TL;DR: Tool sprawl is the main reason organisations seek MSP security help, according to Barracuda, and 45% will switch providers if expertise and 24/7 support are not visible. Managed security now hinges on demonstrable operational depth, not broad service claims.
Editorial analysis by NHI Mgmt Group, based on content published by Barracuda: “The MSP Customer Insight Report 2025”.
By the numbers:
- 85% of organizations with 1,000 to 2,000 employees rely on MSPs for security support.
- 61% of organizations with 50 to 100 staff members rely on MSPs for security support.
- 39% of organizations expect to need MSP support with AI and machine learning tools and applications in the next few years.
Key questions
Q: Why does tool sprawl create security risk in managed services?
A: Tool sprawl creates security risk because every extra console introduces another chance for policy mismatch, configuration drift, and technician error.
Q: How do managed security providers support 24/7 security operations?
A: Managed security providers support 24/7 security operations by running continuous monitoring, alert triage, log analysis and escalation workflows across endpoints, networks, cloud services and identity events.
Q: How should organisations govern MSP access to sensitive systems?
A: Treat MSP access as privileged third-party identity, not ordinary support.
Practitioner guidance
- Separate provider-admin access from customer administrative rights Give MSP personnel only the access they need, segment support paths by tenant or environment, and require break-glass workflows for exceptional actions.
- Document ownership for logs, alert triage, and escalation Define which party collects logs, who investigates alerts, how severity is assigned, and what evidence is retained when a provider acts on behalf of the customer.
- Test the provider's 24/7 response model before renewal Run tabletop exercises and timed support tests to confirm that the MSP can detect, escalate, and contain incidents outside normal business hours.
Bottom line: Tool sprawl is no longer just an operational nuisance. It has become a reason organisations outsource security work and a test of whether providers can impose order across fragmented environments.
Glossary terms: Managed Security Service Provider (MSSP), Privileged Access, Break-glass Access, Delegated administration
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Tool sprawl has become a procurement signal as much as an operational burden. This survey shows that organisations increasingly buy managed security not only to reduce workload, but to compensate for fragmented tooling and the coordination overhead it creates. The market implication is that MSPs are being judged on integration discipline, response maturity, and transparency, not just on breadth of services.
A question worth separating out:
Q: What should organisations expect from MSP support for AI tools?
A: Organisations should expect MSP support for AI tools to cover access control, tenant configuration, logging, model and prompt governance, and incident handling for misconfigurations or misuse. For AI platforms, that usually includes role-based access, API key management, audit trails and separation of administrative duties, while the organisation retains accountability for approved use and data handling.
👉 Read our full editorial: MSP security demand rises as tool sprawl outpaces in-house teams