Enjoy complimentary customisation on priority with our Enterprise License!
The managed network services (MNS) market size is estimated to grow at a CAGR of 4.32% between 2022 and 2027. The market size is forecast to increase by USD 15.77 billion. The growth of the market depends on several factors, including the increased adoption of IoT solutions, the rising adoption of cloud computing services, and the increasing IT spending of companies. Managed network services are defined as the IT services provided by a third party to manage the infrastructure of enterprises and software and technical support required to operate an organization's network.
This managed network services market report extensively covers market segmentation by end-user (BFSI, retail and e-commerce, IT and telecom, healthcare, and others), deployment (cloud and on-premise), and geography (North America, Europe, APAC, South America, and Middle East and Africa). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
To learn more about this report, View Report Sample
Increased adoption of IoT solutions is the key driver for the market growth. The Internet of Things connects hardware devices, embedded software, communications services, and managed network services. This creates smart communication environments, such as in smart homes, shops, public transport, and health care. Using Internet of Things technologies, smart machines that use microcontrollers in remote locations are capable of managing and monitoring a wide range of objects.
Moreover, IoT is instrumental in supporting managed network services, as intelligently connected devices require MMS and managed communication services for machine-to-machine (M2M) communication. Managed network services help create end-to-end IoT infrastructure for smart communities, smart healthcare, smart homes, and smart transportation systems. Hence, the increasing adoption of IoT solutions will fuel the growth of the global managed network services market during the forecast period.
Increasing automation in managed network services is the primary trend in the market. Automating managed network services can greatly improve the efficiency of business processes. Automating managed infrastructure services within an organization increases operational processes and reduces costs. The data center's automated resource provisioning system allows users to store and manage corporate data in a flexible IT ecosystem.
Furthermore, managed network services (MNS) market players are automating a managed network service delivery system to take service excellence in IT solutions offerings. Therefore, increasing automation of managed network services is expected to boost the growth of the global managed network services market during the forecast period.
Data privacy and security risks in managed network services is a challenge that affects the growth of the market. Cloud security management is a daunting task for providers to protect online data. Because cloud infrastructure is based on many patchworks of open-source code, bugs can occur in cloud systems. Due to the infrastructure being based on open architecture and shared resources, cyber attackers can easily access data storage systems. Cloud-based technology gives service providers access to a company's business data.
In addition, managed network services market players must encrypt customer data and implement multi-factor authentication systems such as biometrics to authorize users on the customer's IT system. Market players must also follow regulatory guidelines for cloud security controls. Thus, such factors may impede market growth during the forecast period.
The market share growth by the BFSI segment will be significant during the forecast period. The growth of m-commerce and e-commerce in North America, Europe as well as Developing Economies such as India and China are global drivers for the banking and financial services sector. The financial and banking data include the customer's financial and account information, the cardholder's data, the transaction, and personal data.
Get a glance at the market contribution of various segments View Free PDF Sample
The BFSI segment showed a gradual increase in the market share of USD 19.08 billion in 2017 and continued to grow by 2021. Global BFSI businesses often face the challenge of high operating costs that hinder business growth. However, with increasing investments in high operating expenses (OPEX), BFSI companies are outsourcing colocation areas from market players or leasing servers from managed hosting service providers. Such factors are expected to propel the growth of the BFSI segment of the global managed network services market during the forecast period.
The cloud-based managed network services segment is expected to grow faster than the on-premises managed network services segment in terms of revenue. The cloud computing model provides security at every level of the enterprise IT architecture, making these applications accessible even from remote locations. In addition, cloud computing is vulnerable to cyberattacks, which increases the maximum segment size (MSS) requirements for cloud computing service providers. Thus, such factors are expected to increase the adoption of cloud computing services, driving the managed network services market growth during the forecast period.
For more insights on the market share of various regions Download PDF Sample now!
APAC is estimated to contribute 29% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. North America has always been a lucrative market for managed network services as it has been an early adopter of advanced technologies in the manufacturing, retail, and BFSI industries, resulting in increased demand for managed network services.
Furthermore, the US is one of the leading countries contributing significantly to the managed network services market in this region. Additionally, the integration of cloud-based services, automation solutions, and AI into operations and supply chain processes has led to the development of new intelligent managed network services in the region. Hence, such factors are expected to drive market growth in the region during the forecast period.
In 2020, the outbreak of COVID-19 negatively affected the managed network services market In the APAC region. The growing number of COVID-19 cases has prompted large companies and business organizations in the region to switch to remote work models. Thus, cyberattacks are increasing due to the expansion of telework. Ransomware attacks around the world are on the rise as cyberattacks targeting vulnerabilities in Microsoft Exchange servers surge as hackers continue to find new ways to exploit. Therefore, the increase in the number of malicious attacks is expected to open up opportunities for managed network service providers and propel the growth of the regional managed network services market during the forecast period.
The Managed Network Services Market report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Managed Network Services Market Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
The research report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The managed network services market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
|
Managed Network Services Market Scope |
|
|
Report Coverage |
Details |
|
Page number |
166 |
|
Base year |
2022 |
|
Historic period |
2017-2021 |
|
Forecast period |
2023-2027 |
|
Growth momentum & CAGR |
Accelerate at a CAGR of 4.32% |
|
Market growth 2023-2027 |
USD 15.77 billion |
|
Market structure |
Fragmented |
|
YoY growth 2022-2023(%) |
3.86 |
|
Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
|
Performing market contribution |
APAC at 29% |
|
Key countries |
US, China, Japan, Germany, and UK |
|
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
|
Key companies profiled |
Accenture Plc, AT and T Inc., Brennan VDI Pty Ltd., BT Group Plc, Cisco Systems Inc., Colt Technology Services Group Ltd., Deutsche Telekom AG, Fujitsu Ltd., GTT Communications Inc., Huawei Technologies Co. Ltd., Infosys Ltd., International Business Machines Corp., Lumen Technologies Inc., Nippon Telegraph And Telephone Corp., Orange SA, Singapore Telecommunications Ltd., Tata Consultancy Services Ltd., Telefonaktiebolaget LM Ericsson, Telefonica SA, Telstra Ltd., and Verizon Communications Inc. |
|
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period. |
|
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements.
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by End-user
7 Market Segmentation by Deployment
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Research Framework
Technavio presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources. The analysts have presented the various facets of the market with a particular focus on identifying the key industry influencers. The data thus presented is comprehensive, reliable, and the result of extensive research, both primary and secondary.
INFORMATION SOURCES
Primary sources
Secondary sources
DATA ANALYSIS
Data Synthesis
Data Validation
REPORT WRITING
Qualitative
Quantitative
Certified ISO 9001 : 2015
We are ISO 9001:2015 recognized that ensures quality services and product delivery to our clients.
We are GDPR and CCPA compliant! Your transaction & personal information is protected from unauthorized use.
Get lifetime access to our
Technavio Insights
Get the report (PDF) sent to your email within minutes.
