It’s mid-January so we’re just about at the crossroads where we should no longer feel obligated to address emails with “Happy New Year.” Yet, at Axis, this time of year does provide a natural intersection to look back at our business over the last 24 months, and more importantly, of the year ahead. The rearview mirror is smaller than front windshield for a reason! Axis Computer Networks and the Managed Service Provider (MSP) industry as a whole witnessed significant evolution in 2024, with technological advancements and market demands reshaping service offerings. For small and mid-sized companies—the primary client base we serve—Axis serves as a vital partner, helping our clients navigate an increasingly complex and evolving IT landscape. Below are the top five trends that defined the MSP landscape in 2024 and how we had to adapt to meet our client’s particular needs.
1. Enhanced Cybersecurity Services
There is no way around it, the escalating frequency and sophistication of cyberattacks made cybersecurity the top priority for businesses in 2024. Small and mid-sized companies, often lacking robust internal IT teams, turned to Axis for proactive threat management, vulnerability assessments, and compliance assurance.
MSP Market Adaptations:
MSPs invested heavily in next-gen tools like AI-driven threat detection and Zero Trust frameworks. They also expanded their Security Operations Center (SOC) services, offering 24/7 monitoring to detect and respond to threats in real-time. Additionally, many MSPs like Axis provided cyber insurance advisory to help clients manage risks comprehensively.
2. Hybrid Work Optimization
Although some companies are starting to pull employees back into the office, it’s fair to say that a hybrid work environment is here to stay. We found that businesses needed seamless solutions for remote collaboration, secure access, and endpoint management. We found this as one of the primary changes with our clients.
MSP Market Adaptations:
MSPs like Axis offered scalable solutions for hybrid work environments, leveraging technologies like Secure Access Service Edge (SASE) and remote monitoring tools. We also emphasized cloud migration strategies, enabling businesses to achieve flexibility as well as resilience.
3. AI-Driven IT Operations
Artificial intelligence became a cornerstone in IT operations, helping companies optimize infrastructure and improve incident response times.
MSP Market Adaptations:
More and more Managed Service providers started to integrate AI and machine learning into their offerings, particularly in areas like predictive maintenance, automated ticketing, and anomaly detection. This allowed them to offer more efficient and proactive services to clients, ensuring minimal downtime and enhanced system performance
4. Compliance and Data Governance
As governments worldwide introduced stricter regulations regarding data protection, compliance became a critical challenge, especially for small and mid-sized businesses.
MSP Adaptations:
MSPs expanded their compliance-as-a-service offerings, helping businesses navigate standards like GDPR, CCPA, and industry-specific regulations. They implemented data classification tools and conducted regular audits to ensure clients remained compliant while reducing the risk of penalties.
Lookouts for 2025: How Axis Can Help.
Looking ahead, in addition to adapting these trends from 2024, this year also presents new challenges and opportunities for small and mid-sized businesses. Here are the key issues MSPs can help address:
1. AI Regulation Compliance
With governments expected to introduce stricter regulations on AI usage, MSPs will assist clients in ensuring AI systems are transparent, ethical, and compliant with new laws.
2. Cyber Insurance Integration
With cyber insurance becoming more intricate, Axis will guide businesses in meeting insurer requirements while managing premiums and policy renewals effectively.
3. Talent Gap in IT
The IT skills gap is expected to widen, making it harder for businesses to hire and retain qualified staff in-house. Simply put, Axis is structured to fill this void, offering expertise across diverse technology without the need for in-house hiring. We carry that load.