Managed Service Provider in Europe Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Report Covers Europe Managed Services Market (MSP) Trends and Size. The Market is Segmented by Deployment (On-Premise and Cloud), by Type (Managed Data Center, Managed Security, Managed Communications, Managed Networks, Managed Infrastructure, and Managed Mobility), by Enterprise Size (Small and Medium Enterprises and Large Enterprises), by End-User Vertical (BFSI, Manufacturing, Healthcare, Retail), and Country (United Kingdom, Germany, France, and Rest of Europe). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

Europe Managed Services Market Size

Europe Managed Services Market Summary
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Europe Managed Services Market Analysis

The Europe Managed Services Market size is estimated at USD 59.35 billion in 2025, and is expected to reach USD 113.98 billion by 2030, at a CAGR of 13.94% during the forecast period (2025-2030).

  • Factors such as the growing adoption of cloud services, growth in cloud diversification, and the willingness of IT companies to minimize capital expenditure and make the most of their IT budgets continue to drive the growth of the studied market.
  • Artificial technology and cloud management address various functional business requirements and managed services and assist with the efficient operation of the organization at a low cost without sacrificing the caliber of the work produced. The key market participants are making investments in the creation of new items and the diversification of their product offerings. They are also conducting research and development efforts to provide dependable and affordable services. For instance, in August 2022, Nomura Research Institute, Ltd. (NRI), a leading provider of system solutions and consulting services and system solutions, launched a dedicated managed services room at the NRI Europe Denmark Branch in order to enhance its system for providing managed services in Europe.
  • The European region is among the leading automotive manufacturing markets. In recent years, the automotive industry has entered into a period of radical change, with the vehicles being produced expected to be connected, autonomous, shared on-demand, and electric. The emergence of autonomous driving will have challenges, including huge data volumes required for training AI and real-time decision-making systems. Service providers, like Fujitsu, offer solutions that will decrease data volumes and manage them in a distributed fashion, where only the relevant data is collected.
  • Furthermore, major players are setting up public cloud setups in Europe to empower businesses. For instance, Microsoft recently announced its plans to deliver two new cloud regions in Germany to equip more organizations and companies in Europe and worldwide to transform them digitally with public cloud solutions. These new regions will offer Microsoft Azure, Office 365, and Dynamics 365 full functionality features, enterprise-grade security, and other features to help customers meet compliance and regulatory requirements.
  • Additionally, IoT has forced companies to re-evaluate how customers access information and develop a strategy to best reach them. Millions of new gadgets connect to the Internet every year, making it practically impossible to understand the already complex landscape and the integration challenges and cyber threats provided by many channels. Hence, managed service providers can improve security for each tier of the IoT ecosystem at this point, enabling firms to harness IoT for innovation and stay on the cutting edge of technology by providing qualified resources and round-the-clock support services.
  • However, despite the managed services providing excellent benefits, the specific challenges, like reliability concerns, may obstruct the market's growth over the forecast period. The process of hiring an MSP to host critical business infrastructure involves the belief that the providers' business may endure the relationship with them. In case of any failure by the providers to sustain the competition in the market, the enterprises relying upon them may have to entirely replace web hosting, emails, calendars, and other critical pieces of infrastructure, without which it is not possible to conduct business.
  • Moreover, the pandemic has also revealed gaps in organizations' disaster recovery plans (DRP) and business continuity plans (BCP). Most of these plans could not address the pandemic, forcing organizations to scramble to transition their IT infrastructure to accommodate a distributed and remote workforce. The pandemic highlighted the importance of monitoring technology and services in detecting security incidents before they cause operational risk. Hence, the post-COVID period is anticipated to drive growth opportunities in the European managed services market.

Europe Managed Services Industry Overview

The Europe managed services market is fragmented as the market studied is dominated by international players with a strong client base. Additionally, companies are employing powerful competitive strategies to sustain themselves in the market and retain their clients, intensifying competitive rivalry. Key players are Fujitsu Ltd, IBM Corporation, Cisco Systems, etc.

  • January 2024: Business ISP and managed service provider Evolve has become the latest provider to hop onto MS3‘s new 10Gbps capable Fibre-to-the-Premises broadband network in the North of England, aiming to reach 535,000 UK premises by the end of 2025. An unspecified investment from Asterion is backing MS3 and has covered 158,779 premises passed (119,139 RFS) and is rising fast. Evolve’s new partnership with MS3 allows them to leverage MS3’s XGS-PON network to bring new solutions to businesses in the East Riding and Lincolnshire regions for the first time.
  • December 2023: BT and Netskope, a player in Secure Access Service Edge (SASE), announced a partnership to bring Netskope's market-leading Security Service Edge (SSE) capabilities to BT's global customers. The partnership follows several large customer implementations where the two companies have collaborated to meet the security and access needs of large enterprises successfully. BT's data shows that hybrid working is now a requirement for 76% of global workers, driving a requirement for more agile, secure connectivity.

Europe Managed Services Market Leaders

  1. Fujitsu Ltd

  2. Cisco Systems Inc.

  3. IBM Corporation

  4. AT&T Inc.

  5. HP Development Company LP

  6. *Disclaimer: Major Players sorted in no particular order
European Managed Services Market Concentration
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Europe Managed Services Market News

  • November 2023: Netskope, a player in Secure Access Service Edge (SASE), and Telstra International, the global arm of telecommunications and technology company Telstra, today announced the expansion of their partnership to enable Telstra to deliver fully managed Netskope cloud-native Secure Access Service Edge (SASE) —including Zero Trust Network Access (ZTNA) services—to organizations globally. Customers worldwide use Telstra's managed security services to help address the changing needs of the digital workplace and mitigate the ever-evolving cyber threats landscape. 
  • In February 2023, Infosys, a leading provider of next-generation digital services and consulting, entered into a strategic collaboration with ng-voice GmbH, a provider of cloud-native IP Multimedia Subsystem (IMS) solutions. Through this, Infosys will provide systems integration services for ng-voice, facilitating telecom operators with digital capabilities to deploy containerized and cloud-native network solutions across Europe. Building on this, both companies also aim to provide managed services to support the network solution while delivering personalized customer experiences and fostering innovation.

Europe Managed Services Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET INSIGHTS

  • 4.1 Market Overview
  • 4.2 Value Chain Analysis
  • 4.3 Industry Attractiveness - Porter's Five Forces Analysis
    • 4.3.1 Threat of New Entrants
    • 4.3.2 Bargaining Power of Buyers/Consumers
    • 4.3.3 Bargaining Power of Suppliers
    • 4.3.4 Threat of Substitute Products
    • 4.3.5 Intensity of Competitive Rivalry

5. MARKET DYNAMICS

  • 5.1 Market Drivers
    • 5.1.1 Increasing Shift to Hybrid IT
    • 5.1.2 Improved Cost and Operational Efficiency
  • 5.2 Market Restraints
    • 5.2.1 Integration and Regulatory Issues and Reliability Concerns

6. MARKET SEGMENTATION

  • 6.1 By Deployment
    • 6.1.1 On-premise
    • 6.1.2 Cloud
  • 6.2 By Type
    • 6.2.1 Managed Data Center
    • 6.2.2 Managed Security
    • 6.2.3 Managed Communications
    • 6.2.4 Managed Network
    • 6.2.5 Managed Infrastructure
    • 6.2.6 Managed Mobility
  • 6.3 By Enterprise Size
    • 6.3.1 Small and Medium Enterprises
    • 6.3.2 Large Enterprises
  • 6.4 By End-user Vertical
    • 6.4.1 BFSI
    • 6.4.2 Manufacturing
    • 6.4.3 Healthcare
    • 6.4.4 Retail
    • 6.4.5 Other End-user Verticals
  • 6.5 By Country
    • 6.5.1 United Kingdom
    • 6.5.2 Germany
    • 6.5.3 France
    • 6.5.4 Rest of Europe

7. COMPETITIVE LANDSCAPE

  • 7.1 Company Profiles*
    • 7.1.1 Fujitsu Ltd
    • 7.1.2 Cisco Systems Inc.
    • 7.1.3 IBM Corporation
    • 7.1.4 AT&T Inc.
    • 7.1.5 HP Development Company LP
    • 7.1.6 Microsoft Corporation
    • 7.1.7 Verizon Communications Inc.
    • 7.1.8 Dell Technologies Inc.
    • 7.1.9 Nokia Solutions and Networks
    • 7.1.10 Deutsche Telekom AG
    • 7.1.11 Tata Consultancy Services Limited
    • 7.1.12 Citrix Systems Inc.
    • 7.1.13 Wipro Ltd
    • 7.1.14 NSC Global Ltd
    • 7.1.15 Telefonica Europe PLC

8. INVESTMENT ANALYSIS

9. MARKET OPPORTUNITIES AND FUTURE TRENDS

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Europe Managed Services Industry Segmentation

The emergence of managed services is aiding in meeting the needs of a wide variety of businesses throughout Europe. In the region, the telecommunication providers are focusing on security services, owing to European regulations. Furthermore, the region has a strong automotive and manufacturing sector, and in addition, emerging applications, like cloud-based solutions, are expected to do significantly well during the forecast period.

The Europe managed services market is segmented by deployment (on-premise and cloud), by type (managed data center, managed security, managed communications, managed networks, managed infrastructure, and managed mobility), by enterprise size (small and medium enterprises and large enterprises), by end-user vertical (BFSI, manufacturing, healthcare, retail), and country (United Kingdom, Germany, France, and Rest of Europe). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.

By Deployment On-premise
Cloud
By Type Managed Data Center
Managed Security
Managed Communications
Managed Network
Managed Infrastructure
Managed Mobility
By Enterprise Size Small and Medium Enterprises
Large Enterprises
By End-user Vertical BFSI
Manufacturing
Healthcare
Retail
Other End-user Verticals
By Country United Kingdom
Germany
France
Rest of Europe
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Europe Managed Services Market Research FAQs

How big is the Europe Managed Services Market?

The Europe Managed Services Market size is expected to reach USD 59.35 billion in 2025 and grow at a CAGR of 13.94% to reach USD 113.98 billion by 2030.

What is the current Europe Managed Services Market size?

In 2025, the Europe Managed Services Market size is expected to reach USD 59.35 billion.

Who are the key players in Europe Managed Services Market?

Fujitsu Ltd, Cisco Systems Inc., IBM Corporation, AT&T Inc. and HP Development Company LP are the major companies operating in the Europe Managed Services Market.

What years does this Europe Managed Services Market cover, and what was the market size in 2024?

In 2024, the Europe Managed Services Market size was estimated at USD 51.08 billion. The report covers the Europe Managed Services Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Europe Managed Services Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

Managed Service Provider (MSP) in Europe Industry Report

Statistics for the 2025 Europe Managed Services market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Europe Managed Services analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.

Europe Managed Services Market Report Snapshots

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Managed Service Provider in Europe Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)