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

Business of Tech: Daily 10-Minute IT Services Insights

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 Gaps

05:11 Tariffs and AI Redefine Channel Strategy: Uncertainty, Automation, and the Margin Squeeze

08:23 Enterprise AI Gets Real: Barracuda, Red Hat, and Salesforce Target Ops, Not Optics

10:17 ConnectWise Breach Underscores Rising Nation-State Interest in RMM Tools

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