compliance, and ultimately, a competitive advantage.
He said MSPs have a unique perspective on a business that allows them to facilitate collaboration across IT, compliance, and business teams, fostering a unified approach to managing AI risks and integrating AI governance into the overall business strategy.
The Financial Opportunity for MSPs in AI Services
According to IDC, the global AI market is projected to grow from $235 billion in 2024 to over $631 billion by 2028, driven by an almost 30% compound annual growth rate (CAGR). Generative AI, a rapidly expanding segment, is expected to make up 32% of total AI investments by 2028, with a CAGR of around 60% for generative AI solutions. This presents a growth opportunity for MSPs to capitalize on the increasing demand for AI-driven services.
Market analyst Canalys notes that MSPs are not yet seen as major players in AI deployments, with widespread adoption expected in the next 18 to 24 months. However, some MSPs are actively pursuing AI services now, indicating a significant growth opportunity for those who invest early and partner with AI experts.
(Editor’s Note: A portion of this content used a large language model to distill a single source of original content, such as a transcript, data, or research report. This content was conceived, crafted and fact-checked by a staff editor, and any sourced intellectual property used is clearly credited and disclosed.)
