Managed Network Services Market
By Type;
Managed VPN, Managed WAN, Managed LAN, Managed Network Security, Managed WiFi and OthersBy Deployment Mode;
On-Premise and CloudBy Enterprise Size;
Large Enterprises and Small & Medium EnterprisesBy End User;
BFSI, Retail & E-Commerce, Media & Entertainment, Healthcare, Government, Telecom & IT and OthersBy Geography;
North America, Europe, Asia Pacific, Middle East & Africa and Latin America - Report Timeline (2021 - 2031)Managed Network Services Market Overview
Managed Network Services Market (USD Million)
Managed Network Services Market was valued at USD 70,894.32 million in the year 2024. The size of this market is expected to increase to USD 118,385.18 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 7.6%.
Managed Network Services Market
*Market size in USD million
CAGR 7.6 %
Study Period | 2025 - 2031 |
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Base Year | 2024 |
CAGR (%) | 7.6 % |
Market Size (2024) | USD 70,894.32 Million |
Market Size (2031) | USD 118,385.18 Million |
Market Concentration | Medium |
Report Pages | 367 |
Major Players
- IBM
- Fujitsu
- Cisco
- Ericsson
- Verizon
- Comarch
- Huawei
- Bt Group
- At&T
- T-Systems
- Orange Business Services
- Dxc Technology
- Ntt
- Centurylink
- Global Cloud Xchange
- Tata Communications
- Colt
- Sify
- Telstra
- Sprint
- Gtt
- Brennan It
- Right- To-Win
Market Concentration
Consolidated - Market dominated by 1 - 5 major players
Managed Network Services Market
Fragmented - Highly competitive market without dominant players
The Managed Network Services Market is undergoing rapid transformation, driven by increasing enterprise dependency on connected infrastructure. Organizations are increasingly outsourcing network management to enhance agility and reduce operational complexity. Over 68% of enterprises are now adopting managed services to gain real-time monitoring and improve network uptime. The demand is particularly strong among industries undergoing digital transformation initiatives.
Rising Adoption of Cloud-Based Networks
The growing shift to cloud-native architectures has significantly elevated the need for managed services. Businesses are turning to third-party providers to maintain robust cloud networks, with over 62% of enterprises integrating managed network solutions into their hybrid cloud strategies. This trend is creating new opportunities for continuous monitoring, SD-WAN deployment, and cloud performance optimization.
Technological Advancements Fueling Growth
The deployment of AI, automation, and analytics in managed services is enabling real-time diagnostics and predictive maintenance, reducing downtime significantly. Around 58% of service providers are now offering AI-enhanced capabilities to differentiate their offerings.
Increased Demand from SMEs
Small and medium-sized enterprises are accelerating adoption, with over 64% of SMEs relying on managed services to scale operations cost-effectively. Limited in-house IT capabilities are prompting firms to outsource network control to optimize performance, ensure scalability, and free internal resources for strategic activities. This shift is expected to continue driving market expansion.
Managed Network Services Market Recent Developments
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June 2023: Wipro launched a managed private 5G-as-a-service solution in partnership with Cisco. Wipro said that the new offering enables enterprise customers to achieve better business outcomes via the integration of private 5G with their existing LAN/WAN/Cloud infrastructure.
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May 2023: Cloudflare Inc. partnered with Kyndryl Holdings Inc., one of the key IT infrastructure services providers, to help enterprises modernize and scale their corporate networks with managed WAN-as-a-Service and Cloudflare Zero Trust. The partnership combines the expertise of managed networking services provided by Kyndryl with the robust technology platform of Cloudflare to enable enterprises to connect to multiple clouds on a large scale seamlessly.
Managed Network Services Market (qPCR) Reagents Market Segment Analysis
In this report, the Managed Network Services Market has been segmented by Type, Deployment Mode, Enterprise Size, End User, and Geography. This framework explains how service portfolios, consumption models, and buyer profiles shape contracts, pricing, and vendor selection. It also highlights growth drivers such as cloud migration and SASE adoption, along with challenges around legacy integration, skills gaps, and multi-vendor orchestration.
Managed Network Services Market, Segmentation by Type
The Type axis captures core offerings that monetize availability SLAs, security outcomes, and performance guarantees. Providers differentiate with automation (AIOps/NOC), zero-touch provisioning, and unified observability, while scaling through OEM alliances and co-managed models. Buyers prioritize time-to-value, API openness, and simplified billing to support hybrid work and edge initiatives.
Managed VPN
Managed VPN services underpin secure site-to-site and remote connectivity with policy-based routing and encryption. Growth reflects the shift from device-centric operations to provider-run gateways and client orchestration. Vendors emphasize migration toolkits, telemetry, and integration with identity platforms to modernize access.
Managed WAN
Managed WAN transitions enterprises to SD-WAN and transport-agnostic fabrics with application-aware steering. Value stems from carrier aggregation, policy automation, and proactive remediation across multi-cloud paths. Partnerships with ISPs and cloud on-ramps enable global coverage and consistent experience.
Managed LAN
Managed LAN standardizes wired infrastructure with lifecycle services, configuration baselines, and NAC policies. Attention centers on segmentation, PoE capacity planning, and automated compliance checks. Providers bundle hardware refresh with subscription care to stabilize OPEX and reduce risk.
Managed Network Security
Managed Network Security spans firewalls, IDS/IPS, web gateways, and SASE components delivered as outcomes. Buyers expect integrated threat intel, 24/7 SOC, and regulatory reporting. Vendors advance with ZRTP/ZTNA architectures, policy-as-code, and attack-surface visibility.
Managed WiFi
Managed WiFi delivers campus and distributed wireless with heatmaps, RF optimization, and user-experience analytics. Growth is driven by hybrid work, guest access, and IoT onboarding under tight security constraints. Roadmaps feature Wi-Fi 6/6E/7 readiness, captive-portal services, and assurance via continuous testing.
Others
Others covers NaaS, edge connectivity, private 5G, and specialized monitoring for OT networks. These offers monetize micro-SLAs, vertical use cases, and API-driven integrations with ITSM. Providers package consulting, site surveys, and managed rollouts to de-risk transformation.
Managed Network Services Market, Segmentation by Deployment Mode
The Deployment Mode axis distinguishes how services are delivered and governed across on-premise assets and cloud-centric control planes. Selection depends on data residency, tooling consolidation, and operational maturity. Vendors position coexistence architectures and migration paths that preserve investments while accelerating automation.
On-Premise
On-premise delivery suits regulated environments requiring localized control, custom integrations, and deterministic latency. Providers focus on hardened designs, offline runbooks, and lifecycle governance aligned to change windows. Device telemetry is federated to central NOCs for predictive maintenance.
Cloud
Cloud deployment centralizes policy, analytics, and software upgrades for speed and scale. Teams adopt multi-tenant portals, zero-touch activation, and elastic licensing to align cost with usage. Integration with CASB/SSE and cloud transit hubs enables consistent security from branch to application.
Managed Network Services Market, Segmentation by Enterprise Size
The Enterprise Size axis shapes deal size, governance needs, and depth of co-managed operations. Providers tailor SLA tiers, tool access, and runbook scope to match staffing models and transformation tempo. Packaging balances standardization with the flexibility required for complex estates.
Large Enterprises
Large enterprises demand global coverage, rigorous compliance, and deep integration with ITSM/CMDB and SecOps tooling. Contracts emphasize KPIs, executive governance, and continuous optimization through AIOps insights. Co-innovation roadmaps prioritize cloud edges, SASE, and network as-code.
Small & Medium Enterprises
Small & Medium Enterprises optimize for fast time-to-value, bundled security, and predictable monthly OPEX. Managed offers reduce skills gaps and free staff for apps and revenue work. Providers lead with templated designs, self-service portals, and remote remediation.
Managed Network Services Market, Segmentation by End User
The End User axis maps vertical requirements—compliance, latency, and site density—to service priorities. Vendors win by aligning reference architectures, regulatory reporting, and industry SLAs with measurable outcomes. Expansion strategies blend channel partnerships, ecosystem alliances, and verticalized playbooks.
BFSI
BFSI prioritizes zero-trust access, encryption, and audited change control across branches, data centers, and cloud. Providers deliver dual-active designs, DDoS defense, and transaction-grade resilience. Evidence-rich compliance and forensics capability are decisive.
Retail & E-Commerce
Retail & E-Commerce requires scalable store rollouts, resilient POS connectivity, and guest WiFi with analytics. Edge routing, SD-WAN, and managed LTE/5G back-up protect revenue during peak events. Templates for PCI and device onboarding accelerate expansion.
Media & Entertainment
Media & Entertainment demands high-throughput distribution, low-latency collaboration, and secure content ingest. Providers enable QoS for live workflows, managed MPLS/Internet blends, and cloud-based transit for rendering pipelines. Contracts emphasize uptime and burstable capacity.
Healthcare
Healthcare focuses on HIPAA-like compliance, medical IoT segmentation, and resilient clinician access. Services include NAC, secure telehealth, and site standardization across clinics and hospitals. Reporting on audit trails and incident response is core to selection.
Government
Government entities require sovereign controls, strict identity policies, and lifecycle accreditation. Vendors deliver hardened designs, role-based access, and comprehensive logging to meet oversight needs. Multi-year frameworks favor proven delivery and transparent governance.
Telecom & IT
Telecom & IT customers co-source operations to accelerate time-to-market for new services while ensuring quality. Managed backbones, peering, and cloud edge connectivity underpin platform growth. Joint engineering and APIs enable deep integration.
Others
Others include manufacturing, education, and logistics with site-intensive estates and rising OT/IoT exposure. Providers package site surveys, RF design, and policy templates for quick replication. Focus areas include latency at the edge and centralized observability.
Managed Network Services Market, Segmentation by Geography
In this report, the Managed Network Services Market has been segmented by Geography into five regions: North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Regions and Countries Analyzed in this Report
North America benefits from mature MSP ecosystems, strong cloud adoption, and robust security spending. Enterprises pursue SASE roadmaps and NaaS pilots to simplify operations and improve agility. Vendors compete on innovation cadence, AIOps efficacy, and deep partner networks.
EuropeEurope emphasizes data sovereignty, privacy compliance, and cross-border service harmonization. Buyers seek transparent governance, localized support, and verified resilience across multi-country estates. Growth aligns with SSE consolidation and campus modernization tied to energy efficiency.
Asia PacificAsia Pacific shows rapid expansion via greenfield sites, digital commerce, and industrial IoT. Multi-national rollouts value providers with carrier diversity, last-mile orchestration, and agile licensing. Local alliances and managed 5G services accelerate time-to-service.
Middle East & AfricaMiddle East & Africa prioritizes government-led digitization, resilient connectivity, and managed security for critical infrastructure. Vendors succeed with regional SOCs, project-based financing, and skills enablement. Growth is supported by campus upgrades and cloud on-ramps.
Latin AmericaLatin America advances through hybrid WAN, cloud connectivity, and cost-optimized managed WiFi for distributed retail and services. Channel-centric models, localized SLAs, and simplified bundles expand reach. Focus remains on availability, security, and predictable OPEX.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Managed Network Services Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Comprehensive Market Impact Matrix
This matrix outlines how core market forces—Drivers, Restraints, and Opportunities—affect key business dimensions including Growth, Competition, Customer Behavior, Regulation, and Innovation.
Market Forces ↓ / Impact Areas → | Market Growth Rate | Competitive Landscape | Customer Behavior | Regulatory Influence | Innovation Potential |
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Drivers | High impact (e.g., tech adoption, rising demand) | Encourages new entrants and fosters expansion | Increases usage and enhances demand elasticity | Often aligns with progressive policy trends | Fuels R&D initiatives and product development |
Restraints | Slows growth (e.g., high costs, supply chain issues) | Raises entry barriers and may drive market consolidation | Deters consumption due to friction or low awareness | Introduces compliance hurdles and regulatory risks | Limits innovation appetite and risk tolerance |
Opportunities | Unlocks new segments or untapped geographies | Creates white space for innovation and M&A | Opens new use cases and shifts consumer preferences | Policy shifts may offer strategic advantages | Sparks disruptive innovation and strategic alliances |
Drivers, Restraints and Opportunity Analysis
Drivers:
- Shift to digital business models
- Increasing Cybersecurity Threats
- Remote Work Trends
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Adoption of emerging digital technologies - The growing adoption of emerging digital technologies is a major driver of the global managed network services market. As enterprises embrace innovations such as IoT, AI, edge computing, and 5G, network infrastructures must evolve to support greater complexity, bandwidth, and security demands. Managed network service providers offer the expertise and scalable solutions required to maintain performance, ensure uptime, and deliver end-to-end visibility and control across increasingly hybrid and decentralized IT environments.
These technologies also create a need for advanced network orchestration, zero-trust architectures, and real-time analytics to manage dynamic workloads and data flows. Managed services help organizations stay agile and responsive by offering proactive monitoring, automation, and rapid issue resolution, while reducing the burden on in-house IT teams. As digital transformation continues to accelerate globally, the demand for reliable, future-ready managed network services is expected to grow steadily across industries.
Restraints:
- Significant upfront capital investment
- Complexity in system integration
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Lack of qualified professionals - The lack of qualified professionals is a key restraint affecting the growth of the global managed network services market. As enterprise networks become more complex with the integration of AI, cloud computing, and IoT, there is a growing demand for skilled experts who can manage advanced infrastructure, cybersecurity, and automation systems. However, the supply of professionals with deep technical expertise in these areas has not kept pace, creating a talent gap that hampers service delivery and scalability.
This shortage often leads to longer deployment times, increased costs, and reduced service efficiency for managed network providers. Smaller service firms and enterprises may find it particularly challenging to attract and retain experienced talent, limiting their ability to support high-performance networks and meet evolving client expectations. Without sufficient investment in workforce development and training, the lack of skilled professionals could continue to restrict innovation and slow market expansion.
Opportunities:
- Growing use of cloud platforms
- Rapid growth of connected devices
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Outsourcing of cybersecurity solutions - The growing trend of outsourcing cybersecurity solutions presents a significant opportunity for the global managed network services market. As cyber threats become more advanced and frequent, organizations are increasingly turning to managed service providers (MSPs) to handle critical security operations such as threat detection, vulnerability management, incident response, and compliance monitoring. This shift enables businesses to access specialized expertise and cutting-edge security tools without the need for large internal cybersecurity teams.
Outsourcing also provides cost-effective scalability, allowing companies to adapt to evolving threats and regulatory requirements without overburdening internal resources. Managed services offer 24/7 monitoring, proactive defense strategies, and rapid response capabilities, helping organizations reduce risk while maintaining business continuity. As digital transformation accelerates across sectors, the demand for integrated network and cybersecurity solutions under managed service models is expected to rise, driving growth in the market.
Managed Network Services Market Competitive Landscape Analysis
Managed Network Services Market is witnessing significant growth driven by rising enterprise demand for secure, scalable networking solutions and strategic collaboration among service providers. Mergers and partnerships account for over 45% of market activity, while continuous technological advancements in cloud integration, SD-WAN, and network monitoring are shaping a competitive and evolving landscape.
Market Structure and Concentration
The market exhibits moderate concentration, with leading companies controlling nearly 60% of total revenue. Strategic mergers and collaborations reinforce positions, while smaller players leverage innovation in managed services, security solutions, and automation to gain visibility, creating a dynamic structure that supports sustainable growth and competitive differentiation.
Brand and Channel Strategies
Companies are adopting diverse strategies to enhance brand recognition, with partnerships representing more than 35% of service and distribution channels. Collaborative initiatives, enterprise integrations, and telecom alliances drive expansion, enabling companies to capture larger market share and influence adoption of managed network solutions.
Innovation Drivers and Technological Advancements
Innovation and technological advancements are key growth drivers, improving network reliability, security, and operational efficiency by over 50%. Companies invest in research collaborations, AI-driven monitoring, and automated management platforms, strengthening strategies for competitive positioning and long-term market growth.
Regional Momentum and Expansion
Regional expansion is propelled by localized strategies and partnerships, with some regions achieving more than 40% market penetration. Companies focus on operational innovation, cloud integration, and collaborative initiatives to strengthen regional presence, fostering sustainable growth and shaping the overall future outlook.
Future Outlook
The future outlook is positive, with projected growth fueled by mergers, innovation, and technological advancements. Collaborative strategies are expected to enhance competitive positioning by over 55%, ensuring long-term expansion and sustainable development in the managed network services market.
Key players in Managed Network Services Market include:
- IBM Corporation
- Cisco Systems Inc
- Verizon Communications Inc
- AT&T Inc
- Huawei Technologies Co Ltd
- Ericsson
- BT Group plc
- NTT Communications
- Tata Communications
- HCL Technologies
- Wipro Limited
- Fujitsu Limited
- Lumen Technologies
- Orange Business Services
- Vodafone Group plc
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Market Share Analysis
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
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Market Snapshot, By Type
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Market Snapshot, By Deployment Mode
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Market Snapshot, By Enterprise Size
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Market Snapshot, By End User
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Market Snapshot, By Region
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- Managed Network Services Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Digital Transformation
- Increasing Cybersecurity Threats
- Remote Work Trends
- Scalability and Flexibility
- Restraints
- Significant upfront capital investment
- Complexity in system integration
- Lack of qualified professionals
- Opportunities
- Growing use of cloud platforms
- Rapid growth of connected devices
- Outsourcing of cybersecurity 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
- Managed Network Services Market, By Type, 2021 - 2031 (USD Million)
- Managed VPN
- Managed WAN
- Managed LAN
- Managed Network Security
- Managed WiFi
- Others
- Managed Network Services Market, By Deployment Mode, 2021 - 2031 (USD Million)
- On-Premise
- Cloud
- Managed Network Services Market, By Enterprise Size, 2021 - 2031 (USD Million)
- Large Enterprises
- Small & Medium Enterprises
- Managed Network Services Market, By End User, 2021 - 2031 (USD Million)
- BFSI
- Retail & E-Commerce
- Media & Entertainment
- Healthcare
- Government
- Telecom & IT
- Others
- Managed Network 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
- Managed Network Services Market, By Type, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- IBM Corporation
- Cisco Systems Inc
- Verizon Communications Inc
- AT&T Inc
- Huawei Technologies Co Ltd
- Ericsson
- BT Group plc
- NTT Communications
- Tata Communications
- HCL Technologies
- Wipro Limited
- Fujitsu Limited
- Lumen Technologies
- Orange Business Services
- Vodafone Group plc
- Company Profiles
- Analyst Views
- Future Outlook of the Market