/Rising Investments in the Quantum Computing Field Fuel Adoption of Managed Network Services Through 2028 – KSU (via Qpute.com)
segmentation managed network services market 1

Rising Investments in the Quantum Computing Field Fuel Adoption of Managed Network Services Through 2028 – KSU (via Qpute.com)


Increasing need for significant operational cost reductions, growing adoption of business analytics and cloud coupled with rising complexities in operations across several end use industries continue to influence demand for managed network services. The adoption of managed network services is also being influenced with a number of industry-specific factors including but not limited to growing need for high efficiency in business processes and customer satisfaction. Fact.MR envisages that the demand for managed network services is projected to expand at a stellar pace growing at a value CAGR in the range of 8% to 9% throughout the period of forecast, 2018-2028. The sales of managed network services during the said timeline are expected to surpass US$ 120 Bn by end of 2028, says Fact.MR report.

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Adoption of managed network services is likely to spur during the forecast period on back of their application in Big Data analytics to hybrid cloud and from e-commerce to hosting, as these services offer efficient functioning of networks across several organizations. In addition, emerging novel technologies such as Internet of Things (IoT) and software defined networking (SDN) are likely to pave potential growth avenues for players in the managed network services market in the coming years.

Sale of managed network services such as managed VPN are estimated to spur across a cohort of industrial applications as they provide enhanced security, and high control on business operations. Fact.MR report reveals that the sales of managed VPN services are expected to surpass US$ 45 Bn by end of 2018, representing dominance over the managed network services market and it is likely to retain its status quo through 2028. Demand for managed security services is also projected to expand at a significant rate of over 10% during the period of forecast as they provide efficient routine management and monitoring of an organization’s security process. In addition, they also offer close monitoring of advanced threats and facilitate automation of an organization’s vulnerability management.

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A paradigm shift from private to public cloud is expected to provide significant growth opportunities for sales of managed network services. Albeit a similar cloud computing offering, private cloud infrastructure requires additional sophisticated virtualization, resource monitoring and technical automation. Public cloud platform offers higher savings than private cloud as the need for installing or purchasing or maintaining servers is eliminated. This is expected to facilitate potential growth avenues for MSPs (Managed Service Providers) as the shift is likely to alter purchasing decisions and increase data inflow.

segmentation managed network services market 1

Demand of managed network services are likely to spur among SMBs (small and medium business enterprises). Low budget allocation in SMBs has triggered outsourcing of network functions in a bid to save additional costs apropos to installation and maintenance as well as enhance agility and increase flexibility of operations. On the other hand, assessing the vitality of managed network services as potential cost reducers, large scale enterprises, are also pitching in investments in the managed network services space to facilitate reduction in downtime of networks, effective maintenance and proactive monitoring.

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Recent technological breakthroughs in the telecommunications space have accelerated the demand for new managed network services that can facilitate efficient processing, consequently enhancing accuracy in various applications. Against the backdrop of these benefits, significant investments have been made in the IT and telecommunications, retail, BFSI and public sectors are likely to present lucrative opportunities with respect to adoption of managed network services

Demand of managed network services are expected to grow at a significant pace in the emerging economies of Asia Pacific excluding Japan (APEJ) such as China and India during the period of forecast. Growing manufacturing sector and significant developments in BFSI, banking and retail sectors are expected to augment the growth of managed network services in APEJ. However, developed countries of North America, especially the United States are likely to show burgeoning sales owing to robust and growing IT infrastructure in the country.

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