CyberSmart’s latest annual MSP Survey highlights a curious trend: while 69% of managed service providers experienced multiple security breaches over the past year, most still express strong confidence in their cybersecurity posture, reports ChannelPro. Nearly half of those affected reported three or more incidents, signaling that threat actors continue to test even mature security environments. Yet, confidence levels haven’t dipped. In fact, 76% of respondents described their security posture as either “complete” or “above average.”Despite the optimism, many MSPs acknowledge they’re not immune to risk. While a fifth of respondents rated their cyber defenses as fully secure, the majority recognize room for improvement. This suggests a gap between perception and preparedness, one that could grow if firms fail to act on known weaknesses. Confidence in customer cybersecurity is also relatively high, with 93% of MSPs saying their clients are doing well on that front. Still, less than half rated their customers’ awareness as “above average.”The survey also revealed a gap in regulatory readiness. While new rules like the NIS2 directive, EU AI Act, and DORA are fast approaching, only 39% of MSPs said they feel equipped to help clients navigate them. This points to a potential growth area,MSPs have an opportunity to shift from reactive support roles into proactive advisory ones, particularly as regulatory complexity becomes a bigger issue for SMBs and mid-market clients.MSPs also pointed to continuous monitoring, employee training, and risk management as top priorities going forward. These focus areas reflect an understanding that tools alone aren't enough, sustained vigilance, client education, and strategic foresight are critical. The high number of breaches underscores the reality that strong security is less about avoiding every attack and more about responding intelligently and improving continuously.