Global Managed Network Services Market Growth, Share, Size, Trends and Forecast (2025 - 2031)
By Type;
Managed Lan, Managed Wi-Fi, Managed Vpn, Managed Wan, Network Monitoring, Managed Network Security, and Managed Firewall.By Deployment Mode;
On-Cloud and On-Premises.By Organization Size;
Small & Medium-Sized Enterprises, and Large Enterprises.By Vertical;
BFSI, IT & Telecommunications, Retail & E-Commerce, Manufacturing, Government, and Healthcare.By 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%.
Global Managed Network Services Market Growth, Share, Size, Trends and Forecast
*Market size in USD million
CAGR 7.6 %
Study Period | 2025 - 2031 |
---|---|
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
Global 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.
Segment Analysis
The global market for managed network services is experiencing significant growth driven by increasing adoption across various organization sizes and types. Managed LAN services, which provide centralized management and monitoring of local area networks, are particularly favored by both small and medium-sized enterprises (SMEs) and large enterprises alike. These services help organizations optimize network performance, enhance security, and ensure reliability, thereby allowing businesses to focus on their core operations without the complexities of network management.
Managed Wi-Fi services are also gaining traction, especially among SMEs looking to provide seamless wireless connectivity to employees and customers. Large enterprises benefit from the scalability and robustness of managed Wi-Fi solutions, which can support extensive networks across multiple locations. This segment of managed network services includes features such as network design, installation, maintenance, and ongoing support, tailored to meet the specific needs of each organization.
Managed VPN and WAN services play a crucial role in connecting geographically dispersed offices and remote workers securely. SMEs find these services essential for cost-effective expansion, while large enterprises rely on them for maintaining secure communications across global operations. Network monitoring services, which provide real-time insights into network performance and security, are integral to both SMEs and large enterprises seeking proactive management to prevent disruptions and mitigate risks.
Managed network security and firewall services are increasingly in demand across all organization sizes due to rising cybersecurity threats. SMEs and large enterprises alike prioritize robust security measures to safeguard their data and network infrastructure. As businesses continue to digitalize their operations, the demand for comprehensive managed network services is expected to grow, driven by the need for reliable, scalable, and secure networking solutions tailored to different organizational requirements.
Global Managed Network Services Segment Analysis
In this report, the Global Managed Network Services Market has been segmented by Type, Organization Size, and Geography.
Global Managed Network Services Market, Segmentation by Type
The Global Managed Network Services Market has been segmented by Type into Managed Lan, Managed Wi-Fi, Managed Vpn, Managed Wan, Network Monitoring, Managed Network Security, and Managed Firewall.
The global managed network services market is characterized by its diverse segmentation into various types, each catering to specific needs within the realm of network management and security. Managed LAN services offer organizations centralized control over their local area networks, ensuring efficient connectivity and seamless data transfer across office locations. This segment is crucial for optimizing internal communications and enhancing productivity by minimizing network downtime and maximizing bandwidth utilization.
Managed Wi-Fi services play a pivotal role in providing reliable wireless connectivity to businesses of all sizes, from small startups to large enterprises. These services encompass the design, deployment, and management of Wi-Fi networks, ensuring robust coverage and secure access points throughout office premises. As the demand for flexible working arrangements and mobile connectivity grows, managed Wi-Fi services are becoming indispensable for maintaining productivity and enabling seamless collaboration across teams.
Managed VPN and WAN services facilitate secure and efficient communication between geographically dispersed offices, remote employees, and external partners. These services leverage advanced encryption protocols to safeguard sensitive data transmitted over wide area networks, ensuring compliance with regulatory requirements and protecting against cyber threats. By outsourcing VPN and WAN management to specialized providers, organizations can mitigate the complexities associated with network infrastructure while enhancing operational agility and scalability.
The segmentation of the global managed network services market into Managed LAN, Managed Wi-Fi, Managed VPN, Managed WAN, Network Monitoring, Managed Network Security, and Managed Firewall reflects the diverse needs of businesses seeking to optimize their networking capabilities. These services not only improve connectivity and data security but also empower organizations to focus on core competencies while adapting to evolving technological landscapes and cybersecurity challenges. As digital transformation accelerates across industries, the demand for comprehensive managed network services is expected to rise, driving innovation and growth in the global market.
Global Managed Network Services Market, Segmentation by Organization Size
The Global Managed Network Services Market has been segmented by Organization Size into Small & Medium-Sized Enterprises, and Large Enterprises.
The segmentation of the global managed network services market by organization size into Small & Medium-Sized Enterprises (SMEs) and Large Enterprises highlights distinct needs and preferences within each category. For SMEs, managed network services offer a strategic solution to overcome resource constraints and technical expertise limitations. These services provide SMEs with access to enterprise-grade networking capabilities, including Managed LAN, Wi-Fi, VPN, WAN, and network security, typically delivered as a cost-effective subscription model. By outsourcing network management to specialized providers, SMEs can enhance operational efficiency, ensure reliable connectivity, and focus resources on core business activities without the burden of maintaining an in-house IT infrastructure.
Large enterprises, on the other hand, benefit from managed network services by leveraging scalable solutions that support complex and extensive network architectures spanning multiple locations and regions. Managed services tailored for large enterprises encompass comprehensive network monitoring, robust security protocols, and firewall management to safeguard sensitive data and ensure compliance with industry regulations. These services enable large enterprises to optimize network performance, mitigate risks, and maintain high availability across their global operations while achieving cost efficiencies through streamlined management and operational processes.
The segmentation of the global managed network services market by organization size underscores the pivotal role of outsourcing in meeting diverse networking needs. Whether catering to the agility and flexibility required by SMEs or the scalability and security demands of large enterprises, managed network services provide tailored solutions that align with business objectives and support sustainable growth in an increasingly interconnected digital landscape. As organizations continue to prioritize efficient IT management and cybersecurity resilience, the demand for specialized managed network services is expected to expand, driving innovation and competitiveness across industry sectors worldwide.
Global Managed Network Services Market, Segmentation by Geography
In this report, the Global Managed Network Services Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Global Managed Network Services Market Share (%), by Geographical Region, 2024
The global managed network services market by geography, it's evident that regional dynamics play a crucial role in shaping market trends and opportunities. North America, as a mature market, continues to lead in terms of adoption of managed network services, driven by robust technological infrastructure and a strong emphasis on cybersecurity. Enterprises in North America leverage managed services to enhance operational efficiency, ensure regulatory compliance, and mitigate cyber risks, particularly in sectors such as finance, healthcare, and IT services where data security is paramount.
Europe represents another significant region in the managed network services market, characterized by a diverse landscape of industries adopting advanced networking solutions. Countries like the UK, Germany, and France are witnessing substantial investments in cloud computing, IoT (Internet of Things), and digital transformation initiatives, driving the demand for managed LAN, WAN, and security services. European enterprises prioritize managed services to optimize IT costs, improve network performance, and support remote working capabilities, thereby fostering productivity and business continuity.
Asia Pacific emerges as a dynamic and fast-growing region in the managed network services market, fueled by rapid economic growth, increasing internet penetration, and digitalization across sectors. Countries such as China, India, Japan, and Australia are witnessing robust adoption of managed Wi-Fi, VPN, and security services to support expanding business operations and address cybersecurity challenges. SMEs in Asia Pacific particularly benefit from managed services by accessing scalable and affordable networking solutions, enabling them to compete effectively in the global market while adhering to stringent data protection regulations.
The Middle East and Africa, along with Latin America, are experiencing steady growth in managed network services adoption, driven by increasing investments in infrastructure development and digital connectivity initiatives. These regions present opportunities for managed service providers to cater to the evolving networking needs of enterprises seeking reliable, secure, and cost-effective solutions. As global connectivity continues to evolve, the segmentation of the managed network services market by geography highlights varying regional priorities and challenges, shaping the strategic focus of providers in delivering tailored solutions that meet local regulatory requirements and business objectives.
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.
Drivers, Restraints and Opportunity Analysis
Drivers:
- Digital Transformation
- Increasing Cybersecurity Threats
- Remote Work Trends
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Scalability and Flexibility - Scalability and flexibility are pivotal factors driving the growth and evolution of the global managed network services market. In today's dynamic business environment, organizations face the challenge of adapting swiftly to changing demands, whether it's scaling operations to accommodate growth or adjusting infrastructure to meet fluctuating workloads. Managed network services offer a solution by providing scalable resources and flexible deployment models that align with business needs.
For enterprises, scalability ensures that network infrastructure can expand or contract seamlessly in response to business growth or seasonal fluctuations in demand. Managed service providers offer scalable solutions such as cloud-based services that allow organizations to adjust resources in real-time, optimizing costs while maintaining performance levels. This capability is particularly beneficial for small and medium-sized enterprises (SMEs) seeking to compete with larger counterparts by accessing enterprise-grade networking capabilities without hefty upfront investments.
Flexibility in managed network services enables organizations to customize solutions according to specific operational requirements and industry regulations. Providers offer a range of service options, from fully managed to co-managed arrangements, allowing businesses to retain control over critical operations while leveraging external expertise and support. This flexibility extends to deployment models as well, including on-premises, cloud-based, or hybrid solutions, ensuring compatibility with existing IT infrastructure and future scalability needs.
Restraints:
- High Initial Costs
- Integration Challenges
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Skills Shortages - Skills shortages represent a significant challenge within the global managed network services market, impacting the industry's ability to meet growing demand for specialized expertise in network management, cybersecurity, and emerging technologies. As organizations increasingly rely on managed service providers (MSPs) to handle their network infrastructure, the scarcity of qualified professionals capable of implementing and maintaining these systems becomes a critical concern.
One of the primary factors contributing to skills shortages is the rapid pace of technological advancement. The evolution of networking technologies, such as software-defined networking (SDN), virtualization, and cloud computing, requires continuous upskilling and retraining of IT professionals. Many organizations struggle to keep pace with these advancements due to limited internal resources and budget constraints, leading them to rely on MSPs with specialized skills and experience.
Cybersecurity expertise is particularly in high demand within managed network services. With the proliferation of cyber threats and data breaches, businesses require robust security measures to protect their networks and sensitive information. However, finding cybersecurity professionals with the necessary skills to implement effective defenses and respond to incidents remains a challenge. This gap in cybersecurity talent not only hampers organizations' ability to secure their networks but also drives up the cost of hiring and retaining skilled personnel.
Opportunities:
- Cloud Adoption
- IoT Expansion
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Managed Security Services - Managed Security Services (MSS) have emerged as a critical component within the global managed network services market, driven by the escalating complexity and sophistication of cyber threats faced by organizations worldwide. MSS providers offer a comprehensive suite of security solutions designed to protect networks, data, and systems from a myriad of cyber risks, including malware, phishing attacks, ransomware, and insider threats. These services encompass continuous monitoring, threat detection, incident response, vulnerability management, and compliance reporting, providing organizations with proactive defense mechanisms to mitigate potential security breaches.
One of the key advantages of MSS is its ability to provide round-the-clock monitoring and real-time threat intelligence, leveraging advanced security technologies and specialized expertise. This proactive approach allows organizations to detect and respond to security incidents swiftly, minimizing potential damages and downtime. MSS providers also offer customized security solutions tailored to meet the specific needs and regulatory requirements of different industries, ensuring compliance with standards such as GDPR, HIPAA, and PCI DSS.
MSS enables organizations to augment their internal security capabilities by leveraging the expertise of dedicated security professionals and leveraging economies of scale in technology investments. This is particularly beneficial for small and medium-sized enterprises (SMEs) that may lack the resources to build and maintain a robust in-house security infrastructure. By outsourcing security management to MSS providers, organizations can reduce operational complexities, optimize costs, and focus on core business activities while enhancing overall cybersecurity posture.
Competitive Landscape Analysis
Key players in Global Managed Network Services Market include:
- 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
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Type
- Market Snapshot, By Deployment Mode
- Market Snapshot, By Organization Size
- Market Snapshot, By Vertical
- Market Snapshot, By Region
- Managed Network Services Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Digital Transformation
- Increasing Cybersecurity Threats
- Remote Work Trends
- Scalability and Flexibility
- Restraints
- High Initial Costs
- Integration Challenges
- Skills Shortages
- Opportunities
- Cloud Adoption
- IoT Expansion
- Managed Security Services
- 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 Lan
- Managed Wi-Fi
- Managed Vpn
- Managed Wan
- Network Monitoring
- Managed Network Security
- Managed Firewall
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Managed Network Services Market, By Deployment Mode, 2021 - 2031 (USD Million)
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On-Cloud
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On-Premises
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Managed Network Services Market, By Organization Size, 2021 - 2031 (USD Million)
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Small & Medium-Sized Enterprises
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Large Enterprises
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Managed Network Services Market, By Vertical, 2021 - 2031 (USD Million)
- BFSI
- IT & Telecommunications
- Retail & E-Commerce
- Manufacturing
- Government
- Healthcare
- 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
- 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
- Company Profiles
- Analyst Views
- Future Outlook of the Market