As 2025 looms on the horizon, MSPs are grappling with an ever-shifting cybersecurity landscape. The stakes are higher than ever, with small and medium-sized businesses continuing to face relentless cyber threats. While MSPs play a critical role in shielding these businesses, the road ahead is not without its twists and turns.

Drawing from recent insights—including our Guardz survey, which found that 77% of MSPs are struggling to manage multiple cybersecurity solutions—I want to unpack the challenges, risks, and opportunities MSPs should have on their radar for the year ahead.

Top Challenges for MSPs 

1. The Complexity Conundrum

Managing cybersecurity point solutions has become a juggling act and not a fun one. With every new tool claiming to solve the latest threat, MSPs find themselves buried under layers of complexity. Our survey underscores this pain point: nearly 8 in 10 MSPs find it difficult to consolidate their cybersecurity stack.

Why does this matter? Complexity slows response times, increases the chances of misconfigurations, and ultimately leaves gaps that cybercriminals are all too happy to exploit.

2. Identities at the core 

Account compromise is climbing the ranks as one of the most persistent and damaging cyber threats. Cybercriminals are finding new ways to exploit weak or reused credentials, phishing unsuspecting employees, and bypass multi-factor authentication (MFA) through methods like MFA fatigue attacks, stolen tokens, etc.

For MSPs, this means prioritizing solutions that protect Identities—not just at login but throughout their lifecycle. Continuous monitoring, behavioral analytics, and robust identity management strategies are becoming essential across cloud directories, email, devices, data, and training.

3. Supply Chain Attacks on the Rise

It’s no longer enough to protect your clients; you also have to worry about the vendors and partners they rely on. Supply chain attacks are becoming alarmingly common, and MSPs are often caught in the crossfire.

These attacks exploit the trust inherent in software and hardware providers, making them insidious and hard to detect. For MSPs, ensuring clients’ security now means scrutinizing third-party relationships more than ever.

The Big Risks MSPs Face

1. Underestimating the Human Factor

We like to talk about firewalls and encryption, but let’s not forget that most breaches start with a simple mistake—like clicking on a phishing link. MSPs often focus on tech solutions while overlooking the importance of training end users.

If employees at your client’s organization aren’t part of the cybersecurity conversation, you’re leaving a major vulnerability wide open.

2. Burnout of technicians 

Running an MSP is tough. Cyber threats are 24/7, and the demands on your time and energy are relentless. In addition, monitoring and implementing dozens of point solutions for every client adds more challenges and a level of constant pressure can lead to burnout, affecting your business and the quality of service you provide to clients.

3. Cyber Insurance Complexity

Cyber insurance can be a lifeline for SMBs after a breach—but obtaining and maintaining coverage has become increasingly complex. Insurers are tightening their requirements, and MSPs are often called upon to ensure clients meet them. The risk? Falling short could leave clients exposed and MSPs under fire.

Opportunities for MSPs in 2025

Amid these challenges, MSPs have opportunities to elevate their game and deliver even more value to SMB clients.

1. Consolidation is King

One of the clearest takeaways from our survey is the need for streamlined cybersecurity solutions. MSPs can differentiate themselves by adopting unified platforms that simplify management without sacrificing protection. The less time you spend wrangling tools, the more time you have to focus on strategic initiatives.

2. Leveraging AI For Faster Responses

AI is rapidly transforming cybersecurity operations, and MSPs that harness its power will gain a significant edge. AI-driven tools can automate repetitive tasks, identify threats faster than any human analyst, and deliver real-time responses to incidents.

For MSPs, AI isn’t just a luxury—it’s becoming a necessity. By integrating AI-powered solutions into their offerings, MSPs can enhance efficiency, reduce response times, and ensure a higher level of protection for their clients. This not only improves outcomes but also frees up valuable time to focus on strategy and growth.

3. Proactive Risk Management

The days of reactive cybersecurity are over. MSPs that adopt a proactive approach—focusing on threat intelligence, vulnerability management, and regular penetration testing—can set themselves apart. SMBs are looking for partners who can anticipate problems before they arise.

4. Building a Cybersecurity Culture

While tools are essential, fostering a culture of cybersecurity awareness within SMBs is equally critical. MSPs have a unique opportunity to offer training and workshops that empower employees to become the first line of defense against cyber threats.

5. Expanding Services to Include Cyber Insurance 

With the cyber insurance market tightening, MSPs can position themselves as essential partners in the application and compliance process. Offering services that help SMBs navigate these waters can open up new revenue streams and deepen client relationships.

Looking Ahead

The role of MSPs is more critical than ever. SMBs are counting on you not just to defend against threats but to guide them through an increasingly complex digital environment. By focusing on simplification, proactivity, and education, you can not only tackle the challenges of 2025 but also seize the opportunities it presents.

The cybersecurity battle is ongoing, and it’s not just about technology—it’s about strategy, people, and vision. As we lead the guard together, let’s make 2025 a year where MSPs don’t just survive but thrive.

Until next time,
Dor

Guardz is proud to announce the appointment of Esther Pinto as its new Chief Information Security Officer (CISO). Esther’s extensive background in cybersecurity, combined with her leadership and commitment to fostering inclusion and diversity, positions her as the ideal choice to further strengthen Guardz’s focus on security and innovation.

This strategic addition comes at a time when cybersecurity challenges continue to evolve, underscoring Guardz’s commitment to not only keeping pace with threats but also leading the charge in empowering Managed Service Providers (MSPs) to protect small and medium-sized businesses (SMBs).

Esther Pinto: A Visionary Cybersecurity Leader

Esther Pinto brings a wealth of experience from her work in shaping and implementing robust cybersecurity programs. She has led transformative initiatives at companies like Anecdotes, where she served as CISO and Head of Information Security, and AppsFlyer, where she developed and scaled their Information Security operations.

Her passion for creating secure environments that foster innovation has been a hallmark of her career. Esther is dedicated to advancing security programs that go beyond just protection—they are designed to inspire confidence, enable growth, and drive technological progress.

“Joining Guardz as CISO is a huge opportunity to shape the future of cybersecurity in an organization that’s leading the charge in empowering MSPs to defend SMBs from ever-evolving cyber threats,” said Pinto. “I’m driven by the challenge of building cutting-edge security programs that not only protect but also inspire innovation, and I’m excited to be a part of the exceptional team at Guardz.”

Strengthening Guardz’s Commitment to Security and Innovation

Esther’s appointment marks a significant milestone for Guardz, highlighting the company’s relentless dedication to maintaining security as the foundation of its mission.

“Esther’s arrival as CISO is a testament to Guardz’s commitment to excellence and innovation in cybersecurity,” said Dor Eisner, CEO and Co-Founder of Guardz. “Her unparalleled expertise, leadership, and vision will be instrumental as we continue to develop AI-powered solutions that protect SMBs and drive success for MSPs. We are thrilled to have her on board and look forward to the transformative impact she will bring.”

As CISO, Esther will lead efforts to secure Guardz’s internal operations, enhance product security, and drive new security strategies that align with the company’s rapid growth. Her role will be pivotal in ensuring Guardz remains at the forefront of cybersecurity innovation while continuously prioritizing the safety and success of its customers.

The Road Ahead: Building the Future of Cybersecurity

Esther Pinto’s leadership aligns with Guardz’s core mission to empower MSPs with advanced cybersecurity tools to protect SMBs against an ever-changing threat landscape. Her expertise will play a vital role in shaping the company’s next evolution of security initiatives, including:

• Enhancing Product Security: Driving the development of innovative features and security protocols to ensure Guardz products meet the highest standards of safety and reliability.
• Scaling Operations Securely: Implementing robust measures to safeguard Guardz’s own operations as the company continues its global growth.
• Inspiring Innovation: Leveraging her expertise to create security solutions that not only mitigate risks but also foster creativity and technological advancement.

Through Esther’s leadership, Guardz is well-positioned to continue delivering cutting-edge AI-powered solutions that simplify cybersecurity for MSPs and provide unparalleled protection for SMBs.

Esther Pinto’s appointment as CISO represents more than just a leadership addition—it’s a statement about Guardz’s unwavering dedication to security and innovation. With her vision and expertise, Guardz is poised to achieve even greater success in empowering MSPs and safeguarding the businesses they serve.

Welcome to Guardz, Esther Pinto!

Key Takeaways:

• Small Business Vulnerability: Limited cybersecurity awareness makes SMBs prime targets for sophisticated malware campaigns like More_eggs.
• The Role of MSPs: Managed Service Providers (MSPs) must adopt proactive security measures to stay ahead of threats.
• The Need for Modern Solutions: Tools like phishing simulations, endpoint protection, as well as a more unified platform approach can strengthen defenses at the foundation.”

The cybersecurity world is no stranger to evolving threats, but the resurgence of the More_eggs malware campaign has captured fresh attention. In December 2024, a report revealed new iterations of this malware, highlighting its enhanced evasion techniques and tailored attack chains. For SMBs and the MSPs safeguarding them, this is a clarion call to reevaluate their cybersecurity strategies.

What Is More_eggs?

More_eggs is a backdoor malware associated with the Golden Chickens malware-as-a-service (MaaS) framework. It is used by cybercriminals to infiltrate networks, enabling follow-up attacks like data theft, ransomware, and cryptojacking.

Chain of Attack

Campaign 1: VenomLNK → RevC2

1. VenomLNK: An LNK file contains an obfuscated BAT script that downloads a decoy PNG file (API documentation) from a remote server.
2. RevC2: An info-stealing backdoor communicates with a C&C server using WebSockets. It can steal passwords, execute commands, and capture screenshots.

Campaign 2: VenomLNK → Venom Loader → Retdoor

1. VenomLNK: Writes VBS and BAT scripts to the Windows temporary directory. The VBS script triggers the BAT script to download a decoy cryptocurrency image and a malicious base.zip file from a remote server.
2. Venom Loader: A custom-made loader decodes and delivers the Retdoor backdoor via PS1 scripts.
3. Retdoor: Sends continuous HTTP POST requests to the C&C server with system details, executes encoded commands, and hides under system processes like “GoogleUpdate.”

Breaking Down the Terminology

Backdoor:
A backdoor is a type of malware that bypasses standard authentication methods to gain unauthorized access to a system. This allows attackers to remotely control resources like databases and file servers. With this access, they can execute system commands, steal sensitive data, or install additional malware undetected.

Loader:
A loader is a malicious tool designed to infiltrate devices and deliver harmful software (payloads). Once inside a system, loaders can gather system information, install other types of malware such as trojans or data stealers, and prepare the environment for further attacks.

These tools allow attackers to bypass conventional defenses, making them especially dangerous for SMBs with limited resources.

The Devastating Impact to Small Businesses”

1. Low Security Awareness:
   SMBs often lack dedicated IT teams and cybersecurity expertise. Employees may unknowingly click malicious links or open infected attachments, triggering the malware long before anyone knows what is happening.
2. Financial and Operational Fallout:
   
   • Data Exposure: Breaches can result in regulatory fines and loss of customer trust.
   • Operational Disruption: Ransomware and data theft can paralyze critical business functions.
   • Reputational Damage: A compromised reputation can lead to client attrition.
3. Stealth and Persistence:
   More_eggs thrives on its ability to evade detection, establishing long-term persistence and enabling subsequent attacks.

MSP’s Role in Defending SMBs

MSPs are pivotal in addressing these challenges, serving as the first line of defense for SMBs. Here’s how they can combat threats like More_eggs:

1. Enhance Employee Awareness

• Recurring Training: Use interactive videos and quizzes to teach employees how to spot phishing attempts and malicious files.
• Phishing Simulations: Conduct periodic tests to evaluate and improve employee vigilance.

2. Deploy Advanced Endpoint Security

Endpoint protection solutions ensure continuous monitoring of all devices, especially crucial in hybrid or remote work environments. EDR tools with advanced NGAV capabilities are most effective at blocking this family of malware

3. Strengthen Email Security

Email remains a leading attack vector, with 90% of attacks originating from Phishing email. MSPs should deploy tools that scan attachments and URLs, proactively preventing threats like phishing and spoofing.

4. Implement Incident Response Plans

Regularly back up data and prepare a clear response plan to minimize downtime and financial loss in the event of an attack.

Proactive Measures for SMBs and MSPs

• Unified Security Platforms: Tools that integrate Microsoft 365, Google Workspace, and endpoint protection enable MSPs to deliver holistic security.
• Browser Protections: Real-time detection of malicious sites and phishing attempts can significantly reduce risk.
• AI-Powered Solutions: Automation and predictive analytics allow MSPs to anticipate and mitigate evolving threats.

The Final Word 

The More_eggs campaign underscores the urgent need for proactive cybersecurity. SMBs are particularly vulnerable, but MSPs armed with the right tools and strategies can make a decisive difference.

Solutions like Guardz not only protect against advanced threats but also simplify the complex security landscape for SMBs. Want to learn more? Visit Guardz.com today.

Main Takeaways

1. Holiday Cyber Threats are No Joke: Learn how phishing scams are evolving during the festive season and the proactive steps MSPs can take to mitigate these risks.
2. Anticipating 2025’s Challenges: Differentiate your services, enhance your marketing strategies, and solidify client relationships in a highly competitive landscape.
3. Harness Community Support: Collaborate with fellow MSPs to share insights, best practices, and strategies for overcoming industry hurdles.

As 2024 comes to a close, MSPs are entering 2025 with a mix of opportunities and challenges. The holiday season isn’t just a busy time for retail and services; it’s also a high-risk period for cybersecurity, with attackers exploiting festive distractions. Beyond the holidays, MSPs must address a competitive market, refine their value propositions, and reinforce client trust. This blog covers it all—holiday threats, year-round challenges, and strategies to win in 2025.

Holiday Cyber Threats: A Gift to Hackers

The holiday season brings joy and an uptick in cyber threats. Businesses often operate at reduced capacity during the holidays, leaving gaps in their defenses. Meanwhile, employees are bombarded with emails promoting last-minute sales or urgent holiday tasks, creating fertile ground for phishing scams.

Phishing Scams: The “Exclusive Discount” Trap

In December 2023, a global SMB lost over $500,000 when employees unknowingly entered sensitive information into a fake website mimicking a well-known e-commerce retailer. The phishing email included a “time-sensitive” coupon for holiday deals, creating urgency and bypassing employees’ usual caution.

For MSPs, these attacks represent a dual challenge:

• Protect Clients: Ensure their systems and employees are prepared to detect and avoid phishing schemes.
• Safeguard Operations: Strengthen internal security measures to avoid becoming a stepping stone for attackers targeting your clients.

Guardz AI-Powered Phishing Simulation

To help MSPs and their clients combat this threat, Guardz offers an AI-powered phishing simulation tool. This tool replicates real-world phishing attempts, teaching employees to identify malicious emails and reducing the likelihood of human error. By incorporating this into your services, you can provide clients with a robust defense against phishing—a particularly valuable offering during the holiday season.

The MSP Landscape in 2025: Challenges and Opportunities

As the calendar turns to 2025, MSPs face three primary challenges: increased competition, the need for smarter marketing, and the battle to retain clients.

1. Rising Cyber Threats: Beyond the Holidays

While phishing dominates the holiday season, cyberattacks are evolving year-round. In 2024, ransomware-as-a-service (RaaS) surged, with SMBs being a primary target. For example:

• Case Study: A small healthcare clinic in California suffered a ransomware attack in March 2024, resulting in the loss of sensitive patient data and $250,000 in recovery costs. The attackers exploited vulnerabilities in outdated software—a gap that proactive MSPs could have addressed.

How MSPs Can Help:

• Conduct regular vulnerability assessments.
• Offer advanced endpoint protection and real-time monitoring.
• Provide ongoing security awareness training, including Guardz’s phishing simulations.

2. Staying Competitive in a Crowded Market

The MSP market is expected to grow significantly in 2025, making differentiation more critical than ever. It’s no longer enough to offer generic IT support—MSPs must position themselves as strategic partners.

Strategies to Differentiate:

• Specialized Services: Focus on verticals like healthcare, education, or retail, where you can build deep expertise.
• Holistic Solutions: Emphasize bundled offerings like Guardz’s Secure and Insure, which combines cybersecurity and insurance.
• Outcome-Focused Messaging: Frame your services in terms of measurable results, such as reduced downtime or improved compliance.

3. Marketing Smarter, Not Harder

Effective marketing remains a challenge for many MSPs, but it’s essential for growth in 2025. The key is to stand out with targeted, high-value campaigns.

Practical Marketing Tips:

• Content is King: Publish blogs, videos, and webinars that address your target audience’s pain points.
• Leverage Data: Use analytics to understand client needs and tailor your messaging.
• Collaborate with Vendors: Partner with companies like Guardz for co-marketing opportunities and resources.
• Explore Niche Platforms: Don’t underestimate the power of communities like Reddit or LinkedIn groups to reach decision-makers.

Retaining Clients in 2025: Building Long-Term Trust

Client retention is more critical than ever, as the cost of acquiring new clients continues to rise. To keep clients loyal, MSPs must consistently demonstrate value and adapt to their evolving needs.

Retention Strategies:

1. Proactive Communication: Schedule quarterly reviews to showcase your successes and propose improvements.
2. Innovative Offerings: Keep your services fresh by integrating new tools like Guardz’s AI-powered platform for real-time threat detection and response.
3. Client Education: Equip your clients with the knowledge to recognize threats, using tools like phishing simulations to reinforce their defenses.

Guardz: Your Partner in the Journey

At Guardz, we understand the unique challenges MSPs face, and we’re here to help you navigate them. Our unified platform is designed to empower MSPs with tools like real-time threat detection, automated response capabilities, and phishing simulations, making it easier to deliver unparalleled value to your clients.

Beyond technology, we’re committed to fostering a thriving MSP community. Join the conversation on our Guardz Online Community on Reddit, where you can connect with peers, share insights, and seek advice on everything from cyber threats to marketing strategies.

Looking Ahead to a Secure 2025

As we step into 2025, the stakes for MSPs have never been higher. From holiday cyber threats to year-round challenges like competition and client retention, success will require vigilance, adaptability, and collaboration.

Guardz is here to support you with cutting-edge tools and a robust community. Together, we can turn challenges into opportunities and make 2025 a year of growth and success for MSPs.

Ready to tackle the new year? Join the Guardz community and let’s secure the future together.