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) andBy Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa)- Forecast to 2035.

Managed Security Services Market Overview

As per MRFR analysis, the Managed Security Services Market Size was estimated at 30.37 (USD Billion) in 2023. The Managed Security Services Market is expected to grow from 32.56 (USD Billion) in 2024 to 70 (USD Billion) by 2035. The Managed Security Services Market CAGR (growth rate) is expected to be around 7.2% during the forecast period (2025 - 2035).

Key Managed Security Services Market Trends Highlighted

The necessity for enterprises to improve their security posture and the growing complexity of cyber threats have both contributed to the notable expansion of the global managed security services market.

The need for managed security services has increased as a result of worries about ransomware attacks, data breaches, and changing cyberthreats as companies around the world continue to digitize their operations.

Organizations understand that in order to monitor, identify, and address threats, they need skilled individuals in addition to cutting-edge technology. As a result, businesses may now exploit the experience of specialist providers instead of depending entirely on internal teams by implementing outsourced security solutions.

This industry has a lot of untapped potential, particularly in industries like small and medium-sized businesses (SMEs) that have historically adopted managed services more slowly. The need for specialized managed security services is anticipated to increase as these firms grow more conscious of the dangers posed by cyberattacks.

Further highlighting the need for improved security measures is the trend toward hybrid work environments, which is driving up demand for systems that can effectively safeguard both on-site and remote assets. Cloud-based security solutions have been more popular recently as businesses look for scalable and adaptable solutions.

Another noteworthy development is the emergence of machine learning and artificial intelligence technologies, which enhance the capacity to anticipate and react to threats instantly. The trend toward regulatory compliance in many parts of the world has helped to guarantee that managed security service providers follow strict guidelines, building confidence and promoting the wider use of these services.

The market for managed security services is always changing due to technological breakthroughs and growing knowledge of cybersecurity best practices.

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

Managed Security Services Market Drivers

Rising Cybersecurity Threats

The Managed Security Services Market is experiencing significant growth due to the increasing frequency and sophistication of cyber attacks. According to the Cybersecurity Infrastructure Security Agency, the global cost of cyber crime is expected to reach approximately 10.5 trillion USD annually by 2025.

This alarming rise in cyber threats compels organizations to seek advanced security measures that managed security services can provide. Major technology firms such as Cisco and IBM are actively investing in managed security solutions to help businesses combat these threats.

Their initiatives include enhancing threat detection capabilities and providing comprehensive security solutions tailored to combat advanced cyber threats. As more organizations recognize the importance of protecting their data and infrastructure, the demand for managed security services is set to surge in the Global market.

Regulatory Compliance Requirements

The increasing number of regulations and compliance mandates globally has significantly driven the growth of the Global Managed Security Services Market. For instance, the General Data Protection Regulation (GDPR) adopted by the European Union has imposed strict data protection requirements on organizations handling personal data.

The cost of non-compliance can reach up to 4% of annual global revenue or 20 million USD, whichever is higher. This has prompted companies to enlist managed security service providers to ensure compliance and protect sensitive information.

Major compliance-focused organizations such as the Payment Card Industry Security Standards Council are also influencing businesses to adopt managed security services to address these requirements effectively. These factors contribute to the increasing demand for managed security solutions.

Increasing Adoption of Cloud Services

As more organizations transition to cloud-based solutions, the demand for managed security services within the Global Managed Security Services Market is increasing significantly. According to the International Data Corporation, the global public cloud services market is projected to reach 500 billion USD by 2023.

Cloud environments are attractive for businesses due to their scalability and cost-effectiveness, but they also introduce unique security challenges.

Companies like Amazon Web Services and Microsoft Azure are enhancing their offerings by integrating managed security services to safeguard cloud deployments. As enterprises increasingly embrace cloud technology, they are recognizing the necessity of partnering with skilled managed security service providers to ensure their data and operations remain secure in the increasingly complex threat landscape.

Managed Security Services Market Segment Insights

Managed Security Services Market Service Type Insights

The Managed Security Services Market was a robust segment within cybersecurity, primarily categorized by various service types. As the industry shifted towards advanced security measures, each service type played a crucial role in the protection of sensitive data and systems, highlighting their significance in the overall managed security landscape.

Among these, the Managed Firewall service segment held a majority stake, valued at 8.5 USD Billion in 2024, and is projected to grow to 18.0 USD Billion by 2035, making it a cornerstone of the security service framework. Its importance lies in its ability to monitor and control incoming and outgoing network traffic, which is vital for safeguarding organization networks from potential threats.

The Intrusion Detection System segment, with a valuation of 6.2 USD Billion in 2024 and an anticipated increase to 13.0 USD Billion by 2035, also significantly contributed to the overall market. Its role in identifying possible breaches and alerts system administrators added a layer of proactive defense essential for modern enterprises.

Meanwhile, Unified Threat Management was valued at 5.5 USD Billion in 2024, aiming to consolidate multiple security features into one, making it increasingly desirable for organizations seeking to streamline their security measures as they face diverse threats.

Security Information and Event Management (SIEM) systems, valued at 7.0 USD Billion in 2024, will see growth towards 15.0 USD Billion in 2035, acting as an intelligence hub by providing real-time analysis of security alerts generated by applications and network hardware.

Finally, the Endpoint Security segment, which was critical as the number of mobile and remote workforces increases, stands at 5.36 USD Billion in 2024 and is poised to grow to 12.0 USD Billion by 2035.

This service type is particularly important as it protects devices such as laptops, tablets, and smartphones from potential threats, aligning with the global shift to remote work and the rising incidence of cyberattacks on endpoints.

Each of these service types contributes to the comprehensive landscape of the Global Managed Security Services Market, driving innovation and responding to the continually evolving cybersecurity threats faced by enterprises today.

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

Managed Security Services Market Deployment Model Insights

The Managed Security Services Market, particularly focusing on the Deployment Model segment, is witnessing steady growth as companies increasingly recognize the importance of securing their digital assets.

The market segmentation illustrates three primary deployment models: On-Premises, Cloud-Based, and Hybrid. The Cloud-Based model is gaining traction due to its scalability and cost-effectiveness, making it appealing to a variety of businesses.

Government initiatives for digital transformation globally are further driving the adoption of Cloud-Based solutions as organizations seek flexibility and accessibility. On-Premises services still hold significant importance for enterprises needing stringent control over their data and compliance requirements, especially in regulated industries.

The Hybrid model combines the best of both worlds, allowing organizations to utilize both On-Premises and Cloud-Based solutions to enhance their security posture. Each deployment model plays a crucial role in catering to diverse organizational needs, ensuring the Global Managed Security Services Market continues to evolve and adapt to emerging threats and technologies.

Managed Security Services Market Organization Size Insights

The Managed Security Services Market is witnessing robust growth influenced by various organization sizes, which play a crucial role in market dynamics. Small Enterprises, Medium Enterprises, and Large Enterprises all contribute uniquely to the landscape.

Small Enterprises often seek cost-effective solutions to mitigate security vulnerabilities, while Medium Enterprises tend to invest in more comprehensive managed services to support their expanding operations and safeguard sensitive data.

Large Enterprises usually dominate in terms of service demand; their extensive networks and diverse assets necessitate robust security strategies, thus creating substantial opportunities within the market.

The growing reliance on digital infrastructure and the rise in cyber threats drive the need for managed security services, ensuring that all organization sizes can adopt tailored solutions that meet their security requirements.

This solidifies the organization size segmentation as a critical factor in the Global Managed Security Services Market revenue, enhancing the overall market growth and offering diverse opportunities for service providers.

Managed Security Services Market End Use Industry Insights

The Managed Security Services Market is experiencing notable growth driven by the increasing need for security across various End Use Industries. The End Use Industry segment includes critical sectors such as Banking, Financial Services, and Insurance (BFSI), Healthcare, IT and Telecom, Retail, and Government.

Each sector has unique security challenges; for instance, BFSI is significantly impacted by regulatory compliance and data protection requirements, making it a prominent area within the market. The Healthcare sector is pivotal as it deals with sensitive patient data, creating a pressing need for robust security measures.

IT and Telecom sectors are constantly evolving, driving an increasing demand for managed services to protect infrastructure and customer data. Retail experiences challenges related to payment fraud and customer information security, emphasizing the need for comprehensive solutions.

The Government sector prioritizes cybersecurity to safeguard critical national infrastructure, enhancing the overall market landscape. This diverse segmentation highlights the importance of tailored security solutions, supporting the evolving demands and maintaining a resilient Cybersecurity posture across the Global Managed Security Services Market.

Managed Security Services Market Regional Insights

The Managed Security Services Market experienced substantial growth across various regions, contributing significantly to market revenue. In 2024, North America held a dominant position with a valuation of 13.0 USD Billion, which is expected to increase to 28.0 USD Billion by 2035, reflecting its leading status in the industry.

Europe followed closely with a projected valuation of 9.0 USD Billion in 2024, reaching 19.0 USD Billion by 2035, highlighting its robust demand for managed security services. The Asia-Pacific (APAC) region was also noteworthy, with 8.0 USD Billion in 2024 and 16.0 USD Billion by 2035, driven by increasing digitalization and cybersecurity threats.

Meanwhile, South America had a smaller, yet significant market, estimated at 1.5 USD Billion in 2024 and rising to 3.5 USD Billion in 2035, showcasing growth potential in emerging markets. The Middle East and Africa (MEA) region, valued at 1.06 USD Billion in 2024, also signified a growing interest in improved security solutions, projected to reach 3.5 USD Billion by 2035.

The variation in market valuations across these regions represented diverse growth drivers, including regulatory frameworks, rising cyber threats, and increased focus on compliance, all of which substantiate the significance of the Global Managed Security Services Market across the globe.

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 characterized by dynamic competition, underscored by the increasing emphasis on cybersecurity across various industries. As cyber threats become more sophisticated, organizations are seeking comprehensive solutions to safeguard their assets, leading to a surge in demand for managed security services.

Companies in this evolving space are continuously innovating, enhancing their service offerings, and expanding their geographical footprints to cater to a growing clientele. With the rise of cloud computing, IoT, and the increasing reliance on digital infrastructure, market players are under pressure to deliver resilient, scalable, and effective security solutions.

Competitive dynamics hinge on technological advancements, strategic partnerships, mergers and acquisitions, and the ability to respond to the unique security needs of diverse sectors, thereby creating a landscape where agility and expertise are paramount for sustained success.

IBM has established a formidable presence in the Global Managed Security Services Market, leveraging its deep-rooted expertise in information technology and cybersecurity. With a comprehensive suite of services including threat intelligence, incident response, and continuous monitoring, IBM positions itself as a leader that integrates advanced analytics and machine learning into its offerings.

The company's strengths lie in its ability to provide customized solutions tailored to the specific requirements of organizations, as well as its robust research and development capabilities that continuously enhance its security offerings.

Clients benefit from IBM's extensive experience in handling complex security environments, solidifying its reputation as a trusted partner in navigating the intricacies of managed security services on a global scale.

Symantec has carved out a significant niche in the Global Managed Security Services Market, focusing on endpoint protection, threat detection, and vulnerability management. The company is known for its innovative solutions, which prioritize proactive threat identification to mitigate risks before they escalate.

With a strong market presence, Symantec enjoys considerable trust among enterprises seeking comprehensive security solutions. Its key offerings extend beyond traditional security, encompassing advanced threat protection and cloud security services that address the diverse demands of modern businesses.

Symantec has reinforced its market position through strategic partnerships and has engaged in mergers and acquisitions to enhance its service portfolio and broaden its geographical reach. These initiatives not only bolster its capabilities but also fortify its reputation as a leader in the competitive landscape of managed security, ensuring that it remains at the forefront of addressing global cybersecurity challenges.

Key Companies in the Managed Security Services Market Include

• IBM


• Symantec


• Trustwave


• Fortinet


• Verizon


• AT and T


• Accenture


• Secureworks


• Palo Alto Networks


• McAfee


• Lumen Technologies


• Hewlett Packard Enterprise


• Juniper Networks


• BT Group


• Cisco

Managed Security Services Market Developments

In recent developments within the Global Managed Security Services Market, notable growth trends have emerged, reflecting a competitive landscape among key players such as 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.

The valuation of this market has been positively impacted by increasing cyber threats and a heightened emphasis on data security, leading to a surge in investments towards managed services. Additionally, there have been significant mergers and acquisitions, including IBM's acquisition of a cybersecurity firm in June 2023, which aims to bolster its cloud security capabilities.

In July 2022, Fortinet announced a strategic acquisition that enhances its security awareness training offerings. Furthermore, the ongoing digital transformation efforts across various industries continue to drive demand for robust security solutions.

The implementation of evolving technologies, such as artificial intelligence and machine learning within Managed Security Services, is anticipated to further advance service offerings, ensuring that these companies stay ahead of emerging threats within the global market.

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

    
    
  
  
  • 
    

    IT Telecom

    
    
  
  
  • 
    

    Retail

    
    
  
  
  • 
    

    Government

    
    
  
  
  
  


• 
  

  Managed Security Services Market Regional Outlook

  
  
  
  
  • 
    

    North America

    
    
  
  
  • 
    

    Europe

    
    
  
  
  • 
    

    South America

    
    
  
  
  • 
    

    Asia Pacific

    
    
  
  
  • 
    

    Middle East and Africa

    
    
  
  
  
  

Managed Security Services Market Report Scope

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)	7.2% (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	IBM, Symantec, Trustwave, Fortinet, Verizon, AT and T, Accenture, Secureworks, Palo Alto Networks, McAfee, Lumen Technologies, Hewlett Packard Enterprise, Juniper Networks, BT Group, Cisco
Segments Covered	Service Type, Deployment Model, Organization Size, End Use Industry, Regional
Key Market Opportunities	Increased cyber threats demand solutions, Growing adoption of cloud services, Regulatory compliance driving demand, Integration of AI in security, Rising awareness about data privacy
Key Market Dynamics	Increasing cyber threats, Regulatory compliance demands, Growth in cloud adoption, Rise of IoT devices, Need for cost-effective solutions
Countries Covered	North America, Europe, APAC, South America, MEA