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Dave Cava on Why Operational Maturity, Not AI, Determines MSP Survival
Margin pressure, driven by a widening profitability gap among MSPs, is the primary structural shift highlighted in this discussion. According to Dave Cava, industry data shows that over half of MSPs operate at less than 5% profitability, while around 27% are running at a loss. Larger and better-funded MSPs are leveraging resources to accelerate adoption of new technologies such as AI, increasing competitive risk for smaller providers that lack operational maturity and financial resilience.
The discussion identified concrete data on workforce dynamics and hiring models as significant, with…
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