The Cloud Marketplace of the Future

As we push further into the era of Agentic AI, MSPs are discovering myriad new opportunities to increase profits and grow as they help SMBs navigate this brave new world. That’s especially true for MSPs that successfully evolve into managed intelligence providers (MIPs).

Among the many solutions SMBs need help implementing, governance might be the most vital—whether they know it yet or not. Why? Because by nature, AI agents have access to sensitive information and are designed to act autonomously. Without proper governance, SMBs could open themselves up to potentially devastating consequences.

Microsoft Agent 365 to the Rescue

SMBs may already have more agents than they realize. That includes Copilot agents, custom copilots, and third-party agents. It could also mean shadow AI—employees using AI at work that isn’t formally approved.

To help organizations institute smart, secure governance, Microsoft recently released Agent 365. Unlike Copilot Studio and Azure AI Foundry, which are still your customers’ go-to tools for building agents, Microsoft Agent 365 is a governance layer for managing them.

With Agent 365, Microsoft has expertly crafted an industry-leading governance layer around three key principles:

1. Observability that employs usage analytics, relationship mapping, and risk signals to provide visibility into your customers’ agent estates.
2. Governance via IT-controlled onboarding, lifecycle management, ownership controls, and policy-driven access.
3. Security enforced by Conditional Access for agents, DLP enforcement, and threat protection powered by Defender.

The Pax8 Partner Opportunity

As an MIP, your mission is clear: help SMBs prevent disaster by instituting smart, secure governance for their AI agent estates. It’s a necessity that will only grow over time. In fact, research firm IDC predicts that more than 1 billion agents will be in circulation by 2029. Clearly, the opportunity for MIPs is set to expand, and the time to get started is right now.

The key to making the most of this opportunity is initiating a governance conversation with your customers. It’s about asking questions like:

• Who is allowed to build agents?
• What data can they access?
• How are they reviewed and monitored?

Alerting your customers not just to the power of AI agents but also to the vital need for governance turns that need into a managed service opportunity. For MIPs, it’s a brand-new service category with significant potential to increase revenue and expand as the market grows.

Getting started with Microsoft Agent 365

Microsoft has taken the wraps off its new governance layer. With the May 2026 release of Microsoft Agent 365, the race is on. MIPs intent on turning Agentic AI governance into a profitable, new managed service opportunity are getting to know Agent 365 and introducing their SMB customers to accessible—and necessary—governance.

To get ahead of the market, start exploring Microsoft Agent 365 now.