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AI-driven outsourcing spurs growth in managed network services across U.S. enterprises

As digital complexity accelerates, U.S. enterprises are increasingly turning to managed network services to navigate an evolving technological landscape. According to a 2024 report by Information Services Group (ISG), businesses are outsourcing network management at unprecedented levels, driven by regulatory pressures, rising security threats, and the widespread adoption of AI and remote work. Consequently, this shift reflects a strategic move to enhance scalability and mitigate operational burdens.

Managed network services offer comprehensive solutions for connectivity, security, and performance optimization. By integrating AI-driven automation, service providers are streamlining network monitoring and troubleshooting, allowing businesses to maintain robust infrastructure while reducing internal strain. Moreover, these services enable organizations to adopt new technologies with greater efficiency.

“Networks are becoming more intricate as digital technologies evolve,” noted Dieter Thompson, head of ISG’s Network and Software Advisory division. “Outsourcing network management not only helps organizations adapt to rapid changes but also allows them to focus on innovation and growth.”

The study reveals that U.S. companies are outpacing global peers in adopting fully managed network models. Initially, many relied on co-managed systems, but most have now transitioned to outsourced solutions.

As a result, businesses can minimize risks, reduce complexity, and scale more effectively, particularly when integrating advanced technologies such as generative AI and machine learning.

Emerging trends such as Managed Connectivity Services and Network as a Service (NaaS) are further reshaping the market. Tools like VoIP and Direct Internet Access are becoming essential for secure, high-speed connectivity.

Meanwhile, NaaS provides scalable, pay-as-you-go solutions tailored to dynamic business needs, especially for midsize enterprises seeking cost-effective growth.

Jan Erik Aase, global leader at ISG Provider Lens Research, highlighted the appeal of flexible outsourcing models. “Midsize businesses are turning to managed services to stay competitive, adapt swiftly, and scale operations efficiently,” he explained.

As enterprises increasingly integrate AI-powered tools, managed network services are proving critical for reducing downtime and enhancing security. Ultimately, these partnerships serve as more than operational solutions; they act as strategic enablers, empowering businesses to thrive in a fast-changing digital economy. For U.S. organizations, managed services represent a vital pathway to agility, innovation, and long-term success.

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