Telecom Managed Services Market Forecasts to 2032 – Global Analysis By Service Type (Managed Data Center Services, Managed Network Services, Managed Security Services, Managed Mobility Services, Managed Communication Services and Managed IT & Information
Description
According to Stratistics MRC, the Global Telecom Managed Services Market is accounted for $30.94 billion in 2025 and is expected to reach $79.35 billion by 2032 growing at a CAGR of 14.4% during the forecast period. Telecom Managed Services involve entrusting specialized providers with the oversight, optimization, and upkeep of telecommunications networks. Services cover network planning, implementation, continuous monitoring, and maintenance to ensure reliable performance and minimal downtime. Utilizing cutting-edge tools, automation, and expert teams, these services help businesses lower costs, improve network efficiency, and strengthen security. Additional offerings include cloud integration, technical support, and operational management, enabling organizations to concentrate on primary business goals. Rising network complexity, coupled with the need for uninterrupted connectivity, fuels the global expansion of telecom managed services as organizations seek reliable and cost-effective solutions.
According to the International Telecommunication Union (ITU), data shows that by 2022, 95% of the global population had mobile broadband coverage, yet only 67% were actually using the internet. This gap underscores the importance of managed services in optimizing networks, improving affordability, and driving adoption.
Market Dynamics:
Driver:
Growing demand for network optimization
The telecom managed services market is propelled by the growing need to streamline complex networks and maintain consistent connectivity. As businesses adopt 5G, IoT, and cloud-based technologies, effective network management becomes essential to prevent service disruptions and enhance performance. Managed service providers deliver skilled expertise, automation, and monitoring solutions that allow organizations to optimize network operations without diverting focus from core activities. Outsourcing these functions ensures high network reliability, operational efficiency, and lower costs, making managed services an increasingly attractive option for enterprises facing rapid technological growth and expanding communication infrastructure requirements.
Restraint:
Security and privacy concerns
Security and privacy issues significantly limit the growth of the telecom managed services market. When companies outsource network operations, sensitive data, including customer and operational information, can be vulnerable to cyberattacks and unauthorized access. Compliance with diverse regional regulations further complicates service adoption. Enterprises often hesitate to allow external providers to manage critical network infrastructure due to fears of data misuse or breaches. These concerns about safeguarding confidential information and maintaining regulatory adherence act as major barriers, slowing the adoption rate of managed services in telecommunications despite their operational and cost benefits.
Opportunity:
Cloud and virtualization adoption
Rising adoption of cloud computing and network virtualization provides promising prospects for telecom managed services. Organizations increasingly rely on virtual networks, hybrid IT setups, and cloud-based solutions, demanding expert support for deployment, management, and optimization. Managed service providers can deliver integration, monitoring, and security solutions to ensure efficient performance and minimal downtime. By facilitating scalable, adaptable, and cost-effective network operations, these services help businesses modernize their IT infrastructure. The expanding use of cloud and virtualized technologies across sectors fuels demand for telecom managed services, enabling providers to diversify their offerings, enhance customer engagement, and capitalize on the shift toward digital and flexible network architectures.
Threat:
Rapid technological changes
The fast pace of technological change poses a threat to telecom managed services providers. Advances in 5G, IoT, AI, and cloud-based networks require constant upgrades in infrastructure, tools, and technical expertise. Providers that fail to keep up risk losing clients to competitors who can deploy new technologies more effectively. Frequent technological updates increase operational complexity and costs, making service delivery more challenging. Enterprises expect swift adoption of innovations to stay competitive. Managed service providers must prioritize continuous training, research, and the deployment of cutting-edge solutions. Inability to keep pace with evolving technologies can reduce market relevance and result in lost growth opportunities.
Covid-19 Impact:
The COVID-19 pandemic had a profound effect on the telecom managed services market, boosting the need for digital solutions and remote connectivity. With widespread lockdowns and remote work, businesses increasingly depended on reliable and secure telecom networks, driving adoption of managed services. Providers were called upon for cloud integration, network management, and cybersecurity support to maintain operational continuity. Despite this, pandemic-related challenges such as project delays, supply chain interruptions, and constrained budgets affected some organizations. Nevertheless, the crisis underscored the importance of dependable network infrastructure, positioning telecom managed service providers for long-term growth as businesses prioritize connectivity and efficiency in a post-pandemic environment.
The managed network services segment is expected to be the largest during the forecast period
The managed network services segment is expected to account for the largest market share during the forecast period, primarily because networks form the backbone of modern telecom operations. Organizations require uninterrupted connectivity, high-speed data exchange, and robust network performance to drive business processes and digital initiatives. Service providers deliver proactive monitoring, maintenance, and optimization to ensure reliability and efficiency. The rise of 5G, cloud adoption, and IoT integration has increased network complexity, prompting enterprises to rely on external expertise. The need for secure, scalable, and efficient network infrastructure makes managed network services the largest and most sought-after segment within the telecom managed services market.
The cloud segment is expected to have the highest CAGR during the forecast period
Over the forecast period, the cloud segment is predicted to witness the highest growth rate, fueled by widespread adoption of cloud infrastructure and virtualized networks. Companies are transitioning from traditional on-premises setups to cloud platforms to benefit from scalability, operational flexibility, and cost savings. Cloud-managed solutions offer streamlined maintenance, rapid deployment, and real-time network monitoring, allowing businesses to concentrate on strategic priorities. Emerging technologies like 5G, AI, and IoT further drive the adoption of cloud services. With improved accessibility, lower capital investment, and easy integration, cloud-based managed services are rapidly becoming the preferred choice, making this segment the market’s fastest-growing component.
Region with largest share:
During the forecast period, the North America region is expected to hold the largest market share, owing to its robust telecom infrastructure, technologically advanced enterprises, and early technology adoption. The region experiences extensive 5G rollout, high internet usage, and substantial investments in cloud, IoT, and AI-driven network solutions. Companies increasingly rely on managed service providers for network, IT, and security management to improve operational efficiency and lower costs. A well-established regulatory environment, mature digital ecosystem, and rising demand for uninterrupted telecom services further strengthen North America’s position as the largest market globally. These factors collectively make it the dominant region in telecom managed services adoption and growth.
Region with highest CAGR:
Over the forecast period, the Asia Pacific region is anticipated to exhibit the highest CAGR, fueled by rapid digital adoption, rising smart phone use, and expanding telecom networks. Key countries including China, India, and Japan are investing extensively in 5G, IoT, and cloud technologies, boosting the need for professional managed services. Businesses are increasingly outsourcing network, IT, and security management to improve efficiency, reduce operational costs, and facilitate digital transformation. With emerging markets, growing industrialization, and increased adoption of advanced telecom solutions, Asia-Pacific presents substantial growth potential, making it the fastest-growing and most promising region for telecom managed service providers globally.
Key players in the market
Some of the key players in Telecom Managed Services Market include Cisco Systems, Inc., Huawei Technologies Co., Ltd., IBM Corporation, Ericsson, Verizon Communications Inc., AT&T Inc., Nokia Corporation, ZTE Corporation, Tech Mahindra Limited, Accenture Plc., Capgemini SE, Tata Communications Limited, Orange Business Services, NTT Data Corporation and Amdocs Limited.
Key Developments:
In November 2025, IBM and Atruvia AG have sealed a long-term collaboration that paves the way for sustainable and state-of-the-art IT platforms for the banking of tomorrow. Atruvia will use IBM z17, which was announced earlier this year, as a cornerstone supports its mission critical operations including the core banking system.
In September 2025, Ericsson has secured a 12.5 billion Swedish crown contract to supply 5G communications equipment to VodafoneThree, the U.K.’s newest mobile giant formed by the merger of Vodafone UK and Three UK. The deal makes Ericsson the primary vendor in a wider £2 billion equipment agreement that also includes Nokia.
In March 2025, Huawei and the Netherlands' Sona signed a strategic cooperation agreement. According to the agreement, the two parties will cooperate closely in the secure access service edge (SASE) field to jointly develop products, build a more intelligent network security system for enterprises worldwide, and share the SASE market. Sonia Harjani, founder of Sona, and Vincent Liu from President of Global Enterprise Network Marketing and Sales Dept, Huawei, attended the signing ceremony.
Service Types Covered:
• Managed Data Center Services
• Managed Network Services
• Managed Security Services
• Managed Mobility Services
• Managed Communication Services
• Managed IT & Information Services
Deployment Models Covered:
• On-Premises
• Cloud
Telecom Operator Types Covered:
• Mobile Network Operators (MNOs)
• Mobile Virtual Network Operators (MVNOs)
• Internet Service Providers (ISPs)
Organization Sizes Covered:
• Large Enterprises
• Small & Medium Enterprises (SMEs)
End Users Covered:
• Residential / Individual Users
• Business / Institutional Users
Regions Covered:
• North America
o US
o Canada
o Mexico
• Europe
o Germany
o UK
o Italy
o France
o Spain
o Rest of Europe
• Asia Pacific
o Japan
o China
o India
o Australia
o New Zealand
o South Korea
o Rest of Asia Pacific
• South America
o Argentina
o Brazil
o Chile
o Rest of South America
• Middle East & Africa
o Saudi Arabia
o UAE
o Qatar
o South Africa
o Rest of Middle East & Africa
What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2024, 2025, 2026, 2028, and 2032
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements
Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
o Comprehensive profiling of additional market players (up to 3)
o SWOT Analysis of key players (up to 3)
• Regional Segmentation
o Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
o Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances
Table of Contents
200 Pages
- 1 Executive Summary
- 2 Preface
- 2.1 Abstract
- 2.2 Stake Holders
- 2.3 Research Scope
- 2.4 Research Methodology
- 2.4.1 Data Mining
- 2.4.2 Data Analysis
- 2.4.3 Data Validation
- 2.4.4 Research Approach
- 2.5 Research Sources
- 2.5.1 Primary Research Sources
- 2.5.2 Secondary Research Sources
- 2.5.3 Assumptions
- 3 Market Trend Analysis
- 3.1 Introduction
- 3.2 Drivers
- 3.3 Restraints
- 3.4 Opportunities
- 3.5 Threats
- 3.6 End User Analysis
- 3.7 Emerging Markets
- 3.8 Impact of Covid-19
- 4 Porters Five Force Analysis
- 4.1 Bargaining power of suppliers
- 4.2 Bargaining power of buyers
- 4.3 Threat of substitutes
- 4.4 Threat of new entrants
- 4.5 Competitive rivalry
- 5 Global Telecom Managed Services Market, By Service Type
- 5.1 Introduction
- 5.2 Managed Data Center Services
- 5.3 Managed Network Services
- 5.4 Managed Security Services
- 5.5 Managed Mobility Services
- 5.6 Managed Communication Services
- 5.7 Managed IT & Information Services
- 6 Global Telecom Managed Services Market, By Deployment Model
- 6.1 Introduction
- 6.2 On-Premises
- 6.3 Cloud
- 7 Global Telecom Managed Services Market, By Telecom Operator Type
- 7.1 Introduction
- 7.2 Mobile Network Operators (MNOs)
- 7.3 Mobile Virtual Network Operators (MVNOs)
- 7.4 Internet Service Providers (ISPs)
- 8 Global Telecom Managed Services Market, By Organization Size
- 8.1 Introduction
- 8.2 Large Enterprises
- 8.3 Small & Medium Enterprises (SMEs)
- 9 Global Telecom Managed Services Market, By End User
- 9.1 Introduction
- 9.2 Residential / Individual Users
- 9.3 Business / Institutional Users
- 10 Global Telecom Managed Services Market, By Geography
- 10.1 Introduction
- 10.2 North America
- 10.2.1 US
- 10.2.2 Canada
- 10.2.3 Mexico
- 10.3 Europe
- 10.3.1 Germany
- 10.3.2 UK
- 10.3.3 Italy
- 10.3.4 France
- 10.3.5 Spain
- 10.3.6 Rest of Europe
- 10.4 Asia Pacific
- 10.4.1 Japan
- 10.4.2 China
- 10.4.3 India
- 10.4.4 Australia
- 10.4.5 New Zealand
- 10.4.6 South Korea
- 10.4.7 Rest of Asia Pacific
- 10.5 South America
- 10.5.1 Argentina
- 10.5.2 Brazil
- 10.5.3 Chile
- 10.5.4 Rest of South America
- 10.6 Middle East & Africa
- 10.6.1 Saudi Arabia
- 10.6.2 UAE
- 10.6.3 Qatar
- 10.6.4 South Africa
- 10.6.5 Rest of Middle East & Africa
- 11 Key Developments
- 11.1 Agreements, Partnerships, Collaborations and Joint Ventures
- 11.2 Acquisitions & Mergers
- 11.3 New Product Launch
- 11.4 Expansions
- 11.5 Other Key Strategies
- 12 Company Profiling
- 12.1 Cisco Systems, Inc.
- 12.2 Huawei Technologies Co., Ltd.
- 12.3 IBM Corporation
- 12.4 Ericsson
- 12.5 Verizon Communications Inc.
- 12.6 AT&T Inc.
- 12.7 Nokia Corporation
- 12.8 ZTE Corporation
- 12.9 Tech Mahindra Limited
- 12.10 Accenture Plc.
- 12.11 Capgemini SE
- 12.12 Tata Communications Limited
- 12.13 Orange Business Services
- 12.14 NTT Data Corporation
- 12.15 Amdocs Limited
- List of Tables
- Table 1 Global Telecom Managed Services Market Outlook, By Region (2024-2032) ($MN)
- Table 2 Global Telecom Managed Services Market Outlook, By Service Type (2024-2032) ($MN)
- Table 3 Global Telecom Managed Services Market Outlook, By Managed Data Center Services (2024-2032) ($MN)
- Table 4 Global Telecom Managed Services Market Outlook, By Managed Network Services (2024-2032) ($MN)
- Table 5 Global Telecom Managed Services Market Outlook, By Managed Security Services (2024-2032) ($MN)
- Table 6 Global Telecom Managed Services Market Outlook, By Managed Mobility Services (2024-2032) ($MN)
- Table 7 Global Telecom Managed Services Market Outlook, By Managed Communication Services (2024-2032) ($MN)
- Table 8 Global Telecom Managed Services Market Outlook, By Managed IT & Information Services (2024-2032) ($MN)
- Table 9 Global Telecom Managed Services Market Outlook, By Deployment Model (2024-2032) ($MN)
- Table 10 Global Telecom Managed Services Market Outlook, By On-Premises (2024-2032) ($MN)
- Table 11 Global Telecom Managed Services Market Outlook, By Cloud (2024-2032) ($MN)
- Table 12 Global Telecom Managed Services Market Outlook, By Telecom Operator Type (2024-2032) ($MN)
- Table 13 Global Telecom Managed Services Market Outlook, By Mobile Network Operators (MNOs) (2024-2032) ($MN)
- Table 14 Global Telecom Managed Services Market Outlook, By Mobile Virtual Network Operators (MVNOs) (2024-2032) ($MN)
- Table 15 Global Telecom Managed Services Market Outlook, By Internet Service Providers (ISPs) (2024-2032) ($MN)
- Table 16 Global Telecom Managed Services Market Outlook, By Organization Size (2024-2032) ($MN)
- Table 17 Global Telecom Managed Services Market Outlook, By Large Enterprises (2024-2032) ($MN)
- Table 18 Global Telecom Managed Services Market Outlook, By Small & Medium Enterprises (SMEs) (2024-2032) ($MN)
- Table 19 Global Telecom Managed Services Market Outlook, By End User (2024-2032) ($MN)
- Table 20 Global Telecom Managed Services Market Outlook, By Residential / Individual Users (2024-2032) ($MN)
- Table 21 Global Telecom Managed Services Market Outlook, By Business / Institutional Users (2024-2032) ($MN)
- Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.
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