Managed Application & Network Services Industry Profile

Report Page Length: 10-12
Last Quarterly Update: 5/1/2017
SIC Codes: 7374, 7379
NAICS Codes: 518210
Chapters Include:
Industry Overview Trends & Challenges Industry Forecast
Quarterly Industry Update Call Prep Questions Website & Media Links
Business Challenges Financial Information Glossary & Acronyms
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Excerpt from Managed Application & Network Services Industry Profile

Companies in this industry provide application hosting and data storage services, data processing, time-sharing computing services, and related infrastructure and network services. Major companies include Amazon Web Services, Equinix, Microsoft's Azure unit, Rackspace, and Windstream (all US-based), along with 1&1 Internet (Germany) and OVH (France).

The US and other established markets account for a large share of industry revenue, but operations in Asia and Latin America are expanding rapidly. Economic growth in China and India makes those markets key targets for industry expansion.

The US managed application and network services industry includes about 14,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $125 billion.

Some companies in this industry may focus on a single category of services such as managed website hosting, while others may offer a broad range of services. This industry also includes companies that provide data center services for cloud computing. Large telecommunications firms like AT&T and Verizon may also offer these services to their customers.

COMPETITIVE LANDSCAPE

Key demand drivers include business activity and technology innovation. The profitability of companies depends on technical expertise to ensure data center uptime and access to data. Large companies have advantages in access to capital for new equipment, larger and more powerful data centers, and global reach. Smaller companies can compete by offering specialized services or focusing on niche markets. The US industry is fragmented: the ...

 
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