The question of whether managed service providers (MSPs) should enter the home cybersecurity market has been debated for years. While some MSPs have ventured into this area, it has not yet gained widespread traction—though that may soon change.
The home office isn’t just a pandemic relic; it has become the new frontier for MSPs. With approximately 22 million employed adults in the US working entirely from home—representing around 14 percent of the adult workforce—and 71 percent of companies now allowing some form of remote work on a permanent basis, MSPs are increasingly exploring opportunities in the home market for cybersecurity and other services.
Several factors are driving this seismic shift: 26 percent of U.S. households now have at least one person working remotely one or more times per week, creating millions of mini IT environments that require professional support. Meanwhile, the managed services market itself is booming. Analysts project that the global market will grow from $365.33 billion in 2024 to $511.03 billion by 2029, with a compound annual growth rate (CAGR) of 6.9 percent.
Smart homes need smarter cybersecurity solutions
John Yensen, President of Revotech Networks, notes that as more people work, study, and entertain themselves at home, residential networks have evolved into complex patchworks. These networks now accommodate a variety of devices, including routers, smart TVs, game consoles, IoT devices, and personal computers, among others.
“Each one of these are a potential entry point for attackers. I’ve seen homes struggle with outdated firmware, weak Wi-Fi passwords, and unsecured IoT gadgets that can be easily hijacked by botnets or data theft,” Yensen says. He adds that this makes it a ripe time for MSPs to jump in. “In my opinion, MSPs are well positioned to bring enterprise grade security practices into the home environment.” Managing patch cycles, enforcing multi-factor authentication, segmenting home networks, and providing 24/7 monitoring are all within an MSPs wheelhouse.
“MSPs can dramatically reduce risk for families who aren’t security experts. The key is offering tiered, user-friendly packages that balance affordability with robust protection,” Yensen continues. He emphasizes that not every MSP should jump into the residential market. “Success really hinges on clear communication, scalable remote management tools, and services tailored to non-technical users.”
The smart home is the next frontier for MSPs
Julian Merrick, founder of SuperTrader, shares that while MSPs are invaluable for large businesses and offices, the home cybersecurity market is also growing in demand. It would be advantageous for MSPs to expand into this area. “Homes now have connected devices everywhere, such as smart thermostats, security cameras, fridges, and more. They often don’t get the same protection as corporate environments.”
“As I see it, MSPs need to adjust to this new reality by offering tailored solutions for the home. The challenge will be balancing the complexity of the services with the cost and ease of use for the average homeowner. It’s one thing to manage a network at a large office. It’s another to do it in a living room with a Wi-Fi-enabled fridge,” Merrick explains. Additionally, his belief is that as homes continue to integrate additional smart devices, MSPs will need to be ready to evolve. “In my opinion, this could be an untapped market for cybersecurity solutions, especially as homes become more of a target for cybercriminals.”
Success depends on what needs to be secured
Jeff Le, a cybersecurity expert and founder of 100 Mile Strategies, says how successful an MSP can expand into the home cybersecurity market depends on understanding what consumers are trying to secure, along with risk management. He highlights that homeowners and families should consider and record the following:
- The number of devices utilized in the home.
- The nature of home activities, including work and other sensitive activities.
- Children, seniors, and other family members may not be digital natives. As a result, they could be vulnerable to malware and other online threats.
“In addition to securing the network, MSPs can also offer value-added services, such as security awareness trainings, an education on cyber hygiene and best practices,” Le concludes, referencing the home market potential.
Still, not everyone is convinced.
“While a few high-net-worth households or remote executives might justify to outsource home cybersecurity to an MSP, the broader market isn’t there,” observes Mino Kim, a security analyst at Protect AI. Kim adds that the economics don’t work, and the average homeowner doesn’t value cybersecurity the way a business does.
As more homes double as offices, classrooms, and entertainment hubs, the need for real cybersecurity support at home is only growing. While the market isn’t fully there yet, the momentum is building. MSPs that can strike the right balance between simplicity, affordability, and strong protection may find a real opportunity. The home might not replace the office, but it’s definitely becoming part of the managed services conversation.
Photo: Halfpoint / Shutterstock
This post originally appeared on Smarter MSP.