With nearly 60% of MSPs expecting revenue growth exceeding 20%, the question isn’t whether growth is possible—it’s which strategies deliver results.
Based on insights from over 400 MSPs surveyed in the 2025 MSP Horizonal report, three key strategies are driving growth for MSPs.
Cybersecurity Services: The Revenue Foundation
Cybersecurity is one of the most important revenue sources for MSPs today.
Currently, network security and endpoint security generate the highest revenue.
However, Managed detection and response (MDR) is going to become the top revenue generator in the coming years. This evolution reflects the growing complexity of cyber threats and clients’ need for proactive security measures. MSPs that invest in building MDR capabilities now will be best positioned to capitalize on this trend.
Co-Managed IT: Expanding Your Market Reach
Co-managed IT represents a significant opportunity for MSPs looking to diversify their client base and enter new markets.
This model will see a big adoption growth from 20% of MSPs in 2024 to an expected 37% in 2025.
The co-managed approach offers two advantages for MSP growth strategies.
First, it opens doors to enterprise clients who maintain internal IT teams but need specialized expertise or additional capacity.
Second, it allows MSPs to enter new market segments and niches without requiring full IT outsourcing commitments from prospects.
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Compliance Services: Meeting Rising Market Demand
Compliance services are emerging as a critical growth area driven by several market forces.
Government and industry regulations are becoming more stringent, with increased penalties for non-compliance creating urgency among business leaders.
The insurance landscape is also driving demand, as cybersecurity insurance providers increasingly require documented compliance measures. Businesses that can’t demonstrate proper compliance face higher premiums or coverage denials.
The growing complexity of IT environments makes it difficult for businesses to maintain compliance in-house.
These reasons make a clear value proposition for MSPs who can provide ongoing compliance management and documentation.
Take Action on These MSP Growth Strategies
The MSPs seeing the strongest growth aren’t waiting for perfect market conditions—they’re investing in these proven strategies now. Whether you’re looking to strengthen your cybersecurity offerings, explore co-managed IT opportunities, or add compliance services to your portfolio, the time to act is now.
