Techaisle Blog

The narrative surrounding Generative AI has been one of explosive, almost chaotic, adoption. Businesses, particularly in the agile small and mid-market segments, have been scrambling to incorporate AI into their operations, lest they be left behind. However, as the initial dust settles, a more mature and sophisticated picture of AI adoption is emerging. The conversation is shifting from "if" to "how," and more importantly, "why." New research from Techaisle, based on a comprehensive study of 2,400 SMB and mid-market firms, reveals that the dominant need isn't just for AI tools, but for a deep bench of services that span the entire lifecycle from strategy to complex integration.

The findings paint a clear picture: businesses are looking for partners who can help them navigate the strategic complexities of AI and then execute on that vision with technical precision. The demand landscape is bifurcating into two critical, yet deeply interconnected, domains: GenAI Consulting & Strategy and GenAI Solution Development & Integration. This signals a significant market maturation, where the pursuit of AI is becoming less about speculative experimentation and more about driving tangible, strategic business outcomes.

The GenAI conversation is often dominated by the immense scale of cloud-based models from hyperscalers and tech giants. But for midmarket businesses, a far more strategic and tangible opportunity lies within their own four walls. Despite the undeniable shift to the cloud, a significant portion of valuable corporate data remains tethered to on-premise infrastructure. This is not a sign of being behind the curve; it is an untapped reservoir of unique competitive advantage.

At Techaisle, my team and I spend our time with midmarket firms, and the question we hear is not about replicating OpenAI's foundational model; it is, "How can we use our data to build a GenAI model that gives us an edge?" This is the sweet spot for vendors and their channel partners: helping these businesses unlock the power of their internal data to create a custom GenAI capability. This is a market where midmarket firms have a primary impetus to maximize value from existing data assets and unlock deeper insights. In our recent Techaisle study, 77% of Upper Midmarket firms and 66% of Core Midmarket firms stated this as a top priority.

I recently attended HP’s Amplify 2025 event in Nashville, TN. HP's Amplify 2025 announcements focused on pushing the boundaries with AI-integrated solutions across their PC, print, and collaboration portfolios. The goal? To boost user productivity and create more fulfilling work experiences. HP rolled out new AI-powered PCs with features tailored to different types of users and advancements in AI-driven printing that simplify and secure workflows. The primary focus was on the "future of work," aiming for seamless connectivity, intelligent devices, and smart data utilization with the HP Workforce Experience Platform to proactively address IT issues and enhance employee satisfaction. HP is also doubling down on partner growth with new compensation structures and expanded AI programs, all while emphasizing sustainability and security as key differentiators. HP is keen on engaging with growth markets and strengthening channel relationships, while also pursuing strategic collaborations to drive demand and educate customers on the benefits of AI technology. Research from HP Wolf Security highlights the constantly evolving landscape of cyber threats, underscoring the need for robust security measures integrated into their devices.

One HP: A Unified Approach

Building upon these advancements in AI-driven solutions and security, HP unveiled its One HP vision and strategy at the event, emphasizing a unified approach to better serve customers and partners. This initiative aims to create a seamless and comprehensive experience across HP's portfolio. One HP is a unifying principle that combines HP's various divisions, including PC, Print, Poly, Collaboration, and Services, focusing on putting customers and partners at the center. This approach aims to provide businesses with a comprehensive HP experience, an ecosystem of seamlessly integrated devices, software, and solutions designed to solve customer problems. Partners can offer a competitive advantage by selling One HP, moving beyond individual devices to provide a holistic solution. This initiative is driven by the goal of shaping the future of work by creating products, services, and solutions that enhance company productivity and improve employee well-being and fulfillment. Ultimately, One HP intends to streamline processes, enhance collaboration, and deliver greater value and better outcomes for businesses.

The Transformative Shift: AI Integration Across the Portfolio

The pace of technological evolution is relentless, and in today's dynamic business landscape, staying ahead requires not just incremental improvements, but transformative shifts. The recent HP Amplify 2025 event served as a powerful testament to HP's commitment to driving this transformation, unveiling a sweeping array of innovations and strategies designed to reshape the future of work. For small and medium-sized businesses (SMBs), midmarket firms, and the vital ecosystem of channel partners, the announcements emanating from Amplify are not merely product updates; they represent a pivotal moment, offering pathways to enhanced productivity, new growth opportunities, and a stronger competitive edge.

The cybersecurity landscape is a relentless storm. For Small and Medium Businesses (SMBs) and Midmarket enterprises, navigating this storm is becoming increasingly complex. Limited resources, widening attack surfaces due to digital transformation, and a sheer volume of sophisticated threats create a challenging environment. Historically, many businesses adopted a "best-of-breed" approach, selecting individual point solutions for specific security tasks – a firewall here, an endpoint protection tool there, perhaps a separate email security gateway. While logical on the surface, this strategy is showing its age and limitations.

New Techaisle survey data (Techaisle SMB & Midmarket Security Adoption Trends) reveal a significant and growing trend: a clear shift in preference towards end-to-end security platforms, particularly as businesses scale. While the smallest companies still lean towards point solutions, the momentum across the broader SMB and Midmarket segments is undeniably moving towards integrated platforms. This shift isn't arbitrary; it's a strategic response to the operational realities and escalating security demands these businesses face.

This post delves into the Techaisle data, explores the compelling reasons driving this platform preference, and highlights how leading vendors, such as Palo Alto Networks and Cisco, are addressing this need with their evolving platform strategies.

Decoding the Data: A Clear Trend Emerges

The Techaisle SMB & Midmarket survey data paints a nuanced picture, directly correlating company size with security solution preference:

• The Smallest Businesses (1-9 employees): These micro-businesses exhibit the strongest preference for task-specific, best-of-breed solutions, with 56% favoring this approach, compared to 44% who prefer end-to-end platforms. This often reflects simpler IT environments, potentially tighter budgets favoring incremental purchases, and perhaps a perceived ease of managing distinct, single-function tools when the overall infrastructure is limited.
• The Growth Transition (10-99 employees): As companies enter the core small business segment, the preference for point solutions remains dominant, peaking at 74% for the 50-99 employee bracket. However, the foothold for platforms is strengthening, indicating that even at this size, the complexities prompting platform consideration are beginning to surface for over a quarter of businesses.
• The Midmarket Shift (100-999 employees): This segment marks a significant inflection point. While core midmarket (100-999 employees overall) still shows a majority (62%) leaning towards point solutions, the preference for end-to-end platforms rises substantially to 38%. Within this, the preference for platforms increases steadily with size, ranging from 32% for 100-249 to 40% for 250-499 and 42% for 500-999. The demands of managing a more complex infrastructure are clearly pushing businesses towards integration.
• Upper Midmarket & Beyond (1000+ employees): Here, the preference decisively tips towards platforms. In the 1000-2499 employee range, 46% prefer platforms, rising to 52% (a majority) for the 2500-4999 bracket. Aggregated, the Upper Midmarket (1000-4999) sees 49% favoring platforms. For these larger organizations, the benefits of integration, visibility, and centralized management become paramount.
• Overall View: While the overall SMB segment (1-999 employees) technically shows a 65% preference for point solutions due to the weight of the smaller company brackets, the Midmarket segment (100-4999 employees) demonstrates a much stronger inclination towards platforms, nearing parity and showing a clear preference in the upper tiers.

The overarching narrative is clear: as organizations grow in size and complexity, the perceived value and practical necessity of an integrated security platform increase significantly.

Why the Pivot to Platforms? Drivers of the Shift