Global Managed Information Services Market Growth, Share, Size, Trends and Forecast (2025 - 2031)
By Deployment Mode;
On-premise, and Cloud.By End-User Vertical;
Telecommunication & IT, BFSI, and Retail.By Geography;
North America, Europe, Asia Pacific, Middle East and Africa, and Latin America - Report Timeline (2021 - 2031).Introduction
Global Managed Information Services Market (USD Million), 2021 - 2031
In the year 2024, the Global Managed Information Services Market was valued at USD 351,321.40 million. The size of this market is expected to increase to USD 900,921.13 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 14.4%.
The global managed information services market represents a dynamic and rapidly evolving sector pivotal to the modern digital landscape. Managed information services encompass a broad spectrum of offerings aimed at enhancing operational efficiencies, ensuring data security, and optimizing IT infrastructure for businesses across various industries. As organizations increasingly rely on digital transformation to drive growth and competitiveness, the demand for robust managed information services continues to surge.
The market has witnessed significant expansion driven by the proliferation of cloud computing, big data analytics, and the Internet of Things (IoT). These technologies have not only reshaped business operations but have also heightened the need for reliable, scalable, and secure managed information services. From managing complex IT environments to providing proactive monitoring and support, vendors in this space play a crucial role in enabling businesses to navigate the complexities of today's digital ecosystem.
This shift has underscored the importance of flexible and scalable managed services that can adapt to rapidly changing business requirements and technological advancements. Looking ahead, the managed information services market is poised for continued growth, driven by ongoing digital transformation initiatives and the imperative for organizations to stay agile and competitive in a fast-paced global economy.
Global Managed Information Services Market Recent Developments
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January 2023: Hughes Network Systems introduced programs for small and medium-sized enterprises (SMEs). This will offer the organization network security and the benefits of in-house, enterprise-grade protections. The newly launched Managed Detection and Response (MDR) service protects enterprises from cyber criminals with proactive intervention, real-time incident response, and active threat containment through automation and trained security professionals' attention.
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December 2022: Slovak University of Technology (STU) signed a contract with IBM to conduct scientific research mainly through bilateral and multilateral projects interesting to both contracting parties. The collaboration will cover joint education and training of students within specific professional subjects and professional support. The cooperation will also concern the common STU and EIT Manufacturing RIS Hub Slovakia’s activities.
Segment Analysis
The Global Managed Information Services Market has been segmented by Deployment Mode, End-User Vertical, and Geography. In terms of Deployment Mode, the market is divided into On-Premises and Cloud-based managed information services. Cloud-based services have become increasingly popular due to their flexibility, scalability, and cost-efficiency. These services enable businesses to access data management tools and analytics remotely, reducing the need for significant capital investment in IT infrastructure. On the other hand, On-Premises services remain important for organizations with strict data security, compliance, or regulatory requirements, as they allow businesses to maintain complete control over their data and systems.
The End-User Vertical segment includes key industries such as BFSI (Banking, Financial Services, and Insurance), Healthcare, Retail, IT and Telecommunications, Government, and Others. The BFSI sector is a significant adopter of managed information services due to its need for secure data storage, compliance with regulations, and effective management of large volumes of financial data. Healthcare organizations use these services to manage patient records, comply with health data regulations, and ensure operational efficiency. The retail sector also relies on managed information services to handle vast amounts of customer data, optimize supply chains, and improve customer engagement.
Geographically, North America is the largest market for managed information services, driven by the high adoption of cloud technologies, advanced IT infrastructure, and significant investments in digital transformation across various industries. Europe follows closely, with increasing demand in sectors like healthcare, finance, and government, where data management and security are top priorities. The Asia-Pacific region is expected to experience the highest growth, fueled by rapid technological advancements, digitalization initiatives, and growing investments in IT infrastructure in countries like China, India, and Japan. Latin America and Middle East & Africa are emerging markets, with businesses in these regions recognizing the need for managed information services to streamline operations and enhance data-driven decision-making.
Global Managed Information Services Segment Analysis
In this report, the Global Managed Information Services Market has been segmented by Deployment Mode, End-User Vertical, and Geography.
Global Managed Information Services Market, Segmentation by Deployment Mode
The Global Managed Information Services Market has been segmented by Deployment Mode into On-premise, and Cloud.
The Global Managed Information Services Market is segmented by deployment mode into two primary categories: On-premise and Cloud-based solutions. On-premise deployment involves hosting and managing IT infrastructure within an organization's premises, offering direct control over data management, security protocols, and customization of hardware and software. This deployment mode is favored by industries with strict regulatory compliance requirements or those needing to maintain sensitive data on-site, such as government agencies, healthcare providers, and certain manufacturing sectors. While on-premise solutions provide a high level of security and customization, they often require significant upfront capital investment and ongoing maintenance costs.
Cloud-based managed information services have gained significant traction due to their scalability, flexibility, and cost-effectiveness. Cloud deployment allows businesses to access IT resources, applications, and services via the internet from third-party providers. This model eliminates the need for extensive hardware investments and reduces operational complexities associated with managing on-premise infrastructure. Industries across various sectors, including finance, retail, and telecommunications, are increasingly adopting cloud-based managed services to streamline operations, enhance agility, and support remote workforce capabilities, especially in the wake of global shifts towards digital transformation accelerated by the COVID-19 pandemic.
As the demand for agility, scalability, and efficiency continues to grow, cloud-based managed information services are projected to dominate the market landscape. Service providers are expanding their offerings to include hybrid and multi-cloud solutions, allowing organizations to seamlessly integrate diverse IT environments while optimizing performance and cost-efficiency. Moving forward, the choice between on-premise and cloud deployment modes will depend on specific organizational needs, regulatory considerations, and strategic objectives, with both models playing essential roles in shaping the future of managed information services globally.
Global Managed Information Services Market, Segmentation by End-User Vertical
The Global Managed Information Services Market has been segmented by End-User Vertical into Telecommunication & IT, BFSI, and Retail.
The Global Managed Information Services Market is segmented by end-user vertical into three key sectors: Telecommunication & IT, Banking, Financial Services, and Insurance (BFSI), and Retail. These sectors represent diverse industries with unique operational needs and requirements for managed information services tailored to enhance efficiency, security, and scalability of their IT infrastructures.
The Telecommunication & IT sector is a major adopter of managed information services, driven by the rapid evolution of digital technologies and the demand for robust network management. Telecommunication companies rely on managed services to optimize network performance, ensure reliable connectivity, and manage complex IT environments. Additionally, IT organizations across various industries leverage managed services to enhance cybersecurity measures, streamline software deployment and updates, and support digital transformation initiatives. As the industry continues to evolve with advancements in 5G, IoT, and cloud computing, managed information services play a crucial role in enabling seamless integration and management of these technologies.
The BFSI sector, encompassing banks, insurance companies, and financial institutions, relies heavily on managed information services to navigate regulatory compliance, safeguard sensitive financial data, and mitigate cybersecurity risks. Managed services providers offer tailored solutions that enhance data security, ensure compliance with industry regulations such as GDPR and PCI-DSS, and provide real-time monitoring and threat detection capabilities. Moreover, managed information services enable BFSI firms to improve operational efficiency, deliver personalized customer experiences, and adapt quickly to market changes through agile IT infrastructure management.
In the Retail sector, managed information services support the industry's digital transformation journey by optimizing e-commerce platforms, managing inventory and supply chain logistics, and enhancing customer engagement through data-driven insights. Retailers leverage managed services to implement scalable and resilient IT infrastructures that support omnichannel strategies, improve operational agility, and ensure seamless customer experiences both online and in-store. As consumer expectations evolve and competition intensifies, managed information services play a pivotal role in enabling retailers to innovate, adapt to market dynamics, and drive sustainable growth.
Across these end-user verticals, the demand for specialized managed information services continues to grow as organizations seek to enhance operational efficiencies, mitigate risks, and capitalize on emerging technologies. Service providers are expanding their offerings to include industry-specific solutions that address the unique challenges and opportunities within each sector, positioning managed information services as a critical enabler of digital transformation and business success globally.
Global Managed Information Services Market, Segmentation by Geography
In this report, the Global Managed Information Services Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Global Managed Information Services Market Share (%), by Geographical Region, 2024
In the Global Managed Information Services Market, segmentation by geography into five distinct regions provides valuable insights into regional dynamics, adoption trends, and market opportunities across North America, Europe, Asia Pacific, Middle East and Africa (MEA), and Latin America.
North America holds a prominent position in the market, driven by technological advancements, widespread adoption of cloud computing, and robust IT infrastructure. The region is characterized by a high concentration of key market players, technological innovators, and early adopters of managed information services across various industries such as healthcare, finance, and technology. The demand for managed services in North America is fueled by stringent regulatory compliance requirements, increasing cybersecurity threats, and the need for scalable IT solutions that support business growth and digital transformation initiatives.
Europe represents another significant market for managed information services, characterized by a diverse economic landscape and stringent data protection regulations under GDPR (General Data Protection Regulation). Organizations in Europe leverage managed services to enhance data security, ensure regulatory compliance, and optimize operational efficiencies. The region's adoption of cloud-based managed services is accelerating, driven by the shift towards remote work models, digitalization of services, and increasing investments in IoT and artificial intelligence (AI) technologies across sectors such as manufacturing, automotive, and retail.
Asia Pacific emerges as a rapidly expanding market for managed information services, propelled by rapid industrialization, digitalization initiatives, and growing investments in IT infrastructure across countries like China, India, Japan, and South Korea. The region's dynamic business environment, coupled with the increasing adoption of cloud computing and mobile technologies, fuels demand for managed services to support scalability, agility, and innovation in business operations. As organizations in Asia Pacific seek to harness the benefits of digital transformation and capitalize on emerging opportunities in sectors such as telecommunications, healthcare, and e-commerce, the demand for specialized managed information services is expected to continue growing.
Middle East and Africa (MEA) and Latin America are also witnessing significant growth in the managed information services market, albeit at a slightly slower pace compared to other regions. In MEA, countries like UAE, Saudi Arabia, and South Africa are investing in digital infrastructure and cloud services to support economic diversification and enhance public sector efficiency. Latin America, with countries like Brazil, Mexico, and Argentina, is experiencing increasing adoption of managed services to modernize IT environments, improve business agility, and address cybersecurity challenges in sectors including banking, retail, and energy.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Managed Information Services Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Drivers, Restraints and Opportunity Analysis
Drivers:
- Digital Transformation
- Cloud Adoption
- Cybersecurity Threats
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Remote Workforce Expansion - Remote workforce expansion has become a significant driver reshaping the dynamics of the global managed information services market. The shift towards remote work accelerated dramatically due to the COVID-19 pandemic, prompting organizations worldwide to adopt and scale remote work capabilities rapidly. This transition necessitated robust managed information services to ensure secure access to corporate networks, reliable communication tools, and efficient collaboration platforms. As businesses continue to embrace hybrid work models post-pandemic, the demand for managed services that support remote workforce productivity, cybersecurity, and seamless connectivity is expected to remain strong.
Managed information services providers are focusing on offering scalable solutions that cater to the unique needs of remote workforces. This includes managed VPNs (Virtual Private Networks) for secure access to corporate resources, cloud-based collaboration tools for enhanced communication and project management, and endpoint security solutions to protect remote devices from cyber threats. Moreover, the emphasis on user experience and support services has grown, with managed service providers offering proactive monitoring, troubleshooting, and user training to optimize remote work environments and ensure operational continuity.
The expansion of remote workforces presents opportunities for innovation and growth within the managed information services market. Companies are investing in technologies such as virtual desktop infrastructure (VDI), zero-trust security frameworks, and AI-driven analytics to enhance remote workforce management and productivity. Additionally, the trend towards flexible work arrangements has spurred demand for managed services that enable seamless integration of personal and professional devices, ensuring compliance with corporate policies and regulatory requirements. As businesses navigate the evolving landscape of remote work, managed information services will play a crucial role in supporting organizational resilience, agility, and long-term sustainability.
Restraints:
- Initial Cost Barriers
- Integration Challenges
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Skills Shortage - The skills shortage represents a significant challenge impacting the global managed information services market, particularly as organizations increasingly rely on advanced technologies and specialized expertise to manage and secure their IT environments. This shortage encompasses a broad range of technical skills, including cybersecurity, cloud computing, data analytics, and IT infrastructure management. As demand for managed information services continues to grow, fueled by digital transformation initiatives and evolving cybersecurity threats, the gap between supply and demand for skilled professionals has widened.
One of the key factors contributing to the skills shortage is the rapid pace of technological innovation, which continuously evolves and necessitates up-to-date knowledge and expertise. Organizations often struggle to find qualified professionals with the necessary skills and experience to effectively deploy, manage, and optimize complex IT systems and services. This challenge is exacerbated by the competitive landscape, as businesses compete for a limited pool of skilled talent capable of addressing diverse IT challenges and supporting strategic business objectives.
Managed information services providers are actively addressing the skills shortage through various strategies, including talent development initiatives, partnerships with educational institutions, and upskilling programs for existing staff. By investing in continuous training and certification programs, service providers aim to equip professionals with the latest industry knowledge and technical competencies required to meet client demands and deliver high-quality managed services. Additionally, leveraging automation, AI, and machine learning technologies helps mitigate the skills gap by augmenting human capabilities, improving operational efficiency, and reducing reliance on manual processes.
Opportunities:
- IoT Expansion
- AI and Machine Learning
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Hybrid Cloud Solutions - Hybrid cloud solutions have emerged as a strategic approach for organizations seeking to optimize their IT infrastructure by integrating public and private cloud environments. This hybrid model allows businesses to leverage the benefits of both cloud deployment models while addressing specific requirements related to security, compliance, and performance. Hybrid cloud solutions enable seamless workload portability, allowing applications and data to be dynamically moved between public and private clouds based on workload demands, regulatory requirements, and cost considerations.
One of the primary drivers behind the adoption of hybrid cloud solutions is flexibility. Organizations can maintain sensitive data and critical workloads on private clouds to meet strict compliance and security requirements, while leveraging the scalability and cost-effectiveness of public clouds for less sensitive applications or fluctuating workloads. This flexibility also supports business continuity and disaster recovery strategies by ensuring redundancy and resilience across multiple cloud environments. As businesses navigate digital transformation initiatives and seek to modernize their IT infrastructure, hybrid cloud solutions offer a scalable and agile platform to support innovation and growth.
Managed information services providers play a crucial role in facilitating the adoption and management of hybrid cloud environments. These providers offer expertise in cloud architecture design, migration strategies, and ongoing management and optimization of hybrid cloud deployments. By partnering with managed service providers, organizations can access specialized skills and resources necessary to navigate the complexities of hybrid cloud integration, ensure seamless interoperability between cloud environments, and maximize the benefits of their cloud investments.
Competitive Landscape Analysis
Key players in Global Managed Information Services Market include:
- Fujitsu Ltd
- Cisco Systems Inc.
- IBM Corporation
- Hewlett-Packard Enterprise
- Microsoft Corporation
- Dell Technologies Inc.
- Nokia Solutions and Networks
- Accenture PLC
- Rackspace Inc.
- Tata Consultancy Services Limited
- Wipro Ltd
- Deutsche Telekom AG
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Deployment Mode
- Market Snapshot, By End-User Vertical
- Market Snapshot, By Region
- Global Managed Information Services Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Digital Transformation
- Cloud Adoption
- Cybersecurity Threats
- Remote Workforce Expansion
- Restraints
- Initial Cost Barriers
- Integration Challenges
- Skills Shortage
- Opportunities
- IoT Expansion
- AI and Machine Learning
- Hybrid Cloud Solutions
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Managed Information Services Market, By Deployment Mode, 2021 - 2031 (USD Million)
- On-premise
- Cloud
- Global Managed Information Services Market, By End-User Vertical, 2021 - 2031 (USD Million)
- Telecommunication & IT
- BFSI
- Retail
- Global Managed Information Services Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Global Managed Information Services Market, By Deployment Mode, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- Fujitsu Ltd
- Cisco Systems Inc.
- IBM Corporation
- Hewlett-Packard Enterprise
- Microsoft Corporation
- Dell Technologies Inc.
- Nokia Solutions and Networks
- Accenture PLC
- Rackspace Inc.
- Tata Consultancy Services Limited
- Wipro Ltd
- Deutsche Telekom AG
- Company Profiles
- Analyst Views
- Future Outlook of the Market