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MSP, MSSP, MIP, TSP: What Each One Actually Does

Plain English guide to managed IT models. What a Managed Service Provider, Managed Security Service Provider, Managed Infrastructure Partner, and Technology Service Provider actually do, who needs which, and what to look for.

Last reviewed August 2026

Overview

The managed services market uses overlapping terms. An MSP does IT operations. An MSSP does security operations. A MIP focuses on infrastructure. A TSP is a broader technology advisor. Many providers claim all four. Few deliver all four well.

MSP: Managed Service Provider

The default category. Day-to-day IT operations: help desk, device management, Microsoft 365 administration, backup, patching, monitoring. The IT department outsourced.

What they do

  • Help desk and user support
  • Device setup, deployment, retirement
  • Microsoft 365 / Google Workspace management
  • Patch management and monitoring
  • Backup operations
  • Basic security (EDR, email filtering)

Who needs it

  • SMBs without dedicated IT
  • Businesses with 5-250 staff typically
  • Anyone wanting predictable IT costs
  • Businesses whose IT person left or cannot scale

MSSP: Managed Security Service Provider

Security-focused. 24/7 SOC, SIEM, MDR, incident response, vulnerability management, compliance (ISO 27001, Essential Eight, SMB1001). Specialists, not generalists.

What they do

  • 24/7 security monitoring (SOC)
  • EDR / MDR and threat hunting
  • SIEM management
  • Incident response
  • Vulnerability scanning and patching oversight
  • Compliance frameworks (Essential Eight, ISO, PCI)

Who needs it

  • Regulated industries (health, finance, legal)
  • Businesses with cyber insurance requirements
  • Anyone beyond 100 staff
  • Businesses after a breach or near-miss

MIP: Managed Infrastructure Partner

Infrastructure-first. Networks, servers, storage, virtualisation, data centre, cloud architecture. Less help desk, more engineering. Good fit for multi-site, industrial, and infrastructure-heavy businesses.

TSP: Technology Service Provider

Broadest category. Strategic IT advice, procurement, vendor management, project delivery, digital transformation. Often works alongside internal IT rather than replacing it. CTO-as-a-service in some cases.

What It Typically Costs (Australia)

Basic MSP (help desk + patching)

$80-150 per user per month, minimum seat count usually applies

thorough MSP (incl. M365 licensing, EDR, backup)

$150-300 per user per month

MSSP tier (EDR, MDR, SIEM, compliance)

$50-150 per user per month on top of MSP fees

Project / consulting

$180-280 per hour for standard engineering, higher for architects

Onboarding fee

One-off, typically $2,000-15,000 depending on environment complexity

How to Choose

No dedicated IT and under 100 staff?

Answer: Full MSP. Look for flat-fee, per-user pricing with clear inclusions.

Growing past 100-150 staff?

Answer: Co-managed IT. Internal IT lead + MSP for scale and specialist work.

Regulated or handling sensitive data?

Answer: MSP + MSSP, or a provider with strong security capability built in.

Multi-site or industrial?

Answer: MIP with infrastructure focus. Not every MSP does good networking.

Want strategic IT guidance more than hands-on work?

Answer: TSP or CTO-as-a-service. Complements internal team.

Red Flags When Evaluating

Opaque pricing

No clear per-user or flat-fee pricing. Every conversation turns into a custom quote.

Long lock-in contracts

36-month terms with heavy exit fees. Good providers earn renewal.

No security qualifications

No ACSC partnership, no Essential Eight experience, no MSSP capability.

One engineer doing everything

Small MSPs with no redundancy. Person leaves, you have no support.

Selling you hardware first

Proposals that lead with hardware margin rather than your outcomes.

No documentation

Knowledge lives in one head. When they leave, you are stuck.

Slow response to the first call

If pre-sales is slow, production support will be worse.

Common Mistakes

Buying on price alone

Cheapest usually means fewest engineers, longest SLAs, and most incidents.

Not asking about security

If they cannot explain Essential Eight and MFA in detail, they are not a security partner.

Skipping reference calls

Always talk to 2-3 current clients. Ideally similar size and industry.

Ignoring onboarding quality

Good providers spend weeks documenting your environment. Bad ones wing it.

No exit plan in the contract

Ask how data and systems are handed over if the relationship ends.

Looking for the Right IT Partner?

We operate as an MSP, MSSP, and strategic IT advisor for Australian businesses. Transparent pricing, flat-fee options, and no lock-in contracts.