Managed Network Services Market - Global Industry Size, Share, Trends, Opportunity, and Forecast Segmented By Type (Managed LAN, Managed WAN, Managed Wi-Fi and Others), By Organization Size (Small & Medium Enterprises (SMEs) and Large Enterprises), By End User (BFSI, IT & Telecom, Retail, Manufacturing, Education and Others), By Region, and By Competition, 2020-2030F

Market Overview

The Global Managed Network Services Market, valued at USD 64.90 Billion in 2024, is projected to experience a CAGR of 14.10% to reach USD 143.21 Billion by 2030. Managed Network Services (MNS) entail the outsourcing of network infrastructure management, monitoring, and optimization to a third-party provider, encompassing aspects from foundational connectivity to advanced security and cloud integration. The market's expansion is fundamentally propelled by the escalating complexity of IT environments, the critical imperative for robust cybersecurity defenses, the widespread pursuit of digital transformation initiatives, and the strategic objective of achieving enhanced operational efficiencies and cost reduction.

A significant impediment to market growth is the prevalent concern surrounding data privacy and adherence to stringent regulatory compliance when entrusting sensitive network operations to external entities. Addressing a key market driver, according to Verizon in September 2024, nearly six of ten Chief Information Officers indicated an internal deficit in the requisite skills and personnel to effectively manage their evolving network demands.

Key Market Drivers

The Global Managed Network Services Market is experiencing robust expansion driven by enterprises seeking to optimize their network operations and strategically leverage external expertise. This trend is evident in the increasing adoption of cloud-centric platforms that underpin managed services. According to Hewlett Packard Enterprise, in February 2024, their HPE GreenLake platform achieved an annual revenue run rate exceeding $775 million, serving over 1,200 business customers. This highlights a broader industry shift towards comprehensive, outsourced network management solutions that deliver enhanced agility and operational efficiency across diverse IT environments.

A primary catalyst for managed network services adoption is the escalating complexity of enterprise IT infrastructure and the pervasive challenges associated with its management. Modern networks contend with multi-cloud environments, distributed workforces, and the proliferation of IoT devices, creating intricate systems that demand specialized oversight. According to Cybersecurity Insiders and HPE Aruba Networking, in November 2024, their 2024 Security Service Edge Adoption Report revealed that 73% of organizations utilize three or more distinct security solutions, representing a 10% increase from the previous year. Such fragmentation necessitates sophisticated management capabilities that often exceed internal IT teams' capacities. Concurrently, the scarcity of skilled network IT professionals critically impedes organizations from effectively addressing these complexities. This talent deficit encompasses both technical proficiencies for advanced network architectures and cybersecurity expertise to combat evolving threats. According to ISACA, in October 2024, their State of Cybersecurity 2024 report indicated that 61% of European IT security teams considered their teams understaffed, with 48% reporting unfilled vacancies in experienced roles. This ongoing struggle to recruit and retain qualified personnel forces organizations to outsource network functions, ensuring continuous operation, security, and strategic alignment with digital transformation objectives.

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Key Market Challenges

The prevalent concern surrounding data privacy and adherence to stringent regulatory compliance presents a significant impediment to the growth of the Global Managed Network Services Market. Organizations are increasingly hesitant to outsource sensitive network operations to external providers due to the substantial risks of data breaches, potential penalties for non-compliance, and perceived loss of control over critical information. This apprehension leads many businesses to retain network management internally, even amidst increasing IT environment complexities, thus limiting the expansion opportunities for managed services providers.

The intricate and continually evolving landscape of global data protection regulations further compounds this challenge. Companies grapple with the complexities of ensuring continuous adherence across multiple jurisdictions, making them wary of entrusting their network infrastructure to a third party. This fosters a cautious approach to engaging external entities for network management. According to the International Association of Privacy Professionals, in 2024, only 20% of privacy professionals expressed complete confidence in their organization's compliance with privacy laws. Such pervasive uncertainty regarding compliance capabilities directly curtails enterprise willingness to adopt Managed Network Services.

Key Market Trends

The Global Managed Network Services Market is significantly influenced by the accelerating adoption of AI-driven network automation. Enterprises are increasingly leveraging artificial intelligence to streamline complex network operations, enhance efficiency, and minimize human intervention. This trend is crucial for managing modern networks, which demand real-time adaptability and error reduction. According to AIIM, in December 2024, only 3% of organizations reported achieving advanced automation through Robotic Process Automation and Artificial Intelligence/Machine Learning technologies within their teams or departments, indicating substantial room for growth in this area. The deployment of such solutions promises tangible operational benefits, with Nokia announcing in September 2024, that its AI-era Event-Driven Automation platform could decrease operational effort by up to 40% in data center network operations.

Another impactful trend reshaping the managed network services landscape is the pronounced focus on sustainability in network operations. As environmental concerns escalate, businesses are prioritizing energy-efficient and ecologically responsible network management practices. This includes optimizing network infrastructure for lower power consumption and integrating renewable energy sources. According to the GSMA's Mobile Net Zero Report 2025, as of April 2025, 81 operators representing 47% of global mobile connections have set or committed to near-term science-based environmental targets. Collaborative efforts between technology providers and network operators are driving substantial improvements, exemplified by the partnership between Three UK and Ericsson, which, as of June 2024, achieved an improvement of network energy efficiency of up to 70% at selected sites.

Segmental Insights

The Small & Medium Enterprises (SMEs) segment is rapidly expanding within the Global Managed Network Services Market. This growth is primarily driven by SMEs' need to overcome challenges related to limited internal IT resources and specialized expertise, making outsourced network management a strategic solution. Managed network services offer cost-effectiveness and predictable expenditure, enabling SMEs to access advanced network capabilities and robust cybersecurity measures without significant capital investment or the overhead of an in-house IT department. By leveraging these services, SMEs can enhance their network's reliability and security, comply with industry standards, and redirect their focus towards core business objectives, thereby supporting their digital transformation initiatives and overall operational efficiency.

Regional Insights

Asia Pacific is a strategically significant region in the Global Managed Network Services Market, primarily driven by extensive digital transformation initiatives. The rapid adoption of cloud computing and the widespread proliferation of IoT devices across diverse industries fuel a substantial demand for managed network solutions. Additionally, increasing internet penetration, the ongoing expansion of 5G infrastructure, and the growing need for robust, secure, and scalable network services among both large enterprises and small and medium-sized businesses contribute significantly to the region's strong market position. Government support for digital technologies further enhances this trajectory, positioning Asia Pacific as a key influencer in market evolution.

Recent Developments

• In April 2025, breakthrough research was achieved by Deutsche Telekom Innovation Laboratories (T-Labs) in collaboration with the quantum networking company Qunnect. Researchers successfully demonstrated the sustained, high-fidelity transmission of entangled photons over 30 kilometers of commercially deployed fiber for 17 days. This advancement represented a significant step towards realizing a quantum internet, showcasing a 99% fidelity rate even with dynamic environmental conditions. The field experiment, conducted on a fiber-optic test track in Berlin, highlighted how existing telecommunications infrastructure could support future quantum technologies.

• In April 2025, Bell announced a collaboration with Fortinet, integrating Fortinet's Secure SD-WAN technology into its managed SD-WAN-as-a-Service offering. This new managed service was designed to enhance security and network performance for Canadian businesses. The partnership underscored a shared objective between Bell and Fortinet to enable secure connectivity for organizations with distributed employees and hybrid work models. The managed SD-WAN solution aimed to provide Canadian businesses with an improved user experience, a stronger security posture, increased uptime, simplified management, and greater scalability.

• In January 2025, e& Egypt and Ericsson announced the extension of their managed services and customer support partnership for an additional five years. This collaboration aimed to bolster customer-centricity, operational efficiency, and Artificial Intelligence (AI) integration within e& Egypt's network infrastructure. Ericsson retained responsibility for network operations and customer support, leveraging its advanced network optimization and AI capabilities to enhance service quality, improve user experiences, and increase scalability for future network growth. The partnership also focused on preparing for the launch of 5G in Egypt.

• In February 2024, Verizon Business introduced Network as a Service (NaaS) Cloud Management, a new offering designed to streamline the oversight of application components and network architecture across diverse cloud environments. This solution enables businesses to manage public, private, and hybrid cloud infrastructures through a unified online portal. It significantly simplified multi-cloud management as an integral part of Verizon Business's flexible NaaS model, addressing challenges such as workload connectivity and standardized security practices across varied cloud setups. The service aimed to provide quicker application connections and enhanced visibility into network performance.

Key Market Players

• Cisco Systems Inc.
• Tata Communications Limited
• AT&T Inc.
• Telefonaktiebolaget LM Ericsson
• BT Group PLC
• Verizon Communications Inc.
• IBM Corporation
• Hughes Network Systems, LLC
• T-Systems International GmbH
• Wipro Limited

Report Scope:

In this report, the Global Managed Network Services Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Managed Network Services Market, By Type:

o   Managed LAN

o   Managed WAN

o   Managed Wi-Fi

o   Others

• Managed Network Services Market, By Organization Size:

o   Small & Medium Enterprises (SMEs)

o   Large Enterprises

• Managed Network Services Market, By End User:

o   BFSI

o   IT & Telecom

o   Retail

o   Manufacturing

o   Education

o   Others

• Managed Network Services Market, By Region:

o   North America

§  United States

§  Canada

§  Mexico

o   Europe

§  France

§  United Kingdom

§  Italy

§  Germany

§  Spain

o   Asia Pacific

§  China

§  India

§  Japan

§  Australia

§  South Korea

o   South America

§  Brazil

§  Argentina

§  Colombia

o   Middle East & Africa

§  South Africa

§  Saudi Arabia

§  UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Global Managed Network Services Market.

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Global Managed Network Services Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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