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5K Technical Services CEO: ‘AI Reshapes How We Approach Managed Services’
‘The channel also needs to pivot towards project-based work as AI reshapes how we approach managed services. A conference showcasing 100 new, innovative vendors would be a fantastic way to connect and strategize for the future,’ says Corey Kirkendoll, president and CEO of 5K Technical Services.
As the tech industry looks toward 2025, one MSP is betting big on AI, physical security and infrastructure consolidation to shape its future. With a team of just nine employees, Corey Kirkendoll, president and CEO of Plano, Texas-based 5K Technical Services is positioning itself for ambitious growth and technological advancement in the coming years.
"I’d love to see advancements in IoT, physical security and infrastructure consolidation," he told CRN. "The channel also needs to pivot towards project-based work as AI reshapes how we approach managed services. A conference showcasing 100 new, innovative vendors would be a fantastic way to connect and strategize for the future."
In line with these goals, 5K is embracing AI as a key industry trend for 2025. The company sees the integration of AI into physical security, particularly in high-stakes public safety scenarios, such as active shooter responses, as a game changer.
"AI allows us to automate and streamline processes, reducing reliance on costly human labor," he said. "It’s vital for businesses to embrace AI, reposition their workforce and stay competitive. Fighting against AI’s rise is a losing battle. It’s best to harness its potential for better customer service and operational efficiency."
And despite having fewer than 10 employees, 5K has seen increased growth over the past year.
"We’ve added one to two net new customers every month," he said. "Our net new customer growth has been around 25 to 30 percent, driven primarily by project-based work that often transitions into recurring revenue. This strategy builds confidence and keeps the door open for long-term partnerships."
Looking ahead, 5K is focusing on expanding its presence in the tech community, particularly around sharing how the company is implementing AI applications.
"We’ll continue to integrate AI and automation into our MSP operations, making us a model for our clients,” he said. “By leveraging these technologies, we streamline processes and maintain a competitive edge.”
CRN spoke with Kirkendoll about how he’s leveraging AI, what he wants more of from his vendors and where he’s playing his bets in terms of industry trends.
How do you balance day-to-day operations with long-term strategic goals?
About seven years ago, I took the Goldman Sachs 10,000 Small Businesses program at Babson College. It taught me to work on the business, not just in it. I realized early on that to grow, I had to step back from the technical side and focus on strategic planning. Many MSPs struggle with this transition because they’re used to being hands-on. But if you want to scale, you must trust your team, follow processes and concentrate on growth.
It’s a 10-month program aimed at small business owners, covering marketing, sales, employee management and strategic growth. One key aspect is that you must step away from your business during the program. This proves whether your business can operate without you, which is essential for growth. By the end, most participants realize their businesses didn’t fall apart and they gain confidence to delegate and focus on higher-level objectives.
What’s your biggest challenge as CEO and how are you addressing it?
The biggest challenge is finding the right talent. Post-COVID, many people want remote work and minimal effort. Additionally, some candidates have certifications but lack hands-on experience. To address this, we’re investing in automation and AI for routine tasks, allowing our skilled employees to focus on complex issues. We’re also refining our hiring strategy to find candidates with both technical skills and customer service aptitude.
How do you stay competitive in the crowded Dallas-Fort Worth MSP market?
I network with other MSPs rather than view them as competitors. We support each other because if one MSP fails, it impacts the industry’s reputation. I also speak at industry events to share insights and maintain visibility. Building relationships and sharing knowledge fosters trust and elevates the entire community.
Should MSPs face more regulation?
Yes. I sit on the board of the National Society of IT Service Providers, advocating for baseline standards and a code of ethics. Unlike barbers, who must meet stringent licensing requirements, MSPs operate in a largely unregulated space despite managing critical data and infrastructure. Regulation would ensure accountability and professionalism in the industry.
What’s the biggest challenge for your customers and how are you helping them?
Customers often see IT as a cost. We help them leverage technology as a competitive advantage. For example, we work with nonprofits to use IT investments to strengthen grant proposals. This approach reframes IT spending as a strategic asset rather than a necessary expense.
Where did you see the most IT spend from your clients in 2024?
Cloud migration was the biggest focus. Businesses are moving away from on-premises servers to platforms like Azure and AWS. Cybersecurity and Windows 11 upgrades are also driving spending as companies modernize their infrastructure.
What do you want more of from your vendors?
Vendors need to focus on better integration and flexibility. Consolidation has led to overlapping products and many MSPs end up paying for redundant tools. Vendors should help us reallocate spending to optimize our tech stack instead of locking us into contracts for unused products. This would create a more efficient and mutually beneficial relationship.
What are your thoughts on the increase in M&A in the channel?
M&A has been a long time coming. When we started in 2006, MSPs were barely taken seriously, often seen as “bald-headed stepchildren.” Fast forward and the industry now realizes the goldmine MSPs represent. M&A is beneficial if it improves products, fosters integration and maintains competitive pricing. Transparency and collaboration are key, especially as larger MSPs begin to dominate. Smaller MSPs must adapt and differentiate themselves to survive, as traditional server support is no longer enough.
What would you like to see more of in the channel?
New players with fresh, out-of-the-box ideas are critical. Initiatives like bringing international perspectives into U.S. conferences are inspiring. I’d love to see advancements in IoT, physical security and infrastructure consolidation. The channel also needs to pivot towards project-based work as AI reshapes how we approach managed services. A conference showcasing 100 new, innovative vendors would be a fantastic way to connect and strategize for the future.
What trends are you seeing in client cybersecurity needs?
Cybersecurity insurance requirements are driving many clients to tighten their defenses. Fear, often triggered by peers experiencing breaches, is another motivator. We approach cybersecurity as a journey, offering incremental improvements like training and hardware upgrades. Clients appreciate a tailored, step-by-step strategy that aligns with their budgets rather than an all-or-nothing approach.
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