Spending on Remote Managed Services Growing, Report Says
A report from Techaisle finds cost-conscious businesses are increasingly turning to remote managed services and are likely to continue to do so in 2010.A report from market research analyst and consulting company Techaisle found that small to midsize businesses will spend $3.6 billion in 2009 on remote managed services, which is up 9.2 percent from 2008. Overall SMB managed services spending will grow by 8.8 percent in 2009 to $14.3 billion, and SMBs will account for nearly half of all managed services spent by businesses, the report also found. The report said in 2010 SMBs are likely to spend $15.7 billion on managed services, exhibiting a growth rate of 9.6 percent. More than 36 percent of managed services spending by SMBs in 2009 will be made by companies with 10 to 49 employees, the report predicted, making it the most lucrative target segment but also the most difficult to reach. The study that includes market sizing covers remote and on-site/remote managed services and includes subsegments of PC management, server/network management, security, network storage and backup/recovery managed services. E-mail and Web hosting, collaboration and software as a service (SAAS) services are excluded from managed services and are sized separately, Techaisle noted.
"SMBs are now looking beyond infrastructure investments as their respective countries slowly emerge from the global downturn. With continuing education by vendors and channels, SMBs have begun embracing managed services with cautious optimism," said Techaisle CEO and Vice President of Research Anurag Agrawal. "Not surprisingly, SMB managed services spend represents a 46 percent share of the total managed services spend of $31.1 billion by businesses that include large enterprises with 1000+ employees."