North America IT Services Market Insights Forecasts to 2032

• The North America IT Services Market Size was valued at USD 489.6 Billion in 2022.
• The Market Size is Growing at a CAGR of 5.82% from 2022 to 2032.
• The North America IT Services Market Size is expected to reach USD 861.69 Billion by 2032.
• North America is expected To Grow the fastest during the forecast period.

The North America IT Services Market Size is expected to reach USD 861.69 Billion by 2032, at a CAGR of 5.82% during the forecast period 2022 to 2032.

 The industry's demand for IT services is highlighted by rising IT spending, broad adoption of software-as-a-service, and an upward trend in cloud-based opportunities.

Market Overview

Information technology services became the primary driver driving the IT revolution, which altered the way businesses operate. These services have boosted the effectiveness of operational procedures while allowing companies to focus on their primary strengths without worrying about their existing IT infrastructure. Organizations utilize IT services for a number of objectives, ranging from everyday duties like employee record administration to complicated administrative tasks like operations management and supply chain management. IT services firms, among other things, provide software development, application administration and servicing, computer system integration, data storage and recovery, advisory services, hardware implementation, cloud-based computing, and cybersecurity. With sophisticated technology, such as cloud computing, IT services are gaining appeal. Artificial intelligence is also expanding its range of uses across the end-user category, which will drive market growth throughout the forecast period. Furthermore, the increased usage of cloud services, as well as the amount, accuracy, diversity, and rapidity of data stored by enterprises, are driving growing demand for cutting-edge data center infrastructure. Many businesses, most notably Google LLC, Amazon, Apple, and Facebook are investing heavily in developing their own data centers. These companies are among the clients of edge data center service providers. These factors are projected to propel the North American IT services market forward over the forecast period.

Present-day technological breakthroughs, including as big data and analytics, the Internet of Things (IoT), Artificial Intelligence (AI), and Machine Learning (ML), have driven up the interdependence and multifaceted nature of systems and networking operations. The businesses lack the necessary understanding to integrate these kinds of technologies into their day-to-day operations. They further lack the requisite infrastructure to adopt these technologies. As a result, the cost of procuring new technology and managing it internally has risen. Furthermore, as an increasing number of employees using mobile applications has grown, businesses have become more inclined to implement Bring-Your-Own-Device (BYOD) policies. Furthermore, the widespread adoption of online transactions, the emergence of advanced technologies such as AI and blockchain technology in the banking, finance, and insurance industry, as well as the growing number of e-wallets, are projected to fuel the development of the North America IT services market over the forecast period.

Report Coverage

This research report categorizes the market for North America IT Services Market based on various segments and regions and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the North America IT Services Market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segments of the North America IT Services Market.

Market Segment

• In 2022, the professional services segment is witnessing a higher growth rate over the forecast period.

On the basis of service type, the North America IT Services Market is segmented into professional services, managed services, and telecom services. Among these, the professional services segment is expected to develop at a faster rate during the forecast period. The professional services are sub-segmented into system integration, infrastructure integration, training & education, consulting, and others. Among these, the system integration sub-segment is expected to dominate the market over the forecast period. The method of connecting all of a system's virtual and physical parts throughout an organization is known as system integration. There are many both small and large-scale enterprises, as well as startups, in the system integration industry. System integration is expected to increase as firms focus more on simplifying procedures and consolidating them into a single platform. Furthermore, increased digitization and automation are driving market expansion.

• In 2022, the sales & marketing segment accounted for the largest revenue share of more than 34.7% over the forecast period.

On the basis of function type, the North America IT Services Market is segmented into human resources, finance & accounting, sales & marketing, supply chain management, operations & support, manufacturing, and others. Among these, the sales & marketing segment is dominating the market with the largest revenue share of 34.7% over the forecast period. Marketers use IT applications and services to plan and manage marketing activities for firms. The expanding tendency toward personalization, as well as the increased usage of mobile phones and the internet, have made it possible for companies to enhance their interaction with customers. Businesses can use IT services to economically develop and sustain customized customer journeys, as well as improve sales and marketing.

• In 2022, the healthcare segment accounted for the largest revenue share of more than 41.2% over the forecast period.

On the basis of industry, the North America IT Services Market is segmented into BFSI, healthcare, media & entertainment, government & defense, consumer goods & retail, IT & telecom, and others. Among these, the healthcare segment is dominating the market with the largest revenue share of 41.2% over the forecast period. Several medical professionals employ IT support services to ensure the efficiency of critical healthcare equipment and to improve the efficacy of their company's operations. Healthcare IT services can assist with these administrative procedures and give confidence in the event that IT support is required. In the United States, IT services help organizations satisfy various compliance standards set by the Healthcare Information Portability and Accountability Act (HIPAA), as well as cybersecurity and software management difficulties.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the North America IT Services Market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• IBM
• Cisco
• Cognizant
• Infosys
• Rackspace
• Accenture PLC
• Microsoft Corporation
• Hewlett Packard Enterprise
• Huawei Technologies Co. Ltd.
• GTT Communications
• DXC Technology

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments

• On May 2023, WHSmith North America (WHSNA) has chosen Oracle's AI-powered retail cloud platform to optimize inventory planning and positioning in its stores in the United States and Canada. The WHSNA planning team is utilizing Oracle's retail cloud tools to create a more precise inventory plan that specifies and optimizes assortment, style, and size suggestions. AI-powered inventory planning guarantees that the right item is available in the proper brands and locations to satisfy customer expectations.

• On February 2023, L&T Technology Services Limited, a leading global pure-play engineering services company, has unveiled a new suite of offerings centered on Industry 4.0 technologies for key verticals such as transportation, medical devices, and high-tech, utilizing the most recent advancements in Artificial Intelligence (AI), robotics, 3D-vision systems, and connected machines. For customers in North America, LTTS' engineering team is producing implementable services and solutions based on transformative technology.

Market Segment

This study forecasts revenue at global, regional, and country levels from 2021 to 2032. Spherical Insights has segmented the North America IT Services Market based on the below-mentioned segments:

North America IT Services Market, By Service Type

• Professional Services
  • System Integration
  • Training and Education
  • Consulting
• Managed Services
  • Managed Security
  • Managed Network
  • Managed Mobility
  • Managed Information
• Telecom Services

North America IT Services Market, By Function Type

• Human Resources
• Finance & Accounting
• Sales & Marketing
• Supply Chain Management
• Operations & Support
• Manufacturing, Others

North America IT Services Market, By Industry

• Banking, Financial Services, and Insurance (BFSI)
• Healthcare
• Media & Entertainment
• Government & Defense
• Consumer Goods & Retail
• IT & Telecom
• Others

North America IT Services Market, By Country

• United States
• Canada
• Mexico