Managed Services Market Size

Managed Services Market registered a profitable valuation of USD 339.38 billion in 2024 and is projected to reach USD 1760.5 billion by 2037, expanding at a CAGR of 13.5% during the forecast period, i.e., 2025-2037. In 2025, the industry size of managed services is estimated at USD 385.2 billion.

The primary growth driver of the managed services market is the increasing demand for businesses to optimize their IT infrastructure and operations while focusing on core competencies. Businesses seek to reduce IT operational costs by outsourcing tasks like network management, cybersecurity, and cloud operations to managed service providers (MSPs). Managed services help organizations transition from capital expenditures (CapEx) to predictable operational expenditures (OpEx), improving budget planning.

Moreover, the shift to cloud-based solutions is driving the need for managed cloud services, including migration, maintenance, and optimization. As of May 2024, about 94% of all companies across the world use cloud computing in their operations. Enterprises require MSPs to manage multi-cloud and hybrid environments for seamless integration and scalability. MSPs play a key role in supporting the deployment and management of emerging technologies like IoT, AI, and edge computing.

Frequently Asked Questions (FAQ)

The global managed services market registered a valuation of USD 339.38 billion in 2024 and is poised to expand at a CAGR of 13.5% during the forecast period, i.e., 2025-2037.

The global managed services sector registered a profitable valuation of USD 339.38 billion in 2024 and is poised to register USD 1760.5 billion in 2037 expanding at a CAGR of 13.5% during the forecast period, i.e., 2025-2037.

The major players in the market are Atera Networks Ltd., Allegro MicroSystems, Inc., ARYAKA NETWORKS, INC., AT&T Inc., BMC Software, Inc., Broadcom, Cisco Systems, Inc. and others.

By deployment, the on-premise segment is poised to register the largest revenue share of 67.6% by 2037. The on-premise segments play a crucial role in driving market growth, particularly in industries and regions where data security, compliance, and control over IT infrastructure are paramount.

North America is poised to register the largest revenue share of 36.2% by the end of 2037. The market growth is driven by technological advancements, evolving business needs, and the increasing complexity of IT infrastructure.

Managed Services Market Size