What is the greatest challenge facing Managed Service Providers (MSPs)? Just trying to stay updated on all the latest cybersecurity technologies and solutions. Indeed, close to four out of 10 MSPs told Sophos this when surveyed for the company’s inaugural “MSP Perspectives 2024” report.
MSPs also told Sophos that adding new cybersecurity analysts to support customer growth was their second biggest concern, while keeping up with the latest cyberthreats was their third greatest business challenge.
Top Risks for MSPs and Clients
MSPs identified the lack of in-house cybersecurity expertise as the greatest risk for their operations and their customers. MSPs identified compromised access data, stolen credentials, and unpatched vulnerabilities as their clients' top three security risks. The report also revealed that nearly a third (29%) of ransomware attacks start with compromised credentials, underscoring the magnitude of this issue.
Cyberattacks are fast and complex, requiring the assistance of specialized security providers who have the skills and knowledge to combat them effectively. But trying to find skilled professionals when there is a global shortage of them makes it challenging for MSPs to recruit and retain these experts.
A Growing Demand for MDR Services
The combination of the global skills shortage and the increasingly complex cyberthreat environment together fuel a growing demand for Managed Detection and Response (MDR) services. MDR services provide 24x7 monitoring for ransomware detection and breach prevention. The survey shows that 81 percent of MSPs currently provide MDR services. Among the remaining MSPs who don't, almost half (97%) are planning to offer them in the near future.
The lack of in-house cybersecurity expertise is driving MSPs to seek outside assistance for MDR. About 66 percent of MSPs rely on third-party vendors to deliver their MDR services, while an additional 15 percent use a mix of their own Security Operations Centre (SOC) and third-party vendors. Delivering round-the-clock incident response services is considered the most crucial capability for third-party MDR providers.
MSPs Streamlining Partnerships
MSPs are optimizing their cybersecurity collaborations by partnering with a select few vendors. More than half (53%) work with only one or two cybersecurity vendors, which increases to 83 percent when considering those who collaborate with between one and five vendors.
Streamlining is often viewed as a strategy to cut operational costs and boost profits. MSPs could reduce their daily management workload by almost half (48%) if they could manage all their cybersecurity tools from a single platform.
Driving Growth and Profitability for MSPs
MSPs have a critical role in defending their clients against rapidly evolving cyber threats. Sophos delivers a complete portfolio of industry-leading, fully managed 24/7 security services and solutions, all managed through the Sophos Central security platform. With innovative, adaptable defenses and a holistic MSP cybersecurity framework, Sophos instills cyber confidence and enables partner success.
If you’re an MSP interested in learning how to expand your business and enhance profitability, we encourage you to download and read the full report or visit www.sophos.com/msp.