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Economic conditions and skill shortages threaten MSPs

Simon Quicke

Tough economic conditions coupled with skills shortages threaten to hold back the market and development of managed service providers (MSPs).

The warning that the financial climate is stunting more investment in managed services has been sounded in a survey of MSPs carried out by IBM.

Big Blue revealed that although the market is growing in pockets some MSPs are struggling to get past the attitude some customers are having towards making technology investments.

There also appears to be an ongoing need for education with customers still looking for answers to questions around cloud security and where their data resides.

But more worrying than perhaps financial conditions, which potentially could ease, are the skills shortages that the IBM survey revealed.

"More than 20% of respondents specified difficulty accessing staff with skills in the following areas: sales, solution design, security operations centre engineers. others commented on the need for effective marketing capability and management skills," stated the MSP survey for IBM.


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