ConnectWise is currently facing a significant crisis of trust as attackers exploit its signed software to distribute malware. This alarming trend has seen a notable increase in infections since March 2025, primarily due to poor signing practices that allow malicious users to embed harmful code within legitimate applications. Reports indicate that the ConnectWise ScreenConnect remote access tool was the most commonly abused legitimate tool in 2024, with a staggering 56% of all active threat reports involving remote access tools. The rise in phishing schemes utilizing ConnectWise samples has raised concerns about the security measures in place and the implications for managed service providers (MSPs).

Despite the increasing number of breaches, a recent survey revealed that 76% of MSP leaders remain confident in their cybersecurity efforts, even as nearly 70% reported experiencing multiple cyber breaches in the past year. This disconnect between confidence and reality poses a significant problem, as many MSPs recognize the need to improve their defenses but feel ill-equipped to guide customers through complex regulatory changes. The situation is further complicated by sensationalized reports of massive data breaches, which can divert attention from verified security threats and contribute to a false sense of security.

The podcast also highlights the ongoing Salt Typhoon hack, which has reportedly led to major U.S. telecommunications companies instructing their incident response teams not to seek evidence of the intrusion. This directive raises concerns about the scale of the breach and the lack of accountability within the telecom sector, where deregulation has diminished incentives for companies to invest in security measures. Experts warn that this willful ignorance sets a dangerous precedent, particularly in critical infrastructure, and emphasizes the need for a reevaluation of vendor liability in the face of such breaches.

In response to the evolving challenges faced by MSPs, several vendors have introduced new tools and features aimed at improving operational efficiency and security. Synchro's Universal Billing feature aims to streamline billing processes, while Manage Engine's MSP Central platform seeks to enhance service delivery and device management. Additionally, Hornet Security has launched an AI Cyber Assistant to bolster cybersecurity for Microsoft 365 users. These developments indicate that while vendors are recognizing the challenges MSPs face, they often lag behind in providing the necessary solutions, underscoring the importance of selecting platforms that prioritize practical integration and real-world impact.

Three things to know today

00:00 Legit Tools, Real Breaches: ConnectWise Malware Surge and Telecom Hacks Highlight Systemic Security Failures

06:54 MSP Tools Evolve as Syncro, ManageEngine, and Hornetsecurity Target Profitability, Consolidation, and AI Security

09:47 Bitdefender, Pia and Nexus IT Signal Strategic Evolution in the MSP and Security Landscape

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