MSP Automation Report 2026: AI & The Automation Divide | Rewst

A significant gap is emerging in the managed service provider (MSP) industry, with those leveraging artificial intelligence (AI) in their automation efforts pulling ahead of those who are not, according to a new report. Rewst’s 2026 State of MSP Automation report, released April 28, 2026, found that 97% of MSPs plan to increase automation this year, but many are facing hurdles in implementation.

The Automation Divide

The report, based on a survey of 300 MSP professionals across North America, EMEA, and APAC, highlights that while 95% of MSPs agree automation is no longer optional, the ability to successfully execute automation strategies is unevenly distributed. This disparity is being dubbed the “Automation Divide” by Rewst.

According to the report, the primary obstacles to wider automation adoption aren’t budgetary – only 18% of MSPs cited budget as a barrier – but rather a lack of expertise and a clear roadmap for implementation. AI is increasingly seen as a solution to the expertise gap, enabling MSPs to build and scale automation more effectively.

Maturity Levels and Challenges

The study categorizes MSPs into five levels of automation maturity. The majority – 44% – currently reside at level three, having achieved some initial successes with automation but struggling to scale their efforts. A small percentage, only 4%, report reaching the highest level of maturity.

The report identifies differing concerns between leadership and technical teams within MSPs. Executives are primarily worried about having sufficient personnel to build automation solutions, while technical operators are concerned about user adoption of those solutions. Addressing both concerns is crucial for successful implementation, the report states.

AI as a Differentiator

MSPs who are further along in their automation journeys are also more likely to be utilizing AI. The report demonstrates a clear correlation: the more advanced an MSP’s automation maturity, the greater the likelihood of AI integration in building and managing those automated processes. Almost no MSPs are ignoring AI entirely.

The picture they painted? A gap is already forming between MSPs scaling with automation and those hitting a wall.

Rewst

Rewst CEO Aharon Chernin, CPO Frank Price, and Jennifer Roy, CEO at Nucleus Networks, will be hosting a live breakdown of the report’s findings on May 14, 2026, to discuss the data, context, and implications for MSPs. The event aims to help MSPs understand where they stand in relation to the Automation Divide.

Rewst is an automation platform specifically designed for MSPs, offering tools to streamline processes and enhance efficiency through prebuilt or custom workflows. The company’s report underscores the growing importance of automation and AI in the MSP landscape, suggesting that those who embrace these technologies will be best positioned for future success.