Market for Managed IT Services Set to Be Worth $242.45 Billion by 2021
A new report has been released that suggest the managed IT services sector will be worth $242.45 billion by 2021. It currently stands at $145.33 billion. This would suggest a growth of 10.8% in just five years.
The managed IT services market is growing exponentially. In fact, according to a new report launched by Nexus, it will be worth $242.45 billion by 2021. The market is currently worth $145.33 billion, which suggests a growth of 10.8%. One of the major forces behind this exponential growth is that businesses are looking to have the flexibility to create custom programs. Additionally, technological solutions are becoming increasingly complex, and businesses are more dependent on heterogeneous networks.
The largest part of the managed IT services market is the managed data center. A representative from Nexus said: “Basically, all companies require a data center if they are to operate. These centers are the backbone of their business, allowing them to grow and remain competitive. There are also more and more startup organisations, which means data usage is increasing exponentially, and this leads to more data centers as well. In order to be able to manage this incredibly complex data, managed IT services are now essential to the economy.”
The research also showed that the fastest growing market segment would be managed mobility. This is as part of the BYOD (bring your own device) trend, which means that employees can now use devices that they personally own. Managed mobility has been found to be promoted thanks to factors such as:
- A robust smartphone environment.
- Enterprise mobility management on the cloud becoming more prominent.
- Businesses becoming more global.
- Decentralisation of the workforce.
- Growing need for productivity applications.
It is also believed that North America will contribute the most to the market. According to the Nexus representative: “North America is popular with small to medium enterprises and start-ups alike, not in the least because of government compliance and regulations. Hence, there is a bigger demand for managed services as well. Europe, however, is focused more on macroeconomics, and there is some uncertainty going on, which means there is heavier investment in North America instead.”
Furthermore, a huge amount of popular ventures like Accenture Plc., Ericsson Corporation, Huawei Technologies Co. Inc., Cisco Systems, Inc., and the IBM Corporation means that the market is very competitive as well. As a result, a range of different strategies, including product development, partnership and collaboration, and merger and acquisition, can be met by these major players, each of which then increasing their market share.
The Nexus research has been picked up by companies all over the world. In fact, eight different industry verticals, equating to some 1,700 businesses, are looking at the research and now require consultancy work in order to grow their business, use newer applications, and find out about cutting edge technologies. Nexus aims to be proactive in terms of working with their clients to find new opportunities and customers.
“With the managed IT services industry growing so rapidly, we want our customers to know that we are ready to meet their demands,” adds the representative. “Technology is becoming more and more commonplace in the world, while at the same time becoming increasingly complex. Individual clients have very specific requirements, which is why all IT services have to be flexible enough to manage customized needs, but this in turn means that there is a need for professionals with the ability to implement these customizations. We are equipped with the tools and skills to achieve that and encourage anyone to contact us.”