Skip to main content

Spending on Managed Services Increasing

The U.S. managed services market will grow at a compounded rate of 10 percent over the next five years as growth continues across all segments of the managed services value chain, says a new market study from Insight Research.

The report notes that in today's sophisticated communications environment, full time managed service professionals are in the best position to assist enterprises to realize the full potential of IP networking. IP's vast array of capabilities greatly increases management complexity. The study notes that revenues associated with the managed services market will grow from $28.6 billion in 2007 to nearly $47 billion in 2012.

Insight's newly-released market analysis report entitled "Managed Services in an IP World: New Opportunities for Wireless and Wired Networks 2007 - 2012," contends that carriers, service providers, equipment vendors, systems integrators, and specialist companies will all participate in the growth opportunities provided by this market.

The study differentiates among four primary managed service segments: managed data center services, managed infrastructure, managed LAN services, and managed WAN services.

In addition to the revenue forecasts for these market segments, forecasts are provided for various market subdivisions, including managed IP VPNs, managed security services, managed VoIP, LAN extensions, WLAN extensions, managed hosting and storage, and a number of other significant areas within the managed services domain.

The report also provides Insight’s survey of outsourced managed LAN, managed WAN, disaster recovery and storage management services by vertical industry.

“Because they can offer around-the-clock monitoring of network performance, improved application performance, and predictable service levels, managed service providers are in a unique position to expand their business in an effort to address the growth of this market,” says Robert Rosenberg, Insight’s president.

“The most significant driver may well be the growth in the number of business locations or endpoints that connect to each other across a WAN. When you compare the growth of establishments to the growth of managed network connections, the increasing need for managed services is unmistakable.”

Popular posts from this blog

AI-Driven Data Center Liquid Cooling Demand

The rapid evolution of artificial intelligence (AI) and hyperscale cloud computing is fundamentally reshaping data center infrastructure, and liquid cooling is emerging as an indispensable solution. As traditional air-cooled systems reach their physical limits, the IT industry is under pressure to adopt more efficient thermal management strategies to meet growing demands, while complying with stringent environmental regulations. Liquid Cooling Market Development The latest ABI Research analysis reveals momentum in liquid cooling adoption. Installations are forecast to quadruple between 2023 and 2030. The market will reach $3.7 billion in value by the decade's end, with a CAGR of 22 percent. The urgency behind these numbers becomes clear when examining energy metrics: liquid cooling systems demonstrate 40 percent greater energy efficiency when compared to conventional air-cooling architectures, while simultaneously enabling ~300-500 percent increases in computational density per rac...