Managed Services Market Expected to Grow at a CAGR of 11.5% - Exclusive Report by Mordor Intelligence
HYDERABAD, India, Dec. 30, 2019 /PRNewswire/ -- The managed services market was valued at USD 166.8 billion in 2018, and it is expected to reach USD 319.5 billion by 2024, registering a CAGR of 11.5% during the forecast period of 2019-2024. The market for managed services is going to be fuelled by the increasing shortage of expertise with businesses becoming more technology oriented. Furthermore, due to rapid digitalization, the companies are required to continually innovate and upgrade their infrastructure to remain competitive.
Download a Free Sample of our report on the Managed Services Market.
Managed services refer to a concept wherein an organization's in-house day-to-day management and operation functions are managed by a third-party service provider. Managed services involve outsourcing of services related to infrastructure, security, printing, mobility, and other functions, while the ownership rights stay with the end user.
Highlights of the Market:
-- The managed services allow the business to outsource certain aspects of
their IT requirements to a third-party service provider. The companies
can reduce costs, boost productivity, and enhance performance without
spending time on implementation, maintenance, and upgradation of their
IT related infrastructure.
-- It is estimated that the year-on-year capital expenditure by small and
medium businesses toward these services is estimated to increase by 25%.
The market for SMBs and cloud services is expected to take a bigger
share, despite the slow growth rate of the overall IT expenditure in
SMBs, as per a recent survey conducted by Spiceworks.
-- According to the report published by the Technology Services Industry
Association (TSIA) in 2018, about 81% of the MSPs were using commercial
off-the-self tools, to provide a customized solution to their clients.
Additionally, the focus of the industry is slowly shifting toward
standardization of managed services with 68% MSPs offering a standard
solution.
-- The worldwide spending on security-related hardware, software, and
services is expected to reach USD 120 billion by 2022. Rising security
threats, regulatory compliance, and fear of data breaches is likely to
continue to drive the security investments across various industries.
Many major organizations are adopting managed security services, to help
maintain security within an organization.
-- Managed security services (MSSs), along with advanced threat detection
and remediation capabilities, are enjoying high adoption rates.
Furthermore, connected devices are expected to propel distributed denial
of service (DDoS) and advanced persistent threat (APT) attacks. Thus,
enterprises are seeking more proactive security measures to maintain
security within an organization. According to Cloudflare, the financial
cost of a DDoS is significant, as falling victim to a DDoS attack can
cost an organization around USD 100,000 for every hour the attack lasts.
The above factor is fuelling the demand for managed security services.
Read full report on Managed Services Market - Growth, Trends, and Forecasts
Asia-Pacific is Expected to Witness Rapid Growth
-- The Asia-Pacific region is currently experiencing a high adoption of
cloud services, owing to many organizations moving from traditional
business models to cloud-based infrastructure, to modernize the
organizations' business processes, including a multitenant architecture.
Digital transformation has become a top priority in the Asia-Pacific
region, and an increasing amount of companies are implementing formal
strategies to support their efforts.
-- As more Asian enterprises and government agencies migrate their
infrastructure to the cloud, MSPs can provide a variety of services to
help these organizations address advanced persistent threat (APT), by
monitoring and performing scheduled maintenance.
-- Most customers in this region prefer MSSPs that have local security
operations centers (SOCs), due to the requirements of data sovereignty
and other security compliance regulations released by the governments.
Know more about the Managed Services Market
Mordor Intelligence has segmented the Managed Services Market on the basis of Deployment, Type, Enterprise Size, End-user Vertical, and Geography:
-- Deployment
-- On-premise
-- Cloud
-- Type
-- Managed Data Centre
-- Managed Security
-- Managed Communications
-- Managed Network
-- Managed Infrastructure
-- Managed Mobility
-- Enterprise Size
-- Small and Medium Enterprises
-- Large Enterprises
-- End-User Vertical
-- BFSI
-- IT and Telecommunication
-- Healthcare and Hospitality
-- Entertainment and Media
-- Retail
-- Manufacturing
-- Government
-- Other End-User Verticals
-- Geography
-- North America
-- United States
-- Canada
-- Europe
-- United Kingdom
-- Germany
-- France
-- Rest of Europe
-- Asia-Pacific
-- China
-- India
-- Japan
-- Rest of Asia Pacific
-- Middle East & Africa
-- UAE
-- Saudi Arabia
-- South Africa
-- Rest of Middle East & Africa
-- Latin America
-- Brazil
-- Argentina
-- Mexico
-- Rest of Latin America
Browse in-depth TOC of the Managed Services Market Report
Competitive Landscape
The managed services market is consolidated, and it is dominated by major players. Some of the major players in the market are Cisco Systems Inc., IBM Corporation, Microsoft Corporation, Verizon Communications Inc., Fujitsu Ltd, Dell Technologies Inc., and Wipro Ltd, among others.
-- Aug 2019 - AT&T and Dell Technologies are jointly exploring the
development of key open infrastructure technology areas for the
next-generation network edge. This will be required by service
providers, to support new use cases and service opportunities in a
cloud-oriented 5G world.
-- Jan 2019 - Ericsson launched a new AI-based managed services offering
for communications service providers, called the Ericsson Operations
Engine. The Ericsson Operations Engine proactively and directly
addressed service providers' managed services complexity challenges, as
the industry moves toward an era of 5G and IoT.
-- Jan 2019 - Fujitsu announced that it had entered a global systems
integrator partnership with Microsoft. Three months later (March 2019),
it attained the status of global Microsoft Azure Expert Managed Services
Provider (MSP).
Know more Managed Services Market - Growth, Trends, and Forecasts
About Mordor Intelligence
Mordor Intelligence provides market intelligence and advisory services that empowers enterprises to shape their strategic decisions. With a strong team of in-house experts and a host of industry tie-ups, Mordor offers syndicated and custom market intelligence services that have helped more than 700 clients gain an edge over their competition. Mordor's expertise lies in niche analysis with a quick turnaround time, making it the preferred choice for startups as well as Fortune 500 organizations.
Media Contact
Name: Sameeksha Bansal
Email: sameeksha@mordorintelligence.com
Phone: +1-617-765-2493
View original content to download multimedia:http://www.prnewswire.com/news-releases/managed-services-market-expected-to-grow-at-a-cagr-of-11-5---exclusive-report-by-mordor-intelligence-300979691.html
SOURCE Mordor Intelligence
