October 31, 2019
What Are Managed IT Services?
A recent survey found that nearly 70% of small to medium businesses hire at least one type of managed IT service provider.
IT, as a service, also known as managed IT services, is a model in which businesses hire a third party to oversee and manage all of their IT needs.
Managed IT services typically provide the technical expertise needed but at a much lower cost to a business that was considering having IT professionals on staff. Contracted IT service providers deliver the same services as in-house IT; they can recommend, install, and manage all of a business’ IT needs.
Hiring a managed service provider (MSP) to deliver their IT needs frees up the business to focus on innovation and growing daily operations.
Growth Of IT As A Service
Datto recently released its latest State of the MSP Report which found that IT service providers are adjusting their business model to include more managed services than ever. They are also looking to bump up hiring in response to demand.
The survey also found that MSPs are now becoming strategic advisors to their clients.
According to Markets and Markets, the managed IT services market is expected to be worth roughly $258 billion by 2022, which is nearly double what it was in 2017: $152 billion.
Managed IT services evolved from the more traditional break-fix model in which businesses would hire a third-party contractor on an ad hoc basis to repair or maintain its network. Now, companies hire MSPs on a subscription basis, paying an agreed-upon amount each month.
There are several benefits to hiring managed IT services:
- Technological Updates: MSPs will alert their clients when it’s time to update technology and make recommendations about growing or changing infrastructure without breaking a business’ budget.
- Cost-effective: Hiring a contractor for managed IT services is far more cost-effective than hiring in-house IT staff. It also allows for more predictable budgeting for IT services since MSPs operate under a flat-rate monthly fee.
- Network Security: MSPs work proactively with an eye toward preventing cyberattacks and network failure. They are continually monitoring applications, hardware, and endpoints.
- More Nimble: MSPs can often implement new technology more rapidly because they have the resources needed to research and install new applications and hardware.
- Disaster Recovering Planning: Many MSPs offer help with creating and implementing a disaster recovery plan, which is an essential step to safeguarding your business against disaster.
Managed IT services are a smart option for businesses looking to scale but lacking the budget to support the infrastructure.