Server Administration by Managed Service Providers

Server Administration: MSP reliance is on the rise as the server market becomes more complex

In Australia, enterprises are increasingly relying on managed service providers to deploy server infrastructure as it becomes increasingly complex.

GlobalData forecasts that Australian spending on managed server services will increase at a compound annual growth rate (CAGR) of 8.4 percent between 2020 and 2025.

However, there is a demand for MSPs and other third parties to manage this server infrastructure, prompted in part by the COVID-19 pandemic.

Even though most Australian enterprises have recovered from the COVID-19-induced slowdown, the need to keep IT spending in check will push them to look for third-party management of their server environment.

Moreover, as advanced server infrastructure becomes more complex to manage in-house, enterprises will increasingly turn to managed service providers.

The Australian server market is growing due to a post-COVID-19 economic recovery and a current digital transformation push.

Earlier this year, Australia announced its A$1.2 billion Digital Economy Strategy, which GlobalData claims will boost adoption of digital technologies such as cloud, 5G, and blockchain, and stimulate the demand for key components of IT infrastructure such as servers and storage.

During the forecast period, enterprise servers will spend the most on server hardware.

The telecom managed services market

In the forecast period, Telecom Managed Services is projected to reach USD 44.12 billion, with a CAGR of 14.1%. The total amount spent on Telecom Managed Services was USD 11.45 billion in 2019. Businesses can reduce costs by utilizing telecom managed services and focus on business activities and strategies. 

Additionally, more people are using social media within organizations as a result of the growing number of smartphones and tablets. 

Telecom managed services improve agility and efficiency by reducing risks and limitations associated with business operations and management. The major objective of telecom managed services is to maintain and operate the infrastructure and services of enterprise networks. By using telecom managed services, companies can increase the reliability of their business operations.

Among the key players in the industry are AT&T, Amdocs, Cisco Systems, Inc., Huawei Technologies Co., NTT Data, Tech Mahindra, Verizon,, Windstream, Unisys, Ericsson AB, CenturyLink, Comarch S.A., and IBM, among others.

Findings from the Report Suggest:

  • Telecom Managed Services will grow at a CAGR of 14.1% from 2016-2027, valuing USD 44.12 billion by that time. Market value in 2019 was USD 11.45 billion.
  • The increasing need to minimize capital expenditures and the need for businesses to focus on their core strategies and activities. Furthermore, the development of 5G network technology will provide lucrative growth opportunities over the next few years.
  • Managed mobility services mainly offer configuration, deployment, and smart device management. They provide seamless connectivity between remote workers and employees in the office. In addition, managed mobility services are also expected to experience significant growth due to the fact that these services allow employees to access enterprise data from any smart device at any time.
  • Managed storage services generally involve offloading company data from the server of the managed service provider (MSP) onto another server operated by a third party.

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Neomi Rao

Neomi Rao is an Outreach Community Specialist for Managed Server Administration Services Company which focuses on the latest trends of technology, small business needs. Her specialty lies in social media marketing and digital marketing.

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