Content, MSP

Managed Services Industry Surges Globally, Projected to Reach $488B in 2023

commodity price increse oil steel bdi make inflation risk asset going to bear market

The managed services industry is seeing growth worldwide, with 82% of customers opting to outsource some or all of their IT operations, according to a new report from Canalys.

Jay McBain
Jay McBain, channels, partners & ecosystems, Canalys

After 12% growth last year, experts predict an even brighter performance in 2023, as the industry is set to soar to $488 billion in revenue, according to Jay McBain, channels, partners & ecosystems, Canalys.

What was once a phenomenon mainly limited to North America 15-20 years ago has evolved into a global business, with more than half of the industry's revenue generated from international markets. Surprisingly to McBain, India stands out as a significant player in the managed services landscape, boasting a remarkable growth rate of 16%.

A notable contributing factor to the industry's meteoric rise is the substantial number of partners involved. 335,000 partners have played a role in driving the managed services sector. However, it is essential to discern that the number of dedicated MSPs, defined by those with at least 30% of their revenue from recurring sources, stands at 86,546, McBain points out.