Managed Security Services Market Research Report By Service Type (Managed Firewall, Intrusion Detection System, Unified Threat Management, Security Information and Event Management, Endpoint Security), By Deployment Model (On-Premises, Cloud-Based, Hybrid), By Organization Size (Small Enterprises, Medium Enterprises, Large Enterprises), By End-use Industry (BFSI, Healthcare, ITTelecom, Retail, Government), and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2035

Managed security services Market Summary

As per MRFR Analysis, the Managed Security Services Market was valued at 30.37 USD Billion in 2023 and is projected to grow to 70 USD Billion by 2035, with a CAGR of 7.2% from 2025 to 2035. The market is driven by rising cybersecurity threats, regulatory compliance requirements, and increasing adoption of cloud services.

Key Market Trends & Highlights

The Managed Security Services Market is witnessing significant growth due to various factors.

• The market is expected to grow from 32.56 USD Billion in 2024 to 70 USD Billion by 2035.
• The Managed Firewall service segment is projected to grow from 8.5 USD Billion in 2024 to 18.0 USD Billion by 2035.
• The Cloud-Based deployment model is gaining traction due to its scalability and cost-effectiveness.
• The global cost of cyber crime is expected to reach approximately 10.5 trillion USD annually by 2025.

Market Size & Forecast

2023 Market Size: USD 30.37 Billion

2024 Market Size: USD 32.56 Billion

2035 Market Size: USD 70 Billion

CAGR (2025-2035): 7.2%

Largest Regional Market Share in 2024: North America.

Major Players

Key players include IBM, Symantec, Trustwave, Fortinet, Verizon, AT and T, Accenture, Secureworks, Palo Alto Networks, McAfee, Lumen Technologies, Hewlett Packard Enterprise, Juniper Networks, BT Group, and Cisco.

Key Managed Security Services Market Trends Highlighted

The requirement for businesses to adopt a proactive security posture and the rise in cyberthreats are driving notable trends in the Managed Security Services Market. One major factor propelling the market is organizations' growing awareness of cybersecurity threats, which raises demand for managed security services with sophisticated threat detection and response capabilities.

Since internal resources might not always be enough to counter new threats, businesses are increasingly looking to outside service providers to improve their security posture. There are several opportunities in the managed security services industry, especially for companies that can develop innovative integrated solutions that combine real-time analytics, AI, and machine learning.

These developments make it easier for businesses to handle intricate security settings and increase their responsiveness to crises. Additionally, the need for security solutions that can protect sensitive data in cloud infrastructures has increased due to the expanding global popularity of cloud services.

Current patterns highlight a move toward managed security services that are compliance-centric, assisting businesses in adhering to different regulatory frameworks. This is especially important in areas with strict data protection regulations.

Furthermore, the pandemic has accelerated the trend of remote work, necessitating the adoption of more thorough security measures by enterprises to safeguard endpoint devices and remote access.All things considered, the Managed Security Services Market is changing quickly due to a combination of regulatory requirements, technology breakthroughs, and the ongoing need to adjust to emerging security threats.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Managed Security Services Market Drivers

Increasing Cybersecurity Threats Leading to Higher Demand

The rising frequency and sophistication of cyber threats continue to drive growth in the Managed Security Services Market. Reports from the Global Cybersecurity Alliance indicate that the number of cyber attacks globally has increased by approximately 67% over the last five years, affecting thousands of organizations across various sectors.

This uptick in attacks has instigated companies to seek managed security services to protect their assets and sensitive data. Major players like Cisco and IBM have amplified their offerings in managed security services, directly influencing this market's growth trajectory.

The strategic initiatives of these organizations to enhance cybersecurity influence organizations' decision-making processes, evidencing the urgent need for comprehensive managed services to mitigate cyber risks effectively.

Adoption of Cloud Services Elevating Security Needs

The accelerated adoption of cloud-based solutions is significantly impacting the Managed Security Services Market. According to data from the International Data Corporation, the global public cloud services market was estimated to grow by 23% yearly, reaching over 500 billion USD in the next few years.

This rapid transition towards cloud infrastructure has highlighted the necessity for robust security solutions to protect data stored remotely. Major companies like Amazon Web Services and Microsoft Azure are investing heavily in managed security services, further solidifying their position as leaders in this evolving landscape.

Their focus on providing secure cloud services is indicative of the broader shift toward comprehensive managed security solutions that enhance the overall security posture of businesses leveraging cloud technologies.

Regulatory Compliance Driving Managed Security Adoption

The emergence of strict regulatory compliance requirements globally is further propelling the growth of the Managed Security Services Market. With regulations like the General Data Protection Regulation (GDPR) and the Health Insurance Portability and Accountability Act (HIPAA) in place, organizations are compelled to adopt managed security services to adhere to these stringent standards.

The compliance market is projected to grow exponentially, with estimates suggesting an increase of up to 20% annually. Companies like Palo Alto Networks and Fortinet are adapting their security frameworks to aid in compliance initiatives, bolstering their service offerings. This regulatory landscape is influencing organizations to prioritize managed security services as a key component of their compliance strategies.

Growing Awareness and Need for Proactive Security Management

The increasing awareness about the importance of proactive security management is contributing to the expansion of the Managed Security Services Market. A study conducted by the Association for Information Systems found that around 85% of organizations recognize that proactive security measures are essential for preventing cybersecurity incidents.

This growing consciousness is pushing companies to partner with managed security service providers to ensure continuous monitoring and threat detection.

Notable firms like Symantec and CrowdStrike are reshaping the market landscape with their outreach efforts that emphasize the critical need for proactive security service adoption. The realization that proactive measures can dramatically reduce the chances of a breach is cementing the reliance on managed security services among businesses.

Managed Security Services Market Segment Insights

Managed Security Services Market Service Type Insights

In the Managed Security Services Market, the Service Type segment played a pivotal role in shaping the contours of security offerings, catering to diverse organizational needs.Within this segment, Managed Firewall technology emerged prominently, with a market valuation of 6.5 USD Billion in 2024, and it is anticipated to grow to 14.0 USD Billion by 2035. The increasing prevalence of cyber threats necessitated robust firewall solutions, thus driving the investment in this category which commanded a significant share of the overall market.

Intrusion Detection Systems were also crucial, valued at 5.2 USD Billion in 2024, and projected to rise to 11.5 USD Billion by 2035, reflecting the ongoing need to safeguard against unauthorized access and blanket organizational security.

On another front, Unified Threat Management services, with a 2024 valuation of 7.0 USD Billion, are expected to expand to 15.0 USD Billion over the same period, exemplifying their role in providing an integrated approach to security management.Security Information and Event Management served as another critical component within the segment, with a valuation of 8.86 USD Billion in 2024, anticipated to elevate to 18.5 USD Billion by 2035.

This growth is attributable to the rising complexities of IT infrastructures and the increasingly stringent regulatory environment businesses must navigate, thereby underscoring the importance of real-time security monitoring and incident response capabilities.Endpoint Security was also a significant area, with a valuation of 5.0 USD Billion in 2024, climbing to 11.0 USD Billion by 2035, reflecting the growing recognition of endpoint vulnerabilities in the broader security landscape.

As organizations continue to embrace digital transformation, the importance of comprehensive endpoint protection has become paramount in mitigating risks associated with remote and mobile workforces.The overall insights reflect how the Managed Security Services Market segmentation illustrated a diversified landscape that responded aptly to the evolving security challenges across the globe, emphasizing the significance of each service type in delivering robust security solutions that align with real-world demands.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Managed Security Services Market Deployment Model Insights

The Managed Security Services Market has been evolving significantly, particularly within the Deployment Model segment, which encompasses On-Premises, Cloud-Based, and Hybrid solutions. On-Premises deployments offer businesses more control over their security environment, making it a popular choice for organizations with stringent compliance requirements.

Conversely, Cloud-Based models have gained traction due to their flexibility, scalability, and cost-effectiveness, enabling companies to quickly adapt to changing threat landscapes. Hybrid solutions combine the strengths of both On-Premises and Cloud-Based models, allowing businesses to optimize their security strategies.

This segment is driven by the increasing frequency of cyber threats and the necessity for robust protective measures. The Managed Security Services Market is characterized by rapid growth, propelled by factors such as the rising need for 24/7 monitoring, regulatory compliance, and a growing awareness of cybersecurity risks among businesses.Consequently, understanding market trends and the importance of each deployment model is crucial for companies looking to enhance their security posture in an increasingly digital world.

Managed Security Services Market Organization Size Insights

The Managed Security Services Market exhibits a diverse landscape segmented by Organization Size, encompassing Small Enterprises, Medium Enterprises, and Large Enterprises. Small Enterprises often leverage managed security services to access advanced solutions that enhance their security posture without the need for extensive in-house resources.

Medium Enterprises typically face complex security threats as they scale, making managed services vital for maintaining compliance and safeguarding sensitive data. Meanwhile, Large Enterprises, which dominate the market due to a significant demand for comprehensive security strategies, often secure robust, tailored services to address their extensive and intricate IT environments.

The growing prevalence of cyber threats, alongside regulatory compliance requirements, acts as a key driver for this market's expansion, creating opportunities across all organizational tiers.As organizations recognize the evolving nature of security challenges, investment in managed security services continues to rise, significantly contributing to the overall Managed Security Services Market revenue and shaping its segmentation dynamics.

Managed Security Services Market End-use Industry Insights

The Managed Security Services Market is a dynamic segment encompassing various End-use industries, which play a crucial role in shaping the market landscape. The BFSI sector is a significant contributor due to stringent regulatory frameworks and the need for robust cybersecurity measures to protect financial data.

Healthcare is also vital as it grapples with safeguarding sensitive patient information amidst rising cyber threats, making managed security services essential. The IT and Telecom industry showcases rapid growth, driven by the need to secure complex networks and data handling practices.

Retail continues to evolve, as businesses implement security solutions to combat data breaches and enhance customer trust. The government sector emphasizes the importance of national security, investing in managed security services to protect vital infrastructure and citizen data.

Overall, the Managed Security Services Market segmentation highlights the diverse needs across industries, showcasing substantial growth opportunities and trends driven by technological advancements and increasing cyber threats that underscore the significance of advanced security services globally.

Managed Security Services Market Regional Insights

The Managed Security Services Market experienced significant growth across various regions, with North America leading the way. In 2024, North America was valued at 12.98 USD Billion and is expected to reach 27.1 USD Billion by 2035, showcasing its majority holding in the market due to high demand for advanced security solutions.

Europe followed closely with a valuation of 9.88 USD Billion in 2024, anticipated to grow to 20.8 USD Billion by 2035, driven by regulatory compliance and escalating cyber threats. South America, with a valuation of 3.25 USD Billion in 2024, is poised to grow to 7.0 USD Billion by 2035, indicating an increasing awareness of security needs in emerging markets.

The Asia Pacific region, starting at 4.85 USD Billion in 2024 and growing to 10.5 USD Billion by 2035, reflected a significant opportunity due to rapid digitization and an expanding IT landscape. Lastly, the Middle East and Africa, while valued at 1.6 USD Billion in 2024, is expected to rise to 4.6 USD Billion by 2035, influenced by increasing investments in technology and a growing focus on security frameworks.

These figures highlighted the diverse landscape and potential for growth within the Managed Security Services Market, where each region is adapting to rapidly evolving security challenges.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Managed Security Services Market Key Players and Competitive Insights

The Managed Security Services Market is experiencing significant growth due to the increasing demand for advanced cybersecurity solutions across various sectors. As cyber threats become more sophisticated, organizations are realizing the importance of outsourcing security management to specialized service providers.

This market landscape is characterized by a multitude of players competing to offer innovative solutions and superior service offerings. Companies are focused on strengthening their security frameworks while adapting to evolving technological advancements and regulatory requirements.

The competition is not only about providing traditional security services but also integrating advanced analytics, artificial intelligence, and machine learning to enhance the efficiency and effectiveness of security operations. Furthermore, partnerships and strategic alliances are increasingly becoming integral as organizations seek to extend their service portfolios and improve market outreach.

Secureworks has established a prominent position within the Managed Security Services Market, leveraging its extensive experience and advanced technological capabilities. The company is known for its robust suite of security solutions that include managed detection and response services, threat intelligence, and incident response support.

Secureworks differentiates itself through its proprietary technology and a highly skilled team of security professionals, which enables them to deliver tailored services to meet unique client needs. The firm’s commitment to innovation and research while focusing on building a secure environment for customers has contributed to its sustained growth.Secureworks has developed strong partnerships with technology vendors and maintains a global footprint, enabling it to offer comprehensive, scalable security services across diverse industry verticals.

Key Companies in the Managed Security Services Market Include

• Secureworks


• Orange CyberDefense


• Fidelity National Information Services


• IBM


• BT Group


• Trustwave


• Honeywell


• Wipro


• Cisco


• DXC Technology


• Verizon


• AT&T Cybersecurity


• Accenture

Managed Security Services Market Developments

In order to include Secureworks Taegis XDR into its cybersecurity portfolio, Sophos announced in October 2024 that it would purchase Secureworks from Dell for $859 million, with a closing date of early 2025.Two new managed services, Managed Workspace Protection and Managed Threat Detection, which are based on Microsoft 365 Defender and Sentinel and provide round-the-clock security monitoring for hybrid environments, were introduced by Orange CyberDefense and Microsoft in April 2023.

With the integration of their X-Force threat intelligence and SIEM technologies, IBM unveiled AI-enhanced Threat Detection and Response (TDR) services in October 2023. These services provide automated alarm triage and remediation across cloud, IT, and OT settings.Major industry experts claimed that IBM significantly extended AI-driven managed products under its MSS portfolio in June 2024, focusing on AI-powered detection. After spin-out, AT&T Cybersecurity, now known as independent LevelBlue, integrated its MSS and XDR capabilities in May 2024. Beginning at RSA 2024, it will provide managed detection services and improved threat intelligence.

By utilizing integration with Cisco XDR and Talos threat intelligence across hybrid and cloud deployments, Cisco further expanded its MSS capabilities in 2024 through managed detection, response, and advisory services.

Managed Security Services Market Segmentation Insights

Managed Security Services Market Service Type Outlook

• Managed Firewall


• Intrusion Detection System


• Unified Threat Management


• Security Information and Event Management


• Endpoint Security

Managed Security Services Market Deployment Model Outlook

• On-Premises


• Cloud-Based


• Hybrid

Managed Security Services Market Organization Size Outlook

• Small Enterprises


• Medium Enterprises


• Large Enterprises

Managed Security Services Market End-use Industry Outlook

• BFSI


• Healthcare


• ITTelecom


• Retail


• Government

Managed Security Services Market Regional Outlook

• North America


• Europe


• South America


• Asia Pacific


• Middle East and Africa

Report Attribute/Metric	Details
Market Size 2023	30.37(USD Billion)
Market Size 2024	32.56(USD Billion)
Market Size 2035	70.0(USD Billion)
Compound Annual Growth Rate (CAGR)	7.21% (2025 - 2035)
Report Coverage	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Base Year	2024
Market Forecast Period	2025 - 2035
Historical Data	2019 - 2024
Market Forecast Units	USD Billion
Key Companies Profiled	Secureworks, Orange CyberDefense, Fidelity National Information Services, IBM, BT Group, Trustwave, Honeywell, Wipro, Cisco, DXC Technology, Verizon, AT&T Cybersecurity, Accenture
Segments Covered	Service Type, Deployment Model, Organization Size, End-use Industry, Regional
Key Market Opportunities	Cloud security integration, Increasing cyber threat landscape, Regulatory compliance requirements, Remote workforce protection, Demand for threat intelligence services
Key Market Dynamics	Cloud adoption growth, Increasing cyber threats, Regulatory compliance requirements, Rising demand for cost efficiency, Need for advanced threat intelligence
Countries Covered	North America, Europe, APAC, South America, MEA