What’s the Difference Between Managed Service Providers and Cloud Service Providers?

May 12, 2023 | MSP, Thanks LP 2

You have a business to run, and you need IT solutions that work for you. But with so many options out there, how do you know which one to choose? You may have heard of managed service providers (MSPs) and cloud service providers (CSPs), but what’s the difference between them? And which one can help you achieve your goals faster, easier, and cheaper?

In this blog, we will break down the pros and cons of MSPs and CSPs and guide you to the best decision for your business.

What Is a Managed Service Provider?

managed service provider (MSP) is a company that delivers IT services, such as network, application, infrastructure, and security, via ongoing and regular support. MSPs provide active administration on customers’ premises, in their own data center (hosting), or in a third-party data center.

Cloud computing is transforming the way businesses operate, and MSPs are playing a vital role in helping them leverage the power of the cloud. One report predicts that the cloud managed services market will soar from $47 billion in 2021 to a whopping $126 billion by 2030. This impressive growth is driven by the rising demand for cloud solutions across various sectors, such as healthcare, retail, manufacturing, and government.

MSPs can offer a range of services, such as the following:

  • Monitoring
  • Performance optimization
  • Observability
  • Infrastructure
  • Log management
  • Cost optimization
  • MAP monitoring
  • 24/7 support
  • Security and compliance management
  • Disaster recovery

MSPs can help you reduce your IT costs, improve your performance and reliability, and free up your internal IT staff to focus on core business functions.

Related: What Are Managed Services Providers for AWS?

What Is a Cloud Service Provider?

A cloud service provider (CSP), also known as a cloud solution provider, is a company that offers on-demand services that let you use the cloud for your IT needs. You don’t have to worry about buying, installing, or maintaining any hardware or software. You just connect to the internet and access the services you need from the cloud.

A CSP charges you only for what you use, so you can adjust your IT resources according to your changing needs and budget. You can also benefit from the latest technologies and innovations that the CSP offers without having to invest in them yourself. A CSP can help you save money, time, and hassle while boosting your performance and efficiency.

Amazon Web Services (AWS) is the leading CSP in the market, with a global presence and a large customer base. AWS offers more than 200 services for cloud computing with specialties in storage, database, analytics, networking, security, and more.

Related: 5 Reasons Why AWS Is Better than Azure and Google Cloud

How to Choose Between MSPs and CSPs?

The choice between MSPs and CSPs depends on your specific business goals, challenges, and requirements. However, the good news is you don’t need to choose between MSPs and CSPs. You can have the best of both worlds by working with an MSP that has expertise in CSPs.

An MSP that knows how to leverage the power of the cloud can help you access the latest technologies and innovations, scale up or down your IT resources as needed, and optimize your IT spending. An MSP that understands your business goals and challenges can also help you design, implement, and manage a cloud strategy that suits your specific needs and preferences on a platform like AWS. You can enjoy the benefits of both MSPs and CSPs, such as support, reliability, performance, and security, without any hassle.

Related: What to Look for in an AWS Managed Service Provider Partner

Managed service providers and cloud service providers are both valuable options for businesses looking for IT solutions. The main difference is that MSPs manage technology and infrastructure that you own while CSPs offer access to technology and infrastructure that they own.

How nClouds Helps You

As a Next-Gen MSP, we go beyond the traditional MSP model to provide you with innovative solutions and expert support. Our team of certified AWS professionals has in-depth knowledge of AWS technologies and services and can manage the day-to-day operations of all AWS environments. Contact us today to learn more about how we can help you manage your AWS environment and applications. Learn more and get a free managed services assessment with nClouds here.


nClouds is a cloud-native services company that helps organizations maximize site uptime, performance, stability, and support, bringing out the best of their people and technology using AWS