Expansion is driven by hybrid IT complexity, cloud adoption, cybersecurity threats, regulatory compliance, remote work, and demand for scalable, cost-efficient IT operations
Managed Services Market
Dublin, Aug. 11, 2026 (GLOBE NEWSWIRE) — The “Managed Services Market by Service Type – Global Forecast to 2031” has been added to ResearchAndMarkets.com’s offering.
The global managed services market is projected to reach USD 705.22 billion by 2031, registering a compound annual growth rate of 8.9%. Growth is being driven by increasingly complex hybrid IT environments, enterprise cloud adoption, escalating cybersecurity threats, and demand for scalable, cost-efficient IT operations.
Organizations are expanding their use of managed infrastructure, security, network, communication, and collaboration services to advance digital transformation and maintain business continuity across distributed environments. AI-driven monitoring, predictive analytics, automated incident response, and cloud orchestration are improving service efficiency and operational visibility. Demand is also rising for remote workforce support, multi-cloud management, continuous infrastructure monitoring, and regulatory compliance.
Investments in cloud-based managed platforms, security operations centers, and automation-led service delivery models are accelerating, particularly in North America and Asia Pacific. These developments are helping enterprises improve infrastructure availability, optimize network performance, strengthen cybersecurity resilience, and reduce the operational burden associated with internal IT management.
Managed Security Services to Record the Highest Growth Rate
Managed security services are expected to grow at the highest rate during the forecast period. The FBI Internet Crime Report, released in April 2025, identified more than USD 16 billion in cybercrime-related losses during 2024, representing a 33% increase from 2023. Ransomware, phishing, business email compromise, and credential theft remain significant threats to enterprises worldwide.
Compliance requirements under PCI DSS, HIPAA, GDPR, SOX, and NIS2 are increasing demand for managed SIEM, continuous compliance monitoring, audit reporting, identity governance, endpoint protection, and managed security operations. Enterprise adoption of hybrid cloud infrastructure, connected endpoints, AI-enabled applications, and remote working models is further expanding the security attack surface.
Organizations are responding by implementing AI-enabled threat analytics, zero-trust security frameworks, secure access service edge architecture, and automated incident response platforms. Managed security service providers are expanding managed SOC operations, cloud security monitoring, managed detection and response, and threat intelligence capabilities. Continued digital transformation and rising cyber risk across critical industries are expected to create substantial long-term opportunities for managed security services.
On-Premises Deployment Retains the Largest Market Share
The on-premises segment holds the largest share of the managed services market. Demand remains strong across banking, financial services and insurance, healthcare, government, telecommunications, and energy, where organizations frequently require greater infrastructure control, data residency, customization, regulatory assurance, and low-latency performance.
Sensitive workloads, mission-critical applications, legacy infrastructure, and private data center environments are sustaining demand for managed infrastructure monitoring, backup, disaster recovery, endpoint protection, SIEM management, database support, and compliance reporting. The reported increase in cybercrime losses during 2024 is also strengthening investment in managed services for private IT environments.
North America to Lead the Managed Services Market in 2026
North America is projected to hold the largest regional market share in 2026. Its position is supported by a substantial enterprise base, advanced cloud adoption, complex cybersecurity requirements, and increasing reliance on outsourced IT management. Organizations across BFSI, healthcare, manufacturing, government, and critical infrastructure are moving from traditional in-house IT models toward engagements covering cloud infrastructure management, managed detection and response, end-user computing, and compliance-focused security operations.
Regulatory obligations under HIPAA, the Cybersecurity Maturity Model Certification, and state-level privacy laws are encouraging enterprises to select managed services providers that offer embedded compliance capabilities and audit-ready reporting. The US Cybersecurity and Infrastructure Security Agency reported in its 2024 Cybersecurity Year in Review that cybersecurity outsourcing engagements across federal and critical infrastructure sectors had increased by more than 40% compared with 2022 levels.
Competitive Landscape
Major managed services market vendors include IBM (US), Accenture (Ireland), Microsoft (US), Cisco (US), Fujitsu (Japan), Google (US), Tata Consultancy Services (India), Infosys (India), Capgemini (France), and Cognizant (US). The study evaluates company profiles, market shares, service portfolios, product and business offerings, recent developments, growth strategies, and competitive positioning. It also provides a detailed assessment of leading participants, including IBM, Microsoft, Accenture, Fujitsu, and Cisco.
Research Coverage
The report segments and forecasts the managed services market by service type, organization size, deployment type, industry vertical, and region. Service categories include managed security services, managed network services, managed IT infrastructure and data center services, managed communication and collaboration services, managed mobility services, and managed information services.
Organization-size coverage includes large enterprises and small and medium-sized enterprises, while deployment analysis covers on-premises and cloud environments. Industry verticals include BFSI, retail and consumer goods, manufacturing, technology, telecommunications, government and public sector, energy and utilities, healthcare and life sciences, media and entertainment, and other verticals. Regional coverage encompasses North America, Europe, Asia Pacific, the Middle East and Africa, and Latin America.
Key Attributes
| Report Attribute | Details |
| No. of Pages | 414 |
| Forecast Period | 2026-2031 |
| Estimated Market Value (USD) in 2026 | $460.59 Billion |
| Forecasted Market Value (USD) by 2031 | $705.22 Billion |
| Compound Annual Growth Rate | 9% |
| Regions Covered | Global |
Market Dynamics
- Drivers
- AI-Ops-Driven Automation Enabling Outcome-Based Managed Services
- Hyperscaler Co-Sell Ecosystems Accelerating Cloud Outsourcing
- Rising Cybercrime Complexities
- Growth of Saas and Cloud-Native Applications
- Challenges
- Restraints
- Shortage of Skilled Workforce in Cloud, Cybersecurity, and AI Operations
- Limited Visibility and Control Concerns Among Enterprises
- Balancing Cost Efficiency With Sla Performance Expectations
- Multi-Cloud Integration and Interoperability Complexity
- Restraints
- Case Studies
- Ibm and Merck Delivered AI-Driven Managed It Services For Pharmaceutical Operations Reliability
- Accenture and Vodafone Transformed Network Operations Through AI-Enabled Managed Services
- Tcs Delivered Fully Managed It Infrastructure Services For Leading Israeli Bank
- Dxc Technology and Scg Achieved Cloud-First Managed Transformation On Google Cloud
- Capgemini and Eni Delivered End-To-End Managed It Infrastructure For Energy Transition
- Opportunities
- AI Infrastructure and Genai Operations Services Expansion
- Finops and Cloud Cost Optimization Services Expansion
- Edge and Distributed Infrastructure Management Services Expansion
- Managed Security Services Expansion With Zero-Trust and Mdr
Company Profiles
- Ibm
- Accenture
- Microsoft
- Cisco
- Fujitsu
- Tata Consultancy Services (Tcs)
- Infosys
- Capgemini
- Cognizant
- Nokia
- Kyndryl
- Hcl Technologies
- Dxc Technology
- Wipro
- Verizon
- Bt Group
- Ericsson
- Sophos
- Huawei
- Deloitte
- Rackspace Technology
- Fortra
- Mettel
- Happiest Minds
- Securekloud
- Dataprise
- Ac3
- Intact
- Corsica Technologies
- Empist
- 1-Net
- Ascend Technologies
- Magna5
- Atera
- Aunalytics
- Cloud Specialists
- Bae Systems
- 7Layer Solutions
- Cyberduo
- Cortavo
- Exc Managed Services
- Essential Enterprise Solutions
For more information about this report visit https://www.researchandmarkets.com/r/tuv4k1
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- Managed Services Market
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