ATM Managed Services Market Report by Service Type, ATM Locations, Countries and Companies Analysis 2026-2034

Managed Services Market Size and Forecast

Managed Services Market is projected to grow from US$ 323.73 billion in 2025 to US$ 676.29 billion by 2034, registering a CAGR of 8.53% during 2026–2034. The market is witnessing strong growth as businesses increasingly seek scalable, cost-effective, and flexible technology solutions. In addition, the rising complexity of IT infrastructure, growing dependence on digital technologies, increasing cybersecurity requirements, and expanding adoption of IT outsourcing are encouraging organizations to partner with managed service providers for efficient technology management and operational support.

What are Managed Services and Their Uses & Popularity Worldwide

Managed services refer to the practice of outsourcing the ongoing management, monitoring, maintenance, and support of IT infrastructure, applications, networks, cybersecurity, cloud platforms, and other technology functions to specialized third-party providers known as Managed Service Providers (MSPs). Instead of handling every technology function internally, organizations use MSPs to obtain continuous expertise, proactive monitoring, technical support, security management, backup, disaster recovery, and infrastructure optimization through recurring service models.

Managed services are widely used by small and medium-sized enterprises as well as large corporations to reduce operating costs, improve system availability, access specialized skills, and focus internal employees on strategic activities. Their popularity is increasing worldwide as businesses accelerate digital transformation and adopt increasingly complex hybrid and multicloud environments. Managed security, cloud management, network services, and IT infrastructure support are therefore becoming essential components of modern enterprise operations.

Data Center Launches Worldwide

• Equinix MB3 – Mumbai, India (2026): Equinix opened its fourth Mumbai International Business Exchange (IBX) data center, MB3, in April 2026. The facility received an initial investment of more than US$95 million, provides over 1,370 cabinets, and is designed to scale beyond 5,475 cabinets.
• Equinix SV18 – Silicon Valley, USA (2026): Equinix opened SV18 in Silicon Valley in Q2 2026 as a new data center supporting increasing demand for cloud connectivity, digital infrastructure, and AI workloads.
• Equinix MD5 – Madrid, Spain (2026): Equinix opened its MD5 data center in Madrid during Q2 2026, expanding interconnected infrastructure in Spain and supporting growing cloud, enterprise, and AI requirements.
• Microsoft Fairwater – Wisconsin, USA (2025–2026): Microsoft introduced its Fairwater AI data center infrastructure in Wisconsin as a purpose-built facility for large-scale AI workloads. The system incorporates advanced infrastructure designed to support hundreds of thousands of AI chips and high-density computing.
• Equinix PA13x – Paris, France (2025): Equinix inaugurated its PA13x data center in Meudon in February 2025. The facility represented an investment of approximately €350 million and expanded Equinix’s infrastructure supporting France’s digital economy and AI growth.
• Equinix Chennai – India (2025): Equinix opened its first AI-ready data center in Chennai in September 2025, strengthening India’s digital infrastructure ecosystem and supporting AI and high-performance computing requirements.
• OpenAI Stargate – Abilene, USA (2025–2026): The Stargate AI infrastructure project in Abilene, Texas began receiving power in 2025 and progressed toward large-scale operational capacity in 2026. The project represents a major AI data-center development designed to support advanced computing workloads.
• xAI Colossus 2 – Memphis, USA (2026): xAI’s Colossus 2 represents a major AI data-center expansion in Memphis. The facility reached substantial power capacity in 2026, highlighting the rapid deployment of infrastructure dedicated to AI training and inference.
• Mistral Compute / Eclairion AI Cluster – France (2026): Mistral Compute and its partners developed an AI-focused computing facility at Bruyères-le-Châtel, France. The facility has been reported at approximately 40 MW and is designed to support production AI workloads and high-performance computing.
• Digital Realty Cyberjaya – Malaysia (2026): Digital Realty’s Cyberjaya facility became operational as part of Malaysia’s expanding data-center ecosystem. The facility is reported at approximately 14 MW, supporting cloud and digital infrastructure requirements in Southeast Asia.

Growth Drivers of the Managed Services Market

Rising Adoption of Cloud, Hybrid and Multicloud Infrastructure

The rapid adoption of cloud computing is a major growth driver for the managed services market because organizations increasingly require external expertise to manage complex cloud environments. Businesses are moving workloads between public, private, hybrid, and multicloud platforms to improve flexibility, scalability, and cost efficiency. As cloud architectures become more distributed, companies require continuous monitoring, migration support, performance optimization, data management, backup, and security. Managed service providers offer specialized teams and automated platforms capable of managing these environments around the clock. The growing use of SaaS, IaaS, PaaS, edge computing, and cloud-native applications further increases operational complexity. Consequently, organizations increasingly outsource cloud operations to MSPs to reduce infrastructure-management burdens, control costs, improve availability, and accelerate digital transformation.

Increasing Cybersecurity Threats and Demand for Managed Security

Growing cyberattacks, ransomware, phishing, data breaches, and increasingly sophisticated AI-enabled threats are encouraging organizations to adopt managed security services. Many businesses, particularly SMEs, lack sufficient internal cybersecurity specialists and security infrastructure to continuously monitor threats. Managed service providers and managed security service providers (MSSPs) address this gap through 24/7 monitoring, threat detection, incident response, vulnerability management, endpoint protection, identity management, and compliance support. IBM reported that the global average cost of a data breach reached US$4.99 million in 2026, while one in four malicious breaches were AI-enabled and AI-enabled breaches cost an average of US$6 million. The increasing financial impact of cyber incidents makes proactive security outsourcing more attractive. Managed security also allows companies to gain access to specialized cybersecurity expertise without building large internal teams. As organizations adopt cloud applications, remote work, connected devices, and AI technologies, the attack surface continues to expand, supporting sustained demand for outsourced cybersecurity monitoring and protection.

Growing Need for Cost Optimization and Specialized IT Expertise

The need to control technology costs while maintaining reliable IT operations is another important driver of managed services adoption. Businesses increasingly prefer predictable subscription-based or recurring service models rather than making large investments in internal infrastructure, specialized personnel, monitoring platforms, and cybersecurity tools. MSPs enable organizations to access technical specialists, automation, monitoring systems, and advanced technologies without maintaining equivalent resources internally. This is particularly valuable for SMEs that may struggle to recruit and retain specialists in cloud computing, cybersecurity, artificial intelligence, networking, and data management. A 2025 UK government-commissioned study of managed service providers found that 64% of surveyed MSPs offered cloud computing services, while 37% offered managed security services and 47% offered IT consulting. These figures demonstrate the expanding range of capabilities available through external providers. As IT environments become more complex, outsourcing allows enterprises to obtain specialized expertise, improve operational efficiency, increase system uptime, and concentrate internal resources on core business objectives.

Challenges of the Managed Services Market

Cybersecurity, Data Privacy and Compliance Risks

Although cybersecurity is a major growth opportunity for managed services, it also represents a significant challenge. Organizations entrust MSPs with sensitive business information, infrastructure access, applications, and sometimes customer data. A security weakness at an MSP can therefore expose multiple customers simultaneously, creating substantial operational, financial, and reputational risks. The growing use of AI further complicates the security environment. IBM’s 2025 research found that 63% of organizations globally lacked AI governance policies, while 97% of organizations reporting an AI-related security incident lacked proper AI access controls. Managed service providers must therefore continuously strengthen identity and access management, encryption, security monitoring, vulnerability management, incident response, and compliance controls. Different countries and industries also impose varying data-protection and cybersecurity requirements, increasing compliance complexity for providers serving multinational customers. Maintaining customer trust requires transparent security practices, strong contractual controls, regular audits, and rapid incident-response capabilities. Failure to meet these expectations can result in financial penalties, customer losses, and damage to the MSP’s reputation.

Shortage of Skilled Professionals and Integration Complexity

A shortage of qualified technology professionals can constrain the expansion and service quality of managed service providers. Modern managed services increasingly require expertise across cloud platforms, cybersecurity, AI, automation, networking, data analytics, compliance, and hybrid infrastructure. Competition for these specialists can increase salaries and recruitment costs while making it difficult for MSPs to scale delivery teams. The challenge is particularly significant as customers expect 24/7 monitoring and rapid resolution of technical issues. Integration complexity is another obstacle because customers often operate legacy systems alongside cloud applications, multiple vendors, and different technology platforms. Managed service providers must integrate these environments without disrupting business operations. Recent reporting on India’s technology talent market highlights the problem: nearly 50% of critical roles at Global Capability Centres take more than 60 days to fill, while only 42.6% of graduates meet employability standards. MSPs therefore need continuous employee training, automation, standardized processes, and strategic partnerships to overcome talent shortages and deliver consistent service quality.

Managed Services Launches Worldwide

• PwC – Unified Detection and Response Managed Security Service (2026): PwC launched a managed security service powered by Google Security Operations, combining threat detection and response, vulnerability management, incident response, and penetration testing with AI-enabled and automated workflows.
• LTM – Managed Secure Service Edge (SSE) Solution with Cisco (2026): LTM introduced a Cisco-powered managed SSE offering designed for cloud-first and hybrid-work environments, supporting zero-trust access and secure enterprise use of generative AI applications.
• LevelBlue & Fortra – Managed Security Services Partnership (2026): LevelBlue and Fortra launched a strategic managed-services partnership integrating Fortra’s cybersecurity capabilities with LevelBlue’s managed security expertise, strengthening managed detection and response services.
• HCLTech & Cisco – Managed SSE Solution (2025): HCLTech launched a managed Secure Service Edge solution with Cisco, combining cloud security, secure access, AI assistance, and managed services to protect remote and hybrid enterprise environments.
• Tech Mahindra & Cisco – Managed Multicloud Security Services (2025): Tech Mahindra introduced managed services for Cisco Multicloud Defense, providing enterprises with centralized protection across public and private cloud environments and helping secure multi-cloud operations.
• NTT – Private 5G Security Service (2025): NTT launched a managed security service for private 5G and operational-technology environments, integrating next-generation firewall protection and machine-learning-based threat detection.
• IBM – QRadar Investigation Assistant (2025): IBM launched an AI-powered QRadar Investigation Assistant designed to support managed security operations by automating security-event summaries, reducing investigation workloads, and providing actionable recommendations.
• IBM – Autonomous Threat Operations Machine (2025): IBM expanded its managed detection and response capabilities with an autonomous, multi-agent AI framework designed to triage, investigate, and remediate cybersecurity threats more efficiently.
• Kaseya – Kaseya 365 (2024): Kaseya launched Kaseya 365, a subscription-based managed-services offering that enables MSPs to manage, secure, back up, and automate customer environments through an integrated platform.
• Lansweeper – New MSP Services and Multi-Site Portal (2024): Lansweeper introduced new services and tools for managed service providers, including a pay-as-you-go model, expanded MSP support, and a multi-site portal for unified management of multiple customer environments.

Growing Demand for Outsourced Data Center Infrastructure

The managed data center services market is expanding as enterprises increasingly outsource the management, monitoring, security, storage, networking, and maintenance of complex data center environments. Organizations are adopting managed services to reduce capital expenditure, improve uptime, strengthen security, and gain access to specialized technical expertise. AI workloads, edge computing, hybrid cloud adoption, and increasing data volumes are further raising infrastructure-management requirements. Managed providers also help businesses address power constraints, disaster recovery, compliance, and infrastructure optimization. As companies prioritize scalable digital infrastructure without investing heavily in internal data center teams, demand for managed hosting, colocation, security, backup, and network management is expected to remain strong.

Enterprise Complexity Accelerates Managed Services Adoption

Large enterprises represent a major segment of the managed services market because multinational organizations operate complex IT environments across multiple locations, applications, networks, cloud platforms, and data centers.These organizations increasingly use managed services for infrastructure management, cybersecurity, cloud operations, network monitoring, backup and disaster recovery, and application support. The growing adoption of hybrid and multicloud environments is particularly important because enterprises must coordinate workloads across on-premises systems and multiple cloud providers. Managed service providers offer centralized monitoring, automation, specialized engineering teams, and 24/7 operational support. Large organizations also benefit from predictable operating costs and faster access to emerging technologies. As digital transformation becomes increasingly integrated with AI, IoT, analytics, and automation, enterprise IT environments are becoming more difficult to manage internally, strengthening the role of external managed service providers.

Digital Healthcare Infrastructure Drives Demand

Healthcare is emerging as an important and rapidly expanding end-use segment of managed services as hospitals, clinics, laboratories, and healthcare networks increasingly depend on digital infrastructure. Healthcare organizations are adopting managed services to support electronic health records, telemedicine, connected medical devices, cloud applications, cybersecurity, data backup, and interoperability between hospitals and laboratories. The growing use of AI-driven diagnostics and data-intensive healthcare applications is also increasing requirements for reliable computing, storage, and network infrastructure. Managed providers can help healthcare organizations maintain system availability while addressing security, privacy, regulatory, and disaster-recovery requirements. Hospitals are also under pressure to control technology costs while improving patient services, creating greater interest in outsourced IT operations. As healthcare systems become increasingly digital and interconnected, managed infrastructure, cloud, security, and data services are expected to become essential components of modern healthcare technology operations.

Hybrid and Multicloud Adoption Strengthens Market Opportunities

Cloud managed services are gaining popularity as organizations increasingly operate workloads across public cloud, private cloud, hybrid cloud, and multicloud environments. Managed providers help enterprises with cloud migration, infrastructure monitoring, workload optimization, security, backup, disaster recovery, cost management, and application performance. Organizations are turning to managed cloud specialists because internal teams may lack the expertise required to manage increasingly complex environments involving multiple cloud platforms and legacy systems. Cloud managed services also provide scalable resources without requiring enterprises to make extensive investments in physical infrastructure. Growing AI workloads, remote work, SaaS adoption, data analytics, and digital transformation are further increasing cloud requirements. Consequently, cloud managed services are becoming a strategic solution for organizations seeking flexibility, security, performance, and predictable IT operations.

Rising Cybersecurity Threats Accelerate Managed Services Adoption in United States

United States managed services market is expanding rapidly as enterprises accelerate digital transformation, cloud migration, cybersecurity investments, and IT modernization. Organizations across banking, healthcare, retail, manufacturing, telecommunications, and government are increasingly outsourcing infrastructure management, cloud operations, cybersecurity, network monitoring, and technical support to specialized managed service providers (MSPs). Cybersecurity is a particularly important growth catalyst. Check Point Research reported that U.S. organizations experienced an average of approximately 1,300 cyberattacks per organization per week in 2024, representing a 56% year-over-year increase. Healthcare attacks increased 110% to 2,170 per week, while utilities recorded a 234% increase to 1,339 attacks weekly. These escalating threats are encouraging businesses to adopt 24/7 monitoring, threat detection, endpoint protection, and incident-response services. In addition, hybrid work, multi-cloud environments, artificial intelligence, automation, and regulatory requirements are increasing IT complexity. Consequently, U.S. enterprises are relying on managed services to improve security, scalability, business continuity, and technology efficiency.

Cloud Migration and Compliance Strengthen Demand for Managed IT Services in UK

United Kingdom managed services market is benefiting from continued enterprise digitalization, cloud migration, cybersecurity requirements, and growing demand for outsourced technology management. Financial services, healthcare, retail, manufacturing, telecommunications, and government organizations are increasingly adopting managed cloud, network, endpoint, data-center, and cybersecurity services to control costs while maintaining reliable IT operations. The increasing complexity of hybrid and multi-cloud environments is encouraging organizations to work with MSPs capable of providing continuous monitoring and technical support. Cybersecurity is another major growth factor as businesses face ransomware, phishing, data breaches, and regulatory obligations. Managed service providers are increasingly integrating artificial intelligence, automation, predictive analytics, and remote monitoring into their offerings. The expansion of subscription-based IT models also allows companies to access advanced infrastructure without significant upfront investment. With organizations emphasizing operational resilience, regulatory compliance, and digital transformation, demand for managed services is expected to remain strong across the United Kingdom, particularly among enterprises seeking scalable and secure technology infrastructure.

Digital Transformation and Cybersecurity Drive Rapid India Market Expansion

India managed services market is expanding rapidly as businesses accelerate cloud adoption, digital transformation, cybersecurity modernization, and IT outsourcing. Banking, telecommunications, healthcare, manufacturing, e-commerce, and technology companies are increasingly using MSPs for cloud infrastructure, cybersecurity, network management, data centers, and technical support. India’s established IT services ecosystem and large technology workforce provide a strong foundation for managed-service delivery to both domestic and international customers. The growing startup ecosystem and digital adoption in tier-two and tier-three cities are further expanding the addressable customer base. In addition, businesses are seeking managed services to reduce capital expenditure and obtain advanced technology without maintaining large internal IT teams. AI-enabled security, automation, predictive monitoring, and remote infrastructure management are becoming important service capabilities. In November 2025, Concentrix expanded its collaboration with Palo Alto Networks in India to strengthen AI-powered managed security services through Concentrix CyberProtect. The continued shift toward hybrid work, cloud platforms, and proactive cybersecurity is expected to sustain strong demand for scalable managed IT solutions across Indian industries.

Smart-City Investments and Cloud Infrastructure Support UAE Market Growth

United Arab Emirates managed services market is witnessing steady expansion, supported by investments in cloud computing, data centers, cybersecurity, smart cities, and digital government infrastructure. Organizations across banking, government, healthcare, energy, retail, and telecommunications are increasingly outsourcing IT infrastructure management, cloud operations, cybersecurity, and network monitoring to specialized service providers. The UAE’s emphasis on digital transformation and advanced technologies such as artificial intelligence, automation, Internet of Things, and data analytics is creating additional demand for managed technology services. Government-led smart-city programs and digital public-service initiatives are also increasing the need for secure and continuously available IT infrastructure. At the same time, rising cyber risks and data-protection requirements are encouraging organizations to adopt managed security services with 24/7 monitoring and incident response. Expansion of cloud infrastructure and enterprise data centers is further supporting market opportunities. As UAE businesses prioritize scalability, operational efficiency, cybersecurity, and digital resilience, managed service providers are expected to play an increasingly important role in supporting the country’s technology-driven economic development.

Market Segmentations

Service Type

• ATM Replenishment and Currency Management
• Incident Management
• Network Management
• Security Management
• Other Service Types

ATM Locations

• Offsite ATMs
• Onsite ATMs
• Mobile ATMs
• Worksite ATMs

Countries

North America

• United States
• Canada

Europe

• France
• Germany
• Italy
• Spain
• United Kingdom
• Belgium
• Netherlands
• Turkey

Asia Pacific

• China
• Japan
• India
• Australia
• South Korea
• Thailand
• Malaysia
• Indonesia
• New Zealand

Latin America

• Brazil
• Mexico
• Argentina

Middle East & Africa

• South Africa
• Saudi Arabia
• United Arab Emirates

All the Key players have been covered with 5 Viewpoints

• Overviews
• Key Person
• Recent Developments
• SWOT Analysis
• Revenue Analysis

Key Players Analysis

• NCR Atleos
• Diebold Nixdorf, Inc.
• Euronet Worldwide, Inc.
• Fiserv, Inc.
• AGS Transact Technologies Ltd.
• Brink’s Incorporated
• Hitachi, Ltd.
• CMS Info Systems Limited

Report Details: