The Strategic Role of MSPs in Digital Transformation

For almost 30 years, I have been working in the world of data and technology, and during that time I have experienced how the advancement of the “digital world” has produced significant transformations in companies across all industries. 

We increasingly have access to data of various types and sources. At the same time, it is not unusual to feel lost amid so much stimuli and information.

On the other hand, regardless of the organization or industry, technological support has become a latent need in the organizational environment. In this context, Managed Service Providers (MSPs) come into play. They are companies that offer outsourced services for network environments, applications, infrastructure and security, through the provision of support and consulting services, as well as administration and operation of customer environments, in their own data centers (hosting) or in distributed environments (public cloud, private cloud, among others).

By 2025, in Mexico alone, Statista projects an estimated increase in MSP revenue of US$542.53 million. Globally, an approximate turnover of US$410.92 billion by 2029 is expected. This is largely a consequence of the increased need for remote monitoring, cybersecurity, management of hybrid environments and ensuring regulatory compliance. In other words: investments in technological support.

The boom in demand for managed services also reflects the accelerated digital transformation in industries such as finance, telecommunications, healthcare, and manufacturing, in which high availability and information security are essential.

In this context, topics such as operational efficiency and cost-benefit ratio are increasingly explored by organizations, taking the projected continuous expansion into consideration. The argument gains traction when we evaluate reports like the “State of the MSP Industry 2025 Look Ahead: Trends, Growth and Strategies for Success.” The material, the result of a global survey carried out with MSP companies, revealed that “profitability” is a priority for 91% of the organizations interviewed, while “operational costs” represent a challenge for the industry.

The number of organizations relying on MSPs to operate critical IT systems and processes has also increased. Currently, approximately 9 out of 10 small and medium-sized businesses use or plan to use MSPs to manage their own infrastructure. This presents a huge opportunity for industry providers as demand for remote monitoring has increased as cloud adoption grows, while remote working is still common practice.  

This creates the need to manage the IT infrastructure of several clients in an efficient, scalable, and reliable manner.

Given this scenario, here are some thought-provoking reflections that I have recently shared with clients and other executives in the industry:

MSPs Need To Deal With Complexity, Scalability of Multiple Environments

MSPs deal with heterogeneous systems, diverse integrations and specific demands for each client and industry. The scalability of the operation becomes critical as the customer base and complexity of the environments grow.

Be Aware of Safety, Compliance Rules

With the volume and sophistication of cyberattacks increasing and new technologies and vulnerabilities constantly emerging, protecting data and systems becomes a top priority for MSPs. Failure to comply with regulatory standards can increase risks, generate fines, and damage the reputation of service providers.

Real-Time Management of Critical Environments Is Essential

Managing critical environments is one of the specialties of MSPs, especially in sectors such as healthcare, finance, energy, telecommunications, and government, considering that any interruption in services can cause financial losses, disrupted services for the population, regulatory violations, and irreversible damage to the reputation of companies.

It is essential to ensure that customers have resilient and secure infrastructures capable of supporting high transaction volumes and peaks in demand, as well as mitigating failures before they impact the end customer.

Guarantee of SLAs and End Customer Satisfaction: A Valuable Asset

Delivering services within Service Level Agreements (SLAs) is a fundamental requirement for managed service providers. The unavailability of critical systems or performance issues can not only generate contractual penalties but also compromise the provider's reputation in an increasingly competitive market.

Proactively monitoring customer environments, anticipating problems, and acting quickly in the event of incidents are essential practices to ensure compliance with SLAs. Furthermore, end-user satisfaction — often distant or even invisible to the MSP — is directly impacted by the quality of services delivered.

Unified View of Monitored Environments Contributes To Better Results

Managing multiple mission-critical environments and customers with specific needs on a single monitoring platform is a constant for MSPs. Many companies seek to consolidate monitoring into a unified dashboard to facilitate the management of supported environments, customers and contracts. However, integrating multiple environments without compromising security and performance requires scalable and flexible solutions.

Open Source as a Strategic Ally

MSPs have both proprietary solutions and open-source platforms available on the market. The open-source model stands out as a robust alternative for these providers, especially when they go for flexibility, security, scalability and cost optimization. Platforms of this type facilitate the customization of operations and bring better technological autonomy. 

In addition to the absence of licensing costs, the transparency of open source enables more rigorous security audits, facilitating compliance with regulations such as LGPD, GDPR, ISO 27001, and other industry certifications. The broad compatibility of these solutions with different environments, from physical servers to hybrid clouds, ensures MSPs have more efficient control over the monitored infrastructure.

The challenges presented are complex, but the future is promising for MSPs that are attentive and keep investing in the combination of innovation and operational efficiency. 

Latin America is experiencing a moment of great potential for those who see technology as a strategic pillar for business competitiveness and are focused on supporting customers in their technology adoption journey. 

For MSPs, the future is not just about managing IT infrastructures and solving problems. It is about driving digital transformation and corporate security.