Snapshot img

Managed Network Services Market Size 2024-2028

The managed network services market size is forecast to increase by USD 16.6 billion at a CAGR of 4.38% between 2023 and 2028.

The market is experiencing significant growth, driven by several key trends. The increasing adoption of Internet of Things (IoT) is one such trend, as organizations seek to enhance their operational efficiency and productivity by connecting various devices and systems. Another trend is the growing automation in managed network services, which is enabling service providers to offer more efficient and cost-effective solutions to their clients.
However, the market is also facing challenges, with data privacy and security risks emerging as a major concern. As businesses continue to digitize their operations and store sensitive information online, the need for robust data security to protect against cyber threats is becoming increasingly important.
Overall, these trends and challenges are shaping the future of the market and are expected to continue driving its growth In the coming years.

What will be the Size of the Managed Network Services Market During the Forecast Period?

Request Free Sample

The market is experiencing significant growth, driven by the increasing adoption of cloud technologies and the proliferation of mobile devices among Small and Medium-sized Enterprises (SMEs) and multinational corporations. This shift towards remote work and digital infrastructure has heightened the need for robust network security, as cyber threats and data breaches continue to pose a significant risk.
Managed Service Providers (MSPs) offer a range of services, including Managed LAN and Managed WAN, firewall management, threat intelligence, and networking applications, to help mitigate these risks. Large enterprises and government agencies, with their complex IT infrastructure and bandwidth requirements, are also turning to third-party service providers for managed network services.
Artificial intelligence is increasingly being integrated into these offerings, providing advanced threat detection and response capabilities. Overall, the market is expected to continue growing, as businesses seek to optimize their digital infrastructure and protect against cyber threats.

How is this Managed Network Services Industry segmented and which is the largest segment?

The managed network services industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

End-user

  BFSI
  Retail and e-commerce
  IT and telecom
  Healthcare
  Others


Deployment

  Cloud
  On-premises


Geography

  North America

    US


  Europe

    Germany
    UK


  APAC

    China
    Japan


  South America



  Middle East and Africa

By End-user Insights

The BFSI segment is estimated to witness significant growth during the forecast period.

The market is experiencing significant growth due to the increasing adoption of cloud technologies and the proliferation of mobile devices among large enterprises and multinational corporations. With the rise of 5G networks and high-speed internet, the demand for managed LAN and WAN services, including firewall management, threat intelligence, and digital infrastructure protection, is increasing. The financial and banking sector, in particular, is a major market for managed network services due to the sensitive nature of the data they handle. This data includes customer financials, account information, cardholder data, and personal information, which is highly regulated by entities such as the EU's General Data Protection Regulation (GDPR).

Non-compliance with these regulations can result in substantial penalties for financial institutions and banks. Managed Service Providers offer solutions for cloud networking, IoT, edge computing, and IT infrastructure management, leveraging artificial intelligence technology and automation to enhance network security and mitigate cyber threats. The market is shifting towards subscription models, multi-year contracts, and third-party service providers for cost savings and improved service level agreements. The integration of electronic devices and IT staff into digital networks further increases the need for managed network services.

Get a glance at the Managed Network Services Industry report of share of various segments Request Free Sample

The BFSI segment was valued at USD 19.50 billion in 2018 and showed a gradual increase during the forecast period.

Regional Analysis

North America is estimated to contribute 37% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

For more insigh

The size of the Europe Managed Services Market was valued at USD XXX Million in 2023 and is projected to reach USD XXX Million by 2032, with an expected CAGR of 13.94% during the forecast period.Managed services refer to the outsourcing of IT functions and operations to a third-party service provider. It would enable businesses to focus on core competencies, while experts managed their IT infrastructure, applications, and other IT-related tasks. Managed services range from the management of the network, the data center, security, and cloud computing up to IT support. The Europe managed services market is driven by several factors, which include the increase in adoption of cloud computing, the growing need for IT security, and the growing desire of business to reduce their costs and be more efficient. Recent developments include: November 2023: Netskope, a player in Secure Access Service Edge (SASE), and Telstra International, the global arm of telecommunications and technology company Telstra, today announced the expansion of their partnership to enable Telstra to deliver fully managed Netskope cloud-native Secure Access Service Edge (SASE) —including Zero Trust Network Access (ZTNA) services—to organizations globally. Customers worldwide use Telstra's managed security services to help address the changing needs of the digital workplace and mitigate the ever-evolving cyber threats landscape., In February 2023, Infosys, a leading provider of next-generation digital services and consulting, entered into a strategic collaboration with ng-voice GmbH, a provider of cloud-native IP Multimedia Subsystem (IMS) solutions. Through this, Infosys will provide systems integration services for ng-voice, facilitating telecom operators with digital capabilities to deploy containerized and cloud-native network solutions across Europe. Building on this, both companies also aim to provide managed services to support the network solution while delivering personalized customer experiences and fostering innovation.. Key drivers for this market are: Increasing Shift to Hybrid IT, Improved Cost and Operational Efficiency. Potential restraints include: Integration and Regulatory Issues and Reliability Concerns. Notable trends are: Cloud segment is expected to grow at a higher pace.

From 2024 to 2029, the European managed network service market is expected to grow by over USD 11 billion, fueled by ongoing digital transformation efforts.

The Network Managed Services Market report segments the industry into By Type (Managed LAN, Managed WAN, Managed Wi-Fi, Managed Network Security, Other Services), By Organization Size (Small and Medium Enterprises (SMEs), Large Enterprises), By End User (BFSI, IT and Telecom, Healthcare and Pharmaceutical, Retail, Manufacturing, Education, and more), and By Geography (North America, Europe, Asia-Pacific, and more).

The European Managed SD-WAN Services market is experiencing robust growth, projected to reach $1.12 billion in 2025 and exhibiting a remarkable Compound Annual Growth Rate (CAGR) of 24.70% from 2025 to 2033. This expansion is fueled by several key factors. The increasing adoption of cloud-based applications and the need for secure, reliable network connectivity across geographically dispersed locations are driving demand for managed SD-WAN services. Businesses, particularly large enterprises and those in the BFSI, IT and Telecom, and Healthcare sectors, are increasingly leveraging SD-WAN to optimize network performance, reduce operational costs, and enhance security. The trend towards digital transformation and the expanding Internet of Things (IoT) ecosystem further contribute to this market's growth trajectory. However, challenges such as initial deployment complexities and the need for skilled workforce to manage these complex networks could potentially act as restraints to some extent. The market is segmented by organization size (Small and Medium Enterprises, Large Enterprises) and end-user (BFSI, IT and Telecom, Healthcare, Retail and E-commerce, Manufacturing, and Others). Competition is fierce, with major players like Cisco, Vodafone, NTT, Palo Alto Networks, and others vying for market share. The United Kingdom, Germany, France, and other major European economies constitute the core of this market, reflecting the region’s advanced digital infrastructure and high adoption rates of enterprise technologies. Looking ahead, the European Managed SD-WAN Services market is poised for sustained expansion throughout the forecast period (2025-2033). Continued investments in cloud infrastructure, the proliferation of 5G networks, and the growing demand for enhanced security features within SD-WAN solutions will significantly propel market growth. Furthermore, the increasing adoption of hybrid and multi-cloud architectures will further fuel demand for robust, scalable, and secure managed SD-WAN solutions. Market players are likely to focus on developing innovative solutions, such as AI-powered SD-WAN offerings and enhanced security features, to cater to the evolving needs of their customers and maintain a competitive edge in this dynamic market. The expansion into smaller enterprises and emerging sectors will also be key drivers for further growth. Recent developments include: June 2024: Haier Europe, in its push to transform into a data-centric enterprise, partnered with Orange Business to implement a dynamic SD-WAN solution. Orange Business unveiled a strategic roadmap focusing on three core elements: cloud, connectivity, and cybersecurity. The first phase of the Haier project features a versatile software-defined wide area network (SD-WAN), with Orange Business consultants guiding the selection of underlay and overlay configurations tailored to Haier's needs.. Key drivers for this market are: Lack of In-house Expertise Driving Organizations to Opt for Managed Network Services, Benefit of Extensive Focus on Core Operations and Cost-efficiency; Rapidly Growing Digital Transformation and Network Traffic in Various Industries. Potential restraints include: Lack of In-house Expertise Driving Organizations to Opt for Managed Network Services, Benefit of Extensive Focus on Core Operations and Cost-efficiency; Rapidly Growing Digital Transformation and Network Traffic in Various Industries. Notable trends are: Increased Adoption of Cloud Services to Drive the Market.

Airport Managed Network Services Market Outlook

According to our latest research, the global airport managed network services market size reached USD 5.2 billion in 2024, reflecting a robust expansion driven by increasing digitalization and security requirements in the aviation sector. The market is projected to grow at a CAGR of 8.7% during the forecast period, reaching a value of USD 10.8 billion by 2033. This dynamic growth is primarily attributed to the escalating need for advanced network security, seamless passenger experiences, and the integration of smart airport technologies across both developed and emerging economies.

The primary growth factor for the airport managed network services market is the rapid proliferation of smart airport initiatives globally. As airports transition towards digital transformation, there is a surging demand for robust, scalable, and secure network services to support critical operations such as passenger processing, baggage handling, and real-time surveillance. These digital advancements not only streamline airport operations but also enhance passenger satisfaction by minimizing wait times and improving overall efficiency. Moreover, the increasing adoption of IoT devices and cloud-based applications within airport environments necessitates the deployment of managed network services to ensure uninterrupted connectivity, data integrity, and cybersecurity.

Another significant driver propelling the airport managed network services market is the heightened emphasis on cybersecurity and regulatory compliance. Airports are considered critical infrastructure and face persistent threats from cyberattacks, data breaches, and unauthorized access attempts. As a result, airport authorities are increasingly outsourcing network management to specialized service providers who offer end-to-end solutions encompassing network security, managed VPNs, and intrusion detection systems. This approach not only mitigates operational risks but also ensures compliance with stringent international aviation standards and data protection regulations, thereby fostering trust among stakeholders and passengers.

Furthermore, the growing passenger traffic and the expansion of airport infrastructure, particularly in emerging markets, are fueling the demand for managed network services. Airports are under constant pressure to upgrade their IT infrastructure to accommodate rising passenger volumes, enhance operational efficiency, and deliver seamless connectivity. Managed network services enable airports to scale their network capabilities rapidly, support new digital services, and optimize resource allocation. This trend is further amplified by government investments in airport modernization projects and public-private partnerships aimed at developing next-generation aviation hubs.

Regionally, North America dominates the airport managed network services market, accounting for the largest share in 2024, followed closely by Europe and Asia Pacific. The presence of major international airports, early adoption of advanced technologies, and stringent regulatory frameworks contribute to North America's leadership in this sector. Meanwhile, Asia Pacific is anticipated to exhibit the highest CAGR during the forecast period, driven by rapid airport infrastructure development, increasing air passenger traffic, and the implementation of smart airport projects in countries such as China, India, and Singapore. Europe also maintains a strong position, supported by ongoing digital transformation initiatives and a focus on enhancing airport security and operational efficiency.

Service Type Analysis

The service type segment within the airport managed network services market encompasses a diverse range of offerings, including network security, managed LAN/WAN, managed Wi-Fi, managed VPN, and others. Among these, network security services hold a dominant position, driven by the rising incidence of cyber threats targeting critical airport infrastructure. Airports are increasingly relying on managed sec

Snapshot img

Data Center Managed Services Market Size 2024-2028

The data center managed services market size is forecast to increase by USD 57.63 billion at a CAGR of 10.14% between 2023 and 2028.

The market is experiencing significant growth due to increasing demands for advanced computing capabilities and data storage solutions. With budgetary limits driving organizations to outsource IT infrastructure management, there is a rising need for managed services that can effectively manage computing machines, hardware equipment, IT systems, servers, data storage drives, and network equipment. The trend towards edge computing is also expanding the market, as businesses seek to process data closer to the source for faster response times. However, the integration of these services into existing data centers presents complex challenges, requiring expertise in both IT infrastructure and managed services. This market analysis report delves into these growth factors and the complexities of integrating data center-managed services, providing valuable insights for businesses looking to optimize their IT infrastructure.

What will the size of the market be during the forecast period?

Request Free Sample

The market represents a significant segment of the IT infrastructure landscape, providing businesses with essential solutions for maintaining and optimizing their IT infrastructure. This market encompasses a range of offerings, including hardware services, network services, backup maintenance, and fault tolerance solutions, among others. A reliable third-party managed service platform plays a crucial role in ensuring the upkeep and maintenance of an organization's IT infrastructure. By outsourcing these tasks, businesses can focus on their core competencies while ensuring their IT infrastructure remains reliable and efficient. Cloud infrastructure has become a norm in today's business environment, and data center managed services have evolved to meet the demands of this technology.



Furthermore, managed service providers offer expertise in managing complex IT networks, allowing businesses to leverage sophisticated technology without the need for extensive in-house IT resources. IT infrastructure is a foundational element of any growing business, and the need for reliable and efficient data center solutions is paramount. Managed services offer businesses the flexibility to scale their infrastructure as needed, without the logistical limits of managing hardware and software in-house. Network services are a critical component of data center managed services. External networks must be secure and reliable to ensure business continuity. Managed service providers offer solutions for upgrading and patching operating systems, disaster planning, and backup maintenance to mitigate potential risks and minimize downtime.

How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

End-user

  Retail
  Energy
  BFSI
  Healthcare
  Others


Deployment

  Cloud
  On-premises


Geography

  North America

    US


  Europe

    Germany
    UK


  APAC

    China
    Japan


  South America



  Middle East and Africa

By End-user Insights

The retail segment is estimated to witness significant growth during the forecast period.

The market caters to the management of digital data and computing equipment for various businesses, including those that run web applications and internal applications. This market is witnessing significant growth due to the increasing demand for efficient and reliable IT infrastructure management services. Customers across multiple industries, such as human resources and accounting, are turning to managed services to streamline their operations and focus on their core competencies. Managed services providers offer a range of solutions, including monitoring, maintenance, and security, ensuring that businesses can effectively manage their IT infrastructure and mitigate potential risks.

The integration of advanced technologies, such as artificial intelligence and machine learning, further enhances the value proposition of these services. The market is expected to continue its expansion as more businesses recognize the benefits of outsourcing their IT management needs.

Get a glance at the market report of share of various segments Request Free Sample

The retail segment was valued at USD 15.59 billion in 2018 and showed a gradual increase during the forecast period.

Regional Analysis

North America is estimated to contribute 32% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape th

The European Managed Services Market is experiencing robust growth, projected to reach €52.09 billion in 2025 and maintain a Compound Annual Growth Rate (CAGR) of 13.94% from 2025 to 2033. This expansion is fueled by several key drivers. The increasing adoption of cloud-based solutions across various sectors, including BFSI, manufacturing, and healthcare, is a primary catalyst. Businesses are increasingly outsourcing IT functions to focus on core competencies, leading to higher demand for managed services like data center, security, network, and infrastructure management. Furthermore, the rising need for enhanced cybersecurity measures and the complexity of modern IT infrastructure are compelling organizations to leverage specialized managed service providers. The shift towards digital transformation and the growing adoption of mobile technologies are also contributing significantly to market growth. The market is segmented by deployment (on-premise and cloud), service type (managed data center, security, communications, network, infrastructure, mobility), enterprise size (SMEs and large enterprises), and end-user vertical. The cloud deployment model is expected to witness faster growth compared to on-premise solutions due to its scalability, cost-effectiveness, and flexibility. Large enterprises are currently the major contributors to market revenue, but the SME segment presents significant untapped potential for future growth. Germany, the United Kingdom, and France are anticipated to be the leading national markets within Europe due to their advanced digital infrastructure and high IT spending. The competitive landscape is characterized by a mix of global technology giants and specialized managed service providers. Companies like Fujitsu, Cisco, IBM, and Microsoft are major players, offering a broad range of managed services. However, smaller, specialized firms are also gaining traction by offering niche services and localized expertise. Sustained growth will depend on providers' ability to adapt to evolving technological advancements, offer innovative solutions, and effectively address the security concerns of their clients. Future growth will likely be driven by the increasing adoption of artificial intelligence (AI) and machine learning (ML) in managed services, further enhancing automation and efficiency. The integration of these technologies within managed service offerings will be a key competitive differentiator. Recent developments include: November 2023: Netskope, a player in Secure Access Service Edge (SASE), and Telstra International, the global arm of telecommunications and technology company Telstra, today announced the expansion of their partnership to enable Telstra to deliver fully managed Netskope cloud-native Secure Access Service Edge (SASE) —including Zero Trust Network Access (ZTNA) services—to organizations globally. Customers worldwide use Telstra's managed security services to help address the changing needs of the digital workplace and mitigate the ever-evolving cyber threats landscape., In February 2023, Infosys, a leading provider of next-generation digital services and consulting, entered into a strategic collaboration with ng-voice GmbH, a provider of cloud-native IP Multimedia Subsystem (IMS) solutions. Through this, Infosys will provide systems integration services for ng-voice, facilitating telecom operators with digital capabilities to deploy containerized and cloud-native network solutions across Europe. Building on this, both companies also aim to provide managed services to support the network solution while delivering personalized customer experiences and fostering innovation.. Key drivers for this market are: Increasing Shift to Hybrid IT, Improved Cost and Operational Efficiency. Potential restraints include: Increasing Shift to Hybrid IT, Improved Cost and Operational Efficiency. Notable trends are: Cloud segment is expected to grow at a higher pace.

The global Managed Network Services (MNS) market is anticipated to reach a value of XXX million by 2033, exhibiting a CAGR of XX% during the forecast period (2025-2033). This growth is attributed to factors such as the increasing adoption of cloud-based services, the growing need for network optimization, and the increasing complexity of network infrastructure. The MNS market is segmented by application into large enterprises and SMES, and by type into managed LAN, managed Wi-Fi, managed WAN, managed network security, managed VPN, and network monitoring. The market is dominated by large enterprises, which are expected to continue to account for the majority of market share over the forecast period. North America is expected to hold the largest market share in the MNS market, followed by Europe and Asia Pacific. The growth in these regions is driven by the increasing adoption of cloud-based services and the growing complexity of network infrastructure. The key trends driving the growth of the MNS market include the increasing adoption of software-defined networking (SDN) and network function virtualization (NFV), the growing use of artificial intelligence (AI) and machine learning (ML) for network optimization, and the increasing demand for managed security services. The key challenges facing the MNS market include the lack of skilled labor, the rising cost of bandwidth, and the increasing complexity of network infrastructure.

The size of the Europe Managed Infrastructure Services market was valued at USD XX Million in 2023 and is projected to reach USD XXX Million by 2032, with an expected CAGR of 11.20% during the forecast period.The Europe Managed Infrastructure Services market refers to the outsourcing of IT infrastructure management to specialized service providers. Tasks involved in these services range from server management and network operations to data center management and security monitoring. European companies can get optimal IT operations with cost efficiency, efficiency gains, and better focus on core business objectives by utilizing managed services. The factors driving the market include the growing complexity of IT environments, the emergence of cloud computing, and the increasing demand for digital transformation initiatives across industries. Recent developments include: October 2022 - Kyndryl collaborated with Microsoft Corporation and Dell Technologies and introduced an integrated hybrid cloud solution designed to help customers in data center, mainframe and remote environments accelerate cloud transformation projects by combining the strengths of Microsoft Azure, Kyndryl managed services and Dell Technologies infrastructure and customers would be benefit from cloud automation and centralized management of their IT and operational environments, all while supporting performance and compliance requirements., June 2022 - HPE has announced platform enhancements and new cloud services for HPE GreenLake, the company's flagship offering that enables organizations to modernize all their applications and data. This includes a reimagined modern private cloud that provides a cloud-native experience to power an organization's hybrid strategy, regardless of location. In addition, HPE unveiled eight new HPE GreenLake cloud services, giving customers more choice, control, and predictability for their enterprise cloud delivery.. Key drivers for this market are: Cost and Operational Efficiency Realized Through Outsourcing, Growing Adoption from SMEs; Increasing Focus on Outsourcing of Non-core IT Hardware Operations. Potential restraints include: Operational and Regulatory Concerns Faced by MSP. Notable trends are: Small and Medium Enterprises to Witness Significant Growth.

Telecom Managed Services Market Outlook

The Telecom Managed Services market is poised for substantial growth with a projected market size reaching USD 32 billion in 2023 and expected to expand to USD 58 billion by 2032, registering a CAGR of approximately 6.8%. This robust growth is driven by the increasing demand for operational efficiency and cost-effectiveness among enterprises, rapidly evolving technology, and the need for businesses to stay competitive in an increasingly digital landscape. The shift towards cloud-based services and the rising adoption of IoT and big data analytics are among the key factors propelling the growth of this market. Furthermore, the increasing complexity of network infrastructures and the need for real-time data analytics are prompting more companies to outsource their telecom services to specialized managed service providers.

One of the primary growth drivers for the Telecom Managed Services market is the rising demand for enhanced operational efficiency and cost optimization. Companies are increasingly recognizing the benefits of outsourcing their telecom services, which include reduced operational costs, improved service quality, and the ability to focus on core business functions. Managed services provide organizations with access to the latest technologies and expertise, which can be expensive and challenging to maintain internally. As a result, many businesses are opting to engage with managed service providers to leverage their specialized knowledge and infrastructure, thereby enhancing their competitive edge and operational agility.

Another significant factor contributing to the growth of the Telecom Managed Services market is the rapid technological advancements in the telecommunications sector. The proliferation of cloud computing, the Internet of Things (IoT), and big data analytics has revolutionized the way businesses operate, creating a demand for more sophisticated telecom solutions. Managed service providers are at the forefront of these technological advancements, offering state-of-the-art solutions that enable businesses to harness the power of these technologies. This trend is further accelerated by the increasing adoption of 5G networks, which require advanced infrastructure and expertise to manage effectively. As businesses continue to digitalize their operations, the demand for telecom managed services is expected to grow exponentially.

Furthermore, the increasing complexity of network infrastructures is driving the demand for Telecom Managed Services. As businesses expand their operations globally, they face challenges in managing complex and disparate networks. Managed service providers offer comprehensive solutions that simplify network management, improve security, and ensure seamless connectivity. This is particularly crucial in an era where cyber threats are becoming increasingly sophisticated and prevalent. By outsourcing their telecom services, businesses can mitigate these risks and ensure the integrity and security of their networks. Additionally, managed services provide the scalability and flexibility needed to adapt to changing business needs and technological advancements, making them an attractive option for companies of all sizes.

Telecom Operations Managements play a crucial role in the efficient functioning of telecom managed services. As businesses increasingly rely on managed services to handle their telecom operations, the need for effective operations management becomes paramount. Telecom Operations Managements encompass a range of activities, including network monitoring, maintenance, and optimization, ensuring that telecom services are delivered seamlessly and efficiently. By leveraging advanced technologies and expertise, telecom operations management helps businesses maintain high service quality, reduce downtime, and enhance customer satisfaction. As the telecom landscape continues to evolve, the importance of robust operations management cannot be overstated, as it enables businesses to navigate the complexities of modern telecom infrastructures and meet the growing demands of their customers.

Regionally, the Telecom Managed Services market is witnessing significant growth across various geographies. North America is leading the market, driven by the presence of major technology companies and a high adoption rate of advanced telecom solutions. Europe is also experiencing substantial growth, fueled by the increasing demand for digital transformation solutions and the rising need for enhanced network security. The Asia Pacific region

Managed Network Services Market Outlook

According to our latest research, the global Managed Network Services market size stood at USD 68.3 billion in 2024, reflecting robust adoption across diverse industry verticals. The market is projected to expand at a CAGR of 8.2% from 2025 to 2033, reaching an estimated USD 129.2 billion by 2033. This growth is primarily driven by the increasing complexity of enterprise networks, the rising prevalence of cloud-based applications, and the urgent need for enhanced network security and operational efficiency in a digitally connected world.

One of the most significant growth factors for the Managed Network Services market is the ongoing digital transformation initiatives undertaken by organizations across the globe. As businesses migrate toward hybrid and multi-cloud environments, the complexity of managing distributed IT infrastructures has increased exponentially. Enterprises are increasingly outsourcing their network management to specialized service providers to ensure seamless connectivity, optimized performance, and robust cybersecurity. The proliferation of IoT devices, remote working trends, and the surge in data traffic have further accelerated the demand for managed network solutions that can provide real-time monitoring, proactive maintenance, and rapid issue resolution. This shift not only helps organizations focus on their core competencies but also enables them to achieve greater agility and scalability in their operations.

Another crucial driver propelling the Managed Network Services market is the heightened focus on cybersecurity and data privacy. With cyber threats becoming more sophisticated and frequent, enterprises are under immense pressure to safeguard their networks against potential breaches, ransomware attacks, and unauthorized access. Managed network security services, including advanced firewalls, intrusion detection and prevention systems, and continuous vulnerability assessments, have become indispensable for organizations seeking to protect their digital assets. Service providers are investing heavily in AI and machine learning-powered security solutions to offer real-time threat intelligence and automated incident response, thereby enhancing the overall resilience of enterprise networks. The integration of compliance management and regulatory frameworks within managed network services is also gaining prominence, especially in highly regulated sectors such as BFSI and healthcare.

Additionally, the rapid adoption of cloud-based managed network services is reshaping the market landscape. Cloud deployment models offer unparalleled flexibility, scalability, and cost-efficiency, enabling organizations to quickly adapt to changing business requirements. Managed service providers are leveraging cloud-native technologies to deliver seamless network management, centralized control, and unified visibility across geographically dispersed locations. This trend is particularly evident among small and medium enterprises (SMEs), which often lack the in-house expertise and resources to manage complex network infrastructures. By partnering with managed network service providers, SMEs can benefit from enterprise-grade solutions without incurring significant capital expenditures, thereby leveling the playing field with larger competitors.

From a regional perspective, North America continues to dominate the Managed Network Services market, accounting for the largest share in 2024, followed closely by Europe and Asia Pacific. The region's leadership is attributed to the presence of major technology vendors, early adoption of advanced networking solutions, and a highly mature IT infrastructure. However, Asia Pacific is emerging as the fastest-growing market, fueled by rapid digitalization, expanding internet penetration, and the proliferation of connected devices in countries such as China, India, and Japan. Latin America and the Middle East & Africa are also witnessing steady growth, driven by increasing investments in digital infrastructure and the rising demand for managed services among enterprises seeking to enhance operational efficiency and competitiveness in a dynamic business environment.

The global Network Managed Services market is experiencing robust growth, projected to reach a substantial size in the coming years. A Compound Annual Growth Rate (CAGR) of 12.19% from 2019 to 2024 suggests a significant expansion driven by the increasing adoption of cloud computing, the growing demand for enhanced network security, and the rise of digital transformation initiatives across various sectors. Businesses of all sizes, from SMEs to large enterprises, are increasingly outsourcing network management to specialized providers to leverage their expertise, reduce operational costs, and improve network efficiency. The key segments driving this growth include Managed LAN, Managed WAN, and Managed Wi-Fi services, fueled by the need for reliable and scalable network infrastructure. Furthermore, the rising adoption of Software-Defined Networking (SDN) and Network Function Virtualization (NFV) is creating new opportunities for managed service providers. The BFSI, IT and Telecom, Healthcare, and Retail sectors represent significant end-user verticals contributing to market expansion due to their dependence on highly available and secure networks. Geographic distribution shows a strong presence across North America, Europe, and the Asia Pacific region. While precise regional market share data is unavailable, the strong overall growth indicates significant contributions from each region, with North America likely maintaining a dominant share due to early adoption and robust technology infrastructure. However, the Asia Pacific region is anticipated to showcase the fastest growth rate, driven by rapid digitalization and increasing investments in IT infrastructure. Competitive dynamics are characterized by the presence of both established technology giants like TCS, Accenture, Dell, and IBM, alongside specialized managed service providers like Cato Networks and smaller players. This competition fosters innovation and drives down costs, benefiting end-users. Continued market expansion is expected as businesses increasingly recognize the strategic value of reliable and efficiently managed network infrastructure. The restraints on market growth primarily involve the complexity of integrating legacy systems and the potential for security breaches, requiring constant vigilance and proactive measures from service providers. This in-depth report provides a comprehensive analysis of the global Network Managed Services industry, offering valuable insights into market trends, growth drivers, challenges, and key players. Covering the period from 2019 to 2033, with a focus on 2025, this report is an essential resource for businesses, investors, and researchers seeking to understand and capitalize on the opportunities within this rapidly evolving sector. The market is projected to reach billions in value by 2033, driven by factors discussed within. Recent developments include: June 2023: Wipro launched a managed private 5G-as-a-service solution in partnership with Cisco. Wipro said that the new offering enables enterprise customers to achieve better business outcomes via the integration of private 5G with their existing LAN/WAN/Cloud infrastructure., May 2023: Cloudflare Inc. partnered with Kyndryl Holdings Inc., one of the key IT infrastructure services providers, to help enterprises modernize and scale their corporate networks with managed WAN-as-a-Service and Cloudflare Zero Trust. The partnership combines the expertise of managed networking services provided by Kyndryl with the robust technology platform of Cloudflare to enable enterprises to connect to multiple clouds on a large scale seamlessly.. Key drivers for this market are: Lack of in-house Expertise, Benefit of Extensive Focus on Core Operations; Cost Benefits and ROI Achieved through Managed Services. Potential restraints include: Reluctance Among Medical Professionals to Adopt Advanced Healthcare Tools. Notable trends are: IT and Telecom Sector to be the Largest End User.

The Managed Network Services (MNS) market is experiencing robust growth, projected to reach $69.44 billion in 2025 and exhibiting a Compound Annual Growth Rate (CAGR) of 4.38%. This expansion is fueled by several key drivers. The increasing adoption of cloud computing necessitates sophisticated network management solutions, driving demand for MNS. Furthermore, the surge in digital transformation initiatives across various sectors, including BFSI (Banking, Financial Services, and Insurance), retail, and healthcare, is creating a significant need for reliable and secure network infrastructure, managed by experts. The rising complexity of network architectures, coupled with the scarcity of skilled IT professionals, further reinforces the market's growth trajectory. Businesses are increasingly outsourcing network management to focus on core competencies, contributing to the expanding MNS market. While on-premises deployments still hold a segment, the cloud-based deployment model dominates, offering scalability, flexibility, and cost optimization benefits. Competition in the MNS market is intense, with established players like Accenture, AT&T, Cisco, and IBM vying for market share alongside specialized providers and regional telecommunication giants. The competitive landscape is characterized by strategic partnerships, mergers and acquisitions, and a continuous effort to enhance service offerings. Potential restraints include concerns about security breaches and data privacy, which necessitate robust security measures within MNS solutions. Moreover, pricing pressures and the need for continuous innovation to meet evolving customer requirements pose challenges to market participants. Despite these challenges, the long-term outlook for the MNS market remains positive, driven by sustained technological advancements, increasing digitalization across various industries, and the growing demand for managed services globally. Market segmentation by end-user (BFSI, Retail & e-commerce, IT & Telecom, Healthcare, Others) and deployment (Cloud, On-premises) helps to further understand market dynamics and potential growth opportunities within specific niches. North America and Europe currently hold significant market shares, while APAC is poised for substantial growth in the coming years.

The global Managed Services Market, valued at $2559.81 million in 2025, is projected to experience robust growth, driven by the increasing adoption of cloud computing, the rising need for IT infrastructure optimization, and the escalating demand for cybersecurity solutions. Businesses across various sectors are increasingly outsourcing IT management tasks to specialized providers, seeking to reduce operational costs, improve efficiency, and focus on core competencies. The market's growth is further fueled by the expanding digital transformation initiatives undertaken by organizations globally, necessitating sophisticated managed services to support complex IT ecosystems. Significant growth is expected in segments like Managed Network Services (MNS) and Managed Security Services (MSS), reflecting the paramount importance of robust network infrastructure and cybersecurity in today's interconnected world. Geographically, North America and Europe currently hold substantial market shares, driven by mature IT infrastructure and high adoption rates of advanced technologies. However, Asia-Pacific is poised for significant growth in the coming years, fueled by rapid economic development and increasing digitalization across emerging economies. Competition in the market is intense, with major players employing various strategies including strategic partnerships, acquisitions, and technological innovation to maintain a competitive edge. The market is characterized by a diverse range of service providers, catering to the varied needs of diverse customer segments. The forecast period (2025-2033) anticipates sustained market expansion, with a Compound Annual Growth Rate (CAGR) of 6.51%. This growth will be influenced by several factors, including the increasing prevalence of hybrid and multi-cloud environments, the growing adoption of Artificial Intelligence (AI) and Machine Learning (ML) in IT management, and the continued rise of Software-as-a-Service (SaaS) models. However, challenges remain, including the complexities of managing diverse IT environments, potential security vulnerabilities associated with outsourcing, and the need for skilled professionals to deliver and support these services effectively. Successfully navigating these challenges will be crucial for market participants to capitalize on the significant growth opportunities presented by this dynamic sector.

The Managed Network Services (MNS) market is experiencing robust growth, driven by the increasing adoption of cloud computing, the rise of hybrid work models, and the escalating need for robust cybersecurity. The market, encompassing solutions like managed LAN, Wi-Fi, WAN, network security, and VPN services, caters primarily to large enterprises and SMEs. While the exact market size for 2025 isn't provided, considering typical growth rates in the IT sector and the rapid adoption of managed services, a reasonable estimate would place the 2025 market size at approximately $150 billion USD. Assuming a conservative Compound Annual Growth Rate (CAGR) of 8% (a figure reflective of the steady but significant growth in this sector), the market is projected to reach approximately $250 billion USD by 2033. This growth is fueled by the demand for improved network efficiency, reduced IT operational costs, enhanced security, and the ability to scale network infrastructure flexibly to meet evolving business needs. Key trends shaping the MNS market include the increasing adoption of Software-Defined Networking (SDN), Network Function Virtualization (NFV), and the integration of Artificial Intelligence (AI) for improved network management and automation. The market faces certain restraints, including concerns about vendor lock-in, the complexity of integrating different managed services, and the potential for security breaches despite increased security measures. However, the overall positive trajectory indicates significant opportunities for existing and emerging players in the MNS space. The market segmentation highlights a strong demand across all regions, with North America and Europe currently holding the largest market share. This distribution is expected to shift somewhat as the Asia-Pacific region experiences rapid technological advancement and digital transformation initiatives, indicating a substantial growth potential in this area over the forecast period.

Managed IT Infrastructure Services Market Outlook

The global managed IT infrastructure services market size was valued at approximately $200 billion in 2023 and is anticipated to reach nearly $400 billion by 2032, expanding at a Compound Annual Growth Rate (CAGR) of 7.8%. The growth of this market can be attributed to an increase in the adoption of cloud services and the rising need for enhanced IT infrastructure efficiency. Moreover, the surge in demand for IT infrastructure management due to the growing complexity of IT environments is driving the market.

One of the key growth factors of the managed IT infrastructure services market is the rapid digital transformation across various industries. As businesses strive to remain competitive, they are increasingly relying on advanced IT infrastructure to support their operations and drive innovation. This shift towards digitalization has elevated the demand for managed services that ensure optimal performance, security, and scalability of IT systems. Organizations are looking for service providers who can offer end-to-end management, allowing them to focus on core business activities while minimizing downtime and operational costs.

Another significant growth driver is the increasing adoption of cloud computing. Cloud-based services offer scalability, flexibility, and cost-efficiency, making them highly attractive to organizations of all sizes. Managed IT infrastructure services help businesses transition to and manage their cloud environments effectively. This includes cloud migration, optimization, and ongoing management, thereby ensuring seamless operations and high availability. As more companies move their workloads to the cloud, the demand for managed services to handle these complex environments is expected to rise substantially.

Cybersecurity concerns are also fueling the growth of the managed IT infrastructure services market. With the proliferation of cyber threats, organizations are prioritizing security management to safeguard their data and IT assets. Managed security services, which encompass threat detection, prevention, and response, are becoming increasingly critical. Service providers offer specialized expertise and advanced security tools to protect against cyberattacks, ensuring compliance with regulatory requirements and enhancing overall security posture. This heightened focus on cybersecurity is driving the adoption of managed IT services across various sectors.

Regionally, North America holds a significant share in the managed IT infrastructure services market, driven by the presence of major IT companies and rapid technological advancements. The region's strong IT infrastructure, coupled with a high adoption rate of cloud services and digital technologies, is contributing to market growth. Additionally, the Asia Pacific region is expected to witness substantial growth during the forecast period, fueled by the increasing digitalization of businesses, rising investments in IT infrastructure, and the growing number of SMEs adopting managed services. Europe is also a key market, with a focus on enhancing IT efficiency and cybersecurity measures.

Service Type Analysis

The managed IT infrastructure services market can be segmented by service type, including network management, data center management, security management, mobility services, and others. Network management is a crucial segment, encompassing the administration and monitoring of an organization's network infrastructure. This service ensures network reliability, performance, and security, enabling seamless communication and data transfer. The increasing complexity of network environments, driven by the proliferation of connected devices and IoT, is propelling the demand for network management services. Organizations are turning to managed service providers to maintain network integrity and support business operations.

Data center management is another critical segment, focusing on the efficient operation and maintenance of data centers. This includes tasks such as server management, storage optimization, and ensuring high availability of critical applications. With the growing volume of data generated by businesses, the need for robust data center management services is on the rise. Service providers offer expertise in managing data center infrastructure, optimizing performance, and reducing operational costs. The trend towards data center consolidation and the adoption of hybrid cloud environments further drive the demand for these services.

Security management services are increasingly

Snapshot img

IoT Managed Services Market Size 2025-2029

The iot managed services market size is forecast to increase by USD 538.5 billion, at a CAGR of 33.1% between 2024 and 2029.

The Internet of Things (IoT) Managed Services Market is experiencing significant growth, driven by the increased adoption of IoT solutions across various industries. Companies are recognizing the potential of IoT to optimize operations, enhance productivity, and improve customer experiences. One key application area is predictive maintenance in manufacturing, where IoT data is leveraged to anticipate equipment failures and schedule maintenance proactively. However, the market also faces challenges. Despite the numerous benefits, there is a lack of awareness regarding efficient management of IoT initiatives and investments. Companies need to address this issue to ensure they maximize the value of their IoT projects. Additionally, managing the complexities of IoT deployments, including security concerns and data integration, presents significant challenges that must be addressed to ensure successful implementation and adoption. Companies seeking to capitalize on the opportunities in the market must focus on addressing these challenges and providing comprehensive, end-to-end solutions that simplify IoT management and deliver measurable business value.

What will be the Size of the IoT Managed Services Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
Request Free SampleThe Internet of Things (IoT) managed services market continues to evolve, driven by the increasing adoption of IoT devices and the need for efficient data management and analysis. Cloud connectivity plays a crucial role in enabling seamless integration of these devices, while data governance ensures compliance with industry regulations and standards. AI-powered analytics and machine learning algorithms are transforming the way data is processed and insights are derived, leading to improved operational efficiency and enhanced decision-making capabilities. Sensor integration and real-time tracking are essential for various sectors, including manufacturing, healthcare, and transportation. Network security and access control are paramount in safeguarding IoT systems against cyber threats. Technical documentation and support services are essential for ensuring smooth deployment and management of IoT solutions. Edge computing and big data are also gaining traction, enabling faster processing of data at the source and reducing latency. Deployment models, including public, private, and hybrid cloud, offer flexibility and scalability to businesses. IoT platforms are providing integrated solutions for device management, data analytics, and network infrastructure management. Cellular networks and wireless communication are enabling remote monitoring and management of IoT devices. Ongoing developments in IoT technologies include advancements in sensor integration, system integration, and managed services pricing models. Industry regulations continue to evolve, requiring ongoing training programs and adherence to compliance standards. Data encryption, data visualization, and deep learning are also emerging trends in the IoT landscape. In the constantly evolving IoT market, businesses must stay abreast of the latest trends and technologies to remain competitive. IoT managed services providers are offering comprehensive solutions, including network security, device management, and technical support, to help businesses navigate the complexities of IoT deployments. The integration of APIs into IoT systems is ensuring seamless data flow and enabling real-time insights, further enhancing the value of IoT solutions.

How is this IoT Managed Services Industry segmented?

The iot managed services industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. TypeNetwork management servicesSecurity management servicesInfrastructure management servicesData management servicesDevice management servicesDeploymentOn-premisesCloudSectorSMEsLarge enterprisesEnd-userHealthcareManufacturingBFSIRetailOthersGeographyNorth AmericaUSCanadaEuropeFranceGermanyItalyUKAPACChinaIndiaJapanSouth KoreaRest of World (ROW)

By Type Insights

The network management services segment is estimated to witness significant growth during the forecast period.The Internet of Things (IoT) managed services market is experiencing steady growth, driven by the increasing adoption of IoT devices and the need for effective data governance, cloud connectivity, and AI-powered analytics. Compliance with industry regulations and robust training programs are essential for businesses implemen

Snapshot img

Cloud Managed Services Market Size 2024-2028

The cloud managed services market size is forecast to increase by USD 41.5 billion at a CAGR of 8.5% between 2023 and 2028.

The market is experiencing significant growth, driven primarily by the increasing adoption of cloud computing services and the implementation of Bring Your Own Device (BYOD) policies in businesses. The flexibility and cost savings offered by cloud solutions have led to their widespread adoption, particularly in sectors such as healthcare, finance, and education. However, this market is not without challenges. Data privacy and security risks associated with cloud-based services continue to be a major concern for organizations. The input data highlights that data breaches, cyber security and cyber-attacks are becoming more frequent and sophisticated, making it crucial for companies to implement robust security measures to protect their sensitive information.
Despite these challenges, opportunities abound for businesses that can effectively address these concerns and provide reliable, secure cloud managed services to their clients. Companies seeking to capitalize on this market's growth should focus on offering advanced security features, such as encryption, multi-factor authentication, and access control, to mitigate the risks associated with cloud adoption. Additionally, providing customized solutions and exceptional customer service can help differentiate businesses in this competitive landscape.

What will be the Size of the Cloud Managed Services Market during the forecast period?

Request Free Sample

The market continues to evolve, driven by the increasing adoption of cloud computing across various sectors. Cloud computing's agility and flexibility have made it a preferred choice for businesses seeking to optimize costs, ensure business continuity, and enhance security. Cloud managed services encompass a range of offerings, including cloud migration, backup, security compliance, software management, and storage. Cloud security, a critical component of these services, is an ongoing concern as threats evolve. Cloud threat intelligence, security analytics, and monitoring are essential to mitigate risks. Compliance with security standards and regulations is paramount, with ongoing auditing and testing ensuring adherence.
Cost optimization remains a key driver, with cloud security orchestration and automation streamlining processes and reducing overheads. Cloud governance frameworks provide the necessary guidelines for effective management and ensure adherence to best practices. Agile development and continuous integration are increasingly being adopted, requiring robust cloud security solutions. The data center plays a crucial role in cloud managed services, providing the infrastructure for seamless integration and efficient delivery of services. The market's dynamics continue to unfold, with new trends and patterns emerging as businesses navigate the complex cloud landscape.

How is this Cloud Managed Services Industry segmented?

The cloud managed services industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

End-user

  Large enterprise
  Small and medium enterprise


Service Type

  Managed Security Services
  Managed Network Services
  Managed Infrastructure Services
  Managed Business Services


Deployment Type

  Public Cloud
  Private Cloud
  Hybrid Cloud


Technology

  AI & Automation
  Cloud-Native
  IoT Integration


Geography

  North America

    US
    Canada
    Mexico


  Europe

    France
    Germany
    Italy
    Spain
    UK


  Middle East and Africa

    UAE


  APAC

    China
    India
    Japan
    South Korea


  South America

    Brazil


  Rest of World (ROW)

By End-user Insights

The large enterprise segment is estimated to witness significant growth during the forecast period.

The market is witnessing significant growth as businesses increasingly adopt cloud computing solutions for their managed IT infrastructure. Cloud threat intelligence, a crucial aspect of cloud security, is becoming essential for businesses to protect their data from cyber threats. Cloud migration, a key driver of the market, is being facilitated by cloud computing's flexibility and cost savings. However, ensuring cloud security compliance with various regulations and standards is a major challenge. Cloud management, including business continuity, cost optimization, disaster recovery, and agile development, is a critical component of cloud services. Cloud security analytics, forensics, awareness, training, and orchestration are vital for effective threat detection and response.

Cloud security testing, auditing, governance, frameworks, and monitoring are essen