Report · 2026-03-31 · 65d

The $6 Trillion IT Services Market: Why Silicon Valley Ignores the Largest Technology Industry

Despite representing a $6 trillion market, IT and managed services remain largely unmodernized compared to other tech sectors. Traditional MSPs operate with legacy models from 2005, creating fragmentation, poor customer satisfaction, and inefficiency. Treeline proposes a Modern IT Operating System that uses software and AI to automate IT operations while preserving human expertise for strategic decisions.

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Metrics in this report

Average MSP Size

<10employees

majority

US MSPs with fewer than 10 employees

IT Budget Absolute Value

1.5-2.5million $

annually

$50 million company

IT Budget as Revenue Percentage

3-5%

rule of thumb lower bound

$50 million company annual IT, security, compliance spend

IT Spend Projection

6trillion $

projected

Global IT services market, 2026

Number of MSPs

40,000+count

over

United States market

SMB Satisfaction with IT Providers

23%

reported

Small-to-medium businesses