Poor Support as a Result of MSP Acquisition News

MSP Acquisition News in Minneapolis: What It Means for Local Businesses

MSP acquisition news highlights a growing consolidation trend in the managed service provider industry—one that is now clearly impacting businesses across Minneapolis. Across the country, MSPs are being acquired by larger regional firms and private equity-backed platforms at an accelerating pace. Industry surveys suggest that nearly 70% of MSP owners are at least open to being acquired.

While acquisitions can create growth opportunities for MSP owners and investors, they often result in a decline of service responsiveness and customer care. 

Why MSP Acquisitions Are Increasing

Private equity firms and large national MSPs aren’t buying MSPs simply to own more logos. Their goal is consolidation—standardizing tools, processes, and service delivery to increase operational efficiency and recurring cash flow. Here’s what this means in practice:

• Centralized help desks (often offshore) replacing local support teams
• Tighter SLAs and standardized service models
• Pressure to reduce costs and increase margins post-acquisition

For customers, these changes are not always felt immediately. In many cases, the first few months after an acquisition feel business-as-usual. Over time, however, clients may notice slower response times, more ticket handoffs, or the loss of the people and culture that originally drew them to their MSP.

Minneapolis MSP Acquisition Activity (Last 24 Months)

The Twin Cities market has seen significant acquisition activity since late 2023. In just the last two years, six Minneapolis-area MSPs have been acquired or recapitalized, including:

• Total Networx (Burnsville) – acquired by Cyber Advisors (May 2024)
• SUCCESS Computer Consulting (Minneapolis) – joined NETRIO (October 2024)
• Atomic Data (Minneapolis) – recapitalized by Dubin Clark & Co. (September 2024)
• Verus (Minneapolis) – acquired by New Charter Technologies (January 2025)
• Element Technologies (Bloomington) – acquired by New Charter Technologies (March 2025)
• Custom Computer Source (Bloomington) – merged with CSI Tech Corp (July 2025)

What We Observed During Our Research

As part of our research into Minneapolis MSP acquisitions, we reviewed publicly available Google Business Profile data for several acquired firms. While MSPs typically receive fewer reviews than consumer-facing service businesses, we noticed an interesting and concerning pattern.

In multiple cases, negative reviews increased within months following an acquisition event. While not universal, the timing suggested a correlation between ownership changes and declining customer experience. Common themes included communication issues, slower support, and frustration with changes in service delivery.

These pattern reinforces something we’ve seen firsthand over decades in this market: ownership changes often impact service culture, even when intentions are good.

Why Culture Matters More Than Tools

After more than 30 years serving Minneapolis businesses, we’ve learned one thing with absolute certainty: culture is the single most important differentiator between MSPs.

What truly separates one provider from another is how those tools and people are deployed and how clients are treated when things go wrong.

For high-performing MSPs, culture permeates every touchpoint. When an MSP is acquired, that culture can change quickly. Decision-making moves further away. Processes become standardized. Local flexibility is often lost.

We’ve seen many MSPs come and go in the Minneapolis market, often cycling through multiple ownership changes. Unfortunately, those transitions frequently create unhappy customers—and those customers eventually look for a provider that values relationships over rapid consolidation.

What Businesses Should Ask After an Acquisition

If your MSP has recently been acquired, it’s not automatically a bad thing—but it is something to pay attention to. Ask questions like:

• Will my support team remain local?
• Have SLAs, escalation paths, or pricing models changed?
• How are decisions made now—and where?
• Does the provider still prioritize relationships, or has everything become transactional?

The answers will tell you whether the acquisition strengthens your partnership or slowly erodes it.

Stability Still Matters

Growth and innovation are important—but so is stability. Minneapolis businesses deserve IT partners who understand the local market, invest in long-term relationships, and stay true to their core values regardless of industry trends.

In an era of constant MSP consolidation, choosing a provider with consistent ownership, strong culture, and a proven history in the Twin Cities can make all the difference.

Finding a Better MSP in the Twin Cities

For organizations looking to compare providers, understand differentiators, and see which firms have established long-term roots in the Twin Cities, we’ve put together a helpful resource:
Top Managed Service Providers in Minneapolis.

This guide highlights MSPs serving the Minneapolis area, outlines what to look for in a true IT partner, and provides context to help businesses separate marketing claims from meaningful, experience-driven value. In a time when consolidation is becoming the norm, having clarity around ownership stability, service philosophy, and company culture can make all the difference.

You can explore best practices for evaluating Managed Service Providers independently, view our resource:
2026 IT Services Buyers Guide