Navigating Trends: Vendor Trust, AI Impact, Data Services, and Tech Fatigue with Carolyn April

Business of Tech: Daily 10-Minute IT Services Insights

Dave welcomes Carolyn April, Vice President of Industry Analysis at CompTIA, for an insightful discussion on the current state of the IT service provider channel. They delve into the evolving dynamics between managed service providers (MSPs) and vendors, highlighting a surprising statistic from CompTIA's latest report: 36% of MSPs express distrust in vendors potentially bypassing them to reach customers directly. This skepticism is compounded by a trend of IT providers enrolling in fewer vendor programs, suggesting a shift in how MSPs view their relationships with vendors.

Carolyn explains that the overwhelming number of vendors available today has led many MSPs to reassess their partnerships. Instead of spreading themselves thin across numerous vendor programs, many are opting to focus on a select few that align closely with their business goals. This strategic narrowing allows them to maximize their return on investment and foster deeper, more productive relationships with their chosen vendors. The conversation also touches on the role of distributors, who are increasingly positioning themselves as marketplaces, providing MSPs with aggregated solutions while reducing the need for formal vendor program enrollments.

As the discussion progresses, the topic of data services emerges as a significant area of growth within the channel. Carolyn notes that while the term "data services" can encompass a variety of offerings—from database management to data protection and AI model development—there is a growing recognition of the importance of data governance. This is particularly relevant as businesses look to leverage AI technologies effectively. The episode emphasizes that MSPs have a unique opportunity to position themselves as experts in data strategy, helping clients navigate the complexities of data management and AI implementation.

Finally, the conversation shifts to the potential for tech fatigue among business owners, who may be growing weary of constantly investing in new technologies without seeing proportional returns. Carolyn and Dave discuss how this fatigue could impact the adoption of emerging technologies like AI, as businesses weigh the risks and benefits of new investments. They conclude by exploring the future of the MSP business model, particularly in light of increasing regulatory scrutiny and the need for accountability within the industry. This episode provides valuable insights into the challenges and opportunities facing the IT service provider channel as it adapts to a rapidly changing technological landscape.

All our Sponsors: https://businessof.tech/sponsors/

Do you want the show on your podcast app or the written versions of the stories? Subscribe to the Business of Tech: https://www.businessof.tech/subscribe/

Looking for a link from the stories? The entire script of the show, with links to articles, are posted in each story on https://www.businessof.tech/

Support the show on Patreon: https://patreon.com/mspradio/

Want to be a guest on Business of Tech: Daily 10-Minute IT Services Insights? Send Dave Sobel a message on PodMatch, here: https://www.podmatch.com/hostdetailpreview/businessoftech

Want our stuff? Cool Merch? Wear “Why Do We Care?” - Visit https://mspradio.myspreadshop.com

Follow us on:

LinkedIn: https://www.linkedin.com/company/28908079/

YouTube: https://youtube.com/mspradio/

Facebook: https://www.facebook.com/mspradionews/

Instagram: https://www.instagram.com/mspradio/

TikTok: https://www.tiktok.com/@businessoftech

Bluesky: https://bsky.app/profile/businessof.tech