Business of Tech: Daily 10-Minute IT Services Insights

Top-performing IT solution providers are experiencing record profitability, achieving over 19% adjusted profit margins for the fifth consecutive year, despite a slowdown in revenue growth. The latest report from Service Leadership indicates that while managed service providers (MSPs) saw revenue growth of only 7.1% in 2024, their adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) grew at a more robust...

AI tools are increasingly leaking sensitive data, with a recent report revealing that 68% of organizations have experienced data leaks due to employees using artificial intelligence tools. Despite a high level of confidence among security leaders—90% believe their security measures are effective—more than half reported regular malware and phishing incidents linked to improper AI implementation. The report highlights a significant d...

The U.S. job market shows resilience with the addition of 177,000 payrolls in April, despite a slight decline in IT roles as tech professionals exit the field. The unemployment rate remains low at 4.2 percent, but the IT sector has seen significant job losses, with over 10,600 positions cut in April alone. This trend is attributed to a cautious hiring environment influenced by increasing automation and economic policies, leading ma...

The Global Technology Industry Association (GTIA) stands at a pivotal moment, facing a profound transformation following the sale of its certification and training division. This transition presents a unique opportunity for GTIA to redefine its mission and solidify its role as a cornerstone of the IT industry. Rather than merely adjusting to changes in the technology landscape, GTIA must embrace a bold, redefined purpose that focus...

Arvind Parthiban, CEO of Super Ops, discusses the company's growth strategy following a recent $25 million Series C funding round. With a focus on artificial intelligence (AI), Super Ops aims to enhance its platform for managed service providers (MSPs) by developing innovative features that streamline IT management. Parthiban emphasizes the importance of being close to customers, revealing plans to relocate the leadership team to t...

Dan Candee, CEO of Cork, discusses the innovative approach of combining software with insurance to provide cybersecurity solutions for managed service providers (MSPs) and their clients. Cork stands out in the cybersecurity landscape by validating the compliance of all client endpoints and offering a cyber warranty that provides financial protection. This model addresses the complexities of cybersecurity, where software vendors oft...

The discussion centers around the evolving landscape of technology roles, particularly in the context of AI and automation. Seth Robinson from CompTIA and Beth Pariseau from TechTarget share insights on the current demand for various IT job families, including software development, cybersecurity, and data management. They highlight that while there is a high demand for skilled professionals, companies are facing challenges in ident...

Alan Mosca, CTO of nPlan, discusses the transformative role of machine learning in construction project management. nPlan leverages historical data from large construction projects to create forecasts that help improve project execution. By analyzing how past projects were completed, NPLAN aims to shift the traditional mindset of project planning, which often relies on rigid schedules with fixed dates. Instead, the company focuses ...

Kaseya has launched a series of AI-driven tools and policy changes at its Connect 2025 event, aimed at enhancing operational efficiencies for IT service providers. The Kaseya 365 Ops platform utilizes AI to help customers improve their operational efficiency, with early users reportedly saving an average of 160 hours per month, equivalent to the productivity of one additional technician. Additionally, Kaseya is introducing free-to-...

Over half of employees are concealing their use of artificial intelligence (AI) tools from their employers, raising significant concerns about trust and compliance within organizations. A study by KPMG and the University of Melbourne found that 57% of employees admitted to hiding their AI usage, with 66% of these users not verifying the accuracy of AI-generated results. This lack of transparency poses risks related to data manageme...

AI is increasingly enhancing efficiency in cybersecurity operations, but human expertise remains essential. A recent report from Enable reveals that while AI tools can significantly reduce analysis time for security alerts, a staggering 86% of these alerts still require human validation. This highlights the ongoing need for skilled analysts in the cybersecurity field, emphasizing that AI cannot operate autonomously without human ov...

Hunter Jensen, the founder and CEO of Barefoot Solutions, discusses the evolving landscape of artificial intelligence (AI) and its practical applications in business. Barefoot Solutions, a custom software development firm, has been at the forefront of technology innovations for over 20 years, adapting to trends from web development to machine learning and generative AI. Jensen emphasizes the importance of understanding specific use...

This episode features a deep dive into the evolving landscape of managed services, focusing on the insights of industry experts Howard M. Cohen and Abraham Garver. The discussion centers around the significant shift towards service-oriented models within the managed service provider (MSP) sector, highlighting the importance of artificial intelligence (AI) and the ecosystems that are driving growth. Cohen emphasizes the three main c...

IBM and Intel have recently reported their earnings, revealing significant challenges despite some positive figures. IBM exceeded earnings expectations with a revenue of $14.54 billion, but its net income fell sharply due to the U.S. government's cost-cutting measures, resulting in a loss of $100 million from canceled contracts. Meanwhile, Intel reported a net loss of $8 million, with stagnant revenues and a warning of potential la...

Maryland has introduced a new 3% sales tax on data and information technology services, set to take effect on July 1, 2025. This legislation expands the definition of taxable services to include essential IT offerings such as cloud storage, IT consulting, and cybersecurity. Experts warn that this tax could lead to increased costs for businesses, potentially discouraging innovation and prompting some to relocate to states with lower...

Zendesk has made a significant shift in its pricing model by moving away from traditional seat licenses to an outcome-based pricing structure. This change, articulated by CEO Tom Eggemeier, means that customers will only pay when an AI agent successfully resolves a business problem. This approach aligns with a broader industry trend towards consumption-based pricing, where costs are directly linked to the value delivered rather tha...

Ransomware attacks targeting small and medium-sized businesses (SMBs) have reached alarming levels, with a recent UK government survey revealing that 1% of organizations reported such incidents, affecting approximately 19,000 entities. This marks a significant increase from the previous year, highlighting a troubling trend where nation-state actors are increasingly focusing on SMBs due to their often inadequate cybersecurity measur...

Small to medium-sized businesses (SMBs) are increasingly turning to third-party service providers to enhance their capabilities in artificial intelligence (AI) and hybrid cloud solutions. A recent Forrester report, commissioned by Crayon, indicates that 31% of surveyed leaders from Australia, New Zealand, India, and Southeast Asia plan to combine in-house teams with external providers to improve their AI capabilities within the nex...

Jason Willis Lee, a specialized medical translator, discusses the impact of AI on the translation industry, particularly in the medical field. With a background in medicine and extensive experience in translating clinical trials, medical reports, and academic research, he has witnessed firsthand the disruption caused by AI technologies. While machine translation tools like Google Translate and DeepL have improved significantly, the...