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Potential of Low-Bandwidth VPN Services Market in India

  • October 2014
  • -
  • Frost & Sullivan
  • -
  • 33 pages

Summary

Table of Contents

SME Boom in India Drives the Market

The study provides an insight into an emerging product segment within the VPN space classified as low-bandwidth VPN services. MPLS VPN is one of the largest revenue generating products in the Indian enterprise telecom space and, in a bid to target specific segments such as the SME in the Indian market, the market participants have come out with innovative products focusing on low bandwidth requirements of the end-users. As the offerings are low-cost and fast-deployable, they are an attractive proposition for the SME space.

Executive Summary
-The low-bandwidth virtual private network (VPN) services market in India is growing at a steady pace and should maintain a CAGR of % from FY2014 to FY2021.
-The market is being driven by the need for low-cost and secure connectivity to locations where fiber presence may not be easily available.
-Being a relatively new market with a small revenue base, it is witnessing strong growth that is anticipated to continue even beyond the -year forecast period (FY2015 to FY2021).
-As onlymajor participants exist with specific product lines in this market, there will be a healthy upswing in terms of the competition over the next – years.
-Key verticals adopting these services are banking, financial services, and insurance (BFSI) for the customer premise equipment based solutions and IT for the dongle-based services.
-As the bandwidth capacities are low for microwave connectivity, the primary target horizontals are the small and medium enterprises (SME) followed by smaller branches in remote locations of certain large enterprises.

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