A significant portion of organizations currently evaluating managed service providers (MSPs) report a lack of confidence in their internal capabilities to identify, investigate, and recover from cybersecurity incidents. According to data from Barracuda Networks, while 66% of surveyed organizations already utilize an MSP and another 29% are actively vetting potential partners, the primary driver for this transition is not necessarily a higher frequency of attacks, but rather a perceived inability to manage the aftermath of a breach.
The research indicates that prospective MSP customers are particularly concerned about their operational resilience. Only 29% of these organizations believe they possess the internal capacity to secure compromised accounts and restore normal operations within a few hours of an incident. Conversely, 9% of those surveyed admitted that recovery efforts would either take longer than a week or could not be performed with any degree of consistency. This lack of confidence is compounded by immature internal governance; 41% of organizations considering an MSP described their security policies and programs as being in an early or partial stage of development.
Visibility into the supply chain remains another critical vulnerability for these businesses. Nearly half of the prospective MSP customers, at 46%, reported that they do not maintain a comprehensive inventory of third-party vendors who have access to their sensitive data. This gap in asset management, combined with underdeveloped security frameworks, appears to be a major factor in the decision to seek external expertise.
The emergence of artificial intelligence has introduced a new layer of complexity to these security concerns. Approximately 59% of organizations looking for an MSP identified AI-related threats as a significant worry. These concerns are multifaceted, ranging from the rise of AI-generated phishing and social engineering campaigns to the risks posed by unauthorized employee use of AI tools and potential AI-enabled insider threats. Beyond defending against external AI attacks, these companies are also seeking guidance on how to safely integrate AI into their own workflows, specifically regarding the establishment of usage policies and the protection of sensitive information processed by these systems.
When addressing these gaps, organizations are prioritizing specialized knowledge over simple headcount expansion. Only 23% of respondents indicated that hiring additional staff would be the most effective way to improve their security posture. Instead, there is a clear preference for providers that offer enhanced threat visibility, AI-assisted investigation capabilities, and more time dedicated to proactive prevention strategies.
Communication styles are also playing a pivotal role in the selection process. While 95% of existing MSP customers confirm that technical proficiency remains the baseline requirement for any provider, 40% emphasize the importance of clear, non-technical communication. These customers are looking for partners who can translate complex security incidents and risk assessments into plain language that is understandable for business leaders without a technical background.
Ultimately, the findings suggest that the market for managed security services is shifting toward a model that values business context as much as technical skill. Organizations are seeking partners who not only possess deep industry expertise but also understand the specific operational pressures of their clients. The ability to bridge the gap between technical security findings and business-level decision-making has become a key differentiator for MSPs aiming to support clients who feel overwhelmed by the current threat landscape.
