To grow beyond common revenue plateaus, MSPs must shift focus from their technology stack—which customers don't care about—to professional and managed services. Growth and margin come from selling solutions like managed cybersecurity or AI deployments, not from the specific tools used to deliver them.

AI models are commoditized, but the ecosystem of tools, services, and compliance standards is increasingly complex. The example of needing nine Azure services for only 39% NIST compliance highlights this. Companies offering a consolidated, simplified path to value will hold a significant competitive advantage.

While network effects drive consolidation in tech, a powerful counter-force prevents monopolies. Large enterprise customers intentionally support multiple major players (e.g., AWS, GCP, Azure) to avoid vendor lock-in and maintain negotiating power, naturally creating a market with two to three leaders.

The CMO trend of consolidating to a single all-in-one platform often sacrifices best-in-class capabilities, especially in AI. A more agile strategy is to keep your preferred ESP and SMS tools and layer a dedicated AI decisioning engine on top, using APIs to orchestrate campaigns without a costly rip-and-replace.

The current proliferation of AI tools has led to functional overlap, with many providers creeping into each other's spaces. CMOs will move from broad experimentation and tool acquisition to a strategic consolidation to eliminate redundancy and focus on the most effective, integrated solutions for their stack.

Miro's CEO highlights a market paradox: CIOs are aggressively consolidating their software stack to save costs, yet simultaneously, they are allocating significant budget for AI experiments that promise major business impact. This creates a dual-track market where both platform consolidation and niche AI tool adoption are happening at once.

Managed Service Providers become indispensable to vendors like Microsoft and Google by adding $7-11 of high-value services for every dollar of product revenue they generate. This value creation gives them significant leverage and makes them a more respected and crucial part of the vendor's ecosystem.

Netscope CEO Sanjay Barry's strategy is to occupy the middle ground between niche startups and giant suites like Microsoft. He argues customers want a "few core platforms," not 100 products or just one. This "Goldilocks" positioning offers a comprehensive solution without locking customers into a single vendor's entire ecosystem.

Managing 6-15+ marketing tools isn't just about license fees or lost productivity. This 'tech sprawl' is a hidden strategic cost that prevents a single view of the customer, making personalization difficult and ultimately hindering growth and increasing acquisition costs.