Cloud
Pax8 builds token tracking to help MSPs bill for AI services
At its annual Beyond conference, Pax8 announced the integration of token tracking into its MSP operations platform and a partnership with Microsoft to launch a Copilot multi-tenant dashboard, aimed at helping managed service providers (MSPs) solve the pain point of usage-based billing for AI agents. The company also introduced the Managed Intelligence Provider and Managed Intelligence Services programs, expanded its agent marketplace, and added a new strategic operations layer. Industry analysts noted that Pax8 is providing a structured path for MSPs to enter the agentic AI market, but execution complexity is high, and MSPs face competitive threats from AI-native service providers.
As big tech companies pour billions of dollars daily into large language model training and infrastructure, the channel is still searching for a practical way to charge for the fruits of these investments. Pax8 has set its sights on solving this problem.
The cloud-based IT marketplace is building token tracking capabilities into its MSP operations platform and working with Microsoft to deliver a multi-tenant control panel for the Copilot AI assistant. Pax8 Chief Operating Officer Craig Donovan shared this with Channel Dive on Thursday after the company's annual Pax8 Beyond conference in Salt Lake City.
"In an agentic world, usage-based billing is likely to become the dominant monetization strategy, but partners currently have no good way to see the actual usage of anything they build," Donovan said.
Billing for AI agents is one of several partner pain points Pax8 hopes to alleviate on its platform. Last week, the company launched the Managed Intelligence Provider and Managed Intelligence Services programs to bolster its agent marketplace introduced in October. Beyond simplifying billing processes for Microsoft 365 Copilot Business, ConnectWise Sidekick, and Rewst RoboRewsty, Pax8 will also offer MSP customers AI assessment and advisory services, along with forward-deployed engineering expertise. Pax8 has also added a strategic operations layer to the platform, providing real-time account analytics, customer subscription updates, automated financial reporting, and system integration specifications.
These updates target specific MSP pain points while providing a coherent vision for the next phase of the IT services industry, said Jessica Davis, principal analyst at Omdia, a sister company of Channel Dive.
"Most MSPs are still in the early stages of figuring out how to package, price, govern, and support agentic AI," said Davis, who attended the Salt Lake City conference. "Pax8 is trying to provide them with a structured path into that market. The challenge lies in execution, because building a vendor-neutral agent marketplace is very complex. But Pax8 is gradually getting there and could pave the way for MSPs to create and sell their own agents."
Pax8 is one of many vendors vying for MSP business and mindshare. In the operations platform space, five major players are competing for leadership with professional services automation and remote monitoring and management offerings—ConnectWise, Kaseya, NinjaOne, N-able, and HaloPSA. According to Omdia, most large distributors have also adopted platform strategies over the past two years as hyperscaler marketplaces gain traction in procurement.
The marketplace ecosystem has reshaped the channel landscape as purchasing migrates to the cloud. Futurum Group analyst Alex Smith noted in a March report that approximately 85% of partners process transactions through TSD platforms maintained by Ingram Micro, TD Synnex, Pax8, and other large companies.
Pax8 is expanding beyond distribution into back-office automation and enablement services through its managed intelligence model.
"This is a new type of professional service that we've divided into three tracks," Donovan told Channel Dive. "First is discovery services, where we assemble teams to do consultative work on behalf of partners with end customers. Second, we're building agent technology and using it in our own consulting to generate better reports. Finally, if customers truly need custom solutions, we establish build services to create custom workflows and products on behalf of partners for end customers."
From an industry analyst perspective, breaking down the AI billing barrier is a tactical move serving a broader strategy.
"Among MSP ecosystem vendors, Pax8 has one of the clearest visions for the next phase of the managed services business," Davis said. "The Managed Intelligence Provider framework isn't just a repackaging of the MSP model—it argues that MSPs will increasingly shift from managing infrastructure, subscriptions, and support tickets to managing intelligent systems, agentic workflows, and measurable business outcomes for SMB customers."
The stakes are high. AI is reshaping the business model of IT management and the types of products and services on customer requirement lists. MSPs are adapting their internal processes even as they adjust their own portfolios.
"AI will change not only what MSPs sell, but also how they operate, how they price their services, and how they demonstrate value to customers," Davis said.
As customers send mixed signals, the industry faces an existential threat—AI is seeping into workflows through both formal and informal channels.
"Many MSPs haven't yet heard strong, explicit demand from SMB customers for AI services, but SMB customers are already experimenting with tools like ChatGPT and Claude," Davis noted.
"If MSPs don't help these customers use AI safely and strategically, then AI-native service providers may first enter customer accounts through workflow automation and agent services, then expand over time into broader IT services," she added. "The risk for MSPs isn't just missing out on a new service category—it's allowing a new class of competitor to enter customer relationships from the AI side and eventually squeeze them in their core managed services business."