Market Size of United States Managed Services Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 62.76 Billion |
| Market Size (2029) | USD 104.90 Billion |
| CAGR (2024 - 2029) | 10.82 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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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.
- 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.
- Managed services are proving to be a cost-effective and efficient solution for businesses in the United States. These services provide specialized expertise, technology, and resources, eliminating the need for significant upfront investments. By outsourcing tasks like IT support, network management, cybersecurity, and cloud services, companies can reduce labor and infrastructure costs associated with in-house teams.
- In the US managed services market, 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 Managed Service Providers (MSPs).
