IT providers must navigate AI, cybersecurity, efficiency and economic fluctuations

IT providers are navigating the intersection of AI, cybersecurity, and efficiency while adapting to economic fluctuations, according to a new “Future of IT Survey” report by Kaseya.
The report said that investments among IT service providers were increasingly directed toward AI and cybersecurity. AI has emerged as a significant focus, with 40 per cent of respondents expecting it to be the primary budget driver in 2024.
More than 75 per cent of participants acknowledge the benefits of AI for business operations with only three per cent expressing doubts about its impact.
IT service providers anticipate that AI technologies will enhance IT efficiency by 41 per cent and end-user productivity by 40 per cent.
The report said the positive outlook on AI is reflected in increased investment in IT automation and machine learning. Specifically, 37 per cent of providers plan to allocate funds in these areas, up from 20 per cent last year.
Cybersecurity remains a critical challenge, with 43 per cent of respondents identifying it as their primary concern.
More than 45 per cent of providers consider cybersecurity the top area for adding or changing solutions in the upcoming budget cycle.
Providers focus on security awareness training, email security, penetration testing, and vulnerability scanning.
Approximately 42 per cent of respondents advocate for prioritising the efficiency of IT processes. The trend toward efficiency has steadily grown over the past three years.
The report said that nearly half of the participants prefer all-in-one solutions that manage multiple tasks, reducing reliance on multiple tools.
Ongoing economic uncertainties influence IT spending decisions. 39 per cent of respondents expect software spending to be impacted, followed by hardware (36 per cent) and headcount (26 per cent).
The report added that 40 per cent of respondents lean toward more adaptable contract periods.