MSPs prepare for big IT security outsourcing opportunities

Managed service providers should prepare for an IT security customer shake-up over the next 12 months, with users choosing to outsource more of their protection, according to research.

IT service management vendor SolarWinds MSP has found that 80% of businesses across the US and the UK will change how they deal with security in the coming 12 months.

This market turbulence includes 17% of companies intending to switch their current service provider in the next 12 months, 10% wanting to cease outsourcing in favour of in-house management, and almost half (49%) planning to outsource their security for the first time.

“This latter group represents an enormous opportunity for IT solution providers and MSPs able to prove their security services credentials,” said SolarWinds MSP.  The research questioned over 400 SMEs and enterprises in the US and UK and found five types of IT security opportunity in order of value:

  • Businesses currently handling security internally but now wanting to outsource their security primarily due to cost (25% of the market)
  • Businesses currently handling security internally but now wanting to outsource it to improve performance (24% of the market)
  • Those currently outsourcing but considering taking security back in-house in the next 12 months (10% of the market)
  • Businesses considering switching service providers due to poor performance (9% of the market)
  • Businesses considering changing providers to reduce costs (8% of the market)

“Every day brings news of a new security hole that needs to be patched, a massive data breach, or new strain of ransomware that businesses need to watch out for,” said Tim Brown, vice president, security architecture at SolarWinds MSP.

“Understandably, this creates nervousness amongst enterprises and SMEs and greater scrutiny of the IT security measures in place. Where there is market turbulence, there is also opportunity, and the good news for IT service providers is that this has resulted in almost half of all businesses planning to outsource their security needs to specialists.”