United States Managed Services Market Size (2024 - 2029)

United States Managed Services Market Analysis

The United States Managed Services Market size is estimated at USD 62.76 billion in 2024, and is expected to reach USD 104.90 billion by 2029, growing at a CAGR of 10.82% during the forecast period (2024-2029).

• Managed services comprise outsourcing specific IT functions or processes to third-party providers, aiming to streamline operations and reduce costs. This approach enhances service quality, operational efficiency, and customer satisfaction while lowering expenses. 
• Market research indicates that the soaring number of Internet of Things (IoT) devices has heightened the demand for managed IoT services, emphasizing the need to secure, monitor, and optimize these connected devices. In response, IT infrastructure providers are collaborating on IoT solutions. 
• Hybrid IT combines on-premise infrastructure with cloud-based solutions. The rise of the Internet of Things (IoT) has prompted organizations to rethink their customer engagement strategies. Managed service providers (MSPs) play a crucial role in bolstering security within the IoT ecosystem, ensuring robust protection. 
• Relatively speaking, managed services are known to be cost-effective and efficient, as compared to in-house services in the US, as they enable organizations to focus on their core competencies while outsourcing the non-core areas.In the US managed services market outlook, the integration of diverse technologies and adherence to industry regulations often pose challenges. Companies must navigate a web of standards and legal requirements, impacting the implementation and operation of managed services. 
• The initial days of the COVID-19 pandemic and subsequent lockdowns caused a temporary dip in demand as businesses focused on survival and delayed non-essential investments. This led to a delay in implementing managed services contracts. However, the surge in remote work highlighted the need for security, cloud migration, collaboration tools, and networking, creating opportunities for industry growth among Managed Service Providers (MSPs).

United States Managed Services Industry Segmentation

Managed services are the practice of outsourcing specific tasks to streamline operations and reduce costs. It lowers operational expenses by streamlining IT operations, boosting customer satisfaction, and enhancing service quality. Options for managed services include everything from temporary post-go-live support to ongoing application maintenance. 

The United States managed services market research is segmented by deployment type (on-premise and cloud), type (managed data center, managed security, managed communications, managed network, managed infrastructure, and managed mobility), enterprise size (small and medium enterprises and large enterprises), and end-user vertical (BFSI, IT and telecom, healthcare, entertainment, and media, retail, manufacturing, government, and other end-user verticals). The industry size and market forecasts are provided in terms of value (USD) for all the above-mentioned segments.