Business of Tech: Daily 10-Minute IT Services Insights

Mike Psenka, CEO of Moovila, discusses the limitations and challenges of large foundational AI models, particularly in the context of their application in complex tasks. While these models have shown impressive capabilities, there is a growing concern about their reliability, especially when it comes to analyzing intricate data structures like graph data. Psenka emphasizes that these models excel at generating content but struggle with tasks that require deep understanding and analysis of relationships and dependencies within data.The conversation highlights the importance of recognizing the error rates associated with AI models. Psenka points out that while advancements have been made in areas like 2D and 3D vision, certain domains, such as graph data, still exhibit unacceptably high error rates. This limitation raises questions about the trustworthiness of AI in critical applications, where a single mistake can lead to significant consequences. He urges caution in relying solely on generative AI for complex evaluations and suggests a hybrid approach that combines traditional deterministic AI methods with generative models.As the discussion progresses, Psenka shares insights on the emerging trend of agentic AI, which aims to automate decision-making processes. He argues that while agentic AI can handle small, discrete tasks effectively, it falls short in managing complex workflows that require nuanced understanding. The need for a structured framework that integrates both deterministic and generative AI is emphasized, allowing for more reliable outcomes in complex scenarios. This hybrid model could help mitigate the risks associated with AI errors and improve overall efficiency.Finally, Psenka offers guidance for managed service providers (MSPs) and IT service providers on workflow automation. He stresses the importance of identifying which processes can be automated while ensuring that human oversight remains integral to the workflow. By developing flexible templates that can adapt to various customer needs, MSPs can enhance their service offerings and improve operational efficiency. The conversation concludes with a call to action for organizations to build AI capabilities and stay competitive in a rapidly evolving landscape.  💼 All Our SponsorsSupport the vendors who support the show:👉 https://businessof.tech/sponsors/ 🚀 Join Business of Tech PlusGet exclusive access to investigative reports, vendor analysis, leadership briefings, and more.👉 https://businessof.tech/plus 🎧 Subscribe to the Business of TechWant the show on your favorite podcast app or prefer the written versions of each story?📲 https://www.businessof.tech/subscribe 📰 Story Links & SourcesLooking for the links from today’s stories?Every episode script — with full source links — is posted at:🌐 https://www.businessof.tech 🎙 Want to Be a Guest?Pitch your story or appear on Business of Tech: Daily 10-Minute IT Services Insights:💬 https://www.podmatch.com/hostdetailpreview/businessoftech 🔗 Follow Business of Tech LinkedIn: https://www.linkedin.com/company/28908079YouTube: https://youtube.com/mspradioBluesky: https://bsky.app/profile/businessof.techInstagram: https://www.instagram.com/mspradioTikTok: https://www.tiktok.com/@businessoftechFacebook: https://www.facebook.com/mspradionews Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

Microsoft is facing backlash from managed service providers (MSPs) for not adequately protecting them against aggressive pricing strategies employed by larger licensing solution providers. These larger entities are reportedly undercutting smaller MSPs by as much as 20%, leading to significant margin erosion and increased competition. The Cloud Solution Provider Program, which was designed to create a more equitable environment for smaller providers, has not been effectively enforced by Microsoft, leaving many MSPs feeling abandoned. Analysts warn that this trend may result in consolidation among partners, as smaller providers struggle to compete in a landscape increasingly favoring larger firms.In the realm of cybersecurity, MSPs are grappling with severe alert fatigue, with a recent survey indicating that over 75% of providers experience this issue monthly. The report highlights that larger firms are particularly affected, with nearly half of those employing over 500 staff facing daily fatigue due to excessive tools and poor integration, which leads to a high volume of false positives. Alarmingly, one in four alerts is a false positive, and many providers are hesitant to consolidate their security tools due to concerns about migration complexity and potential feature loss. Despite the clear advantages of integrating platforms and enhancing automation, only 31% of MSPs have adopted AI or security orchestration tools to alleviate their burdens.In product news, several companies have made significant announcements. SuperOps has launched an AI marketplace for MSPs in collaboration with Amazon Web Services, aiming to streamline the adoption of AI agents for various tasks. Kaseya introduced customer responsibility matrices to help MSPs comply with Department of Defense cybersecurity requirements, while ConnectWise expanded its remote monitoring and management platform to include third-party patching for over 7,000 applications. Synchro reported impressive operational efficiency improvements for a client, and Ignite unveiled a no-code framework for creating customized AI agents.Lastly, the podcast discusses the ongoing challenges faced by Intel and the vulnerabilities in Enable's remote monitoring and management solution. Intel is receiving substantial investments from SoftBank and potential support from the U.S. government, indicating a lack of market confidence in the company's performance. Meanwhile, Enable is dealing with two critical vulnerabilities that are being actively exploited, with nearly 900 servers still unpatched. The urgency for MSPs to apply updates and validate their security measures is emphasized, as these vulnerabilities pose significant risks to their operations. Four things to know today 00:00 Microsoft Faces Backlash as MSPs Accuse CSP Program of Favoring Larger Licensing Providers04:53 From SuperOps to Egnyte, Vendors Announce AI and Security Features—Syncro Stands Out With Measurable Results07:50 Chip Market Split: Intel Relies on Bailouts, Foxconn Rides Explosive AI Demand10:24 Shadowserver: Nearly 900 N-able N-central Servers Remain Unpatched Against Critical Vulnerabilities This is the Business of Tech.    Supported by: https://www.moovila.com/ https://scalepad.com/dave/  💼 All Our SponsorsSupport the vendors who support the show:👉 https://businessof.tech/sponsors/ 🚀 Join Business of Tech PlusGet exclusive access to investigative reports, vendor analysis, leadership briefings, and more.👉 https://businessof.tech/plus 🎧 Subscribe to the Business of TechWant the show on your favorite podcast app or prefer the written versions of each story?📲 https://www.businessof.tech/subscribe 📰 Story Links & SourcesLooking for the links from today’s stories?Every episode script — with full source links — is posted at:🌐 https://www.businessof.tech 🎙 Want to Be a Guest?Pitch your story or appear on Business of Tech: Daily 10-Minute IT Services Insights:💬 https://www.podmatch.com/hostdetailpreview/businessoftech 🔗 Follow Business of Tech LinkedIn: https://www.linkedin.com/company/28908079YouTube: https://youtube.com/mspradioBluesky: https://bsky.app/profile/businessof.techInstagram: https://www.instagram.com/mspradioTikTok: https://www.tiktok.com/@businessoftechFacebook: https://www.facebook.com/mspradionews Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

Dave Sobel interviews Jennifer Oladipo, an award-winning business and technology journalist turned consultant, about the communication challenges faced by Managed Service Providers (MSPs) in their sales processes. Jennifer emphasizes that while MSPs are often perceived as poor at sales, they excel in consultative selling. The real issue lies in their ability to translate technical expertise into relatable messaging for their clients. She highlights the importance of understanding the client's world and addressing their specific pain points, rather than leading with technology.Jennifer discusses the necessity for MSPs to engage deeply with their target audience, encouraging them to listen to the conversations happening around them. By understanding the everyday challenges faced by their clients, such as common frustrations like printer issues, MSPs can tailor their messaging to resonate more effectively. This approach not only demonstrates empathy but also positions the MSP as a partner who truly understands the client's needs.The conversation also delves into the significance of competitive intelligence and market awareness. Jennifer shares practical tips for gathering insights about competitors, such as utilizing LinkedIn's ad library to analyze marketing strategies. She stresses the importance of recognizing buying signals and understanding industry trends to adapt messaging and offerings accordingly. This comprehensive understanding allows MSPs to differentiate themselves in a crowded market.Finally, Jennifer urges MSPs to move away from clichéd messaging that focuses solely on technology or generic support. Instead, she advocates for authentic communication that reflects the unique strengths and values of the MSP. By doing so, they can create memorable connections with potential clients and stand out in a competitive landscape. The episode concludes with Jennifer inviting listeners to connect with her for further discussions on these topics.  💼 All Our SponsorsSupport the vendors who support the show:👉 https://businessof.tech/sponsors/ 🚀 Join Business of Tech PlusGet exclusive access to investigative reports, vendor analysis, leadership briefings, and more.👉 https://businessof.tech/plus 🎧 Subscribe to the Business of TechWant the show on your favorite podcast app or prefer the written versions of each story?📲 https://www.businessof.tech/subscribe 📰 Story Links & SourcesLooking for the links from today’s stories?Every episode script — with full source links — is posted at:🌐 https://www.businessof.tech 🎙 Want to Be a Guest?Pitch your story or appear on Business of Tech: Daily 10-Minute IT Services Insights:💬 https://www.podmatch.com/hostdetailpreview/businessoftech 🔗 Follow Business of Tech LinkedIn: https://www.linkedin.com/company/28908079YouTube: https://youtube.com/mspradioBluesky: https://bsky.app/profile/businessof.techInstagram: https://www.instagram.com/mspradioTikTok: https://www.tiktok.com/@businessoftechFacebook: https://www.facebook.com/mspradionews Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

Jennifer Roy, CEO of Nucleus Networks, shares her journey from COO to the broader responsibilities of CEO, emphasizing the shift from operations to strategic business areas. She discusses the growing client interest in AI and cybersecurity amidst Canada's market challenges, highlighting the importance of tailored AI solutions. Roy also advocates for increased women in tech leadership, noting cultural changes that support inclusivity. Additionally, she addresses the critical link between robust internal policies and effective cybersecurity measures, underscoring mentorship in fostering diversity.

Michael Fass, co-founder and CEO of Slide, discusses the company's focused approach to backup solutions for Managed Service Providers (MSPs). Unlike many companies that aim to be all-encompassing platforms, Slide is dedicated solely to being the best backup provider in the market. Fass emphasizes the importance of understanding the unique needs of MSPs, who protect data across various environments, including on-premise servers and cloud services like Azure and Google Drive. This commitment to specialization is a strategic choice to avoid the pitfalls of being a "jack of all trades, master of none."Fass shares insights from his previous experience at Datto, where he served as Chief People Officer and General Counsel. He highlights the significance of maintaining high expectations and creating a strong partnership with MSPs. By offering direct-to-tech support and flexible month-to-month pricing, Slide aims to foster trust and empower its partners. Fass believes that these choices, while bold, are essential for building a sustainable and effective business model that prioritizes quality service over short-term profits.The conversation also touches on the evolving landscape of the managed services industry, particularly the impact of private equity investments and the increasing complexity of technology for small to medium businesses. Fass argues that despite the advancements in technology, the need for skilled IT professionals remains critical. He asserts that MSPs play a vital role in helping businesses navigate these complexities, and as such, the demand for their services is only expected to grow.Looking ahead, Fass expresses confidence in Slide's potential to become a global leader in backup solutions for MSPs. He acknowledges the challenges posed by industry consolidation but believes that new companies like Slide, which prioritize quality and partner relationships, will thrive. As he prepares for future discussions, Fass emphasizes the importance of measuring success by Slide's ability to lead the market in backup services, reinforcing the company's commitment to its mission.  💼 All Our SponsorsSupport the vendors who support the show:👉 https://businessof.tech/sponsors/ 🚀 Join Business of Tech PlusGet exclusive access to investigative reports, vendor analysis, leadership briefings, and more.👉 https://businessof.tech/plus 🎧 Subscribe to the Business of TechWant the show on your favorite podcast app or prefer the written versions of each story?📲 https://www.businessof.tech/subscribe 📰 Story Links & SourcesLooking for the links from today’s stories?Every episode script — with full source links — is posted at:🌐 https://www.businessof.tech 🎙 Want to Be a Guest?Pitch your story or appear on Business of Tech: Daily 10-Minute IT Services Insights:💬 https://www.podmatch.com/hostdetailpreview/businessoftech 🔗 Follow Business of Tech LinkedIn: https://www.linkedin.com/company/28908079YouTube: https://youtube.com/mspradioBluesky: https://bsky.app/profile/businessof.techInstagram: https://www.instagram.com/mspradioTikTok: https://www.tiktok.com/@businessoftechFacebook: https://www.facebook.com/mspradionews Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

Ann Westerheim, founder and president of Ekaru, discusses the concept of "last mile services" in technology, emphasizing the importance of making advanced IT and cybersecurity accessible to small businesses. Drawing from her background in the semiconductor industry, she highlights the gap between cutting-edge technology and its practical application for Main Street USA businesses. Her approach focuses on empowering clients to improve their cybersecurity posture through simple, actionable steps, such as implementing strong passwords and multi-factor authentication.Westerheim introduces her CyberFit 21-day program, designed to demystify cybersecurity for non-technical users. She aims to replace the overwhelming jargon of the tech industry with relatable concepts that resonate with small business owners. By simplifying complex topics, she helps clients understand the risks they face and the straightforward measures they can take to mitigate them. This approach not only educates but also empowers clients to take control of their cybersecurity.The conversation shifts to the impact of artificial intelligence (AI) on cybersecurity, particularly in phishing attacks. Westerheim notes that AI is being used to create highly sophisticated phishing emails that are indistinguishable from legitimate communications. She emphasizes the need for businesses to establish acceptable use policies regarding AI and to educate employees about the potential security risks associated with its use. This proactive approach is crucial as many employees may be using AI tools without understanding the implications.As the discussion wraps up, Westerheim reflects on the current mood among small business clients, who are feeling overwhelmed by rapid technological changes and external economic pressures. She stresses the importance of taking small, manageable steps to adapt to these changes rather than succumbing to paralysis by analysis. By fostering open dialogues about technology and security, she aims to guide her clients through this period of uncertainty, helping them to embrace the opportunities that come with technological advancements.  💼 All Our SponsorsSupport the vendors who support the show:👉 https://businessof.tech/sponsors/ 🚀 Join Business of Tech PlusGet exclusive access to investigative reports, vendor analysis, leadership briefings, and more.👉 https://businessof.tech/plus 🎧 Subscribe to the Business of TechWant the show on your favorite podcast app or prefer the written versions of each story?📲 https://www.businessof.tech/subscribe 📰 Story Links & SourcesLooking for the links from today’s stories?Every episode script — with full source links — is posted at:🌐 https://www.businessof.tech 🎙 Want to Be a Guest?Pitch your story or appear on Business of Tech: Daily 10-Minute IT Services Insights:💬 https://www.podmatch.com/hostdetailpreview/businessoftech 🔗 Follow Business of Tech LinkedIn: https://www.linkedin.com/company/28908079YouTube: https://youtube.com/mspradioBluesky: https://bsky.app/profile/businessof.techInstagram: https://www.instagram.com/mspradioTikTok: https://www.tiktok.com/@businessoftechFacebook: https://www.facebook.com/mspradionews Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

Agentic AI is transitioning from demonstration to real-world application, particularly through the Model Context Protocol (MCP), which transforms traditional RMM and PSA systems into more interactive and efficient tools. This shift is expected to significantly impact ticket management, service level agreements (SLAs), and profit margins for managed service providers (MSPs). The discussion also delves into the competitive landscape, with companies like PAX 8 positioning themselves as orchestration layers in this evolving market, raising questions about whether this represents a genuine transformation or merely a rebranding effort.Rich Freeman, a prominent voice in the SMB channel, shares insights on how MSPs are adapting to these changes. He highlights that many organizations are already deploying AI solutions, which are automating tasks traditionally performed by humans, such as service dispatch and help desk operations. This evolution is not just about reducing workforce size but rather reshaping the roles within MSPs, allowing employees to focus on higher-level tasks that drive customer value and differentiation.The conversation also touches on the implications of MCP, which allows AI agents to interact with various backend systems seamlessly. This capability could lead to a future where technicians no longer need to navigate complex interfaces, as they can simply communicate with AI to manage their systems. The rapid advancements in AI technology are prompting MSPs to rethink their operational strategies and prepare for a future where automation plays a central role in service delivery.Finally, the discussion explores the concept of managed intelligence providers, emphasizing the need for MSPs to evolve from merely providing tools to delivering comprehensive solutions that leverage AI for better outcomes. As the industry shifts towards this model, the role of marketplaces and distributors will also change, requiring them to support MSPs in integrating and managing these advanced technologies. The conversation concludes with a recognition of the urgency for MSPs to adapt to these changes or risk falling behind in a competitive landscape.  💼 All Our SponsorsSupport the vendors who support the show:👉 https://businessof.tech/sponsors/ 🚀 Join Business of Tech PlusGet exclusive access to investigative reports, vendor analysis, leadership briefings, and more.👉 https://businessof.tech/plus 🎧 Subscribe to the Business of TechWant the show on your favorite podcast app or prefer the written versions of each story?📲 https://www.businessof.tech/subscribe 📰 Story Links & SourcesLooking for the links from today’s stories?Every episode script — with full source links — is posted at:🌐 https://www.businessof.tech 🎙 Want to Be a Guest?Pitch your story or appear on Business of Tech: Daily 10-Minute IT Services Insights:💬 https://www.podmatch.com/hostdetailpreview/businessoftech 🔗 Follow Business of Tech LinkedIn: https://www.linkedin.com/company/28908079YouTube: https://youtube.com/mspradioBluesky: https://bsky.app/profile/businessof.techInstagram: https://www.instagram.com/mspradioTikTok: https://www.tiktok.com/@businessoftechFacebook: https://www.facebook.com/mspradionews Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

In this insightful discussion, Robert Buda, founder and president of Buda Consulting, shares his expertise in data management and security. He argues that speed is now more critical than scale as businesses adapt to AI. Buda warns against the misconception that simply adding more data will yield better outcomes and highlights the importance of operational data for business continuity. He also addresses the risks of data loss in an increasingly application-driven landscape, emphasizing the need for rigorous data quality practices.

Tariffs from the Trump era are squeezing businesses, triggering layoffs and price hikes as companies scramble to cope with rising costs. KAVU has halted marketing and travel, while giants like QVC Group also plan increases to counter tariff impacts. Meanwhile, AI adoption is booming, yet many companies find minimal financial benefits, hinting at a productivity paradox. A shift towards consumption-based AI pricing reveals newfound trust issues. Recent executive orders on cybersecurity could pose challenges, possibly reversing prior advancements in security standards.

State and local governments are facing daunting cybersecurity funding challenges as federal support dwindles. A lack of investment leaves many vulnerable to cyberattacks from nation-state actors. Meanwhile, the rise of GPT-5 brings backlash, prompting new security measures from NIST to safeguard AI systems. Additionally, the podcast discusses shifts in payment policies and workforce adjustments at ConnectWise, underlining the need for IT service providers to adapt and streamline operations.