N-able wants to use AI to “blow the doors off” how many devices its MSPs can manage, its CEO has told IT Channel Oxygen.
Some $300bn was wiped off the value of SaaS vendors in February amid investor fears that agentic AI will bypass software products.
But speaking ahead of its annual Empower event next week, John Pagliuca painted the rise of agentic AI as an opportunity for both N-able and its MSP partners.
“Some SaaS tools will get Sherlocked”
Pagliuca has helmed N-able for six-and-a-half years, during which time it has moved beyond its roots in unified endpoint management and into data protection and XDR via its organically grown Cove offering and 2024 acquisition of Adlumin, respectively.
The NYSE-listed vendor now serves 25,000 SMBs via a network of MSPs, more recently moving into the VAR space.
Having broken the $500m ARR mark in 2025, it is now gunning for the magic $1bn marker, and believes AI can help get it there.
“There will be some SaaS tools that will probably get Sherlocked because of AI, because they’re not housing the data, the processes, the controls – they’re more scraping or pulling in data,” Pagliuca said.
“I’m a firm believer that [vendors] that have a system of record, that can layer on top a SaaS system of action, will not only just survive, but thrive in this environment.
“We’re pulling in AI today, but we’re layering it on top of our system of record to write a better experience for the customers.”
AI will help MSPs improve profitability and win new customers by increasing the number of clients each technician can manage, Pagliuca argued.
“If you ask an MSP their top three problems, labour shortage is number one, number two is adding new customers and number three is vendor stack sprawl and fatigue,” he said.
“AI is going to help unlock at least two out of three of those things, because it can help Level 1 technicians that are doing, frankly, a lot of mindless, mundane tasks drive better business value.
“I actually think it’s going to be an opportunity for N-able, and an opportunity for MSPs – because there’s always this ratio that for every one technician, an MSP might be able to manage 250 devices.
“Our goal with AI is to blow the doors off that ratio, so that MSPs can do more value-added stuff – and then they can go add more customers.”
“When people are fearful, be greedy”
Despite historically being known for competing with the likes of Kaseya and ConnectWise, N-able today counts its organically grown Cove data protection business as its largest revenue generator – pitting it against the likes of Veeam – Pagliuca revealed.
“But our revenue is nicely spread across all three categories of security – the before the attack, the during the attack and the after the attack,” he pointed out.
N-able’s breadth of offering means it wins against other ISVs operating in the cyber and data protection space, particularly given MSPs are now suffering from “software stack fatigue”, Pagliuca claimed.
“MSPs have up to 30 different pieces of software in their vendor stack,” he said.
“They’re tired of it. They really want that consolidated play, so they don’t have their technicians spending all their time swivelling from one screen to another.”
Although N-able’s last acquisition came in 2024, Pagliuca said the uncertain backdrop makes further M&A activity more rather less likely in 2026.
“I’m stealing a little bit of the Warren Buffett line that says, ‘when people are greedy, be cautious, and when people are fearful, be greedy’,” he said.
“We’re looking at potential opportunities all the time. But because there’s a little bit of trepidation in the overall markets, it’s a good opportunity for us to be on our toes and not our heels,” he said.
Pagliuca will touch on the AI opportunity facing MSPs in his keynote at next week’s Empower event in Florida, which is set to draw in 600 MSP, partner and customer attendees.
“In the world of the agentic future, the [attack] surface area is going to get even more expansive,” he said.
“Industry experts are forecasting a ratio of 85 agents for every one employee. And guess what? Those agents need to be protected, identified, controlled. MSPs have to make sure there’s no lateral movement and that there’s no friendly fire and the agents are deleting stuff.
“It’s going to be a lot more complicated in this agentic future.
“We’ll be talking to the MSPs about what we can do to help; how they can look at this as an opportunity – but if they don’t, how it could be a threat.”
Doug Woodburn is editor of IT Channel Oxygen
