PC Market Growth Driven by Tariffs; AI in Customer Service Faces Trust Issues Amid Breaches

ConnectWise has confirmed it was the target of a cyber attack by a nation-state threat actor, affecting a small number of its ScreenConnect customers. The company has since patched the software and implemented enhanced monitoring measures to secure its environment. This incident highlights the increasing targeting of remote monitoring and management (RMM) tools by advanced threat actors, particularly from Russian and Chinese intelligence services. The breach, occurring shortly before the IT Nation Secure Conference, raises concerns about the security of RMM tools, which are now viewed as critical infrastructure by hostile foreign actors.In the broader technology landscape, PC sales are projected to grow by 4.1% in 2025, primarily due to a temporary pause in tariffs that has encouraged manufacturers to increase shipments. However, this growth is not indicative of sustainable demand, as challenges such as rising prices and declining consumer sentiment loom. Meanwhile, U.S. smartphone sales are expected to decline due to ongoing tariffs, with the average selling price projected to rise by 4%. This situation reflects a complex interplay of market dynamics influenced by tariff policies.A global study from Kindle reveals that while 95% of organizations have adopted AI, a significant skills gap exists, with 71% of leaders believing their workforces are unprepared to leverage AI effectively. The report indicates that only 40% of leaders utilize AI-powered insights for decision-making, underscoring the need for better alignment between workforce strategies and AI technology. Additionally, the IoT Asset Tracking and Visibility Adoption Report 2025 highlights that 74% of asset tracking projects meet or exceed ROI expectations, emphasizing the importance of managed asset tracking solutions over in-house developed tools.Recent announcements from major companies like Barracuda, Red Hat, and Salesforce indicate a shift towards AI-driven solutions in the enterprise sector. Barracuda has launched an AI-powered cybersecurity platform, while Red Hat introduced AI-driven system administration tools to address the skills gap in Linux management. Salesforce's acquisition of Informatica aims to enhance its data management capabilities, further integrating AI into its offerings. These developments suggest that the focus is shifting from flashy AI features to practical applications that simplify security and enhance operational efficiency. Four things to know today 00:00 Tariffs Distort Tech Growth: PCs Surge While Smartphones Stall, AI and Asset Tracking Reveal Readiness Gaps05:11 Tariffs and AI Redefine Channel Strategy: Uncertainty, Automation, and the Margin Squeeze08:23 Enterprise AI Gets Real: Barracuda, Red Hat, and Salesforce Target Ops, Not Optics10:17 ConnectWise Breach Underscores Rising Nation-State Interest in RMM Tools Supported by:  https://cometbackup.com/?utm_source=mspradio&utm_medium=podcast&utm_campaign=sponsorshiphttps://timezest.com/mspradio/  💼 All Our SponsorsMSP Radio is supported by our partners: LogMeIn · Opentext · Transit AI · Guardz · Pax8 · ABC Solutions · Rythmz · ScalePad · CometBackup · TimeZest Supporting the IT services community through insights, analysis, and transparency. 🚀 Join Business of Tech PlusGet exclusive access to investigative reports, vendor analysis, leadership briefings, and more.👉 https://businessof.tech/plus 🎧 Subscribe to the Business of TechWant the show on your favorite podcast app or prefer the written versions of each story?📲 https://www.businessof.tech/subscribe 📰 Story Links & SourcesLooking for the links from today’s stories?Every episode script — with full source links — is posted at:🌐 https://www.businessof.tech 🎙 Want to Be a Guest?Pitch your story or appear on Business of Tech: Daily 10-Minute IT Services Insights:💬 https://www.podmatch.com/hostdetailpreview/businessoftech 🔗 Follow Business of Tech LinkedIn: https://www.linkedin.com/company/28908079YouTube: https://youtube.com/mspradioBluesky: https://bsky.app/profile/businessof.techInstagram: https://www.instagram.com/mspradioTikTok: https://www.tiktok.com/@businessoftechFacebook: https://www.facebook.com/mspradionews Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.