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AI's Impact on MSPs: 95% Adoption, 64% Low ROI, and the Future of IT Workforce Dynamics with Rich Freeman and Dennis O'Shea image

AI's Impact on MSPs: 95% Adoption, 64% Low ROI, and the Future of IT Workforce Dynamics with Rich Freeman and Dennis O'Shea

E1598 · Business of Tech
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A recent study reveals a strong demand for AI and advanced solutions among businesses, yet a significant gap exists in satisfaction with the return on investment (ROI). With 95% of surveyed clients planning to invest in technologies like AI and IoT, 86% feel pressured to demonstrate results, while 64% admit their investments have not met expectations. This discrepancy presents a unique opportunity for Managed Service Providers (MSPs) and solution providers who possess the skills and knowledge to deliver effective AI implementations that yield tangible results, thereby enhancing client loyalty and profitability.

Rich Freeman and Dennis O'Shea, experts in the field, discuss the current landscape of AI adoption and the challenges faced by organizations. Many clients are seeking tactical solutions, such as initial licenses for experimentation, while grappling with questions around use cases, data security, and the need for employee empowerment in utilizing AI tools. The conversation highlights the importance of understanding the specific needs of clients and the necessity of securing data before rolling out AI solutions.

As the discussion progresses, the focus shifts to the evolving role of MSPs in the workforce. With the rise of agentic AI—technology that can autonomously perform tasks traditionally handled by technicians—there is uncertainty about the future job landscape. Experts predict that roles such as level one and level two support may become obsolete, while new positions focused on overseeing AI agents and ensuring effective communication between technology and users will emerge. The need for individuals who can bridge the gap between technical concepts and human understanding will be crucial.

The conversation concludes with insights into the coding landscape, where AI is increasingly taking over coding tasks, allowing for a new generation of developers who can leverage AI tools to create solutions. This shift presents both challenges and opportunities for MSPs, as they must adapt to a changing environment where coding becomes more accessible. The emphasis on solving business problems and delivering tailored solutions will be essential for maintaining relevance and profitability in the evolving tech landscape.

 

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