PUBLISHER: Fortune Business Insights Pvt. Ltd. | PRODUCT CODE: 1886947
PUBLISHER: Fortune Business Insights Pvt. Ltd. | PRODUCT CODE: 1886947
The global ATM managed services market is undergoing significant transformation as financial institutions increasingly outsource ATM operations to enhance efficiency, reduce operational costs, and improve customer experience. According to the latest industry analysis, the ATM managed services market size was valued at USD 8.41 billion in 2024. The market is expected to expand further to USD 9.04 billion in 2025 and is projected to reach USD 16.78 billion by 2032, registering a robust CAGR of 9.2% during the 2024-2032 forecast period. This growth trajectory underscores the rising importance of outsourced ATM solutions in a rapidly evolving banking environment.
Market Overview
ATM managed services comprise a wide range of operational and administrative activities, including ATM site management, cash replenishment, currency management, ATM supply, maintenance, transaction processing, and remote monitoring. By partnering with specialized service providers, banks can focus more on core banking operations while ensuring high uptime, enhanced security, and seamless customer service at ATM points.
In 2024, North America held the leading market share, driven by the widespread adoption of managed service models and increasing investment in ATM infrastructure across convenience stores, commercial spaces, and retail chains. Meanwhile, Asia Pacific ranked as the fastest-growing region, attributed to rapid urbanization, rising ATM deployment rates, and expanding financial inclusion initiatives.
Key Market Trends
A growing trend of digital intelligence and outsourcing efficiency is reshaping the ATM managed services landscape. Banks and financial institutions are increasingly relying on third-party service providers to manage end-to-end ATM operations, including installation, repair, monitoring, security, and cash management. Advanced security technologies such as biometric authentication, anti-skimming devices, end-to-end encryption, and threat detection systems are becoming essential as cyber threats escalate globally.
Additionally, the adoption of cash recycling systems that support automated deposit and withdrawal processing is contributing to improved operational efficiency. These advanced ATMs reduce cash handling requirements, minimize replenishment frequency, and enhance customer convenience.
Market Drivers
The rising number of ATM deployments across developing and developed economies is a major driver of market expansion. Countries in Asia Pacific, North America, and South America are witnessing increasing ATM installations to support financial accessibility. For example, according to the Bank for International Settlements, ATM installations in South Korea grew by 4% between 2015 and 2023, reflecting the continuous need for ATM-based services.
Banks are also increasingly outsourcing ATM services to reduce in-house operational burdens, lower costs, and streamline workflows. Furthermore, regulatory requirements around ATM security and compliance are encouraging financial institutions to adopt managed service agreements, ensuring consistent monitoring and adherence to industry standards.
Market Restraints
Despite strong growth potential, the market faces challenges due to the global shift toward digital and cashless transactions. The rising adoption of mobile wallets, QR-based payments, and instant bank transfers has reduced dependence on cash, lowering ATM transaction volumes in several regions. Government initiatives promoting cashless economies for transparency and financial modernization may further slow down ATM usage over the long term.
Opportunities
Smart and multifunctional ATMs present lucrative growth opportunities. These ATMs offer advanced services such as video banking, biometric identification, bill payments, and cardless cash withdrawal capabilities. Companies like Hitachi Payment Services Pvt. Ltd., Diebold Nixdorf, and NCR Atleos Corporation are actively launching next-generation ATM technologies. In September 2023, Hitachi Payment Services introduced a smart ATM with UPI-based cardless withdrawal capabilities-an innovation expected to boost demand for advanced ATM managed services.
In 2024, Asia Pacific recorded USD 3.26 billion in market value, supported by increasing ATM deployment in retail, hospitality, and transportation sectors. China remains the dominant contributor within this region due to rising demand for secure, multifunctional ATMs.
Europe is projected to grow steadily, particularly due to increasing ATM security concerns and growing outsourcing trends. North America continues to expand with strong investments in ATM modernization; a notable example is the 2025 agreement between 7-Eleven and NCR Atleos to deploy 4,000 ATMs across U.S. convenience stores.
Conclusion
With projected growth from USD 8.41 billion in 2024 to USD 16.78 billion by 2032, the ATM managed services market is poised for strong expansion. Rising outsourcing trends, technological advancements in ATM security, and growing demand for smart ATMs will continue to fuel the industry's momentum across global markets.
Segmentation By Service Type
By ATM Location
By End User
By Region
Key Market Players' Profiles in the Report AGS Transact Technologies Ltd (India), NCR Atleos Corporation (Cardtronics Inc) (U.S.), Diebold Nixdorf Incorporated (U.S.), Euronet Worldwide Inc (U.S.), Financial Software & Systems Pvt Ltd (India), Fiserv Inc (U.S.), Hitachi Payment Service Pvt Ltd (India), CMS Info Systems Ltd (India), Cennox (U.K.), and Brinks Incorporated (U.S.)