IT Operations and Service Management (ITOSM) Market Report By Insights, Size, and Growth - 2031

The IT operations and service management (ITOSM) sector is projected to grow significantly, with an anticipated market size of US$ 69.21 billion by 2031, up from US$ 27.74 billion in 2023. This growth represents a compound annual growth rate (CAGR) of 12.1% from 2023 to 2031.

The ITOSM market is divided into six key regions: North America, Europe, Asia Pacific (APAC), the Middle East, Africa, and South & Central America. In 2023, North America led the market, followed closely by Europe and APAC. North America is recognized for its rapid technological advancements and the widespread adoption of cutting-edge technologies, supported by a robust IT infrastructure. According to the International Trade Administration, the United States holds the title of the largest information technology (IT) market globally, representing one-third of the US$ 5 trillion worldwide market. Over the past three years?2021, 2022, and 2023?there has been a significant uptake of technologies such as machine learning (ML), artificial intelligence (AI), and blockchain across various industry sectors. As digitization becomes more prevalent in different fields, IT operations and service management have emerged as essential elements for businesses. The region is also home to numerous leading market players, including IBM Corporation, Oracle, BMC Software, ServiceNow, and Broadcom. Furthermore, CompTIA reports that there are more than 557,000 software and IT service firms operating in the United States.

The ITOSM market in the Asia Pacific region is expected to witness the highest growth rate from 2023 to 2031. This region is experiencing a surge in the adoption of innovative technologies, with numerous tech and high-tech companies establishing a presence. Continuous development of digital capabilities is crucial for maintaining long-term competitiveness. Various governments in the region are implementing strategic initiatives to promote digitalization. For example, in February 2023, the Chinese government released the Overall Layout Plan for the development of a Digital China, aimed at enhancing the use of digital technologies across economic, political, cultural, social, and environmental domains. The plan outlines the establishment of a nationwide system by 2025 to achieve its Digital China objectives, with aspirations to rank among the top countries globally in terms of digitalization by 2035. As industries undergo digital transformation, the demand for effective ITOSM solutions is becoming increasingly important, driving the growth of the IT operations and service management market in this region.

In terms of market segmentation by type, the IT operations and service management market is categorized into solutions and services. The solutions segment currently holds the largest share of the ITOSM market. Organizations are increasingly adopting integrated ITOSM solutions, which is propelling market growth. Automating IT functions and workflows provides businesses with a competitive edge. For instance, in April 2024, Nutanix (NASDAQ: NTNX), a leader in hybrid multicloud computing, released findings from its sixth annual global Public Sector Enterprise Cloud Index (ECI) survey, which assesses the progress of enterprises in cloud adoption. The survey revealed that 87% of public sector IT leaders anticipate significant near-term adoption of various IT operating models, although current usage stands at 57%, slightly below the average of 60% seen in other sectors. Public sector organizations are keen to modernize their IT infrastructure and establish a foundation for adopting innovative technologies to enhance service delivery.

Key players in the IT operations and service management market include Ardent IT Private Limited, Alnafitha IT, PROV INTERNATIONAL INC., BMC Software, Happiest Minds, IBM Corporation, Oracle Corporation, Microsoft Corporation, Fujitsu, and NTT DATA Corp, all of which are highlighted in this market analysis.

The overall size of the IT operations and service management market has been determined through a combination of primary and secondary research methods. Extensive secondary research has been conducted using both internal and external sources to gather qualitative and quantitative data regarding the ITOSM market size. This approach also aids in providing a comprehensive overview and forecast of the market across all segments. Additionally, numerous primary interviews have been carried out with industry stakeholders to validate the data and obtain analytical insights. This process includes discussions with industry experts such as vice presidents, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the IT operations and service management sector.