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The global managed services market is on track to pass $430 billion in 2026, and by nearly every major forecast it will roughly double before the end of the decade. Driving that growth is a straightforward shift: businesses of every size, small companies most of all, are handing day-to-day IT to outside providers. Here is what the 2026 data says about market size, growth, and adoption.

Key takeaways

  • The market is huge and still climbing: managed services are valued at roughly $370 billion to $431 billion in 2026 depending on the analyst. (Fortune Business Insights, Mordor Intelligence)
  • Growth is double-digit: forecast CAGRs range from about 9% to 15%, and Canalys measured 13% actual growth in 2025 to $595 billion globally. (Grand View Research, Fortune Business Insights, Canalys)
  • Security leads the pack: managed detection and response is compounding at 21.95% a year, more than twice the overall market rate. (Mordor Intelligence)
  • IT services dominate global tech spend: IT services, which include managed services, will top $1.87 trillion in 2026, the largest slice of a $6.37 trillion IT budget. (Gartner)
  • Small businesses adopt fastest: companies with fewer than 100 employees are more than twice as likely to outsource IT to an MSP than larger firms. (CompTIA)
  • The talent gap is the tailwind: ISC2 estimated a global shortfall of 4.7 million cybersecurity professionals, and 95% of security teams now report at least one skills gap. (ISC2)
  • Downtime is expensive: a single hour of downtime tops $300,000 for more than 90% of mid-size and large enterprises. (ITIC)

 

 

Infographic of 2026 managed services statistics: $430.56B market size, doubling by 2031, $1.87T IT services spend, 2 in 3 businesses, 39% North America
Five headline figures on the 2026 managed services market: size, growth, IT spending share, adoption, and regional lead (Mordor Intelligence, Fortune Business Insights, Gartner, CompTIA, MarketsandMarkets).

 

 

What’s in This Report

1 How Big Is the Managed Services Market?

There is no single official figure for the size of the managed services market, because each research firm draws the boundary in a slightly different place. What they agree on is the order of magnitude: this is a market measured in the hundreds of billions of dollars, and it is one of the largest categories in all of enterprise technology.

$370.5B
Global managed services market size in 2026, up from $330.4 billion in 2025.Fortune Business Insights, Managed Services Market report
$430.56B
Global managed services market size in 2026 under Mordor Intelligence’s broader definition.Mordor Intelligence, Global Managed Services Market
$595B
Size the managed services market reached in 2025 after growing 13% year over year, measured across the channel.Canalys, 2025 managed services forecast
Research firm Near-term size Forecast Target year
Fortune Business Insights $370.5B (2026) $1,118.2B 2034
Mordor Intelligence $430.56B (2026) $704.2B 2031
Grand View Research n/a $731.08B 2030
MarketsandMarkets ~$460.6B (2026) $705.22B 2031
Precedence Research n/a $1,272.95B 2035
Canalys (actual, channel) $595B (2025) n/a 2025

Managed Services Market Forecasts by Research Firm (USD)

Precedence Research (2035)
$1.27T
Fortune Business Insights (2034)
$1.12T
Grand View Research (2030)
$731B
MarketsandMarkets (2031)
$705B
Mordor Intelligence (2031)
$704B

Forecasts use different end years, so the bars are not a like-for-like comparison, but every firm sees a market at or above $700 billion. Sources: Precedence Research, Fortune Business Insights, Grand View Research, MarketsandMarkets, Mordor Intelligence.

The practical takeaway for a business owner is not the exact dollar figure. It is that outsourcing IT has become the default operating model for companies under a few hundred employees, which is why the market is this large in the first place. When you engage a provider for managed IT services, you are joining the majority, not the exception.

Explore CNiC’s managed IT services

Source: Fortune Business Insights | Mordor Intelligence | Grand View Research

2 How Fast Is It Growing?

Market size tells you where the industry is today. Growth rate tells you where it is heading, and here the story is consistent: double-digit expansion, year after year, for the rest of the decade. The disagreement among analysts is only about how fast, not whether.

14.80%
Projected compound annual growth rate (CAGR) of the managed services market from 2026 through 2034.Fortune Business Insights
14.1%
Projected CAGR from 2025 to 2030, taking the market to $731.08 billion.Grand View Research
+13%
Actual measured growth of the managed services channel in 2025, reaching $595 billion worldwide.Canalys

Managed Services Market CAGR by Source

Fortune Business Insights (to 2034)
14.80%
Grand View Research (to 2030)
14.1%
Canalys (2025 actual)
13%
Mordor Intelligence (to 2031)
10.34%
MarketsandMarkets (to 2031)
~8.9%

Even the most conservative forecast has managed services growing faster than the broader economy. Sources: Fortune Business Insights, Grand View Research, Canalys, Mordor Intelligence, MarketsandMarkets.

Source: Fortune Business Insights | Grand View Research | Canalys MSP Trends and Predictions

3 Managed Services by Segment: Security, Cloud, and Network

“Managed services” is an umbrella over several distinct markets, and they are not growing at the same speed. Security-related services are pulling ahead as threats multiply and compliance requirements tighten, while cloud management remains the largest single slice.

$140.96B
Size of the cloud managed services market in 2025, the largest segment, projected to reach $222.81 billion by 2030.Mordor Intelligence, Cloud Managed Services Market
12.54%
Projected CAGR of managed security services, growing from $38.31 billion in 2025 to $69.16 billion by 2030.Mordor Intelligence, Security Managed Services Market
21.95%
Projected CAGR of the managed detection and response (MDR) market through 2030, the fastest-growing niche in managed services.Mordor Intelligence, MDR Market report
Segment 2025 size Forecast (2030) CAGR
Cloud managed services $140.96B $222.81B 9.59%
Managed security services $38.31B $69.16B 12.54%
Managed threat intelligence $13.63B $31.76B 18.44%
Managed detection & response (MDR) n/a n/a 21.95%

This is why security has moved to the center of most managed IT relationships, and why we treat it as a first-class service rather than an upsell. If you want the underlying threat numbers behind this growth, our companion 2026 cybersecurity statistics report breaks down the attack data, and our ransomware recovery statistics cover the cost side. Voice and collaboration follow the same managed model through hosted UCaaS platforms.

See CNiC’s managed cybersecurity services

Source: Mordor Intelligence, Cloud Managed Services | Mordor Intelligence, Managed Security Services | MarketsandMarkets

4 Where the Money Is: Global IT Spending and Regions

Managed services do not grow in isolation. They ride on top of the largest technology-spending wave on record, and they are concentrated in the regions where that spending is heaviest.

$6.37T
Forecast worldwide IT spending in 2026, up 14.2% over 2025.Gartner, July 2026 IT spending forecast
$1.87T
Forecast IT services spending in 2026 (which includes managed services), the single largest IT spending category.Gartner, July 2026 IT spending forecast
~39%
North America’s share of the global managed services market, the largest of any region.MarketsandMarkets, 2025
Spending metric Figure Source (year)
Worldwide IT spending, 2026 $6.37 trillion Gartner (2026)
IT services spending, 2026 (incl. managed services) Over $1.87 trillion Gartner (2026)
IT services share of total IT spend ~30% Gartner (2026)
North America share of managed services market ~39% MarketsandMarkets (2025)

When IT services alone account for nearly a third of a $6.37 trillion global budget, and managed services are the recurring core of that category, the scale of the opportunity becomes clear. Much of the fresh spending is going toward cloud and AI-ready infrastructure, work that is complex to run in-house and a natural fit for a managed cloud partner.

Explore CNiC’s managed cloud solutions

Source: Gartner IT Spending Forecast | MarketsandMarkets

 

CNiC Solutions — IT Infrastructure Management

 

5 Why Businesses Adopt Managed Services

Behind the market numbers are millions of individual decisions to stop running IT alone. The adoption data from CompTIA’s Trends in Managed Services research shows both how common the choice has become and why owners make it.

2 in 3
More than two-thirds of surveyed organizations used the services of an outside IT firm in the past year.CompTIA, Trends in Managed Services
37.9%
Share that used an MSP to complement an internal IT team through co-managed IT, versus 27.1% that relied on an MSP to fully manage their infrastructure.CompTIA, Trends in Managed Services
91%
Share of organizations at least somewhat familiar with the managed services concept (51% very familiar, 40% somewhat familiar).CompTIA, Trends in Managed Services

 

 

Funnel infographic showing managed services adoption: 91% familiar, 2 in 3 used an outside IT firm, 37.9% co-managed, 27.1% fully outsourced
How businesses move from awareness to adoption: 91% are familiar, two-thirds hire an outside IT firm, and 27.1% fully outsource IT to an MSP (CompTIA).

 

 

When CompTIA asked why, the leading answer was not cost cutting. It was reliability. Improving the efficiency and reliability of IT operations was the main driver for the majority of respondents, and the effect was strongest among larger teams that feel downtime most acutely.

Top Reason for Using an MSP: Improve IT Efficiency and Reliability

Companies with 100+ employees
56%
Companies with under 100 employees
47%

Efficiency and reliability, not price, is the top reason businesses hire an MSP. Source: CompTIA, Trends in Managed Services.

Myth: “Managed services are only for big companies.” The data says the opposite. CompTIA found that organizations with fewer than 100 employees were more than twice as likely to outsource their IT to an MSP than larger organizations. Small businesses adopt managed services precisely because they cannot justify a full in-house IT and security team, so a provider gives them enterprise-grade coverage at a fraction of the cost. Being small is a reason to use an MSP, not a reason to skip one.

That pattern matches what we see day to day. A growing company hits a point where one overworked internal person, or no IT person at all, can no longer keep pace, and a virtual CIO plus a managed team fills the gap without the cost of a full department.

Learn how a virtual CIO fits your business

Source: CompTIA Trends in Managed Services | CompTIA IT Industry Outlook 2026

6 The Forces Driving Growth

The market forecasts and the adoption data point at the same underlying causes. Two structural pressures, a shortage of skilled people and the rising cost of downtime, make outsourcing less a preference and more a necessity for most small and midsize businesses.

4.7M
Estimated global shortfall of cybersecurity professionals, a gap in-house teams cannot close on their own.ISC2 2024 Cybersecurity Workforce Study
95%
Share of security teams reporting at least one skills gap, now a bigger concern than raw headcount.ISC2 2025 Cybersecurity Workforce Study
$300K+
Cost of a single hour of downtime for more than 90% of mid-size and large enterprises; 41% report hourly losses of $1 million to $5 million.ITIC 2024 Hourly Cost of Downtime survey
Growth driver Figure Source (year)
Global cybersecurity workforce gap 4.7 million ISC2 (2024)
Security teams reporting at least one skills gap 95% ISC2 (2025)
Enterprises where one hour of downtime tops $300K Over 90% ITIC (2024)
Enterprises with hourly downtime losses of $1M to $5M 41% ITIC (2024)
Business leaders positive on 2026 prospects Net 77% CompTIA (2026)

Source: ISC2 Cybersecurity Workforce Study | ITIC Hourly Cost of Downtime | CompTIA IT Industry Outlook 2026

Every Statistic in One Table

The full set of managed services statistics from this report, with the primary source and year for each, in one place for easy reference and citation.

Statistic Figure Source Year
Managed services market size $370.5B Fortune Business Insights 2026
Managed services market size $430.56B Mordor Intelligence 2026
Managed services market size (2025 prior year) $330.4B Fortune Business Insights 2025
Managed services channel size (actual) $595B Canalys 2025
Managed services market forecast $731.08B Grand View Research 2030
Managed services market forecast $705.22B MarketsandMarkets 2031
Managed services market forecast $1,118.2B Fortune Business Insights 2034
Managed services market forecast $1,272.95B Precedence Research 2035
Managed services market CAGR 14.80% Fortune Business Insights 2026-2034
Managed services market CAGR 14.1% Grand View Research 2025-2030
Managed services market CAGR 10.34% Mordor Intelligence 2026-2031
Managed services channel growth (actual) 13% Canalys 2025
Cloud managed services market size $140.96B Mordor Intelligence 2025
Managed security services market size $38.31B Mordor Intelligence 2025
Managed security services CAGR 12.54% Mordor Intelligence 2025-2030
Managed detection & response (MDR) CAGR 21.95% Mordor Intelligence to 2030
Managed threat intelligence CAGR 18.44% Mordor Intelligence 2025-2030
Worldwide IT spending $6.37T Gartner 2026
IT services spending (incl. managed services) Over $1.87T Gartner 2026
North America share of managed services market ~39% MarketsandMarkets 2025
Organizations using an outside IT firm Over 2 in 3 CompTIA 2022
Organizations using co-managed IT 37.9% CompTIA 2022
Organizations fully outsourcing IT to an MSP 27.1% CompTIA 2022
Global cybersecurity workforce gap 4.7 million ISC2 2024
One-hour downtime cost, mid/large enterprises Over $300K (90%+ of firms) ITIC 2024

Frequently Asked Questions

How big is the managed services market in 2026?

Estimates cluster in the low-to-mid $400 billion range. Mordor Intelligence values the global managed services market at $430.56 billion in 2026, and Fortune Business Insights puts it at $370.5 billion in 2026, rising from $330.4 billion in 2025. Canalys reported that managed services grew 13% in 2025 to reach $595 billion globally under its broader channel definition. The differences come down to how each firm defines the market, but all show a market well into the hundreds of billions of dollars.

How fast is the managed services market growing?

Forecast compound annual growth rates run from roughly 9% to 15% depending on the analyst. Fortune Business Insights projects a 14.80% CAGR through 2034, Grand View Research projects 14.1% through 2030, and Mordor Intelligence projects 10.34% through 2031. Canalys measured actual growth of 13% in 2025. Every major forecast has the market at least doubling over its horizon.

What is the fastest-growing part of the managed services market?

Security-related managed services lead. Mordor Intelligence projects the managed security services segment to grow at a 12.54% CAGR from $38.31 billion in 2025 to $69.16 billion by 2030, and the managed detection and response (MDR) niche to compound at 21.95% through 2030, more than twice the rate of the overall market. MarketsandMarkets also identifies managed security as the fastest-growing solution segment.

How many small businesses use a managed service provider?

According to CompTIA’s Trends in Managed Services research, more than two-thirds of surveyed organizations used the services of an outside IT firm in the past year. Of those, 37.9% used an MSP to complement an internal IT team through co-managed IT, while 27.1% relied on an MSP to fully manage their infrastructure. CompTIA also found that companies with fewer than 100 employees were more than twice as likely to outsource IT to an MSP than larger organizations.

Why are businesses adopting managed IT services?

The top driver is operational: CompTIA found that improving the efficiency and reliability of IT operations was the main reason for 56% of companies with 100 or more employees and 47% of companies with fewer than 100. Two structural pressures reinforce that choice. ISC2’s 2024 workforce study estimated a global cybersecurity workforce gap of 4.7 million professionals, and ITIC’s 2024 survey found that a single hour of downtime now costs more than $300,000 at over 90% of mid-size and large enterprises. Managed services give businesses access to expertise and around-the-clock coverage that is hard to build in-house.

Methodology and Sources

How we compiled this report

Every figure in this report traces to a named primary source: a major market-research firm, an industry analyst, or a professional association study with disclosed methodology. Where analysts disagree on market size, we present the range rather than a single number and attribute each figure to its source, because differing market definitions are the main reason the estimates vary. No statistic is drawn from a secondary blog or an unsourced aggregate, and no figures were invented or estimated by CNiC Solutions except the clearly labeled analysis box, which shows its formula and inputs.

Primary sources:

Market-size figures reflect the most recent published reports available at the time of writing and are subject to revision as firms update their models. Segment growth rates are drawn from each firm’s dedicated report for that segment. Figures are presented in U.S. dollars.

 

author avatar
David McFarlene Founder & CEO
David McFarlene is the owner and founder of CNiC Solutions, a trusted IT services and cybersecurity company serving the Houston, TX area. With over 20 years of experience in managed IT, infrastructure design, cloud solutions, and data security, David helps businesses and homeowners stay protected and productive through dependable, personalized technology support. He leads the CNiC Solutions team with a focus on reliability, transparency, and long-term relationships, ensuring clients always have a knowledgeable expert they can trust.
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