Schedule a Meeting
Get a SampleAugust 2024
The global information technology service management market size is calculated at USD 15.44 billion in 2025 and is forecasted to reach around USD 51.93 billion by 2034, accelerating at a CAGR of 14.43% from 2025 to 2034. The North America market size surpassed USD 5.53 billion in 2024 and is expanding at a CAGR of 14.57% during the forecast period. The market sizing and forecasts are revenue-based (USD Million/Billion), with 2024 as the base year.
The global information technology service management market size was estimated at USD 13.49 billion in 2024 and is predicted to increase from USD 15.44 billion in 2025 to approximately USD 51.93 billion by 2034, expanding at a CAGR of 14.43% from 2025 to 2034. The growth of the information technology service management market is driven by the increasing need to improve IT infrastructure. Furthermore, the increasing need for better efficiency, flexibility, and transparency in IT operations is boosting the growth of the market.
Artificial intelligence (AI) plays a significant role in information technology service management (ITSM). AI provides several benefits for IT organizations by enabling efficient delivery of services, faster problem-solving, and increased user experience. AI automates repetitive tasks, like raising tickets and resolving IT support issues. Automation of mundane tasks reduces the burden of IT staff, enabling them to focus on other complex tasks. Moreover, AI-driven automation lowers manual efforts, scales up the processing period, and provides support teams with more time to spend on core tasks. This allows staff to work faster and more efficiently. AI also reduces human errors and variations in processing support requests, improving service quality.
The U.S. information technology service management market size was exhibited at USD 3.87 billion in 2024 and is projected to be worth around USD 15.19 billion by 2034, growing at a CAGR of 14.65% from 2025 to 2034.
North America’s Stronghold on the Market
North America registered dominance in the information technology service management market by capturing the largest share in 2024. This is mainly due to the strong presence of leading IT companies. The North American government has implemented various initiatives, including the National Strategy for Trusted Identities in Cyberspace and the NIST Cybersecurity Framework, to encourage businesses to improve their ability to detect and prevent cyber threats. Moreover, a strong focus on digital transformation and innovation among various industries further bolstered the regional market growth.
Asia Pacific: The Fastest-Growing Region
The information technology service management market in Asia Pacific is anticipated to expand at the highest CAGR over the forecast period due to the rising digitalization across various industries like healthcare, finance, and manufacturing, increasing adoption of cloud computing, and the rising demand for managed and professional services. The rapid expansion of the IT & telecom sector and the increasing acceptance of hybrid work models are likely to contribute to market growth.
China and India play a major role in the market. China promotes a stronger digital economy, builds a digital culture with prosperity and confidence, creates a digital society featuring comprehensiveness and convenience, and shapes an intelligent and digital ecological civilization. Moreover, the rising government initiatives to promote digitization further support market growth. For instance, the Indian government launched the 'Digital India' initiative to improve digital infrastructure and raise internet accessibility. This, in turn, boosts the demand for ITSM solutions.
Europe to Witness Notable Growth
Europe is observed to grow at a significant rate in the upcoming period. The rapid expansion of the IT infrastructure boosts market growth. European businesses are investing heavily in IT services to streamline their operations and enhance efficiency. Moreover, stringent regulations regarding data security significantly boost the adoption of ITSM solutions among businesses.
The information technology service management market is expected to expand rapidly during the forecast period due to the rapid expansion of the IT sector across the world. IT service management (ITSM) is a set of processes used to plan, design, and manage service delivery. ITSM encompasses a comprehensive range of services that help to improve IT infrastructure. ITSM supports IT businesses in boosting productivity and enhancing user experience. It also helps organizations boost market strategies, maintain compliance with regulatory and organizational requirements, and lower risk by embedding controls into IT service design, delivery, and management.
| Report Coverage | Details |
| Market Size by 2034 | USD 51.93 Billion |
| Market Size in 2025 | USD 15.44 Billion |
| Market Size in 2024 | USD 13.49 Billion |
| Market Growth Rate from 2025 to 2034 | CAGR of 14.43% |
| Dominating Region | North America |
| Fastest Growing Region | Asia Pacific |
| Base Year | 2024 |
| Forecast Period | 2025 to 2034 |
| Segments Covered | Component, Technology, Deployment Mode, Enterprise Size, Industry Vertical, and Regions. |
| Regions Covered | North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa |
Shift Toward Hybrid Work Models
IT businesses are rapidly embracing hybrid work models, boosting the demand for ITSM solutions for seamless operations. Hybrid work models require ITSM solutions to manage a distributed workforce and provide timely assistance. With employees working from various locations, the need for IT support increases. Hybrid work models often increase security concerns. This, in turn, boosts the need for ITSM solutions to efficiently manage risks. In addition, the rising concerns about cybersecurity boost the demand for ITSM solutions that incorporate security management features.
A Lack of Understanding About ITSM Processes
A significant challenge in the information technology service management market is the lack of understanding in IT teams, which leads to inefficient problem resolution and poor service delivery. Technicians often prioritize rapid closure over accurate problem-solving, misinterpreting user requirements in an attempt to lessen workload. This approach not only fails to address the root cause of IT challenges but also negatively impacts user satisfaction and service quality. A lack of process understanding leads to inefficient service delivery and longer resolution time.
Integration of DevOps into ITSM
The integration of DevOps into ITSM creates immense opportunities for IT organizations seeking greater speed, agility, and efficiency in IT service delivery. Conventionally operating as separate frameworks, ITSM and DevOps are integrating to increase collaboration, continuous delivery, and iterative development. This technology allows faster deployment, enhanced service quality, and better alignment with business objectives. As enterprises increasingly adopt DevOps-driven ITSM solutions, they streamline workflows, automate processes, and accelerate innovation, enabling them to gain a competitive edge in the evolving digital landscape.
The solution segment dominated the information technology service management market with the largest share in 2024. This is mainly due to the rise in the need among businesses to streamline operations. ITSM solutions offer many benefits, including increased operational efficiency, reduced operational costs, enhanced productivity, increased consumer experience, and improved transparency. ITSM solutions automate operations and enhance IT service delivery. They help IT businesses manage various mundane tasks without additional staff because ITSM solutions automate tasks, which may have required new team members to be hired before.
The service segment is projected to expand at a significant growth rate during the forecast period. The rapid shift toward hybrid work models is boosting the demand for support services. These services provide timely assistance, help in risk management, and enable organizations to resolve queries rapidly. These services play a key role in enhancing client satisfaction and customer loyalty.
The network management segment captured the largest share of the information technology service management market in 2024. This is mainly due to the rise in the need for network security. Network management solutions allow network operators to monitor, operate, and control enterprise computer networks. The key role of network management solutions is to ensure network resources are made available to users. These solutions identify anomalies in the network, mitigating the risks of cyber threats.
The database management system segment is expected to grow at a rapid pace in the coming years. Database management system (DBMS) improves data security, enables efficient data access and sharing, reduces redundancy, and improves data integrity, leading to improved decision-making and productivity of the organization. With the rising volume of data, the need for real-time data monitoring solutions is increasing, significantly contributing to segmental growth.
The cloud segment held the largest share of the information technology service management market in 2024 due to the heightened adoption of cloud computing. Cloud-based ITSM provides organizations with many benefits, from flexibility and scalability to cost-saving and improved security. Cloud-based ITSM solutions emerged as a strategic move that considerably increases business performance and flexibility. Cloud-based ITSM solutions are hosted on cloud servers, enabling users to access them from anywhere, improving flexibility in operations.
The on-premises segment is anticipated to witness significant growth in the coming years. The segment growth is attributed to the growing concerns about cybersecurity. The on-premise deployment offers businesses greater control over the infrastructure, enabling them to customize and configure it to consumers' exact requirements. Since on-premises ITSM solutions deploy in organization's infrastructure, they reduce concerns regarding data privacy and security.
The large enterprises accounted for the largest market share in 2024. Large enterprises often have more complex IT infrastructure, requiring continuous assistance to streamline operations and address complexities. ITSM solutions enable large enterprises to increase efficiency and productivity by streamlining IT operations. Moreover, large enterprises often have wide networks and vast data volumes, increasing security concerns. This, in turn, boosts the adoption of ITSM solutions among large enterprises to address data and network security concerns.
The SMEs segment is anticipated to grow at the fastest rate over the studied period as SMEs often rely on IT services to boost their efficiency and productivity. ITSM solutions enable them to streamline IT operations and improve business productivity. In addition, the rising adoption of cloud solutions among SMEs due to their cost-effectiveness boosts the demand for ITSM solutions.
The IT & telecom segment led the information technology service management market with the largest share in 2024. This is mainly due to the proliferation of IT services. IT businesses rely on ITSM solutions to manage the end-to-end delivery of IT services to consumers. The segmental growth is further driven by the increasing adoption of cloud computing and the growing concerns about network security among IT and telecom businesses.
The healthcare segment is anticipated to expand at the highest CAGR over the projection period. ITSM solutions enable healthcare organizations to monitor and identify anomalies in the network, improving risk assessments and data security, which are important for complying with strict healthcare regulations. This ensures that healthcare organizations meet all necessary legal requirements and maintain high standards of data protection. The expansion of IT infrastructure in healthcare further boosts the demand for ITSM solutions.
By Component
By Technology
By Deployment Mode
By Enterprise Size
By Industry Vertical
By Region
For inquiries regarding discounts, bulk purchases, or customization requests, please contact us at sales@precedenceresearch.com
No cookie-cutter, only authentic analysis – take the 1st step to become a Precedence Research client
August 2024
September 2024
August 2024
October 2024