Managed Services Market by Service Type (Managed Security Services, Managed Network Services, Managed Data Center Services), Deployment Type, Organization Size, Vertical, and Region - Global Forecast to 2022

MarketsandMarkets forecasts the global managed services market to grow from USD 138.27 Billion in 2016 to 257.84 Billion in 2022. The global managed services market will grow at a Compound Annual Growth Rate (CAGR) of 11.1% during the forecast period. The forecast period has been considered from 2017 to 2022, while 2016 is considered as the base year for estimating the market size.

Objectives of the Study:

The main objective of this report is to define, describe, and forecast the managed services market on the basis of segments which include service type, deployment type, organization size, vertical, and region. The report provides detailed information regarding the major factors influencing the growth of the market (drivers, restraints, opportunities, and industry-specific challenges). The report forecasts the market size with respect to 5 main regions, namely, North America, Europe, Asia Pacific (APAC), Middle East and Africa (MEA), and Latin America. The report strategically profiles key players and comprehensively analyzes their core competencies. This report also tracks and analyzes competitive developments such as mergers and acquisitions, new product developments, and Research and Development (R&D) activities in the managed services market.

The research methodology used to estimate and forecast the managed services market begins with the collection and analysis of data on key vendor product offerings and business strategies from secondary sources, such as press releases, investor presentations of companies, Factiva, D&B Hoovers, white papers, technology journals, certified publications, articles from recognized authors, directories, and databases. The vendor offerings have also been taken into consideration to determine the market segmentation. The bottom-up procedure was employed to arrive at the total market size of the global managed services from the revenue of the key market managed service providers. After arriving at the overall market size, the total market was split into several segments and subsegments, which were then verified through primary research by conducting extensive interviews with key people, such as Chief Executive Officers (CEOs), Vice Presidents (VPs), directors, and executives. The data triangulation and market breakdown procedures were employed to complete the overall market engineering process and to arrive at the exact statistics for all segments and subsegments. The breakdown of profiles of the primary participants is depicted in the figure below:

To know about the assumptions considered for the study, download the pdf brochure

Industry Ecosystem

The managed services ecosystem comprises service providers such as IBM (US), Cisco (US), Accenture (Ireland), Fujitsu (Japan), Atos (France), Tata Consultancy Services (India), Wipro (India), Huawei (China), HCL (India), Ericsson (Sweden), Nokia Networks (Finland), DXC Technology (US), Dimension Data (South Africa), Unisys (US), and Netmagic (An NTT Communications Company) (India).

Key Target Audience

• Enterprise users
• Government agencies
• Industrial users
• Managed service providers
• System integrators
• IT developers
• Third-party vendors
• Cloud service providers
• Network operators
• Infrastructure providers
• Regulatory and compliance agencies

Scope of the Report

The research report segments the managed services market into following submarkets:

• By Service Type

  The following service types play a major role in managed services:

  • Managed Security Services
  • Managed Network Services
  • Managed Communication and Collaboration Services
  • Managed Data Center Services
  • Managed IT Infrastructure Services
  • Managed Mobility Services
  • Managed Information Services
• By Deployment Type

  There are 2 deployment alternatives for managed services namely:

  • On-premises
  • Cloud
• By Organization Size

  The various organizations adopting managed services can be broken down into 2 types:

  • SMEs
  • Large Enterprises
• By Vertical

  Managed Services can be adopted across various industries such as:

  • Media and Entertainment
  • Banking Financial Services and Insurance (BFSI)
  • Consumer Goods and Retail
  • Manufacturing
  • Healthcare and Life Science
  • Education
  • Telecom and IT
  • Energy and Utilities
  • Government and Public
  • Others (hospitality and transportation)
• By Region

  The global market for managed services can be segmented into following regions:

  • North America
  • Europe
  • APAC
  • MEA
  • Latin America

Available Customizations

With the given market data, MarketsandMarkets offers customizations as per the company’s specific needs. The following customization options are available for the report:

Product Analysis

• Product matrix which gives a detailed comparison of the product portfolio of each company

Geographic Analysis

• Further breakdown of the North American managed services market into countries
• Further breakdown of the European market into countries
• Further breakdown of the APAC market into countries
• Further breakdown of the Middle Eastern and African market into countries
• Further breakdown of the Latin American market into countries

Company Information

• Detailed analysis and profiling of additional market players

Table of Contents

1 Introduction (Page No. - 17)
    1.1 Objectives of the Study
    1.2 Market Definition
    1.3 Market Scope
    1.4 Years Considered for the Study
    1.5 Currency
    1.6 Stakeholders

2 Research Methodology (Page No. - 21)
    2.1 Research Data
           2.1.1 Secondary Data
           2.1.2 Primary Data
                    2.1.2.1 Breakdown of Primaries
                    2.1.2.2 Key Industry Insights
    2.2 Market Size Estimation
    2.3 Microquadrant Research Methodology
           2.3.1 Vendor Inclusion Criteria
    2.4 Research Assumptions and Limitations
           2.4.1 Research Assumptions
           2.4.2 Limitations

3 Executive Summary (Page No. - 29)

4 Premium Insights (Page No. - 32)
    4.1 Attractive Market Opportunities in the Managed Services Market
    4.2 Market By Vertical and Region
    4.3 Market By Deployment Type
    4.4 Market By Service Type
    4.5 Market By Organization Size
    4.6 Life Cycle Analysis, By Region, 2017

5 Market Overview and Industry Trends (Page No. - 35)
    5.1 Introduction
    5.2 Market Dynamics
           5.2.1 Drivers
                    5.2.1.1 Growing IT Infrastructure of Enterprises
                    5.2.1.2 Increasing Need to Focus on Core Competencies
                    5.2.1.3 Cloud Deployment Going Mainstream
                    5.2.1.4 Growing Need to Comply With Regulations
           5.2.2 Restraints
                    5.2.2.1 Fear of Losing Control Over Data
           5.2.3 Opportunities
                    5.2.3.1 Connected IoT Mandate in Future
                    5.2.3.2 Rising Trend of Digitalization and Mobility Among Enterprises Worldwide
                    5.2.3.3 Increased Adoption of Multi-Cloud Managed Services
           5.2.4 Challenges
                    5.2.4.1 Low Application Awareness and Low Bandwidth of Network in Certain Regions
                    5.2.4.2 Challenges in the Integration Process
    5.3 Major Managed Services Deals in Recent Years

6 Managed Services Market Analysis, By Managed Security Services (Page No. - 40)
    6.1 Introduction
    6.2 Managed Firewall
    6.3 Managed Intrusion Detection System/Intrusion Prevention System
    6.4 Unified Threat Management
    6.5 Vulnerability Management
    6.6 Compliance Management
    6.7 Distributed Denial of Service
    6.8 Managed Security Information and Event Management
    6.9 Identity and Access Management
    6.10 Antivirus/Antimalware
    6.11 Others

7 Managed Services Market Analysis, By Managed Network Services (Page No. - 50)
    7.1 Introduction
    7.2 Managed Identity Access and Network Infrastructure Provisioning
    7.3 Managed Virtual Private Network
    7.4 Data Storage
    7.5 Network Monitoring
    7.6 Others

8 Managed Services Market Analysis, By Managed Communication and Collaboration Services (Page No. - 56)
    8.1 Introduction
    8.2 Managed Voice Over Internet Protocol
    8.3 Managed Email Services
    8.4 Managed Unified Communication

9 Managed Services Market Analysis, By Managed Data Center Services (Page No. - 61)
    9.1 Introduction
    9.2 Server Management
    9.3 Storage and Backup
    9.4 Others

10 Managed Services Market Analysis, By Managed IT Infrastructure Services (Page No. - 66)
     10.1 Introduction
     10.2 Managed Print Services
     10.3 Backup and Disaster Recovery
     10.4 Technical Support and Maintenance

11 Managed Services Market Analysis, By Managed Mobility Services (Page No. - 71)
     11.1 Introduction
     11.2 Device Management
     11.3 Application Management

12 Managed Services Market Analysis, By Managed Information Services (Page No. - 75)
     12.1 Introduction
     12.2 Business Process Management
     12.3 Managed Operational Support Systems/Business Support Systems

13 Managed Services Market Analysis, By Deployment Type (Page No. - 79)
     13.1 Introduction
     13.2 Cloud Deployment
     13.3 On-Premises Deployment

14 Managed Services Market Analysis, By Organization Size (Page No. - 83)
     14.1 Introduction
     14.2 Small and Medium-Sized Enterprises
     14.3 Large Enterprises

15 Managed Services Market Analysis, By Vertical (Page No. - 87)
     15.1 Introduction
     15.2 Media and Entertainment
     15.3 Banking, Financial Services, and Insurance
     15.4 Consumer Goods and Retail
     15.5 Manufacturing
     15.6 Healthcare and Life Sciences
     15.7 Education
     15.8 Telecom and IT
     15.9 Energy and Utilities
     15.10 Government and Public
     15.11 Others

16 Geographic Analysis (Page No. - 97)
     16.1 Introduction
     16.2 North America
     16.3 Europe
     16.4 Asia Pacific
     16.5 Middle East and Africa
     16.6 Latin America

17 Competitive Landscape (Page No. - 130)
     17.1 Introduction
     17.2 Microquadrant Overview
             17.2.1 Visionary Leaders
             17.2.2 Innovators
             17.2.3 Dynamic Differentiators
             17.2.4 Emerging Companies
     17.3 Competitive Benchmarking
             17.3.1 Strength of Product Portfolio in Managed Services (25 Players)
             17.3.2 Business Strategy Excellence in Managed Servies Market (25 Players)

18 Company Profiles (Page No. - 134)
     18.1 Dimension Data
(Overview, Strength of Product Portfolio, Business Strategy Excellence and Recent Developments)*
     18.2 Ericsson
     18.3 Accenture
     18.4 Tata Consultancy Services
     18.5 IBM
     18.6 Cisco
     18.7 Unisys
     18.8 DXC Technology
     18.9 Fujitsu
     18.10 Nokia Networks
     18.11 Wipro
     18.13 ATOS
     18.14 Huawei
     18.15 HCL
     18.16 Netmagic (An Ntt Communications Company)

*Details on Overview, Strength of Product Portfolio, Business Strategy Excellence and Recent Developments Might Not Be Captured in Case of Unlisted Companies.

19 Appendix (Page No. - 180)
     19.1 Key Industry Insights
     19.2 Discussion Guide
     19.3 Knowledge Store: Marketsandmarkets’ Subscription Portal
     19.4 Introducing RT: Real Time Market Intelligence
     19.5 Available Customizations
     19.6 Related Reports
     19.7 Author Details

List of Tables (117 Tables)

Table 1 Evaluation Criteria
Table 2 Managed Security Services: Managed Services Market Size, By Type, 2015–2022 (USD Billion)
Table 3 Managed Security Services: Managed Services Market Size, By Region, 2015–2022 (USD Billion)
Table 4 Managed Firewall Market Size, By Region, 2015–2022 (USD Billion)
Table 5 Managed Intrusion Detection System/Intrusion Prevention System Market Size, By Region, 2015–2022 (USD Billion)
Table 6 Unified Threat Management Market Size, By Region, 2015–2022 (USD Billion)
Table 7 Vulnerability Management Market Size, By Region, 2015–2022 (USD Billion)
Table 8 Compliance Management Market Size, By Region, 2015–2022 (USD Billion)
Table 9 Distributed Denial of Service Market Size, By Region, 2015–2022 (USD Billion)
Table 10 Managed Security Information and Event Management Market Size, By Region, 2015–2022 (USD Billion)
Table 11 Identity and Access Management Market Size, By Region, 2015–2022 (USD Billion)
Table 12 Antivirus and Antimalware Market Size, By Region, 2015–2022 (USD Billion)
Table 13 Other Managed Security Services Market Size, By Region, 2015–2022 (USD Billion)
Table 14 Managed Network Services Market Size, By Type, 2015–2022 (USD Billion)
Table 15 Managed Network Services Market Size, By Region, 2015–2022 (USD Billion)
Table 16 Managed Identity Access and Network Infrastructure Provisioning Market Size, By Region, 2015–2022 (USD Billion)
Table 17 Managed Virtual Private Network Market Size, By Region, 2015–2022 (USD Billion)
Table 18 Data Storage Market Size, By Region, 2015–2022 (USD Billion)
Table 19 Network Monitoring Market Size, By Region, 2015–2022 (USD Billion)
Table 20 Other Managed Network Services Market Size, By Region, 2015–2022 (USD Billion)
Table 21 Managed Communication and Collaboration Services Market Size, By Type, 2015–2022 (USD Billion)
Table 22 Managed Communication and Collaboration Services Market Size, By Region, 2015–2022 (USD Billion)
Table 23 Managed Voice Over Internet Protocol Market Size, By Region, 2015–2022 (USD Billion)
Table 24 Managed Email Services Market Size, By Region, 2015–2022 (USD Billion)
Table 25 Managed Unified Communication Market Size, By Region, 2015–2022 (USD Billion)
Table 26 Managed Data Center Services Market Size, By Type, 2015–2022 (USD Billion)
Table 27 Managed Data Center Services: Managed Services Market Size, By Region, 2015–2022 (USD Billion)
Table 28 Server Management Market Size, By Region, 2015–2022 (USD Billion)
Table 29 Storage and Backup Market Size, By Region, 2015–2022 (USD Billion)
Table 30 Other Managed Data Center Services Market Size, By Region, 2015–2022 (USD Billion)
Table 31 Managed IT Infrastructure Services Market Size, By Type, 2015–2022 (USD Billion)
Table 32 Managed IT Infrastructure Services Market Size, By Region, 2015–2022 (USD Billion)
Table 33 Managed Print Services Market Size, By Region, 2015–2022 (USD Billion)
Table 34 Backup and Disaster Recovery Market Size, By Region, 2015–2022 (USD Billion)
Table 35 Technical Support and Maintenance Market Size, By Region, 2015–2022 (USD Billion)
Table 36 Managed Mobility Services Market Size, By Type, 2015–2022 (USD Billion)
Table 37 Managed Mobility Services: Managed Services Market Size, By Region, 2015–2022 (USD Billion)
Table 38 Device Management Market Size, By Region, 2015–2022 (USD Billion)
Table 39 Application Management Market Size, By Region, 2015–2022 (USD Billion)
Table 40 Managed Information Services Market Size, By Type, 2015–2022 (USD Billion)
Table 41 Managed Information Services: Managed Services Market Size, By Region, 2015–2022 (USD Billion)
Table 42 Business Process Management Market Size, By Region, 2015–2022 (USD Billion)
Table 43 Managed Operational Support Systems/Business Support Systems Market Size, By Region, 2015–2022 (USD Billion)
Table 44 Managed Services Market Size, By Deployment Type, 2015–2022 (USD Billion)
Table 45 Cloud Deployment: Market Size, By Region, 2015–2022 (USD Billion)
Table 46 On-Premises Deployment: Market Size, By Region, 2015–2022 (USD Billion)
Table 47 Managed Services Market Size, By Organization Size, 2015–2022 (USD Billion)
Table 48 Small and Medium-Sized Enterprises: Market Size, By Region, 2015–2022 (USD Billion)
Table 49 Large Enterprises: Market Size, By Region, 2015–2022 (USD Billion)
Table 50 Managed Services Market Size, By Vertical, 2015–2022 (USD Billion)
Table 51 Media and Entertainment: Market Size, By Region, 2015–2022 (USD Billion)
Table 52 Banking, Financial Services, and Insurance: Market Size, By Region, 2015–2022 (USD Billion)
Table 53 Consumer Goods and Retail: Market Size, By Region, 2015–2022 (USD Billion)
Table 54 Manufacturing: Market Size, By Region, 2015–2022 (USD Billion)
Table 55 Healthcare and Life Sciences: Market Size, By Region, 2015–2022 (USD Billion)
Table 56 Education: Market Size, By Region, 2015–2022 (USD Billion)
Table 57 Telecom and IT: Market Size, By Region, 2015–2022 (USD Billion)
Table 58 Energy and Utilities: Market Size, By Region, 2015–2022 (USD Billion)
Table 59 Government and Public: Market Size, By Region, 2015–2022 (USD Billion)
Table 60 Others: Market Size, By Region, 2015–2022 (USD Billion)
Table 61 Managed Services Market Size, By Region, 2015–2022 (USD Billion)
Table 62 North America: Market Size, By Service Type, 2015–2022 (USD Billion)
Table 63 North America: Market Size, By Managed Security Service Type, 2015–2022 (USD Billion)
Table 64 North America: Market Size, By Managed Network Service Type, 2015–2022 (USD Billion)
Table 65 North America: Market Size, By Managed Communication and Collaboration Service Type, 2015–2022 (USD Billion)
Table 66 North America: Market Size, By Managed Data Center Service Type, 2015–2022 (USD Billion)
Table 67 North America: Market Size, By Managed IT Infrastructure Service Type, 2015–2022 (USD Billion)
Table 68 North America: Market Size, By Managed Mobility Service Type, 2015–2022 (USD Billion)
Table 69 North America: Market Size, By Managed Information Service Type, 2015–2022 (USD Billion)
Table 70 North America: Market Size, By Deployment Type, 2015–2022 (USD Billion)
Table 71 North America: Market Size, By Organization Size, 2015–2022 (USD Billion)
Table 72 North America: Managed Services Market Size, By Vertical, 2015–2022 (USD Billion)
Table 73 Europe: Market Size, By Service Type, 2015–2022 (USD Billion)
Table 74 Europe: Market Size, By Managed Security Service Type, 2015–2022 (USD Billion)
Table 75 Europe: Market Size, By Managed Network Service Type, 2015–2022 (USD Billion)
Table 76 Europe: Market Size, By Managed Communication and Collaboration Service Type, 2015–2022 (USD Billion)
Table 77 Europe: Market Size, By Managed Data Center Service Type, 2015–2022 (USD Billion)
Table 78 Europe: Market Size, By Managed IT Infrastructure Service Type, 2015–2022 (USD Billion)
Table 79 Europe: Market Size, By Managed Mobility Service Type, 2015–2022 (USD Billion)
Table 80 Europe: Market Size, By Managed Information Service Type, 2015–2022 (USD Billion)
Table 81 Europe: Market Size, By Deployment Type, 2015–2022 (USD Billion)
Table 82 Europe: Market Size, By Organization Size, 2015–2022 (USD Billion)
Table 83 Europe: Market Size, By Vertical, 2015–2022 (USD Billion)
Table 84 Asia Pacific: Managed Services Market Size, By Service Type, 2015–2022 (USD Billion)
Table 85 Asia Pacific: Market Size, By Managed Security Service Type, 2015–2022 (USD Billion)
Table 86 Asia Pacific: Market Size, By Managed Network Service Type, 2015–2022 (USD Billion)
Table 87 Asia Pacific: Market Size, By Managed Communication and Collaboration Service Type, 2015–2022 (USD Billion)
Table 88 Asia Pacific: Market Size, By Managed Data Center Service Type, 2015–2022 (USD Billion)
Table 89 Asia Pacific: Market Size, By Managed IT Infrastructure Service Type, 2015–2022 (USD Billion)
Table 90 Asia Pacific: Market Size, By Managed Mobility Service Type, 2015–2022 (USD Billion)
Table 91 Asia Pacific: Market Size, By Managed Information Service Type, 2015–2022 (USD Billion)
Table 92 Asia Pacific: Market Size, By Deployment Type, 2015–2022 (USD Billion)
Table 93 Asia Pacific: Market Size, By Organization Size, 2015–2022 (USD Billion)
Table 94 Asia Pacific: Market Size, By Vertical, 2015–2022 (USD Billion)
Table 95 Middle East and Africa: Managed Services Market Size, By Service Type, 2015–2022 (USD Billion)
Table 96 Middle East and Africa: Market Size, By Managed Security Service Type, 2015–2022 (USD Billion)
Table 97 Middle East and Africa: Market Size, By Managed Network Service Type, 2015–2022 (USD Billion)
Table 98 Middle East and Africa: Market Size, By Managed Communication and Collaboration Service Type, 2015–2022 (USD Billion)
Table 99 Middle East and Africa: Market Size, By Managed Data Center Service Type, 2015–2022 (USD Billion)
Table 100 Middle East and Africa: Market Size, By Managed IT Infrastructure Service Type, 2015–2022 (USD Billion)
Table 101 Middle East and Africa: Market Size, By Managed Mobility Service Type, 2015–2022 (USD Billion)
Table 102 Middle East and Africa: Market Size, By Managed Information Service Type, 2015–2022 (USD Billion)
Table 103 Middle East and Africa: Market Size, By Deployment Type, 2015–2022 (USD Billion)
Table 104 Middle East and Africa: Market Size, By Organization Size, 2015–2022 (USD Billion)
Table 105 Middle East and Africa: Market Size, By Vertical, 2015–2022 (USD Billion)
Table 106 Latin America: Managed Services Market Size, By Service Type, 2015–2022 (USD Billion)
Table 107 Latin America: Market Size, By Managed Security Service Type, 2015–2022 (USD Billion)
Table 108 Latin America: Market Size, By Managed Network Service Type, 2015–2022 (USD Billion)
Table 109 Latin America: Market Size, By Managed Communication and Collaboration Service Type, 2015–2022 (USD Billion)
Table 110 Latin America: Market Size, By Managed Data Center Service Type, 2015–2022 (USD Billion)
Table 111 Latin America: Market Size, By Managed IT Infrastructure Service Type, 2015–2022 (USD Billion)
Table 112 Latin America: Market Size, By Managed Mobility Service Type, 2015–2022 (USD Billion)
Table 113 Latin America: Market Size, By Managed Information Service Type, 2015–2022 (USD Billion)
Table 114 Latin America: Market Size, By Deployment Type, 2015–2022 (USD Billion)
Table 115 Latin America: Market Size, By Organization Size, 2015–2022 (USD Billion)
Table 116 Latin America: Market Size, By Vertical, 2015–2022 (USD Billion)
Table 117 Market Ranking for the Managed Services Market

List of Figures (43 Figures)

Figure 1 Managed Services Market Segmentation
Figure 2 Regional Scope
Figure 3 United States Dollar Exchange Rate, 2014–2016
Figure 4 Managed Services Market: Research Design
Figure 5 Data Triangulation
Figure 6 Market Size Estimation Methodology: Bottom-Up Approach
Figure 7 Market Size Estimation Methodology: Top-Down Approach
Figure 8 Top 3 Segments for the Managed Services Market in 2017
Figure 9 North America is Expected to Hold the Largest Market Share in 2017
Figure 10 Mainstreaming of Cloud Deployment and Growing IT Infrastructure of Enterprises are Expected to Act as Attractive Market Opportunities During the Forecast Period
Figure 11 Telecom and IT Vertical, and North America are Expected to Hold the Largest Market Shares in 2017
Figure 12 Cloud Deployment Type is Expected to Grow at the Higher CAGR in the Managed Services Market By 2022
Figure 13 Managed Mobility Services Segment is Expected to Grow at A Higher CAGR During the Forecast Period
Figure 14 Small and Medium-Sized Enterprises Segment is Expected to Grow at the Higher CAGR During the Forecast Period
Figure 15 Asia Pacific, and Middle East and Africa are the Fastest-Growing Regions in the Managed Services Market
Figure 16 Managed Services Market: Drivers, Restraints, Opportunities, and Challenges
Figure 17 Compliance Management is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 18 Managed Identity Access and Network Infrastructure Provisioning is Expected to Grow at the Higher CAGR During the Forecast Period
Figure 19 Managed Voip is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 20 Server Management is Expected to Grow at Highest CAGR During the Forecast Period
Figure 21 Technical Support and Maintenance Services Segment is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 22 Application Management Services Segment is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 23 Business Process Management is Expected to Grow at the Higher CAGR During the Forecast Period
Figure 24 Cloud Deployment Type is Expected to Grow at the Higher CAGR During the Forecast Period
Figure 25 Small and Medium-Sized Enterprises Segment is Expected to Grow at the Higher CAGR During the Forecast Period
Figure 26 Healthcare Vertical is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 27 Asia Pacific is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 28 North America is Estimated to Account for Largest Market Share in the Managed Services Market
Figure 29 North America: Market Snapshot
Figure 30 Asia Pacific: Market Snapshot
Figure 31 Managed Services (Global) Competitive Leadership Mapping, 2017
Figure 32 Ericsson: Company Snapshot
Figure 33 Accenture: Company Snapshot
Figure 34 Tata Consultancy Services: Company Snapshot
Figure 35 IBM: Company Snapshot
Figure 36 Cisco: Company Snapshot
Figure 37 Unisys: Company Snapshot
Figure 38 DXC Technology: Company Snapshot
Figure 39 Fujitsu: Company Snapshot
Figure 40 Wipro: Company Snapshot
Figure 41 ATOS: Company Snapshot
Figure 42 Huawei: Company Snapshot
Figure 43 HCL: Company Snapshot

The managed services market is expected to grow from USD 152.45 Billion in 2017 to USD 257.84 Billion by 2022, at a Compound Annual Growth Rate (CAGR) of 11.1%. The rapid pace of the technological advancements makes it difficult for enterprises to cope with the increased IT complexity while focussing on their core competencies. The Managed service providers empower the enterprises by managing their IT resources while they focus on their strategic business decisions.

The managed services market is segmented by service type, deployment type, organization size, vertical, and region. Managed data center services are expected to hold the largest market share in the managed services market among other service types. The increasing data volume has facilitated the growth of data centers, further accounting for increased adoption of managed data center services among the enterprises. These factors add-up to the largest share of managed data center services in the market. Managed mobility services market share is expected to grow at the highest CAGR for the forecast period. The key trends such as growing consumption in productivity applications, workforce decentralization, globalization of business, prominence of cloud-based enterprise mobility management, and increasing use of smartphones, tablets, and laptops at workplaces has created a need to manage wide range of application and devices in enterprises, accounting for the highest growth rate among other service types.

On-premises deployment is expected to dominate the managed services market in 2017, while cloud-based deployment model is estimated to grow at the highest CAGR. Cloud-based deployment model has been gaining high traction in the recent years considering its cost benefits and high scalability over on-premises deployment. However, enterprises dealing with critical data such as BFSI, aerospace and defense, and government prefer on-premises deployment due to certain regulations.

The Small and Medium-sized Enterprises (SMEs) segment is expected to grow at the highest CAGR in the managed services market during the forecast period. The increasing emphasis on adoption of advanced IT technologies and demand for secure IT infrastructure has facilitated the growth of managed service adoption among the SMEs. Managed service providers facilitate SMEs by providing expert assurance to manage and monitor network security, IT infrastructure, and disaster recovery.

Managed services are being increasingly adopted by verticals, such as Telecom an IT, BFSI, and media and entertainment due to the increased digital transformation by the enterprises in this verticals, further fueling the growth of the managed services market across the globe. The telecom and IT vertical is expected to hold the largest market size in 2017, due to the adoption of advanced technology and increased focus on innovation and customer centric delivery of services. However, healthcare and life sciences segment is expected to represent prospective opportunities during the forecast period for managed service providers following increased expenditure on IT in this vertical.

The managed services market has been segmented by region into North America, Europe, Asia Pacific (APAC), Middle East and Africa (MEA), and Latin America to provide a region-specific analysis in the report. North America is expected to have the largest market size and is expected to dominate the market from 2017 to 2022, considering the presence of large managed service providers in the region. North America is also considered to be one of the most advanced regions with regards to the technology adoption and infrastructure. APAC is estimated to grow at the highest CAGR during the forecast period due to the increased adoption of advanced IT infrastructure in the developing countries.

Adoption of managed services is increasing, owing to the growing IT infrastructure of enterprises, increased the need to focus on core competencies, cloud deployment going mainstream, and growing number of compliances.  Enterprises fear to lose the control over data to the managed service providers and this is the major restraint affecting the growth of the managed services market. Enterprises are reluctant to hand over their processes to the managed service providers as that would hamper the privacy. The security and privacy concerns are the major hindrance faced by the managed service providers in this market.

The managed services ecosystem comprises service providers such as IBM (US), Cisco (US), Accenture (Ireland), Fujitsu (Japan), Atos (France), Tata Consultancy Services (India), Wipro (India), Huawei (China), HCL (India), Ericsson (Sweden), Nokia Networks (Finland), DXC Technology (US), Dimension Data (South Africa), Unisys (US), and Netmagic (An NTT Communications Company) (India). These vendors have adopted different types of organic and inorganic growth strategies, such as new product launches, partnerships and collaborations, and mergers and acquisitions to expand their offerings in the managed services market.

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