"Smart Strategies, Giving Speed to your Growth Trajectory"
The global cloud IT service management (ITSM) market size was valued at USD 4.15 billion in 2019 and is expected to reach USD 15.65 billion by 2027, exhibiting a CAGR of 18.2% during the forecast period.
Cloud IT service management (ITSM) is a collection of strategies and practices for deploying and managing IT services to meet the requirements and specific objectives of an organization. Cloud ITSM solutions and services are broadly implemented by organizations to manage their IT infrastructure, along with IT practices, software, hardware, and services. The Cloud ITSM solutions and services are generally provided by an IT service provider.
The market is primarily driven by the rising shift of startups and small and mid-sized enterprises (SMEs) towards the adoption of cloud-based applications and the increasing adoption of managed cloud IT services. Also, the rising investment by key players such as Atlassian Corporation PLC, Hewlett Packard Enterprise Company, ServiceNow, Inc., and others to develop and launch advanced cloud ITSM solutions is expected to drive the growth of the market. For instance,
Growing Demand for IT Service Such as Remote Setup, and Video/Audio Conference during Pandemic to Aid Growth
The global pandemic has led several businesses to adopt a remote-working environment. This swift relocation is managed by several IT organizations across the world. The demand for cloud-based IT services such as meeting software, video/audio conferences, live streaming, and others are increasing. With the rise in demand for cloud-based IT services, the market size for ITSM is expected to grow. For instance, during April – June 2020, Microsoft Corporation scaled demand for IT services up to 775% worldwide.
The demand for ITSM solutions and services is increasing among industries such as healthcare and media & entertainment. End-use organizations such as Netflix, DisneyPlus, and YouTube are investing in upgrading their IT infrastructure by adopting cloud ITSM services.
Various players in the market, such as ServiceNow, Inc., BMC Software, and Citrix Systems, among others, have launched mobile-based applications to assist their users in managing and monitoring their overall IT infrastructure. For instance, in July 2020, ServiceNow, Inc. launched an updated version of the Emergency Self Report app to assist its users in managing their entire IT infrastructure, including IT practices, software, hardware, and services.
Request a Free sample to learn more about this report.
Increasing Trends of Integrating ITSM Solutions with AI Platform to Drive Market Growth
One of the emerging cloud IT service management (ITSM) market trends is integrating cloud ITSM solutions and services with advanced artificial intelligence (AI) platforms. The AI platform assists organizations to automate a wide range of IT and enterprise management services and offers a scalable cloud platform.
Major players such as Serviceaide, Inc., BMC Software, IBM Corporation, and others are developing advanced ITSM solutions and services based on the AI platform.
Increasing Adoption of Cloud-based Applications to Augment Growth
The cloud IT service management market is driven by the rising adoption of cloud-based applications among startups and small and mid-sized enterprises (SMEs). Cloud-based applications assist organizations in reducing IT infrastructure operating costs, increasing scalability, collaboration efficiency, the flexibility of work procedure, business stability, and others.
Additionally, the rising investment by key players such as Atlassian Corporation PLC, BMC Software, IBM Corporation, Hewlett Packard Enterprise Company, ServiceNow, Inc., and others, to develop and launch advanced ITSM solutions would drive the growth of the market.
The rising adoption of core technologies such as big data, AI, cloud computing, and the Internet of Things (IoT) is expected to drive the demand for ITSM services. Also, the increasing deployment of the BYOD (bring your device) trend and the growing mobile workforce across the Asia Pacific and Europe, is expected to support the growth of the cloud IT service management market.
Lack of Awareness and Security Concerns to Restrain Market Growth
Although cloud ITSM offers several features, the majority of the end-users are still unaware of its services in developing countries across the Middle East and Africa, and South America. Also, security concerns for confidential data and business processes across the developing countries where cyber-attacks are increasing are expected to hinder the growth of the market.
Solutions Segment to Lead Owing to Increasing Demand for ITSM Monitoring Tools
Based on the component, the market is divided into solutions and services.
Among all, the solution is expected to capture the largest market share. This growth is attributed to the increasing demand for ITSM monitoring tools across IT & telecom, healthcare, and manufacturing industries. The solution segment is further categorized into configuration & change management, operations & performance management, service desk software, service portfolio management, others.
The services segment is expected to grow with the highest CAGR during the forecast period owing to the rising implementation of public cloud platforms among startups and SMEs.
Increasing Acceptance of Cloud Technologies among Startups and Small Enterprises to Aid Growth
Based on the organization size, the market is classified into small and medium enterprises (SMEs) and large enterprises.
Among all, SMEs are anticipated to grow with the highest CAGR during the forecast period. This is mainly attributable to the increasing adoption of cloud technologies. The large enterprises segment is projected to increase at a stable growth rate during the forecast period. The growth in the segment is owing to the rising adoption of cloud-managed networking services.
To know how our report can help streamline your business, Speak to Analyst
Rising Implementation of Cloud Services across Telecom & IT Industry to Boost Demand for Managed Services
Based on the industry, the market is divided into IT & telecommunication, healthcare, manufacturing, BFSI, media & entertainment, retail & consumer goods, government & public, and others.
IT & telecommunication is likely to dominate the market during the forecast period. The growth is owing to the rising demand for cloud services in the IT industry to execute operations such as IT outsourcing, infrastructure sharing, business process outsourcing, and others.
Other segments such as BFSI, healthcare, retail & consumer goods, media & entertainment, manufacturing, government & public are expected to grow at a considerable pace during the forecast period. Market players are focusing on adopting business strategies such as mergers and acquisitions to furnish the demand across industries.
To know how our report can help streamline your business, Speak to Analyst
North America Cloud ITSM market Size, 2019 (USD Billion)
To get more information on the regional analysis of this market, Request a Free sample
North America to Dominate the Market Owing to Rising Investment by Key Players and Government
Based on the region, the market has been studied across five foremost regions namely North America, South America, Europe, Middle East and Africa, and Asia Pacific.
North America is anticipated to hold a dominant share in the market. The growth in the region is mainly owing to the rising investment by key players to expand their presence worldwide. For instance:
Countries such as the US and Canada are among the developed economies, which contributes to a larger market share in the region. Moreover, the strong presence of technology providers and the advancement of core technologies are some of the factors expected to drive the growth of the market.
Key players in Asia Pacific countries are focusing on investments to adopt cloud-based applications and expand their presence worldwide. For instance, in August 2019, ServiceNow, Inc. expanded its presence by opening an R&D center in Hyderabad, India. The R&D center was established to advance the AI capabilities of ITSM product offerings.
Europe is projected to exhibit a substantial CAGR during the forecast period. This is attributable to the growing investment for the development of secure IT infrastructure across industries such as manufacturing, retail, and others. Countries such as Spain, Italy, Benelux (Belgium, Netherlands, and Luxembourg), and Germany are heavily financing to implement advanced cloud-based services.
The regions such as South America and the Middle East and Africa, are projected to develop with a significant growth rate. The growth is owing to the rising numbers of providers of cloud IT services across countries such as Israel, South Africa, UAE, Brazil, and others. According to a report by Cisco System, Inc., the overall cloud index (2013-2018) in the Middle East and Africa is predictable to illustrate a determined traffic growth rate of about 54%.
Market Players Focus on Completing Mergers, Collaboration, and Acquisition to Amplify Their Market Positions
Market players such as ServiceNow, Inc., Atlassian Corporation PLC, BMC Software, IBM Corporation, and Hewlett Packard Enterprise Company, among others, are among the top players in the market. These companies are focusing on executing several corporate strategies such as mergers, partnerships, and acquisitions. These corporate strategies are likely to help players reinforce their worldwide presence and provide advanced ITSM services across industries. For instance:
An Infographic Representation of Cloud IT Service Management (ITSM) Market
To get information on various segments, share your queries with us
The cloud ITSM market research report provides a detailed analysis of the market and focuses on key aspects such as leading companies, product and services types, and leading applications of the product. Besides this, the report offers insights into the market trends and highlights key industry developments. In addition to the aforementioned factors, the report encompasses several factors that have contributed to the growth of the advanced market over recent years.
2016 – 2027
2020 – 2027
2016 – 2018
Value (USD billion)
By Organization Size
Fortune Business Insights says that the global market size was USD 4.15 billion in 2019 and is projected to reach USD 15.65 billion by 2027.
In 2019, the market in North America stood at USD 1.93 billion.
Growing at a CAGR of 18.2%, the market will exhibit steady growth in the forecast period (2020-2027).
The solution segment is expected to be the leading segment in this market during the forecast period.
The increasing shift of startups and small and mid-sized enterprises (SMEs) towards cloud-based applications and the growing adoption of managed cloud IT services are major factors driving the growth of the market.
ServiceNow, Inc., Atlassian Corporation PLC, BMC Software, IBM Corporation, and Hewlett Packard Enterprise Company are some of the major players in the global market.
North America dominated the market share in 2019.
Asia Pacific is expected to exhibit the highest growth rate during the forecast period.
“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”- U.S.-based biotechnology company focussing on treatment of chronic pain.
“Kudos to your team. Thank you very much for your support and agility to answer our questions.”- Europe-based provider of solutions to automate data centre operations.
“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”- India-based manufacturer of industrial and specialty intermediates with a strong global presence.
“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”- One of the largest cosmetics company in the world.
“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”- U.S. based startup operating in the cultivated meat market.
“We received the below report on the U.S. market from you. We were very satisfied with the report.”- UGlobal hearing aids manufacturer.
“I just finished my first pass-through of the report. Great work! Thank you!”- U.S. based solar racking solutions provider.
“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”- World’s leading advisory firm.
“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”- Germany based machine construction company.
“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”- Japanese manufacturing company of stationery products.
“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”- One of the Leading Food Companies in Germany
“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”- Intuitive Surgical
“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”- Major Food Company in Japan
“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”- Ziering Medical
“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”- Major Manufacturer of Precision Machine Parts in India
“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”- Hewlett-Packard
“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”- Global Management Consulting Firm
“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”- UK-based Start-up in the Medical Devices Sector
“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”- One of the Largest Companies in the Defence Industry