Managed Services Market Report 2026

The managed services market size has grown rapidly in recent years. It will grow from $309.02 billion in 2025 to $349.55 billion in 2026 at a compound annual growth rate (CAGR) of 13.1%. The growth in the historic period can be attributed to growing enterprise outsourcing adoption, increasing digital infrastructure expansion, early shift toward managed it environments, rising need for specialized technology expertise, growing pressure to reduce operational it costs.

The managed services market size is expected to see rapid growth in the next few years. It will grow to $582.07 billion in 2030 at a compound annual growth rate (CAGR) of 13.6%. The growth in the forecast period can be attributed to expanding cloud transformation initiatives, rising cybersecurity risk management needs, increasing demand for scalable it support services, growing enterprise digital modernization programs, strengthening focus on strategic it outsourcing. Major trends in the forecast period include growing adoption of outsourced it service models, increasing demand for advanced managed security solutions, rising implementation of cloud based managed service platforms, expansion of remote infrastructure monitoring and support services, strengthening focus on cost optimization and operational efficiency.

The growing use of cloud services is anticipated to drive the expansion of the managed services market in the coming years. Cloud services encompass a broad set of computing resources and applications, such as storage, processing capacity, software, and networking, which are delivered via the internet instead of being hosted on local servers or personal devices. These services support managed services by providing scalable infrastructure, enabling remote monitoring, and improving operational efficiency through centralized data storage and easy accessibility. For example, in April 2024, according to the European Commission, a Belgium-based government agency, 42.5% of enterprises in the EU purchased cloud computing services in 2023, mainly for email, file storage, and office software. As a result, the rising adoption of cloud services is contributing to the growth of the managed services market.

Major companies in the managed services market are concentrating on developing managed services solutions that enable businesses to effectively manage their IT environments, allowing them to concentrate on core activities. Artificial intelligence (AI) involves creating computer systems or machines capable of performing tasks that typically require human intelligence. For example, in July 2024, Happiest Minds Technologies Ltd, a company based in India, introduced WATCH360, an AI-powered platform designed to streamline IT infrastructure management for organizations. Powered by ELLIPSE, WATCH360 leverages artificial intelligence and machine learning to deliver real-time insights and automate processes, thereby enhancing overall IT efficiency. This service provides round-the-clock management of IT infrastructure, ensuring reliability and continuous support. WATCH360 oversees a wide array of IT components, including servers, databases, network and security devices, as well as cloud-native services.

In December 2024, CDW Corporation, a US-based provider of integrated technology solutions such as IT hardware and software procurement, cloud services, managed services, cybersecurity, and professional consulting, acquired Mission Cloud Services Inc. for an undisclosed amount. Through this acquisition, CDW seeks to reinforce its managed services capabilities, broaden its cloud and AI technology service offerings, and strengthen its strategic AWS practice to better support small- to mid-sized enterprises with comprehensive end-to-end digital transformation solutions. Mission Cloud Services Inc. is a US-based provider of cloud professional services, managed services, and consulting solutions.

Major companies operating in the managed services market report are Accenture plc, International Business Machines Corporation (IBM), Tata Consultancy Services Limited, Infosys Limited, Wipro Limited, HCL Technologies Limited, Capgemini SE, NTT DATA Corporation, Cognizant Technology Solutions Corporation, DXC Technology Company, Atos SE, Fujitsu Limited, Rackspace Technology Inc., Verizon Communications Inc., AT&T Inc., Ericsson AB, Nokia Corporation, Microland Limited, Secureworks Inc., GTT Communications Inc., Happiest Minds Technologies Limited, Alert Logic Inc.

North America was the largest region in the managed services market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the managed services market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the managed services market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The managed services market includes revenues earned by entities by providing managed services that allow the end-users to focus on using a service rather than setting up the service. Managed services are provided by managed service providers that assist businesses in IT infrastructure and tasks, communication and collaboration, regular maintenance, management, and support of IT functions and processes on regular basis. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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