Now Is The Time To Move From Break-Fix To Managed Services

Pretty much all segments of the IT service industry are growing, and projected to continue to do so for the next several years. When things are going well, it can be tough to convince yourself to go through the trouble of shifting your business model. But if you’re doing a lot of break-fix, it might be time to explore a transition to managed services. Here’s why.

Sustainable growth

The estimates vary by source, but the managed services business has been growing at 5-7x GDP over the past several years in the US, as we reported at our user conference last year. This is a strong growth industry, and there are reasons to believe that this trend will only continue. First, small businesses are predicted to double their IT spending in the next couple of years. This is driven by increased security spending, as well as movement towards cloud applications. These small businesses are not in a position to manage their own IT. Even if they wanted to, finding the talent to build an in-house team is a major challenge in a lot of markets. Small businesses need IT service providers, and will need them more in the coming years.