Introduction
The role of managed service providers (MSPs) is moving beyond traditional IT services. Small and medium-sized businesses (SMBs) are increasingly looking for strategic partners who can help them adopt AI systems so they can reap the benefits.
In this blog, Andy Readman, Data and AI Director of Pax8 Academy, explains the current trends in data and AI and highlights key issues that MSPs should address to position themselves as trusted advisers to their clients.
The Data and AI agenda in 2025
‘Nearly half of the businesses surveyed (49%) expressed concern that failing to keep pace with AI adoption places them at a competitive disadvantage.’
AI Buying Trends for SMBs in 2024, Channelnomics report
Addressing the AI awareness barrier in the SMB market and broadening the understanding of AI beyond generative AI tools are top priorities on the data and AI agenda for this year. Generative AI, e.g. ChatGPT and Microsoft Copilot, creates output based on user prompts, whereas the latest evolution uses AI agents to create more autonomous solutions. The term ‘agentic AI’ describes systems that can make decisions and act independently to achieve more complex outputs with limited supervision.
AI innovations represent huge potential for MSPs to expand their scope and help their clients navigate the multitude of AI solutions on offer. True data and AI consulting covers not just the right tooling but also advice on strategy, compliance and governance, and implementation.
Demonstrating use cases for AI that land with clients’ needs is another hot topic. While case studies are essential, the challenge is that AI use cases are highly personal and vary according to individual business needs. So, MSPs need to be able to communicate the benefits of AI adoption in a way that is relevant and tailored to specific requirements. This is where Pax8 can help by offering invaluable support to its partners.
AI won’t leave you out of a job
It is a common concern that AI will make human jobs obsolete, but the reality is that jobs will adapt. MSPs are already moving from a traditional break-fix model to a more consultative approach. It is, therefore, time to look at how to adapt the workforce. The automation potential in a first-line support desk is huge, and this offers equal potential for upskilling that team to perform different, more revenue-generating roles that help MSPs scale and grow.
The media noise around AI can be overwhelming and frightening for SMBs. There is much to be distracted by, but as an MSP, you already have the problem-solving skills and tech knowledge needed to drive successful outcomes. By focusing on practical applications of AI at a simple level you can cut through the noise and demonstrate its value to your clients.
The importance of AI strategy and governance
Open access to many AI tools has created an unprecedented lack of control and placed a definite strain on governance – many businesses are not currently equipped to handle these challenges. This is why having an AI strategy in place is essential. It does not need to be exhaustive, but setting out a clear purpose and objectives, and carefully considering what your business wants to achieve with AI can keep stakeholders accountable.
If a client does not have a strategy in place, MSPs should take the opportunity to offer guidance on building one. This includes working with clients to define the approach they want to take in leveraging AI and the values they align with, along with levels of acceptable risk.
The EU AI Act is essential reading for MSPs looking to build expertise in AI strategy and governance. Additionally, Microsoft offers a range of resources related to responsible AI. Pax8 has also developed its own global AI compliance framework, including an AI compliance summary and AI Mission, Vision and Purpose document to set the standard for using AI responsibly. Check out the Pax8 Trust Centre to learn more.
Pax8 resources and events
When it comes to data and AI, Pax8 has your back with extensive resources and events designed to build your knowledge and expertise. The AI-powered Pax8 Marketplace has industry-leading vendors offering AI solutions in EMEA, including Microsoft, Rewst and Adobe. Many vendors also offer their own AI agents and AI-enabled functionality, particularly in the cybersecurity space.
Pax8 Academy offers a wealth of resources to partners, providing them with everything they need to build a strong AI offering. The recently launched Data and AI Masterclass is designed to provide foundational knowledge for all role levels within an MSP. The Masterclasses are vendor-agnostic, ensuring you get an objective and MSP-focused perspective when you attend.
The Data and AI Masterclasses are hitting the road this year with sessions across Europe, including the UK, Germany, The Netherlands, Sweden, Estonia, Latvia and Lithuania. Keep an eye on the Pax8 events page for dates and registration details. There are also longer-term plans to develop these masterclasses to move from core knowledge to role-based, tailored content.
You can also find plenty of useful on-demand AI resources in Pax8 Academy that can support you in building data and AI literacy. Our aim is to support partners to evolve and adapt with AI and to help them understand the role they will need to play for their clients in the future. We have also developed Copilot content closely with Microsoft to support partners with Copilot adoption.
Data and AI will feature prominently on the agendas of Beyond Flagship and Beyond EMEA. You will see visionary mainstage sessions alongside role-relevant breakout sessions. With the growing trend towards agentic AI shaping the future of work, there will be some exciting Pax8 announcements in this space.
Conclusion
‘For those of us that take advantage of AI, it can be transformational. But for those who don’t, it poses a significant threat. It’s not decades out; it’s years out.’ Robert Belgrave, Pax8 COO
MSPs have always needed to be adaptable and ready to innovate, and the opportunities and challenges posed by AI are no different. The first step is building a core understanding of what AI solutions are and what they can offer to your clients. Having consultative conversations right now is crucial; looking at specific challenges related to available automation solutions and efficiencies can open wider discussions about longer-term strategy and governance.
Become a trusted adviser by actively listening to your clients and change their AI mindset to help them succeed in the future. The resources in Pax8 Academy are a great place to start to build your data and AI knowledge and prepare for productive client conversations.
