Due to the adoption of remote working modes by businesses, the demand for cloud-based solutions has increased dramatically since the COVID-19 outbreak. The demand for managed services providers is being driven by an increasing number of companies choosing to use cloud-based storage solutions, particularly private managed cloud providers. Additionally, the use of IoT, cloud, and Big Data analytics has accelerated due to the increasing trend of digital transformation among diverse enterprises. The demand for managed services has increased as a result of the need for simplified, adaptable, and effective data processing, administration, and storage solutions.

The IT managed services industry, which was estimated at $152.05 billion in 2020, is projected to grow to $274.20 billion by 2026, according to the Global Managed Services research.

GTD's expertise in IT managed services demonstrates the growing need for functional consolidation, which has resulted in bundled hybrid services that are becoming quite popular. IT managed services are using AI and process automation tools to automate some aspects of their operations and provide an end-to-end management solution, from helping to launch an offering to supplying long-term operations support. Mid-market IT firms are forming strategic alliances and investing in specialized IT services like CloudOps and AI Ops to develop end-to-end ecosystem management solutions in order to acquire a bundle of services and offer hybrid IT managed services.

An growing number of investments, such as Freshworks' acquisition of Flint, have been made in the managed services market, giving IT teams more visibility to better manage hybrid infrastructure, optimize spending, and streamline employee workflow. Through the introduction of numerous of Flint's new automation tools to automate and coordinate IT processes, the acquisition assisted Freshworks in bolstering its Freshservice IT support service.

IT Managed Services Providers must keep up with the latest developments in services and technology. For any enterprise clients lacking those competencies, advanced MSP providers lower the risks associated with integrating new technologies into core company strategy. The trends in the MSP space are as follows:

Trend 1: Growing Interest in Hyperconverged Infrastructure

The need for a hyper-convergence IT architecture that unifies networking, servers, and storage systems into a single platform has grown due to the cost advantages of centralized, straightforward monitoring with scalability advantages. Research and Markets projects that the global market for hyper-converged infrastructure, which was valued at $5.3 billion in 2020, will grow at a compound annual growth rate (CAGR) of 30.1% to reach a revised size of $33.3 billion by 2027.

Trend 2: AI in IT Operations

AI is increasingly being integrated into IT operations to automate and identify trends in server or network hardware failures as well as data processing and administration to proactively improve data flow, divide workloads, and address issues as they arise. AI has the ability to proactively address issues before they arise. Grand View Research estimates that the global market for AI for IT operations platforms was worth $4.36 billion in 2019 and is projected to increase at a compound annual growth rate (CAGR) of 30.6% between 2020 and 2027.

Trend 3: Using virtualization in IT operations

Creating virtual resources—VMs, operating systems, desktops, apps, and users—that can be utilized by several entities is known as IT virtualization. Any real IT resource or application can be utilized in the same way as these virtual resources. In order to obtain system data insights and have a unified overview of operations, advancements in IT service provisioning are shifting toward API and embedded analytics. They can build a platform for virtualized infrastructure monitoring and automate and optimize a variety of IT tasks. Market Research Future projects that the server virtualization market, which was valued at $6.56 billion in 2019, would grow at a compound annual growth rate (CAGR) of 6.22% to reach $9.90 billion by 2026.

Technologies are ever-evolving, making it crucial for companies to keep up with the pace. With an expert managed service provider, companies can implement the latest and upcoming technologies to improve business processes. A strategic approach to partnerships and quick investment in ready capabilities can ensure that ambitious enterprises capitalize on the advanced ITMS market demand faster than their competitors.