Why MSPs Shouldn’t Ignore AI

Interest in Artificial Intelligence (AI) is growing, with 81% of IT leaders currently investing in, or planning to invest in, AI. To meet this demand, the AI startup space is rapidly expanding. In just the past two years 1,100+ new AI companies entered the marketplace, bringing the total number to well above 2,200, according to angel.co.

IDC predicts this market to grow from just $8B in 2016 to nearly $47B in 2020. That’s a Compound Annual Growth Rate (CAGR) of 55%. That growth is expected to fall into three categories: $18B in software applications, $5B in software platforms, and $24B in hardware and services.

Others believe IDC’s predictions are too conservative. Case in point, IBM values the cognitive computing space at $2T, with $200B in healthcare and life sciences alone.

Regardless of the exact amount, it’s clear that the AI market is poised for impressive growth.

Why AI

As enterprises aim to optimize spending and improve revenue and profitability, AI becomes an attractive option. Far more advanced than it was just 5 years ago, this technology enables companies to apply complex machine-learning algorithms to predict outcomes.

These outcomes might help enterprises decide how much inventory to have in stock during certain times of the year, if it makes sense to open a secondary warehouse, etc. For software developers, this type of technology can even help prioritize which features or improvements to build out next.

In short, the right AI technology can help the entire IT channel ideate and solve problems faster than ever before possible, which could reduce employee and customer churn and improve a company’s financial outlook.

The Future AI & You

Imagine a future where you can identify issues customers will eventually complain about before the first complaint is even submitted. Powerful AI can make this idea a reality. By relying on the right machine-learning algorithms to predict negative outcomes before they occur, organizations can avoid bleeding out revenue while they build and scale their services.

Companies that learn how to harness AI early on will gain a distinct competitive advantage in the marketplace. Much like cloud technology, AI is a game-changer that has the potential to shake up the market in ways not yet conceived. Smart Managed Service Providers (MSPs) are monitoring AI trends and using this technology to increase cost efficiency and productivity.

Preparing for AI

Before jumping into the latest AI technology, it’s important to have an existing infrastructure in place that’s flexible enough to scale and pivot with the recommendations AI solutions make. ProfitBricks Infrastructure as a Service (IaaS) can be that platform. Easy to set up, and instantly scalable, this solution delivers efficient and secure cloud infrastructure that can keep pace with your business. Try ProfitBricks free for 30 days.