North America IT Services Market by Service Type, Deployment Mode, Organization Size, Business Function, Vertical (BFSI, Government and Defense, Healthcare, and Consumer Goods and Retail) and Country - Forecast to 2027

North America IT Services Market by Service Type, Deployment Mode, Organization Size, Business Function, Vertical (BFSI, Government and Defense, Healthcare, and Consumer Goods and Retail) and Country - Forecast to 2027

The North America IT services market size is expected to grow from USD 500.0 billion in 2022 to USD 700.6 billion by 2027 at a Compound Annual Growth Rate (CAGR) of 7.0% during the forecast period. IT services are the application of technical and business expertise to help firms create, manage, and access information and business processes. The North America IT services market is primarily driven by the rising demand for cloud-based IT services across industries. It gives all organizational units remote access to data and applications storage and retrieval. Additionally, the market benefits from the Internet of Things (IoT) and Artificial Intelligence (AI) integration with connected devices and fast digitization. Through the use of business analytics and operational optimization, IT services enable precise forecasting.

As per managed services, managed data center and IT infrastructure to hold largest market size during forecast period

The managed services segment is sub segmented into managed security service, managed network service, managed data center and IT infrastructure, managed communication and collaboration, managed mobility service, and managed information service. As per managed services, managed data center and IT infrastructure market size is expected to grow from USD 43.1 billion in 2022 to USD 62.0 billion by 2027 at a Compound Annual Growth Rate (CAGR) of 7.6% during the forecast period. To fully embrace digitalization, a company's IT infrastructure must be matched with business needs. Greater security and compliance, agile infrastructure, increased staff productivity, and improved customer experiences are all benefits of IT infrastructure. The servicing and maintenance of all hardware and network equipment, such as installation, upgrading, and patching of Operating Systems (OS) and other software, storage and backups, and fault tolerance, are all typically the responsibility of service providers and are based on the service level agreement. Further, a managed data center is a particular kind of data center model that is set up, run, and supervised by a third-party data center service provider. It offers capabilities and features similar to those of a typical data center but via a Managed Service Platform (MSP).

As per infrastructure integration, network segment to hold largest market size during forecast period

The infrastructure integration segment is further subsegmented into the data center, network, security, mobility, and others. As per infrastructure integration, the network segment holds the largest market size and is expected to grow from USD 40.6 billion in 2022 to USD 48.9 billion by 2027 at a Compound Annual Growth Rate (CAGR) of 3.8%% during the forecast period. Network service providers offer various services to monitor, maintain, and protect the network infrastructure of organizations while reducing network operating costs. New network business tools are released by vendors to link users in various locations and improve communication efficiency. To operate tasks, such as data transfers and switches, network technology requires network management software. Infrastructure is still not complete without network administration, which ensures that the servers, cabling, and switches are coordinated and achieve the required outcomes. For every industry, reliable and secure network infrastructure has become essential. To guarantee zero network outages and streamline network operations, organizations of all sizes, including SMEs and large corporations, invest extensively in network performance and monitoring solutions and services.

As per application integration, application testing to grow at highest CAGR during forecast period

The application integration segment is further subsegmented into application development, application testing, and application lifecycle management. As per application integration, application testing is expected to grow at the highest CAGR of 12.7% during the forecast period. Applications are checked for accuracy, usability, and consistency during the application testing process, which helps find flaws throughout the entire program. Applications need to be tested for improved functionality after development and before implementation. It involves a set of programmed manual, automated, or both techniques to reveal software application flaws. It covers every stage of a software program's functional testing. Such testing helps the team assess and enhance the program's quality while also reducing the organization's costs connected with software development and testing. Application testing can take many various forms, including unit testing, integration testing, performance testing, and acceptability testing.

Breakdown of primaries

In-depth interviews were conducted with Chief Executive Officers (CEOs), innovation and technology directors, system integrators, and executives from various key organizations operating in the North America IT services market.

By Company: Tier I: 20%, Tier II: 34%, and Tier III: 46%

By Designation: C-Level Executives: 35%, Directors: 25%, and Others: 40%

By Region: Asia Pacific: 22%, Europe: 11%, North America: 62%, Rest of World: 5%

The report includes a study of key players offering North America IT services. It profiles major vendors in the North America IT services market. Some of the major North America IT services market vendors are IBM (US), Hewlett Packard Enterprise (US), Accenture (Ireland), Cisco (US), Wipro (India), HCL Technologies (India), Cognizant (US), Infosys (US), Rackspace (US), TCS (India), Fujitsu (Japan), Capgemini (France), Ericsson (Sweden), Huawei Technologies Co. Ltd. (US), Nokia Networks (Finland), GTT Communications (US), SAP (Germany), DXC Technology (US), NTT Data (Japan), and NEC Corporation (US).

Research coverage

The market study covers the North America IT services market across segments. It aims at estimating the market size and the growth potential of this market across different segments, such as service type, deployment mode, organization size, business function, vertical, and country. It includes an in-depth competitive analysis of the key players in the market, along with their company profiles, key observations related to product and business offerings, recent developments, and key market strategies.

Key benefits of buying report

The report would provide the market leaders/new entrants with information on the closest approximations of the revenue numbers for the overall North America IT services market and its subsegments. It would help stakeholders understand the competitive landscape and gain more insights better to position their business and plan suitable go-to-market strategies. It also helps stakeholders understand the market's pulse and provides them with information on key market drivers, restraints, challenges, and opportunities.