New Pax8 Report: How AI Will Transform the IT Landscape by 2025

The new report The Agentic Inflection Point: And the Rise of the Managed Intelligence Provider from Pax8 highlights how AI and automated systems are rapidly reshaping the competitive landscape for small and medium-sized businesses (SMBs). Technologies once reserved for large enterprises are becoming widely accessible. According to the report, 83 percent of fast-growing SMBs are already testing AI today, and an increasing number of startups are AI-native from day one.

“We are entering a new era where AI-driven systems will transform how work gets done,” says Scott Chasin, CEO of Pax8. “The pace of change is extraordinary, and SMBs now have an opportunity to compete with the largest companies in the market.”

The report introduces the concept of Managed Intelligence, a framework designed to help organizations across the IT value chain navigate the shift to AI-driven and autonomous systems and succeed in the emerging AI-first IT landscape.

Key findings from the report:

AI takes on work: AI is moving beyond assistive roles to take active responsibility for tasks. Autonomous agents can handle duties that previously required human intervention—ranging from customer support to product development—shortening the path from idea to execution.

Four levels of AI agents: Pax8 outlines four maturity stages: from basic chatbots that answer queries, to intelligent assistants that decompose complex goals; to digital agents that act independently across systems; and ultimately to coordinated digital workforces where multiple AI agents collaborate and orchestrate large-scale work.

MIP – the next evolution of MSP: Managed Intelligence Providers represent the next generation of strategic IT partners. Unlike traditional managed service providers, MIPs focus not only on delivering services but on driving measurable business outcomes by curating, orchestrating, and governing AI agents within a customer’s operations.

New business models: Emerging AI capabilities demand new pricing approaches. Future pricing will emphasize real value—charging by AI agent, by completed activity, by automated workflow, or by achieved outcomes—rather than traditional per-user licensing.

AI-native companies: With 83 percent of fast-growing SMBs experimenting with AI, the report points to the rise of companies that are AI-native from the outset. Generative AI and autonomous agents are embedded across these organizations, which favor flexible, modular architectures and scale quickly with small teams.

Building the infrastructure: Pax8 is building an ecosystem for next-generation AI-driven business solutions, including marketplaces for AI agents, integration frameworks, and a Managed Intelligence toolkit. The goal is to unite software vendors, MIPs, and SMBs into a new AI-driven value chain.

To download the full report or learn more about Pax8, visit the Pax8 report page

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