Software-Defined Networking Market analysis report by Future Market Insights shows that global sales of the Software-Defined Networking Market in 2021 were held at USD 16 Billion. With the projected market growth of 17.2% from 2022 to 2032, the market is projected to reach a valuation of USD 95 Billion by 2032. SDN via Overlay is expected to be the highest revenue-generating segment, projected to grow at a CAGR of around 17.8% from 2022 to 2032.
| Attributes | Details |
|---|---|
| Global Software-Defined Networking Market Size (2022) | USD 19 Billion |
| Global Software-Defined Networking Market Size (2032) | USD 95 Billion |
| Global Software-Defined Networking Market CAGR (2022 to 2032) | 17.2% |
| USA Software-Defined Networking Market Size (2032) | USD 34 Billion |
| Key Companies Covered | Cisco; Dell EMC; HP Enterprises; VMware; Huawei; Broadcom Inc.; Arista Networks; Intel Corporation; IBM Corporation; AT&T Inc. |
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As per the Software-Defined Networking Market research by Future Market Insights - a market research and competitive intelligence provider, historically, from 2015 to 2021, the market value of the Software-Defined Networking Market increased at around 19.8% CAGR.
The enormous growth in the size and complex network infrastructures over the last decade has created a demand for solutions that can simplify and effectively manage the whole network. Software-defined networking technologies address these issues directly by giving the operator more freedom in traffic control to improve network efficiency.
As a result, a high percentage of Communication Service Providers (CSPs) worldwide are investing in software-defined networking technologies for end-to-end network and service administration and control.
Simplifying and automating network administration leads to better service provisioning. CSPs are configuring their networks to reap the benefits of a virtualized network infrastructure, which include increased agility, visibility, flexibility, and cost-efficiency.
CSPs are being forced to invest in software-defined networking technologies to reduce total CAPEX and OPEX costs and compete effectively in data-driven digitalization, which is progressively dominated and controlled by Over-the-Top (OTT) companies.
SDN serves as a link between applications, routers, and switches, relaying data, and information among them. SDN technologies aid in the rapid deployment of applications and services by providing a simulated view of the storage and network. The market for SD solutions is expected to increase owing to the rising need for service providers and key companies to increase the operational capability and bandwidth of carrier networks.
Increased data traffic from social media cloud computing, mobile devices, as well as the Internet of Things (IoT), is predicted to push data traffic in the future years, creating a rising need for upgraded networks.
Rising consumer preference for network virtualization and automation is a critical factor accelerating market growth. Furthermore, rising IoT adoption, the surge in demand for hybrid clouds, and expanding advancement of open-source SDN will provide new possibilities for the software-defined networking industry throughout the projection period.
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During the projected period, North America is projected to hold the largest share in the global Software-Defined Networking Market with a market size of over USD 50 Billion. North America leads the software-defined networking market owing to the increased acceptance of sophisticated technologies across multiple business verticals, increased usage of cloud computing and mobility solutions, and a surge in the need for network management for huge network traffic.
As they focus on shifting their network and IT services to the cloud, enterprises are swiftly embracing software-defined networking and network function virtualization technologies.
The SDN market in North America is likely to grow during the forecast period, owing to an increased market for 5G-based Internet of Things (IoT) technologies. Massive volumes of data are generated by IoT systems, necessitating a large quantity of bandwidth. Businesses are deploying SDN technology solutions to fully leverage data center networking resources to address these concerns.
Due to the increased IoT expenditures and 5G adoption, the demand for SDN is expected to stay during the projected period. Additionally, the requirement for high connectivity with low latency from sectors such as banking, financial services and insurance, multimedia, and digital media, is projected to drive demand for SDN solutions in North America.
The United States is expected to have the highest market share of USD 34 Billion by the end of 2032 with an expected CAGR of 17% by the end of 2032. The number of mobile phone users in the USA surpassed 240 million in 2017 which is further expected to rise in the future years, consequently increasing the requirement for SDN for mobility and the development of resilient networking infrastructure.
The United States would require to invest approximately USD 150 Billion in fiber infrastructure over the next several years to meet the country's ever-increasing networking demand, fuelling the country's need for SDN.
IBM, Juniper Network, Cisco Systems, and Hewlett-Packard are among the leading participants the in the country. Due to the expanding business services and applications flowing across networks, these organizations have enormous development prospects in the SDN industry.
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SDN via the Overlay segment is forecasted to grow at the highest CAGR of around 17.8% from 2022 to 2032. During the projected period, the SDN Via Overlay segment will account for a larger market share. Overlaying a conceptually independent network or network element on top of current infrastructure is everything about SDN.
By dividing bandwidth into different channels and assigning every channel to a specific device or service, the overlay optimizes network resources. Overlay SDN enables enterprises to rebuild and update their physical networks as needed while maintaining the virtual architecture. Furthermore, the virtual network allows for considerably greater freedom in network building, upgrading, and deletion.
The Large Enterprises segment is forecasted to grow at the highest CAGR of around 18.5% from 2022 to 2032. Large enterprises are firms with more than 1,000 employees and yearly revenue of more than USD 1 Billion. Due to the vast volume of data generated, these firms require the knowledge of IT employees to operate specialized applications and IT infrastructure.
Large organizations continuously seek industry solutions that will assist them to improve their operational efficiency. By disseminating information about redirecting tables all through the network, software-de? ned networking technology speeds up troubleshooting for large business networks. This data assists network managers in determining the condition of the network and system at any given time.
Large corporations, notably those in the telecommunications industry, are acquiring SDN start-ups. To better manage and tailor their network architecture, they are concentrating on integrating multiple open-source SDN systems with their cloud computing platforms.
Network Equipment Providers (NEPs), network operators, corporations, and end users are key actors in the SDN value chain. Among the NEPs, the key players include Alcatel-Lucent, Cisco, NEC, IBM, VMware, and Juniper Networks.
They create SDN controller functions as well as simulated switches and routers. They provide a comprehensive variety of technologies and turnkey services that will be critical in driving SDN into conventional data center applications.
As new SDN entrants emerge and dominate the legacy networking system, SDN technology is exposed to a long-term challenge to incumbent hardware-based networking equipment providers. Furthermore, market rivalry and increasing network complexity have increased the demand for network robustness, network efficiency, and cloud services.
Similarly, recent developments related to companies in the Software-Defined Networking Market have been tracked by the team at Future Market Insights, which are available in the full report.
The global Software-Defined Networking Market is worth more than USD 16 Billion at present.
The value of the Software-Defined Networking Market is projected to increase at a CAGR of around 17.2% from 2022 to 2032.
The value of the Software-Defined Networking Market increased at a CAGR of around 19.8% from 2015 to 2021.
The larger players’ targeting inorganic growth route has been one of the prominent trends in the SDN industry.
The market of Software-Defined Networking Market in the US is projected to expand at a CAGR of around 17% from 2022 to 2032.
The market of Software-Defined Networking Market in the US is projected to expand at a CAGR of around 17% from 2022 to 2032.
1. Executive Summary 2. Market Overview 3. Market Risks and Trends Assessment 4. Market Background 5. Key Success Factors 6. Global Market Demand Analysis 2015 to 2021 and Forecast, 2022 to 2032 7. Global Market Value Analysis 2015 to 2021 and Forecast, 2022 to 2032 8. Global Market Analysis 2015 to 2021 and Forecast 2022 to 2032, By SDN Type 8.1. Open SDN 8.2. SDN Via API 8.3. SDN Via Overlay 9. Global Market Analysis 2015 to 2021 and Forecast 2022 to 2032, By End-User 9.1. BFSI 9.2. Healthcare 9.3. IT 9.4. Telecom 9.5. Retail and E-Commerce 9.6. Education 9.7. Others 10. Global Market Analysis 2015 to 2021 and Forecast 2022 to 2032, By Organization Size 10.1. Large Enterprises 10.2. SMEs 11. Global Market Analysis 2015 to 2021 and Forecast 2022 to 2032, By Application 11.1. BFSI 11.2. ITeS 11.3. Education 11.4. Retail 11.5. Manufacturing 11.6. Government & Defense 11.7. Healthcare 11.8. Others 12. Global Market Analysis 2015 to 2021 and Forecast 2022 to 2032, By Region 12.1. North America 12.2. Latin America 12.3. Europe 12.4. Asia Pacific 12.5. Middle East and Africa 13. North America Market Analysis 2015 to 2021 and Forecast 2022 to 2032 14. Latin America Market Analysis 2015 to 2021 and Forecast 2022 to 2032 15. Europe Market Analysis 2015 to 2021 and Forecast 2022 to 2032 16. Asia Pacific Market Analysis 2015 to 2021 and Forecast 2022 to 2032 17. Middle East and Africa Market Analysis 2015 to 2021 and Forecast 2022 to 2032 18. Key Countries Market Analysis 2015 to 2021 and Forecast 2022 to 2032 19. Market Structure Analysis 20. Competition Analysis 20.1. Cisco 20.2. Del EMC 20.3. HPE 20.4. VMWare 20.5. Huawei 20.6. Juniper Networks 20.7. Oracle 20.8. Nokia 20.9. Citrix 20.10. Infovista 21. Assumptions and Acronyms Used 22. Research Methodology
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Software Defined Networking Market
