Nearly half of MSP clients now rely on their providers for executive-level cybersecurity leadership and compliance governance.
Managed Service Providers (MSPs) are rapidly transitioning from traditional IT maintenance providers into strategic cybersecurity leaders, according to new research released today by Sophos. The global study reveals that 84% of MSPs anticipate a surge in demand for Chief Information Security Officer (CISO) services over the next 12 months as organizations grapple with shifting regulatory obligations, complex multi-cloud environments, and AI-driven risks.
Currently, MSPs estimate that 46% of their clients rely on them to act as their CISO, providing high-level risk guidance, governance, and security strategy that internal teams lack the resources to support in-house.
“Organizations require more than technology management to stay secure. They need trusted cybersecurity leaders who can help them understand their risk, navigate compliance requirements and translate security investments into meaningful business outcomes,” said Matt Helling, product director at Sophos. “MSPs are already stepping into this role for nearly half of their customers, creating a significant opportunity to deepen relationships and develop new, higher-value services. The challenge now is delivering that leadership consistently and efficiently across a growing customer base.”
Rising Demand for Managed CISO Services
Key Highlights from the Sophos 2026 MSP Perspectives Report:
- Compliance Drives Spend: Regulatory requirements heavily or decisively influence customer cybersecurity purchases for 50% of organizations, making compliance a primary driver for security investments.
- Operational Fragmentation: While 99% of surveyed MSPs provide at least one cybersecurity compliance service, 53% still rely on multiple disconnected tools to manage client security postures, leading to operational friction and scaling challenges.
- The Platform Efficiency Opportunity: MSPs estimate they could save 53% of their administrative time by consolidating security posture monitoring, compliance management, and client reporting into a unified platform.
- Reporting Bottlenecks: Although 86% of MSPs automate parts of their reporting workflow, 55% still require manual labor to generate consolidated client posture reports.
“MSPs have an opportunity to become indispensable strategic partners to their customers, but scaling that role requires a more unified operating model,” continued Helling. “Bringing security posture, compliance management and reporting together can help MSPs spend less time manually consolidating information and more time helping customers reduce risk, strengthen resilience and make informed cybersecurity decisions.”
To address this shift, Sophos announced Sophos CISO Advantage, launching in October 2026. Powered by Sophos Fusion—the company’s AI-native Cybersecurity Defense System—the solution leverages agentic AI workflows to deliver automated assessment, framework-mapped reporting, and board-ready insights to help MSPs scale virtual CISO offerings efficiently.
Disclaimer: This article is based on research commissioned by Sophos and conducted by independent research firm Vanson Bourne. Readers are advised to review the full report for its methodology and complete findings.
