Global Managed Services Market Forecast to Reach USD 847.21 Billion by 2034, Growing at a 7.14% CAGR

Evolve Business Intelligence has published a research report on the Global Managed Services Market, 2024–2034. The global Managed Services Market is projected to exhibit a CAGR of around 7.14% during the forecast period of 2024 to 2034.

Evolve Business Intelligence has recognized the following companies as the key players in the global Managed Services Market: Accenture plc, Capgemini SE, Cisco Systems Inc., Dell Technologies Inc., Fujitsu Limited, Infosys Limited, International Business Machines Corporation, Nokia Corporation, Rackspace Technology Inc. and Tata Consultancy Services Limited.

Market Highlights

The Global Managed Services Market is projected to be valued at USD 847.21 Billion by 2034, recording a CAGR of around 7.14% during the forecast period. The Managed Services Market refers to the outsourcing of IT operations and business functions to third-party providers, enabling organizations to focus on core business activities while ensuring efficiency, cost savings, and enhanced security. Managed services cover a broad spectrum, including IT infrastructure management, cybersecurity, cloud services, network monitoring, and data analytics.

The Managed Services Market is expected to witness substantial growth due to the increasing reliance on outsourcing IT functions, the expansion of cloud-based services, and growing cybersecurity needs. The integration of AI and automation will further enhance service delivery, making managed services indispensable for enterprises globally.

Segmental Analysis

The global Managed Services Market has been segmented based on Type, Enterprise Size and End Use.

Based on Type, the Managed Services Market is segmented into Managed Infrastructure, Managed Data Center, Managed Security, Managed Communications, Managed Network, Managed Mobility. The Managed Infrastructure is anticipated to dominate the market.

Based on Enterprise Size, the global Managed Services Market has been Large Enterprises, Small and Medium-sized Enterprises. The Large Enterprises segment is anticipated to dominate the market.

Based on End Use, the global Managed Services Market has been divided IT and Telecommunication, BFSI, Healthcare, Entertainment and Media, Retail, Manufacturing, Government, and Others. The IT and Telecommunication segment is anticipated to dominate the market.

Regional Analysis

The Managed Services Market is divided into five regions: North America, Europe, Asia-Pacific, South America, and the Middle East, & Africa. North America holds a substantial share of the global managed services market, attributed to its early adoption of advanced technologies and a well-established IT infrastructure. The United States, in particular, demonstrates significant growth due to the rising adoption of these services among small and medium-sized enterprises and substantial IT budgets allocated to managed services. Europe represents a significant portion of the global managed services market, driven by rapid digital transformation and stringent data privacy regulations, such as the General Data Protection Regulation (GDPR). Countries like Germany, the United Kingdom, and France are leading adopters, leveraging managed services to modernize IT infrastructure and enhance operational efficiency. Asia-Pacific is the fastest-growing region in the managed services market, driven by rapid digitization, improving IT infrastructure, and increasing adoption of cloud technologies. Countries like China, India, and Japan are at the forefront, supported by government initiatives promoting digital transformation and cybersecurity measures. Latin America is emerging as a key region for managed services, driven by increasing digitization of businesses and the need for cost-effective IT solutions. Countries like Brazil, Mexico, and Argentina are at the forefront, particularly in sectors such as manufacturing, retail, and telecommunications. The Middle East & Africa region is experiencing growth in the managed services market due to increasing ICT spending, rising government initiatives, and technological advancements. Governments in GCC countries are focusing on national development projects, such as the UAE’s Vision 2021 and Saudi Arabia’s Vision 2030, which aim to improve cloud-based services and boost economic diversification through the expansion of IT infrastructures.