Managed Network Services market to see 10.9 % CAGR to 2028

Posted by kartik joshi on October 6th, 2022

Managed Network Services Market is expected to reach US$ 112,441.87 million by 2028, registering a CAGR of 10.9% from 2022 to 2028.

Europe includes well-established economies such as France, Germany, Russia, the UK, Italy, and the rest of Europe. In Europe, several industries are robustly focusing on adopting advanced technologies, which is considered an important factor for the region's prosperity. The high adoption rate of digital transformation by enterprises of all sizes in Europe is thus strongly supporting managed network services market growth. There is a growing understanding that there is a need for action to foster the digital transformation of European businesses, especially for SMEs and traditional sectors. Moreover, Interreg Europe, co-funded by the European Union, is a European cooperation program that strives to bring together the different regional and local government authorities to develop sustainable and innovative solutions to overcome regional developmental challenges. Their policy aims to provide an overview of their good practices and policies on fostering SMEs' digital transformation, focusing on traditional sectors and SMEs with low digital maturity. Multiple European businesses plan to adopt new digital technologies as part of the digital transformation trend. Such factors are expected to aid the managed network services market growth.

Sample Report Copy from Here

https://www.theinsightpartners.com/sample/TIPTE100000653/

Digital transformation uses technologies to create new or modify existing business processes and customer experiences to meet the ever-changing business environment. Digital transformation has common goals, such as improving efficiency, adding value, and promoting innovation. As companies are increasingly adopting digital transformation to deliver better customer experiences and compete more effectively, there is a growing need for services that support such modernization of information technology (IT) within different enterprises. Additionally, while companies seek to adopt digital transformation, the availability of skilled personnel and the cost of retaining them become hindrances for most enterprises. Managed network service providers, often termed managed service providers (MSPs), strongly aid in overcoming such hindrances. Enterprises can easily avail of their digital transformation service without the requirement of managing or maintaining an IT department within their enterprise. The rising digital transformation is also boosting certain other factors, such as migration to the cloud and rapid growth in data generation. Thus, such growth prospects in adopting the digital transformation is anticipated to drive the market growth over the coming years.

The expenditure on network security and cyber threat can also be minimized through such services. Generally, an annual or multi-year contract, known as a service level agreement (SLA), is signed between the MSP and enterprises for managed network services. Depending on the parameters of service being requested, prices vary. Hence, enterprises have a clear knowledge of operations expense budget for IT. Hence, variable expenditures under capital expenses for purchasing new equipment or maintaining old equipment are removed. Enterprises can remain unaffected by price rises or similar unforeseen circumstances with a multi-year deal. Advancement in technology is also paving strong growth opportunity for the market growth. Software-defined wide area network (SD-WAN) has been present for over a decade now, and it definitely provides various advantages over traditional WAN. Secure access service edge (SASE) is a newer network and security solution which is witnessing high growth rates owing to the increasing usage of public clouds. Reports suggest that SD-WAN can become obsolete if all enterprises move to public clouds. However, the chances of that happening globally is relatively low in the near future.

Kyndryl Holdings Inc.; Cisco Systems, Inc.; Verizon Communications, Inc.; Cognizant Technology Solutions Corporation; and HCL Technologies Ltd. are some of the key market players operating in the global managed network services market. The listing of key players is derived by considering multiple factors such as overall revenue, current managed network services product portfolio, geographical reach, new product launches, market initiatives, and investment in technology up-gradation, partnerships, and other market-related activities. In addition to these players, there are several other important players operating in the managed network services ecosystem, which were analyzed during the course of this market research study, such as Accenture; Fujitsu Limited; Huawei Technologies Co., Ltd.; NTT Limited; and Tata Consultancy Services Limited.

Most of the market initiatives were observed in APAC and Europe region, which have a high potential of market-related products, solutions, and services. Few of the important market initiatives from the industry are mentioned below:

2022 APAC

Kyndryl and Red Hat had announced strategic partnership to Advance IT Automation for Multicloud Infrastructure. The partnership helped the customers embrace open, differentiated automation technologies and managed services to modernize core business applications and IT infrastructure, while enabling scalable enterprise operations and greater resilience with advanced security capabilities.

2022 APAC

HCL Technologies extends partnership with Microsoft with an aim to bring security capabilities to clients worldwide. The company claims to have accomplished all four advanced security specializations available to Microsoft partners.

Contact Us

Phone: +1-646-491-9876

Email Id: sales@theinsightpartners.com