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Analysis of the European MPLS/IP VPN Market

  • September 2015
  • 67 pages
  • Frost & Sullivan
Report ID: 3271161

Summary

Table of Contents

Analysis of the European MPLS/IP VPN Market : MPLS VPN Demand Surges With Growing Multisite Connectivity and Secure Cloud Access

The need for secure, private, multi-site connectivity is expected to create sustained demand for MPLS VPN solutions over the next 5 years. Further, as enterprises increasingly migrate to the cloud, MPLS VPN is expected to provide secure access to cloud-based applications. Populated with offerings from country telecom incumbents, pan-European operators and global service providers, the European market for MPLS VPN is highly competitive with providers leveraging emerging market trends to increase their market reach. In this report, Frost & Sullivan provides a forecast of the European market for MPLS VPN, highlighting regional trends and popular competitive strategies.

Key Findings

Sustained enterprise market demand is expected to bring about double-digit growth of MPLS/IP VPN services revenue in Europe over the next 5 years. Enterprises continue to adopt MPLS/IP VPN services for increased operational efficiency, following the change to move voice, video and data to a single IP-based network. Moreover, the need for reliable and secure access to cloud services is expected to fuel additional enterprise demand for MPLS.

As customers migrate to MPLS VPNs to take advantage of the network’s ability to support traffic prioritization through class-of-service protocols, focus is growing on tools that monitor network and application performance.These tools are critical for successful MPLS/IP VPN implementation as customers shift to a converged architecture, and demand more control over the applications they wish to run on the network.

MPLS/IP VPN growth in Europe is expected to be influenced by modest but consistent growth in the larger Western European markets and relatively higher growth rates in the less mature Eastern European markets.

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