Technology Industry Update for First Quarter 2026

This document is a report detailing the technology industry's performance for the first quarter of 2026. It outlines key trends in managed services, SaaS, and IaaS, highlighting the growth and challenges faced in each sector. Managed services have shown steady performance with a notable increase in total contract value (TCO) deals. The demand for enterprise AI remains robust, while SaaS continues to grow despite concerns regarding AI disruption. The report also presents statistics indicating that the combined market reached nearly $40 billion, with managed services experiencing their second-best quarter ever. The document further discusses the performance of various sectors, including engineering and manufacturing, and notes the significant growth in the as-a-service model, which achieved record-breaking results. Additionally, it addresses geopolitical tensions and their potential impact on the market, as well as the ongoing evolution of AI's role in shaping industry dynamics.