Business of Tech: Daily 10-Minute IT Services Insights

Artificial intelligence is reshaping the technology services landscape, with leading reports from IDC, Gartner, and new offerings from ServiceNow pointing to a future where managing AI sprawl becomes as critical as delivering AI capabilities themselves. High-performing channel partners are leaning into AI specialization, driving measurable outcomes for customers and fueling double-digit growth des...

The episode starts with the passage of California's groundbreaking AI transparency law, marking the first legislation in the United States that mandates large AI companies to disclose their safety protocols and provide whistleblower protections. This law applies to major AI labs like OpenAI, Anthropic, and Google DeepMind, requiring them to report critical safety incidents to California's Office o...

The global IT services market is projected to grow significantly, reaching nearly $3 trillion by 2033, driven by the increasing adoption of cloud services, digital transformation, and a rising demand for automation and cybersecurity solutions. Proactive IT services currently dominate the market, accounting for over half of the share, particularly in heavily regulated sectors like banking, financia...

Alexander Schlager, CEO of Aiceberg.ai, discusses the intersection of artificial intelligence (AI) and cybersecurity, emphasizing the importance of securing AI-powered workflows. Aiceberg employs traditional machine learning techniques to safeguard generative AI systems, providing a deterministic and explainable approach to security. This method allows organizations to understand how their AI syst...

Managed service providers (MSPs) are experiencing significant growth driven by interest in artificial intelligence (AI), with 92% reporting an uptick in business. However, a concerning trend has emerged: only about half of these providers feel equipped to assist small and mid-sized businesses in adopting AI tools, a sharp decline from 90% the previous year. This growing readiness gap highlights th...

Art Kleiner, co-author of "The AI Dilemma" and Principal at Kleiner Powell International, discusses the complexities of AI governance, trust, and accountability in the context of modern technology. He emphasizes the importance of being intentional about risk when deploying AI products, particularly large language models, which can inadvertently perpetuate biases and misinformation. Kleiner shares...

Generative AI is significantly transforming technology jobs, particularly by automating repetitive tasks such as coding and data processing. A recent analysis by Indeed indicates that while many tech skills will evolve, less than 1% are likely to be fully replaced by AI. This shift is creating challenges for organizations, as employees struggle with the overwhelming number of AI tools available, l...

The Defense Department's Cybersecurity Maturity Model Certification (CMMC) effort has uncovered that many contractors are unaware of export control violations, which could lead to significant legal and financial penalties. As the certification becomes mandatory, early assessments indicate common violations of the International Traffic in Arms Regulation and Export Administration Regulations. Contr...

Americans are increasingly anxious about artificial intelligence (AI), with a recent Pew Research Center study revealing that 50% of participants express more concern than excitement regarding AI's growing presence in daily life. This marks a significant rise from 37% in 2021. The study highlights skepticism about AI's impact on creativity and interpersonal relationships, with many believing it co...

NVIDIA has made a significant move by investing $5 billion in Intel, acquiring approximately 4% ownership of the company. This partnership aims to co-develop custom data center and personal computer products, integrating NVIDIA's advanced AI and accelerated computing capabilities with Intel's leading CPU technologies. The collaboration is expected to create custom x86 chips that will be manufactur...

Angelo Ponzi, a seasoned marketing strategist with over 30 years of experience, discusses the challenges of brand differentiation in the crowded managed services provider (MSP) and IT services market. He emphasizes the importance of moving away from company-centric messaging, which often leads to a homogenized market where all providers sound the same. Instead, he advocates for a customer-centric...

AI-driven transformation is underway as over half of tech and media firms plan major organizational restructures to integrate artificial intelligence, despite the high failure rate of early pilot programs. Salesforce expects AI to handle 50% of service calls by 2027, while Business Insider is quietly using AI to draft articles. Fiverr’s "AI-first" restructuring has led to a 30% workforce reduction...

Travis Springer, president of Sagiss, a managed services provider based in Dallas, shares insights into his leadership journey and the unique approach his company takes in the IT services industry. Since taking over just before the COVID-19 pandemic, Travis has led a team of over 20 professionals, helping clients navigate significant challenges, including the rapid transition to remote work and co...

OpenAI has launched a beta version of Developer Mode for ChatGPT, which allows developers to utilize full read and write support for model context protocol tools. This new feature promises to enhance automation capabilities, enabling developers to create connectors for various applications, such as updating JIRA tickets or triggering workflows in services like Zapier. However, the introduction of...

Microsoft has announced a new policy requiring employees to return to the office three days a week, citing internal data that suggests in-person collaboration enhances employee engagement and productivity. However, this move comes amidst a growing trend where remote-first companies are experiencing faster growth rates. A report indicates that firms allowing remote work are growing 1.7 times faster...

Small businesses and managed service providers (MSPs) are currently facing a significant labor squeeze, with many unfilled job openings despite a backdrop of economic growth. According to recent reports, a notable percentage of small business owners are struggling to find qualified candidates, particularly in sectors like construction and manufacturing. The IT job market is also experiencing a dow...

Tara May, CEO of Aspiritech, leads a pioneering tech company where over 90% of the workforce consists of autistic adults. This unique model not only serves a social mission of providing meaningful employment but also leverages the strengths of neurodiverse individuals as a strategic advantage in the tech services sector. Aspiritech specializes in quality assurance, accessibility testing, and cyber...

Howard M. Cohen, a seasoned expert in the managed service provider (MSP) sector, discusses the current state and future potential of artificial intelligence (AI) for MSPs. He highlights that while adoption rates are still low, with only a small percentage of partners and customers fully integrating agentic AI, there is a growing interest in practical applications. Cohen emphasizes the importance o...

OpenAI has announced a major restructuring plan that involves transferring an equity stake valued at over $100 billion to the non-profit organization overseeing it. This move is part of a broader strategy to transition OpenAI from a non-profit to a public benefit corporation, alongside a tentative agreement to resolve financial issues with Microsoft, which has invested over $13 billion in OpenAI s...

Oracle Corporation has made headlines with its ambitious revenue projections, forecasting a dramatic increase in its cloud server rental business from $10 billion in fiscal 2025 to $144 billion by fiscal 2030. This growth is attributed to a significant rise in new contracts and a 359% boost in business backlog, largely driven by partnerships with major AI firms. Despite the excitement surrounding...

The Pentagon has officially mandated the Cybersecurity Maturity Model Certification (CMMC) for defense contracts, transitioning from a policy framework to enforceable requirements. This regulation, set to take effect on November 10, 2025, requires contractors to meet specific cybersecurity benchmarks based on the sensitivity of the information they handle. With three certification levels, the CMMC...

OpenAI has projected a staggering $115 billion cash burn by 2029, raising significant concerns about the sustainability of the AI model market. Despite an anticipated revenue of approximately $13 billion this year, driven largely by ChatGPT, the company faces escalating costs that could lead to a cash burn exceeding $8 billion this year alone. This financial instability poses risks not only to Ope...

The U.S. job market is experiencing a significant slowdown, with only 22,000 jobs added in August, marking the first net job loss since December 2020. The unemployment rate has slightly increased to 4.3%, indicating a decline in hiring and job seeker enthusiasm. Despite these challenges, the adoption of artificial intelligence (AI) in the labor market is not leading to widespread job losses. A rec...

Ephraim Ebstein, founder and CEO of FIT Solutions, has successfully built two national IT companies and is now focused on transforming technology into a growth engine for businesses. His organization specializes in integrating artificial intelligence (AI) into various sectors, particularly in the realm of customer service and operational efficiency. With a revenue of $30 million last year and proj...

Seth Robinson, Vice President of Industry Research at CompTIA, joins host Dave Sobel to discuss the intersection of cloud computing and artificial intelligence (AI). They explore the notion that while there is a prevailing narrative about moving from the cloud era to the AI era, many organizations may not have fully optimized their cloud workflows. Robinson emphasizes that the end of the cloud era...