AI and cybersecurity top priorities for IT service providers, Kaseya survey reveals

Nearly half of respondents expect AI to be the primary budget driver in 2024

Investments among IT service providers are shifting towards AI and cybersecurity according to the new Future of IT Survey report by AI-powered cybersecurity provider Kaseya.

AI emerged as a major focus, with 40 per cent of respondents expecting it to be the primary budget driver in 2024.

This represents a substantial increase in AI adoption compared to previous years.

The optimism surrounding AI is evident, with 75 per cent of participants acknowledging its benefits for business operations. Only 3 per cent expressed doubts about its impact.

IT service providers anticipate that AI technologies will boost IT efficiency by 41 per cent and end-user productivity by 40 per cent.

This positive outlook is reflected in the growing investment in IT automation and machine learning technologies, with 37 per cent of providers planning to allocate funds in these areas, up from 20 per cent last year.

Cybersecurity remains a critical concern, with 43 per cent of respondents identifying it as their primary challenge.

The survey indicates that 45 per cent of providers consider cybersecurity the top area for adding or changing solutions in the upcoming budget cycle.

Key investment areas include security awareness training, email security, penetration testing, and vulnerability scanning.

The report also highlighted a continued emphasis on efficiency and productivity in IT tools.

Approximately 42 per cent of respondents advocate for prioritising the efficiency of IT processes, a trend that has seen steady growth over the past three years.

Nearly half of the participants favour all-in-one solutions capable of managing multiple tasks and processes, reducing the need for multiple tools.

Economic uncertainties are influencing IT spending decisions, with 39 per cent of respondents expecting ongoing uncertainty to impact software spending, followed by hardware (36 per cent) and headcount (26 per cent).

This caution is reflected in a growing preference for shorter vendor contracts, with 40 per cent of respondents leaning toward more adaptable contract periods.