The AI compute crunch: How MSPs and hybrid cloud are changing the game

Artificial intelligence (AI) is transforming the way businesses operate. It’s driving smarter customer experiences, creating new efficiencies and unlocking incredible potential. But these advances come with a challenge – strain on IT infrastructure. As organisations grapple with rising demands, managed service providers (MSPs) and hybrid cloud solutions are becoming indispensable allies in navigating this AI-driven era.

If your organisation is feeling the pressure, you’re not alone. In Australia, compute demand is expected to surge by 35%, according to ADAPT research. This isn’t just about adding more servers or storage. AI workloads are power-hungry, requiring infrastructure that’s scalable, resilient and always on.

Without the right systems in place, businesses risk rising costs, bottlenecks and missed opportunities. This is where MSPs step in, helping organisations future-proof their IT environments while addressing the challenges of AI adoption head-on.

Why AI is putting pressure on your systems.

AI isn’t just a trendy buzzword – it’s a game-changer, but one that comes with serious challenges for IT teams. Machine learning models, natural language processing and other AI applications are incredibly data-hungry and compute-intensive. They often require systems to run 24/7, and for many businesses, existing infrastructure simply isn’t built to handle that kind of load.

If you’re relying on traditional on-premises systems, you’ve probably noticed how slow, expensive and inflexible they can be when things get busy. These systems were designed for steady, predictable workloads – not the sudden spikes and dips AI generates. Even if you’re already in the cloud, optimising your environment to keep up with AI demands can be tricky.

When these challenges aren’t addressed, the consequences can hit hard. Slower AI models can delay critical decisions or services. Ballooning cloud costs often leads to inefficient resource usage. And perhaps most critically, you’re facing missed commercial opportunities because scaling AI projects feels out of reach.

That’s why more and more businesses are partnering with MSPs. They have the tools and expertise to keep your infrastructure running smoothly, so you can focus on innovation and growth.
Scaling infrastructure: Why it’s harder than it looks.

Scaling to meet AI’s growing demands isn’t as simple as flipping a switch. If you’ve tried to expand your IT environment to handle compute-heavy workloads, you know how many roadblocks can get in the way.
For starters, on-premises infrastructure is often slow and expensive to scale. Adding capacity means investing in costly hardware, waiting out lengthy implementation times and dealing with limited adaptability to sudden changes in demand.

Cloud platforms, like Microsoft Azure cloud solutions offer the scalability AI requires, but managing these resources effectively is another story. Without the right expertise, you might:

• Overcommit and pay for way more compute power than you need.
• Underestimate demand, causing performance issues or outages when usage spikes.
• Struggle with the complexity of platforms like Azure, which require specialised knowledge to optimise properly.

Add in tight budgets and compliance requirements, and things can quickly get overwhelming. Poorly managed compute resources can send costs soaring, while industries like healthcare and finance have the extra challenge of meeting strict security and regulatory standards.

The power of hybrid cloud solutions.

If scaling feels like an uphill battle, hybrid cloud solutions provide a practical and flexible approach to meeting the demands of AI workloads. By combining the strengths of on-premises infrastructure with the scalability of public cloud services, hybrid cloud gives you flexibility, control and efficiency in one package.
One of the best things about hybrid cloud is its ability to scale. When your AI workloads spike, you can balance resources across environments, ensuring everything runs smoothly without overloading your systems. It’s a lifesaver for resource-intensive tasks like training machine learning models or crunching real-time analytics.

Hybrid setups also give you control over your data. Sensitive or highly regulated information can stay on-premises, while less critical workloads benefit from the cost efficiency and flexibility of the cloud. This way, you can meet compliance requirements and still save money.

Finally, hybrid cloud solutions streamline management. They let you integrate powerful on-premises hardware with the expansive capabilities of the cloud, making it easier to optimise workflows, allocate resources efficiently and prepare for whatever demands come next.

If you’re looking for a hybrid cloud model, solutions like Macquarie Flex combine the best of both worlds. Using technologies such as Microsoft Azure Stack HCI and Dell APEX Cloud Platform, these setups give you the ability to:

• choose the right cloud platform for each workload
• adapt to a commercial model that fits your operational needs
• maintain consistent governance and experience across both public and private clouds
• benefit from Microsoft Azure in either environment, without compromise.

Hybrid cloud offers businesses the tools to handle modern challenges in a way that’s adaptable, efficient and aligned with their operational priorities – giving you the flexibility to grow as your needs evolve.

Why MSPs are key to AI success (and how to choose one).

No matter how great your infrastructure setup is, managing and scaling it effectively is no small task. That’s where MSPs come in. They simplify the process, bringing the expertise you need to make your systems work harder, smarter and more efficiently. Your MSP will help to:

• simplify infrastructure management and scaling by adjusting resources on the fly to match fluctuating AI workloads, ensuring seamless performance
• provide expert guidance on navigating the complexities of platforms like Azure and hybrid cloud solutions
• help control costs by making sure you only pay for the resources you need, eliminating waste
• proactively handle data protection, security and compliance, giving you peace of mind.

When it comes to selecting an MSP, you’re not just choosing a provider—you’re choosing a partner. Here’s what to look for:

• Go with an MSP that knows its way around AI and hybrid environments. Experience managing complex workloads is a must.
• Your MSP should be able to adjust resources dynamically while keeping costs in check.
• AI often involves sensitive data, so your MSP needs to be proactive about compliance and security.
• Choose a partner that invests in AI to improve their own productivity and services.

At Macquarie Cloud Services, for example, we’re using AI to enhance service delivery, In Episode Two of our Cloud Reset podcast series: “AI – Promise, Potential and Pitfalls”, we talk about automating routine tasks to free up our teams for high-value initiatives. Predictive analytics and automation are helping us anticipate customer needs and deliver faster, more reliable support.

Tackling the AI compute crunch with Australia’s leading MSP.

The AI revolution is here, and it’s pushing IT infrastructure to its limits. If you want to thrive in this new era, you’ll need to rethink how you manage compute demands. For many businesses, partnering with an expert MSP is the smartest way to future-proof their operations.

Macquarie Cloud Services is at the forefront of helping Australian businesses adapt to these challenges with Azure Managed Services and Macquarie Flex – our hybrid cloud solution that delivers performance, security and cost-efficiency. We’re proud to be an Azure Expert Managed Service Provider, which is a distinction we’ve been awarded by Microsoft following rigorous independent assessments.

Ready to tackle the AI compute crunch with Australia’s leading Azure MSP? Reach out to us today at 1800 004 943 or drop us an email at enquiries@macquariecloudservices.com.