Global ACV rose 43% year-over-year to a record $42.4 billion in Q2, led by a 65% jump in XaaS to $31.5 billion and 78% IaaS growth. Managed services ACV inched up 2.7% to $10.9 billion despite a quarterly dip and fewer mega-deals.
The combined global annual contract value (ACV) for technology services surged 43% year-over-year to a record $42.4 billion in Q2, marking the industry’s highest growth rate ever and the eighth consecutive quarter of double-digit expansion.
Cloud XaaS revenue climbed 65% to $31.5 billion, driven by enterprise AI initiatives, with infrastructure-as-a-service (IaaS) leading at a 78% gain to $25.8 billion and software-as-a-service (SaaS) up 25% to $5.7 billion.
Managed services ACV rose 2.7% to $10.9 billion but was down 2.7% sequentially, with only seven mega-deals signed versus eight last year; new-scope awards fueled a 14% ACV rise, accounting for nearly 75% of bookings.
For the first half, combined market ACV increased 35% to $81.3 billion, with XaaS up 53% to $59.2 billion and managed services up 2.7% to $22.1 billion across 1,464 contracts, including 13 mega-deals.
