Major trends that are changing how small and medium-sized businesses operate are also responsible for driving more SMBs to Managed Service Providers, according to a new report. As the capabilities, benefits and security of innovative technologies grows and the costs to use them remains low, SMBs are adopting them at a rapid rate. However, the looming IT skills shortage and the high costs are causing many companies to shift away from in-house IT department models to Managed Service Providers.


The three biggest technology trends emerging in small and medium-sized businesses are:

  • Growing investment in cloud computing
  • Increased focus on security
  • Higher demand for data recovery

How are Managed Service Providers helping businesses?

Cloud computing

Cloud technologies and applications like Google Drive have now become a major part of SMB operations. New research from the SMB Group reveals that 92% of small to mid-sized businesses are using at least one cloud computing solution and 87% are using at least one cloud infrastructure solution. With so many companies using these technologies, there is an even greater need for skilled tech experts that can help manage them.


Data security should be a top priority for all businesses, no matter what size. However, SMBs in particular lack a thorough understanding of data security requirements and laws, according to recent study. The study by Software Advice found that only 33% of SMB owners felt that they were very confident when it came to understanding security breach laws. Managed services providers help owners not only make sure that data is secure but that it is compliant, so that businesses can focus on other initiatives.

Data recovery

Based on research from Easy Phone Office, data recovery will be a major focus for companies this year. More businesses are adopting server virtualization, highlighting the need for data recovery plans to be in place. MSPs are helping SMBs formulate data recovery plans and put procedures in place to make sure that data is secure and won’t be lost if a disaster occurs.


Innovative technologies like cloud computing are helping small and medium-sized businesses grow like never before. However, it is also important for SMBs to have the right expertise, tools and plans in place to support these new technologies, which is where managed services providers are key.