The Cloud Marketplace of the Future

AI agents are leaving a seismic imprint on IT - empowering SMBs to run entire businesses with agents and code - rapidly transforming managed service providers (MSPs) into AI quarterbacks, according to a groundbreaking new report from Pax8.

AI and automation are powerful enough to let SMBs build and run entire businesses using agents and code. This shift means most MSPs will become managed intelligence providers (MIPs), according to Pax8’s new report, “The Agentic Inflection Point.”

AI agents are autonomous systems that are capable of performing complex tasks across systems, platforms and tools – collaborating with human beings to make work not just more efficient but more valuable.

“What began as a series of impressive but isolated advancements in artificial intelligence has rapidly evolved into something far more profound: the emergence of agentic systems that will fundamentally alter the structure of global business,” Pax8 CEO Scott Chasin writes in the report’s foreword.

“The conclusions we present are not speculative,” Chasin writes. “They are drawn from rigorous analysis of technological trends, economic forecasting, and deep engagement with both the AI research community and our global network of technology providers.”

Beyond chatbots: A new, intelligent workforce

Enlightened MIPs help clients move beyond simple chatbots to intelligent workforces capable of outperforming large, traditional businesses, sometimes with just a handful of employees. In fact, they are taking on the role of architecting new ways of getting work done with AI agents, building agentic systems and becoming conductors in an orchestra of new business systems, according to the Pax8 research.

As organizations move forward into agentic strategies, MSPs that don’t move, too, will find their businesses atrophying and taking themselves out of new opportunities.

Pax8’s comprehensive blueprint

To support this evolution, Pax8 is launching six strategic initiatives.

Foremost among these initiatives is the Pax8 Agent Marketplace—a hub that will offer vetted AI agents for both general and industry-specific needs. With transparent pricing, performance data, and deployment specs, it will tap into the fast-growing cloud marketplace trend, projected to exceed $85 billion in third-party software sales by 2028.

Beyond procurement, Pax8 as a trusted partner is building a full ecosystem to guide MSPs through their evolution. This will include an Agent Orchestration Platform for managing fleets of AI agents, designing workflows, and ensuring security and compliance. To build expertise, Pax8 is launching a Transformation Academy and offering tools such as ROI calculators, reference architectures, and industry specific playbooks.

The pressure to get ahead of the technology curve is real.

By 2027, MSPs that stick to traditional models could see their margins cut in half. In contrast, early MIP adopters are already seeing stronger returns, deeper client relationships, and a clear edge in the market. This shift isn’t just about adopting new tools—it’s about rethinking the role of the service provider entirely.

To make the leap, MSPs must focus on five key areas: managing intelligence instead of infrastructure, becoming transformation partners, developing custom agents, tailoring solutions to each client, and optimizing performance beyond uptime.

The report’s conclusion is clear: “The next era of business won’t be built by enterprises; it will be built by SMBs. And the MIPs who guide them will lead the next trillion-dollar economy.”

A good place to start is with Pax8’s long and growing list of AI resources for MSPs – particularly those who know the need for making the move to MIP.