Managed service providers (MSPs) are under growing pressure to deliver robust security solutions while maintaining operational efficiency across multiple client environments. The AvePoint Global MSP Preferences Survey reveals that 52% of MSPs reported ransomware attacks on their clients, with significant gaps in network (75%), identity (57%), and collaboration security (35%). The small and medium business (SMB) market that many MSPs service isn’t exempted, either; Microsoft research shows that 31% of SMBs have experienced cyberattacks like phishing or data breaches.
These challenges present significant opportunities for MSPs. SMBs frequently lack the resources and expertise to implement comprehensive security measures, making them prime targets for cyberattacks. Traditional managed service approaches can result in fragmented security stacks, inefficient processes, and diminishing profit margins as these solutions become more and more commoditized.
To stay competitive, modern MSPs must stay ahead of the technology curve and scale security services to meet changing buyer preferences without additional resources. They need to ensure data security and efficient information management while navigating growing compliance requirements and sophisticated cyberthreats. This blog explores four approaches to address these challenges.
Four Approaches to Modern MSP Challenges
Historically, MSPs have focused on managing migrations, IT services, and customer support, but modern MSPs know that security must now be at the forefront. MSPs have been under pressure to provide cybersecurity solutions to end customers for years; that isn’t new. But today’s security challenges can’t be solved only by firewalls and ransomware solutions. The challenge comes when MSPs have to balance providing advanced security solutions with the need for operational efficiency in order to create profitable revenue streams that can solve end users’ business outcomes. The cybersecurity services market is projected at $185 billion in 2025, making it one of the fastest-growing IT industries. SMBs will account for 60% of global cybersecurity spending by 2026, and MSPs and systems integrators will account for 40% of SMB cybersecurity spending in 2025. How can MSPs transform security from a cost center into a profitable service line while delivering the protection their clients increasingly demand in today’s threat landscape?
Security Standardization at Scale
It is time-consuming and operationally inefficient to individually configure and manage each customer tenant one by one. Creating out-of-the-box templates or customized baselines helps MSPs quickly manage infrastructure and seamlessly onboard clients. Baselines ensure consistent security and compliance configurations across multiple tenants, allowing MSPs to efficiently deploy standardized settings, monitor for deviations, and address issues promptly.
With baseline management, MSPs can quickly ensure that all clients adhere to best practices and regulatory requirements, lowering the risk of security breaches and compliance violations. MSPs can:
- Establish consistent security configurations across all client environments.
- Automate security policy enforcement with customizable templates.
- Detect and remediate configuration drift in real-time.
- Demonstrate compliance with detailed reporting and audit trails.
By implementing standardized security baselines, MSPs can significantly reduce the attack surface while creating predictable, scalable service delivery models.
User and Device Management
Organizations allowing unmanaged devices face risks of unauthorized access and unsanctioned applications. With 80% of cyberattacks using identity-based methods and 72% of IT managers citing challenges with current identity and device management, MSPs need to simplify user lifecycle management and unify device management across tenants by
- Centralizing user management across multiple tenants.
- Streamlining license management and optimization.
- Automating user provisioning and de-provisioning.
- Simplifying multi-factor authentication (MFA) management and security enforcement.
- Monitoring device compliance and remediation tools.
Cloud Backup with Reliable Data Protection
The AvePoint Global MSP Survey shows that 53% of MSPs offer cloud backup and data protection services to their end customers. This speaks highly about how MSPs are vital for keeping businesses' data secure and operations running smoothly.
Data protection goes beyond simple backup; it is essential to safeguard client data against loss, corruption, and cyberattacks. Cloud backup offers comprehensive business continuity and disaster recovery capabilities, providing MSPs with the tools to safeguard client data, including:
- Point-in-time restoration options for recovery needs, along with improved reporting for job monitors and system auditors.
- Granular control options for admins to regulate access, implement approval workflows for deletion, and optimize restore features.
- Automated testing to ensure backup integrity, reducing runtime errors.
- Secure, isolated backup storage to prevent ransomware contamination and ensure precise data recovery.
These capabilities allow MSPs to offer tiered data protection services tailored to different client risk profiles and compliance needs.
Workspace Management to Secure Collaboration and AI Access
With AI revolutionizing industries, 81% of SMBs believe AI increases the need for additional security controls. Managing multiple tenants within a shared infrastructure can be challenging for MSPs, requiring careful resource allocation to ensure each tenant’s performance is not compromised. Similarly, customizing features and settings to meet each tenant’s unique needs can be time-consuming and resource-intensive — a significant barrier to entry for MSPs that are already time-constrained.
To secure collaboration, a unified workspace management provides a centralized hub to monitor and govern workspaces, offering real-time monitoring, policy enforcement, and lifecycle management to ensure that client workspaces are secure and well-managed. MSPs can:
- Automate workspace provisioning with built-in security controls.
- Lifecycle management to prevent the proliferation of unsecured workspaces.
- Controls for AI access to sensitive data with user-directed governance.
- Automate compliance policies for internal/external sharing.
- Centralize visibility across all client collaboration environments.
How AvePoint Bolsters Your Security Managed Services?
MSPs can efficiently scale their security services, creating new revenue opportunities and stronger client relationships. AvePoint Elements enhances security, streamlines operations, and drives profitability for MSPs. This multi-tenant platform provides powerful tools for data security posture management, offering new revenue opportunities and competitive advantages:
- Enhanced security posture. By offering proactive security services built on AvePoint’s platform, MSPs can identify and remediate security gaps before they become problems.
- Operational efficiency. Automation reduces labor costs while increasing security consistency across clients, helping MSPs “do more with less.”
- Risk reduction. Comprehensive visibility across tenant configurations, user identities, and collaboration spaces significantly reduces security vulnerabilities.
- Compliance readiness. Pre-built compliance frameworks help MSPs confidently address regulated industries through automated policy enforcement.
- AI-ready security services. As organizations adopt AI tools, MSPs can ensure proper data access governance, positioning themselves as security-first advisors.
Are You Ready to Transform Your Managed Services?
As security threats evolve, MSPs must strengthen their security services portfolio to stay competitive and valuable to clients, all while not overburdening teams that may already be stretched thin. AvePoint Elements provides the foundation for enhanced security services with powerful baseline management, reliable cloud backup, and comprehensive workspace management capabilities.
