Thriving in the AI Era: Prioritizing Business Outcomes in Sales

‘You guys are now business solutions providers. You’re providing business outcomes,’ says Mike DePalma, vice president of small- and midsize-business business development at OpenText.

In recent discussions about the future of managed services, the shift in focus toward providing tangible business outcomes has been a critical topic. Gone are the days when Managed Service Providers (MSPs) could rely on easy margins gained from traditional backup devices. The rise of artificial intelligence (AI) and the evolving needs of clients have sparked a profound transformation in the approach required for success. According to Mike DePalma, many solution providers are now navigating towards what some call a business solutions provider (BSP) model, emphasizing outcomes over mere services.

At the 2025 XChange NexGen conference, DePalma emphasized that the term “MSP” might soon become obsolete. He stated, “What you guys are doing is not managed services. You’re now business solutions providers. You’re providing business outcomes.” This significant shift highlights the need for solution providers to redefine their value propositions as they adapt to clients’ evolving expectations in the era of AI.

OpenText Cybersecurity AI

Tanaz Choudhury, CEO of TanChes Global Management and a member of CRN’s 2025 MSP 500, echoed DePalma’s sentiments regarding the changing landscape for solution providers. Her firm has pivoted away from the traditional managed security service model to focus on integration and technology partnership, positioning herself as a business solutions provider. Her approach is illustrated by her company’s motto: “resolutions fast.” She believes that if a client’s business faces downtime, it directly impacts their own success as a partner.

DePalma further elaborated on the substantial role solution providers play in driving successful AI implementation for their clients. OpenText, which encompasses various services including cloud products and subscription data protection, has reported significant findings indicating that solution providers are essential in harnessing AI to deliver desired results. He pointed out that statistics revealing that 95 percent of AI projects yield no return on investment present a unique opportunity for providers to diagnose failures, strategize corrective actions, and implement effective solutions while ensuring compliance with privacy and governance regulations.

“There’s a gold rush coming,” DePalma declared, urging solution providers to discover their place in this rapidly evolving environment. In an era where product differentiation is dwindling and technology offerings increasingly resemble commodities, the standout solution providers will be those that can articulate how they leverage AI and technology to ensure projects run smoothly and efficiently. Traditional IT services, such as security and repair work, can no longer be the sole focus; the emphasis must shift to providing measurable outcomes.

For instance, DePalma cited that among the top-performing 24 percent of OpenText partners, a significant return on investment of $6.73 for every $1 spent demonstrates the potential of integrating advanced tools and services. Successful providers are leveraging not only their technical expertise but also design services and strategic business insights, fostering a revenue-enhancing mindset that aligns with the BSP model.

Building trust with clients is vital as solution providers need to clarify the complexities surrounding technology implementations. For example, insurance clients often face a barrage of paperwork that appears excessive, and it’s the provider’s responsibility to demystify these processes and explain the reasoning behind each security tool. They must engage clients using a holistic approach, understanding specific pain points, and utilizing AI to create solutions that drive business success. Without this emphasis on strategic partnership, providers risk losing clients to competitors that embrace a more innovative approach.

Currently, about three-quarters of employees are using AI at work, with nearly half having started in the past six months. This presents a unique opportunity for solution providers to step up as instructors and guides in navigating these advanced technologies. However, DePalma observed a gap; over 90 percent of MSPs acknowledge that AI is contributing to business growth, yet less than half feel empowered to recommend AI-based products effectively to clients. This inconsistency highlights a need for training and skill enhancement within the industry to truly embody the business solutions provider mindset.

DePalma shared a compelling success story—a managed service provider that introduced Microsoft Copilot to a law office, drastically reducing time and costs associated with prenuptial agreement drafting. With the tool streamlining most of the writing process, only final approvals required human oversight, showcasing how AI can deliver financial efficiency and value to clients’ operations.

“The knowledge that you all have can significantly impact how small businesses leverage AI,” DePalma urged. By positioning themselves as trusted advisors, MSPs can not only validate their expertise but also justify price increases, enhancing their perceived value among clients. Furthermore, providers are encouraged to cultivate more assertive relationships with vendor partners, coordinating multiple vendors to discuss comprehensive growth strategies and resource allocation.

“You have got to take the power back,” DePalma concluded, setting a rallying cry for solution providers to boldly embrace their evolving role and position. The future of their businesses depends on their ability to adapt and thrive in the shifting landscape of technology and client expectations.