United States Managed Services Market Report by Type, Size of Enterprise, End User, Deployment, States and Company Analysis, 2026-2034

United States Managed Services Market Size and Forecast

United States Managed Services Market is expected to grow from US$ 72.67 Billion in 2025 to US$ 187.04 Billion by 2034, registering a Compound Annual Growth Rate (CAGR) of 11.08% from 2026 to 2034. Market expansion is supported by the increasing adoption of cloud computing, cybersecurity, artificial intelligence, remote infrastructure management, and digital transformation initiatives among U.S. businesses. Growing demand for cost-efficient IT operations, access to specialized technical expertise, and 24/7 network and security monitoring is encouraging enterprises to outsource selected technology functions to managed service providers

What is Managed Services and Its Uses & Popularity in the United States

Managed services refer to the practice of outsourcing the ongoing management, monitoring, maintenance, and optimization of specific business or technology functions to a specialized third-party provider, commonly known as a Managed Service Provider (MSP). In the United States, managed services are widely used for IT infrastructure management, cloud computing, cybersecurity, network monitoring, data backup, disaster recovery, application management, and technical helpdesk support.

The popularity of managed services in the U.S. is increasing as businesses seek predictable operating costs, specialized expertise, stronger cybersecurity, and scalable technology capabilities without expanding internal IT teams. MSPs provide proactive monitoring and maintenance, helping organizations identify technical problems before they cause significant disruptions.

Demand is particularly strong among small and medium-sized businesses, healthcare organizations, financial institutions, manufacturers, retailers, and government agencies. The expansion of cloud environments, remote and hybrid work, artificial intelligence, and increasingly sophisticated cyber threats is further encouraging organizations to outsource complex technology operations. Managed services therefore provide U.S. enterprises with greater operational efficiency, flexibility, security, and access to specialized technical resources.

Cyber Attack Statistics – United States

• US$16.6 billion in reported cybercrime losses in 2024: The FBI’s IC3 recorded more than 859,000 complaints and reported losses exceeding US$16.6 billion, representing a 33% increase from 2023.
• US$20.9 billion in reported losses in 2025: The FBI’s 2025 IC3 report recorded US$20.877 billion in reported losses, a 26% increase compared with 2024.
• 3,156 ransomware complaints in 2024: The FBI received 3,156 ransomware complaints in 2024, highlighting the continuing threat ransomware poses to U.S. organizations.
• US$12.4 billion in ransomware-related losses in 2024: Ransomware complaints reported to the FBI in 2024 involved adjusted losses of more than US$12.4 billion, demonstrating the financial impact of ransomware attacks.
• 30% third-party involvement in breaches: Verizon’s 2025 DBIR found that third-party involvement in breaches doubled to 30%, emphasizing growing supply-chain and vendor-related cybersecurity risks.
• 34% increase in vulnerability exploitation: Verizon reported a 34% rise in vulnerability exploitation in its 2025 DBIR, reflecting continued exploitation of unpatched and exposed systems.
• 12,195 confirmed data breaches analyzed: Verizon’s 2025 DBIR examined 22,052 security incidents, including 12,195 confirmed data breaches, providing evidence of the continuing scale of cyber threats affecting organizations.
• AI-enabled cybercrime expanded in 2025: The FBI recorded more than 22,000 AI-related cybercrime complaints in 2025, with reported losses approaching US$893 million, reflecting the growing use of AI in scams and cyber-enabled fraud.
• US$7.2 billion in cryptocurrency fraud losses in 2025: The FBI reported that cryptocurrency-related fraud generated approximately US$7.2 billion in losses in 2025, making it one of the major financial cybercrime categories.
• U.S. remained a major ransomware target in 2025: Publicly disclosed ransomware cases identified 1,536 U.S. victims in 2025, the highest country total in the cited dataset, demonstrating the country’s continued exposure to ransomware operations.

Growth Drivers of the United States Managed Services Market

Rising Cloud Adoption and IT Infrastructure Complexity

The rapid transition toward cloud computing and hybrid IT environments is a major growth driver for the United States Managed Services Market. Businesses increasingly rely on multiple cloud platforms, remote infrastructure, applications, and distributed networks, creating greater demand for specialized monitoring and management. Cloud-based services accounted for approximately 64% of the U.S. managed services market in 2025, as per Renub Research. Managed service providers help organizations integrate public, private, and hybrid cloud environments while managing performance, security, backups, and costs. The growing complexity of enterprise technology also makes maintaining large internal IT teams expensive and difficult. As a result, companies are increasingly outsourcing infrastructure management to providers with specialized expertise, automation platforms, and 24/7 monitoring capabilities. This trend is particularly important for SMEs seeking scalable technology without substantial investments in internal infrastructure.

Growing Cybersecurity Threats and Demand for Managed Security

Increasing cyberattacks, ransomware, data breaches, and regulatory requirements are encouraging U.S. organizations to strengthen outsourced security capabilities. Managed security services are among the fastest-growing areas of the market, with the segment projected to achieve a 12.13% CAGR through 2031. Businesses are increasingly using managed detection and response, security monitoring, vulnerability management, identity protection, and incident-response services to maintain continuous protection. The financial consequences of cyber incidents further support this demand. IBM reported that the average global data-breach cost reached US$4.4 million in 2025, while extensive use of AI in security generated average savings of approximately US$1.9 million per breach. Managed service providers can combine cybersecurity expertise, automated threat detection, and round-the-clock security operations, allowing organizations to improve protection without building expensive in-house security operations centers.

Shortage of Skilled IT and Cybersecurity Professionals

A shortage of specialized technology professionals is encouraging U.S. companies to rely on managed service providers for difficult-to-recruit capabilities. The increasing complexity of cloud architecture, cybersecurity, artificial intelligence, network management, and data infrastructure requires highly specialized skills that can be expensive to maintain internally. Recent industry analysis estimates approximately 450,000 unfilled cybersecurity positions in the United States in 2025, illustrating the continuing talent gap. Managed service providers address this challenge by offering access to teams of engineers, cybersecurity specialists, cloud architects, and technical support professionals through recurring service contracts. This model enables businesses to obtain specialized expertise while maintaining more predictable operating expenses. SMEs benefit particularly strongly because they may not have sufficient budgets to employ full-time specialists across multiple technology disciplines. Consequently, outsourcing provides organizations with scalable technical capabilities, continuous monitoring, faster problem resolution, and access to evolving technology expertise.

Challenges of the United States Managed Services Market

Data Security, Privacy, and Compliance Concerns

Despite strong demand, security and privacy concerns remain a significant challenge for the managed services industry. Organizations transferring infrastructure, applications, customer information, or security operations to third-party providers must carefully evaluate data protection, access controls, compliance procedures, and incident-response capabilities. The challenge is becoming more complex as businesses deploy artificial intelligence and cloud applications. IBM’s 2025 research found that 63% of organizations lacked AI governance policies, while 97% of organizations reporting an AI-related security incident lacked proper AI access controls. Managed service providers therefore need sophisticated security frameworks, continuous monitoring, encryption, identity management, and compliance expertise. U.S. companies operating in regulated industries such as healthcare, banking, and financial services face particularly strict requirements. Any security incident involving a third-party provider can result in financial losses, reputational damage, regulatory penalties, and customer distrust, making vendor selection and governance critical.

High Competition and Skilled-Labor Costs

The U.S. managed services market is highly competitive, with global technology companies, specialized MSPs, cloud providers, and regional service firms competing for customers. Providers must continually invest in automation, cybersecurity platforms, cloud expertise, artificial intelligence, and employee training to differentiate their services. At the same time, shortages of qualified professionals increase labor costs and can reduce provider margins. Industry research indicates that cloud-security architect compensation has increased substantially in recent years, while specialized skills remain difficult to recruit. Smaller MSPs may therefore struggle to match the technology investment, cybersecurity capabilities, and service coverage offered by larger providers. Customers also increasingly expect 24/7 support, rapid incident response, measurable service-level agreements, and competitive pricing. Consequently, providers must balance service quality with cost efficiency, often requiring significant investment in AI-driven automation and standardized service-delivery platforms.

Managed Services Product Launches in the USA

• Kaseya 365 Endpoint – 2024: Kaseya launched Kaseya 365 at Kaseya Connect Global 2024, combining endpoint management, security, backup, and automation under a single subscription designed for managed service providers.
• Kaseya 365 User – 2024: Kaseya introduced Kaseya 365 User in October 2024, providing MSPs with capabilities for identity protection, security management, threat prevention, and recovery.
• TPx Expanded Network Management – 2024: TPx announced an expanded network-management offering focused on business continuity, cybersecurity, performance, and management of LAN and cloud-connected environments.
• Vertikal6 elevate™ Foundations – 2025: Vertikal6 launched elevate™ Foundations in March 2025 as a new managed IT service offering combining layered security, technology management, and strategic IT support.
• Harbor IT Cyber-First Managed Services – 2025: Harbor IT officially launched in April 2025 as a cyber-focused managed IT provider for small and midsized businesses, supported by a U.S.-based 24/7/365 security operations center.
• Coastal Waves for AI – 2025: Coastal launched Waves for AI in June 2025, a managed service designed to help organizations implement and scale Salesforce Agentforce and DataOps initiatives across AI and data environments.
• TENEX AI-Enabled MDR – 2025: TENEX.AI launched in January 2025 with an AI-native managed detection and response service combining artificial intelligence, automation, and human security expertise.
• CloudIBN 24×7 SOC Services – 2025: CloudIBN introduced advanced 24×7 SOC services in the U.S. in June 2025, providing continuous threat detection, rapid response, and security visibility across cloud, on-premises, and hybrid environments.
• LevelBlue Managed Security Services – 2025: LevelBlue announced four managed security offerings for MSPs, including managed threat detection and response, incident-response retainers, vulnerability management, and managed endpoint security.
• Mission & CDW AWS Managed Solutions – 2025: Mission and CDW launched six integrated solutions through AWS Marketplace, combining cloud security, governance, operations, and expert managed services for U.S. customers.

Supporting Hybrid and Multi-Cloud Infrastructure in USA

Managed data center services are becoming increasingly important as U.S. businesses adopt hybrid and multi-cloud IT environments. Organizations are outsourcing server management, data storage, backup, disaster recovery, network operations, and security to specialized managed service providers (MSPs). This approach enables companies to simplify IT operations, improve system reliability, and focus internal resources on core business activities. The growing use of colocation facilities and edge computing is further increasing demand for professional data center management. Businesses require flexible infrastructure that can support changing workloads, maintain business continuity, and meet security and compliance requirements. Managed service providers help organizations operate distributed IT environments while providing ongoing monitoring, maintenance, and technical support.

United States Large Enterprise Managed Services Market

Large U.S. enterprises are major users of managed services because of their extensive and complex technology infrastructure. These organizations increasingly rely on MSPs to manage cloud platforms, enterprise networks, cybersecurity, applications, data environments, and IT operations across multiple locations. Large companies also seek managed services to improve operational efficiency, strengthen security, and gain access to specialized technical expertise without expanding internal teams significantly. Automation, AI-enabled monitoring, and proactive maintenance are increasingly incorporated into managed service models. Enterprises generally prefer experienced providers capable of delivering integrated, end-to-end solutions across their technology environments.

United States Healthcare Managed Services Market

The U.S. healthcare sector is increasingly adopting managed services to improve IT efficiency, data security, and regulatory compliance. Managed service providers support healthcare organizations with electronic health record (EHR) environments, cloud infrastructure, network management, data storage, and technical support. Cybersecurity is a particularly important application because healthcare organizations manage highly sensitive patient and medical information. Managed security services help monitor networks, identify potential threats, and strengthen data protection. Outsourcing IT management also allows hospitals, clinics, and other healthcare providers to reduce pressure on internal technology teams and focus more attention on patient services. The expansion of telemedicine and digitally connected healthcare systems is creating additional requirements for reliable connectivity, secure data management, and continuously available IT infrastructure. MSPs can provide ongoing monitoring and technical assistance to support these increasingly digital healthcare operations.

United States Retail Managed Services Market

Managed services are increasingly used by U.S. retailers to manage point-of-sale (POS) systems, e-commerce platforms, inventory systems, supply-chain technologies, and enterprise networks. As retailers connect physical stores with digital channels, reliable and integrated IT infrastructure becomes essential for delivering consistent customer experiences. Retailers also use managed services to improve cybersecurity, analyze customer information, and support personalized digital experiences. Managed providers can monitor systems, maintain infrastructure, and address technical issues while allowing retail companies to concentrate on merchandising, sales, and customer engagement. The continued shift toward online shopping, mobile commerce, cloud-based retail systems, and connected stores is encouraging broader adoption of managed services. Cybersecurity and payment-system protection remain important priorities, making managed security and infrastructure support valuable components of modern retail operations.

United States Cloud Managed Services Market

Cloud managed services are becoming an important component of U.S. enterprise IT strategies as businesses increasingly operate across hybrid and multi-cloud environments. MSPs help organizations manage cloud infrastructure, applications, workloads, security, and performance while reducing the complexity associated with internally managing multiple platforms. Common services include cloud migration, infrastructure management, monitoring, performance optimization, backup, disaster recovery, and security management. Businesses can use these services to improve scalability and operational flexibility while maintaining greater control over their technology environments. The growing sophistication of cloud environments is encouraging companies to work with providers experienced in platforms such as AWS, Microsoft Azure, and Google Cloud. Outsourcing cloud management enables organizations to access specialized skills and technical support while allowing internal teams to focus on strategic business priorities.

California Managed Services Market

California is a prominent market for managed services, supported by its strong concentration of technology companies, startups, established enterprises, and digitally focused businesses. Organizations increasingly engage managed service providers (MSPs) to manage IT infrastructure, cloud platforms, cybersecurity, networks, and business applications. The state’s technology-oriented business environment encourages companies to adopt flexible and specialized IT solutions while reducing the burden on internal technology teams. Businesses across California are also increasingly interested in cloud optimization, AI-enabled monitoring, data analytics, and managed cybersecurity solutions. Technology companies and healthcare organizations place particular emphasis on data protection, regulatory compliance, and operational resilience. The continued development of Silicon Valley and other innovation centers supports early adoption of advanced managed services, positioning California as an important regional market in the United States.

New York Managed Services Market

New York represents another important managed services market, supported by its large financial, healthcare, media, retail, and professional services sectors. Financial institutions and other regulated organizations require reliable IT infrastructure, cybersecurity, data management, and compliance support. MSPs help businesses maintain secure and resilient technology environments while reducing the operational demands associated with managing complex IT systems internally. The state’s highly connected business environment is encouraging greater adoption of cloud management, network monitoring, disaster recovery, and security services. Companies increasingly outsource selected IT functions to gain specialized expertise and allow internal teams to focus on innovation and business growth. The combination of financial services, healthcare, retail, and technology creates a diversified customer base for managed service providers across New York.

Washington Managed Services Market

Washington is an important regional market for managed services, supported by its strong technology ecosystem, cloud-related businesses, and advanced industrial activities. Organizations increasingly require managed cloud infrastructure, cybersecurity, network management, data protection, and application support to operate increasingly complex technology environments. Businesses across the state are adopting MSP solutions to manage hybrid cloud environments, improve system reliability, and strengthen protection against cyber threats. Managed providers also support organizations with infrastructure monitoring, backup, disaster recovery, and technical assistance. Growing healthcare, retail, manufacturing, and technology activities further expand the potential customer base. Washington’s innovation-focused business environment and increasing reliance on digital technologies are expected to sustain demand for comprehensive managed services.

Market Segmentation

Type

• Managed Data Center
• Managed Security
• Managed Communications
• Managed Network
• Managed Infrastructure
• Managed Mobility

Size of Enterprise

• Small & Medium Size
• Large Enterprise

End-User

• BFSI
• IT and Telecommunication
• Healthcare
• Entertainment and Media
• Retail
• Manufacturing
• Government
• Others

Deployment

• On-premise
• Cloud

States

• California
• Texas
• New York
• Florida
• Illinois
• Pennsylvania
• Ohio
• Georgia
• New Jersey
• Washington
• North Carolina
• Massachusetts
• Virginia
• Michigan
• Maryland
• Colorado
• Tennessee
• Indiana
• Arizona
• Minnesota
• Wisconsin
• Missouri
• Connecticut
• South Carolina
• Oregon
• Louisiana
• Alabama
• Kentucky
• Rest of United States

All Key Players have been covered with 5 Viewpoints

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

Key Players Analysis

1. Fujitsu Ltd
2. Cisco Systems Inc.
3. IBM Corporation
4. AT&T Inc.
5. Microsoft Corporation
6. Verizon Communications Inc.
7. Dell Technologies Inc.
8. Nokia Solutions and Networks
9. Rackspace Inc.
10. Tata Consultancy Services Limited

Report Details: