Managed Services Market size to cross $600 Bn by 2032

Managed Services Market size is estimated to surpass USD 600 billion by 2032, according to a new research report by Global Market Insights Inc.
 

The report anticipates that the increasing requirement to introduce enhanced network connectivity across enterprises to enable efficient data transformation may favor the market growth.
 

The rapid expansion of the remote workforce and accelerating adoption of cloud-based services across several business verticals have significantly pushed the demand for high-speed internet to ensure seamless connectivity and maintain productivity at the workplace. This, in turn, has resulted in the development of 5G infrastructure, creating favorable growth prospects for the managed services market.
 

For instance, leading internet service providers Reliance Jio and Airtel rolled out their 5G services in India in October 2022. However, the lack of availability of skilled IT resources may impact the business output. In contrast, the increasing focus of leading managed services providers on capitalizing on the surging instances of cyber-attacks on government platforms, BFSI portals, IT infrastructures, and others will strengthen the market outlook.
 

Proliferation of cloud platforms to accentuate the demand for managed collaboration services

The managed services market size from the managed collaboration segment is expected to expand at over 10.5% CAGR between 2023 and 2032. The escalating cloud adoption and the fast-paced digital transformation across enterprises will boost the demand for managed collaboration services to manage and maintain operational efficiency. For instance, in November 2022, Tata Communications launched an end-to-end managed UCaaS (unified communications as a service) to allow businesses to deliver digitally advanced, intelligent, and sophisticated collaboration experiences to their employees.
 

Enhanced cost savings to drive the market demand across SMEs

With respect to the organization size, the SMEs segment accounted for 15% of the market share in 2022. The deployment of managed services across SMEs is attributed to their cost-effectiveness, scalability, and reduced infrastructure complexities, as these organizations largely focus on leveraging cost-effective solutions to limit capital expenditure. Besides, the increasing IT requirements across these enterprises will further bolster product adoption through the ensuing years.
 

Browse key industry insights spread across 270 pages with 210 market data tables and 37 figures & charts from the report, “Managed Services Market Size By Service Type (Cloud Managed Service, Managed Infrastructure, Managed Network, Managed Collaboration, Managed Security, Managed Mobility, Managed Backup & Recovery), By Organization Type (SME, Large Enterprises), By Industry Vertical (BFSI, Government, Retail, IT & Telecom, Energy & Utility, Healthcare), COVID-19 Impact Analysis, Regional Outlook, Application Potential, Competitive Market Share & Forecast, 2023– 2032” in detail along with the table of contents:
https://www.gminsights.com/industry-analysis/managed-services-market
 

Increasing usage of digital services across the government sector to boost the industry growth

Regarding the industry vertical, the revenues from the government segment are anticipated to grow at 10.5% CAGR through 2032, credited to the increasing utilization of multiple innovative technologies, including WAN architectures and other digital services across the government sector. In addition, government authorities have been focusing on upgrading their work infrastructure due to emerging digitization trends and the heightened usage of digital services.
 

Developing network infrastructure to aid market growth across Europe

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From a regional perspective, Europe managed services industry is set to garner more than 20% of the overall market share by 2032. The escalating rollouts of several government-backed initiatives focused on boosting digitalization across SMEs in the region will fuel the market expansion. In addition, the ongoing 5G trials and the upgradation of existing network infrastructure by several telecom operators having a strong presence in Europe.
 

Strategic associations to strengthen the competitive landscape

Some of the leading companies operating in the managed services market include Nokia Networks, AT&T Inc, Accenture plc, ATOS SE, Cisco Systems, Inc., Cloudreach, Centurylink, Inc. (Lumen Technologies), Deloitte Touche Tomatsu Limited, Cognizant, DXC Technology, HCL Technologies Limited, Huawei Technologies Co., Ltd., Infosys Limited, NTT Data Corporation, Rackspace Technology, Inc., Fujitsu Limited, TCS Limited, IBM Corporation, Tech Mahindra Limited, and Telefonaktiebolaget LM Ericsson.
 

These companies have been strengthening their strategic bonds as part of their key growth strategy. For instance, in December 2022, Endeavor Managed Services was launched as a digital transformation managed services platform company and announced the acquisition of SOVA Inc. Endeavor offers transformation and management services, including design, service provisioning, installation, monitoring, multi-vendor, and help desk support for large multinational Fortune 500 Company customers.