Managed
IT Services

The remote monitoring and management of servers, desktops and mobile devices is a common type of managed IT service. Remote monitoring and management is often a basic, foundational service for a managed services provider. And since many managed services provider firms offer this service, there's heavy competition and pressure on profit margins.

The commoditization of basic managed services has compelled managed services providers to differentiate their offerings. One popular direction is managed security services. Customers increasingly demand IT security assistance from their service providers. Accordingly, services providers are developing managed security services practices or partnering with security vendors to provide cybersecurity services.

With the advent of cloud computing, managed IT services have also evolved to include cloud services. Service providers, for example, may focus on infrastructure as a service (IaaS), providing managed public cloud services in conjunction with cloud providers such as Amazon Web Services (AWS), Google and Microsoft. Service providers may also market managed platform as a service (PaaS) offerings or partner with software as a service (SaaS) vendors such as Salesforce in the CRM space and ServiceNow in the service management market.

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