The global Managed Services Market size reached USD 304.6 Billion in 2024 and is projected to reach USD 570.8 Billion by 2033. The market is expected to grow at a CAGR of 7.2% during the forecast period from 2025 to 2033. This growth is driven by increasing demand for IT outsourcing solutions, growing complexities in IT infrastructure management, and the rising need for cost-effective and scalable business solutions.
STUDY ASSUMPTION YEARS
- Base Year: 2024
- Historical Year/Period: 2019-2024
- Forecast Year/Period: 2025-2033
MANAGED SERVICES MARKET KEY TAKEAWAYS
- Current Market Size: USD 304.6 Billion in 2024
- CAGR: 7.2% (2025-2033)
- Forecast Period: 2025-2033
- The market is primarily driven by the growing need for IT cost reduction and efficiency enhancement.
- Artificial intelligence (AI) and automation are key trends enhancing efficiency and reducing human error.
- Cybersecurity-managed services are increasingly emphasized, responding to rising cyber threats.
- North America leads the market due to a strong technology presence and high IT adoption.
- Asia-Pacific is rapidly growing, fueled by digitization and expanding IT spending.
Sample Request Link:
https://www.imarcgroup.com/managed-services-market/requestsample
MARKET GROWTH FACTORS
The growing demand for businesses to cut IT costs and boost efficiency is a major driving force in the market. Many organizations are turning to outsourcing for their IT operations, allowing them to concentrate on what they do best. By utilizing managed services, they gain access to specialized expertise, cutting-edge technologies, and ongoing support. This shift helps tackle the complexities of managing IT infrastructure while also optimizing costs and enhancing operational efficiency.
Another significant trend in the managed services market is the rise of artificial intelligence (AI) and automation in service delivery. AI not only boosts efficiency but also minimizes human errors in service processes. Additionally, there’s a heightened emphasis on cybersecurity-managed services to combat the increasing frequency and sophistication of cyber threats, which is especially crucial in regulated sectors like finance, healthcare, and retail.
The growing embrace of cloud technologies is yet another vital factor driving growth. As businesses move towards cloud-based solutions, they enjoy benefits like cost savings, improved collaboration, and better accessibility. Managed service providers are stepping up to offer comprehensive cloud management services, ensuring that businesses migrating to these environments achieve optimal performance, security, and cost advantages.
MARKET SEGMENTATION
Breakup by Type:
- Managed Infrastructure: Outsourcing IT infrastructure components such as servers, storage, and networking equipment to third parties. This is the largest segment driven by IT environment complexities and cost optimization needs.
- Managed Data Center
- Managed Security
- Managed Communications
- Managed Network
- Managed Mobility
Breakup by Deployment Mode:
- On-premises: Services maintained within client’s physical infrastructure, including hardware procurement, installation, configuration, and maintenance. Dominates due to security and compliance preferences.
- Cloud-based
Breakup by Enterprise Size:
- Large Enterprises: Characterized by extensive IT infrastructure, complex operations, and large IT budgets. Largest segment requiring diverse managed services.
- Small and Medium-sized Enterprises
Breakup by End Use:
- IT and Telecommunication: Largest segment driven by the need for reliable IT infrastructure and communication networks.
- BFSI
- Healthcare
- Entertainment and Media
- Retail
- Manufacturing
- Government
- Others
REGIONAL INSIGHTS
North America dominates the global managed services market, accounting for the largest market share. This is driven by a robust technological infrastructure, high IT spending, and the presence of key market players. The region’s mature market includes sectors like healthcare, IT, manufacturing, and finance relying heavily on managed services. High cloud computing adoption in North America further propels market growth.
RECENT DEVELOPMENTS & NEWS
- May 2024: Accenture announced the acquisition of Customer Management IT and SirfinPA, Italian consultancies focused on justice and public safety sectors.
- November 2023: AT&T announced plans to establish a standalone managed cybersecurity services business with investment from WillJam Ventures.
- March 2024: Dell Technologies and CrowdStrike expanded their partnership to deliver Dell’s Managed Detection and Response services integrated with CrowdStrike Falcon XDR platform.
KEY PLAYERS
- Accenture plc
- AT&T
- Capgemini
- Dell Inc.
- Fujitsu Limited
- Hewlett Packard Enterprise Development LP
- Infosys Limited
- International Business Machines Corporation
- Nokia Corporation
- Open Text Corporation
- Rackspace Technology
- Telefonaktiebolaget LM Ericsson
- Verizon
Customization Note:
If you require any specific information that is not covered currently within the scope of the report, we will provide the same as part of the customization.
ABOUT US
IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provides a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
CONTACT US
IMARC Group,
134 N 4th St. Brooklyn, NY 11249, USA,
Email: sales@imarcgroup.com,
Tel No: (D) +91 120 433 0800,
United States: +1-201971-6302
