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

Open Banking Usage to Grow by 470 Percent

The Open Banking business model has been advantageous for Third-Party Providers (TPPs), helping them to extend their offerings into other areas of financial services with new capabilities. Open Banking is also advantageous for traditional banking institutions, despite the perceived loss of custodianship over their data, by providing greater accessibility to more bank services. Furthermore, Open Banking can help serve Mobile Internet providers that are able to leverage it to create tailored services according to customers’ preferences and/or economic limitations. Open Banking Market Development Since traditional banking services are made more convenient by TPPs via greater data access, customers can proactively manage their finances and shape the development of new financial offerings. This is particularly noticeable in the realm of Digital Payments, where retail merchants and customers transact through eCommerce, which has the greatest number of use cases for Open Banking. These includ

Global Digital Business and IT Consulting Outlook

Across the globe, CEOs and their leadership teams continue to seek information and guidance about planned Digital Transformation initiatives and the most effective enterprise organization change management practices. Worldwide IT and Business Services revenue will grow from $1.13 trillion in 2022 to $1.2 trillion in 2023 -- that's a 5.7 percent year-over-year growth, according to the latest market study by International Data Corporation (IDC). The mid-term to long-term outlook for the market has also increased -- the five-year CAGR is forecast at 5.2 percent, compared to the previous 4.9 percent. Digital Sevices & Consulting Market Development IDC has raised the growth projection despite a weak economic outlook, because of vendor performances across 2022, growth indicators from adjacent markets, increased government funding, and inflation impacts. The actual 2022 market growth was 6.7 percent (in constant currency), which was 87 basis points higher than forecast last year, alth

Mobile Device Market Still Awaiting Recovery

The mobile devices market has experienced three years of unpredictable demand. The global pandemic, geopolitical pressures, supply chain issues, and macroeconomic headwinds have hindered the sector's consistent growth potential. This extremely challenging environment has dramatically affected both demand and supply chains. It has led to subsequent inflationary pressures, leading to a worsening global cost of living crisis suppressing growth and confidence in the sector. In tandem, mobile device industry stakeholders have become more cautious triggering market uncertainties. Mobile Device Market Development Operating under such a backdrop, the development of mobile device ecosystems and vendor landscapes have been impacted severely. Many of these market pressures persisted throughout 2022 and now into 2023, borne chiefly by the smartphone market. According to the latest worldwide market study by ABI Research, worldwide smartphone shipments in 2022 declined 9.6 percent Year-over-Year