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The Managed Service Market in Five Years

The future of the managed services industry looks very promising. 

The demand for such services is forecasted to grow by as much as 11.2% (CAGR), or if we translated that in monetary terms that would be USD 274.20 billion, by 2026. 

The spike is brought about by the huge need for businesses to upscale their current work setup to be more cloud-based and to address other IT security concerns.  

For MSPs, those who offer services for the cloud, Big Data, DevOps, IoT platforms, and containers are predicted to be the ones who have the most potential for success in the next five years. 

But with all the continuous flow of need for managed services, becoming a success during these times still needs to be carefully planned out, and when you do, keep the following items in mind: 

What the Big Dogs are doing 

Leading managed service providers such as Fujitsu Ltd, Cisco Systems, IBM Corporation, AT&T Inc, and HP Development Company LP are working together, instead of competing with one another, to maintain their top spots. 

They are breaking out deals among themselves and creating more strategic partnerships with other key players to sustain their market share. 

Bundles 

Reducing costs is one of the biggest objectives for any client, especially due to the financial slumps that the pandemic brought about. 

Many of the managed service providers are coming up with bundle deals to attract and retain customers. 

Offshoring Staffing Services 

Realizing that growing the number of staff in the company is a must to keep up with the demands, many MSPs are shifting to an offshore team model. 

This significantly reduced costs without compromising the quality of the services provided to the clients. 

In the upcoming years, it is expected that growth in the managed services will be significant, but with all that, to ride on its success, having a strategic plan would be beneficial. 

For integrating offshore staffing solutions in your planning, we could help. Feel free to email us at sales@technoglobalteam.com and we’ll be more than glad to get your started. 

You may also check out our white papers to get a comprehensive guide about how you can elevate your business.

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