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Software-Defined Networking and Network Function Virtualization Market by Component, Physical Appliances, and Service, End-User, and Region - Global forecast to 2022

Software-Defined Networking and Network Function Virtualization Market: Global forecast until 2022

  • August 2017
  • 139 pages
  • ID: 5061081
In this report:
Additionally, with the support from leading telecom vendors, such as AT&T and Ciena, and by being focused toward moving ahead with its ##G implementations, the North American region is expected to account for the largest share of ##.##% of the overall SDN and NFV market in 2017.
The global market size of SDN and NFV solutions, implemented across telecommunication service providers, is expected to grow from USD ##,##.## million in 2017 to USD ##,##.## million by 2020, at a CAGR of ##.##% during the forecast period.


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The Software-Defined Networking and Network Functions Virtualization market is anticipated to grow at a compound annual growth rate (CAGR) of 71.4% during the forecast horizon

The sector for SDN and NFV is forecasted to grow from ~$3.7M in 2017 to ~$54.4B by 2022, at a CAGR of 71.40 percent.

The growing evolution and demand in mobility, the increased network complexity and varied traffic pattern, and the surge in demand for cloud service, data center consolidation, and server virtualization are the main factors driving the increase of the overall SDN and NFV market.

The governance and security standards, along the lack of knowledge among consumers and enterprise, and the difficulty in balancing SDN with the traditional technology are acting as the obstacles for the increase ot the SDN and NFV market.

Large enterprises segment is planned to have the biggest market share during the outlook period

Significant enterprises have important network infrastructures and they rely on networks to carry out their daily business activities and coordinate with their other geographically spread out assets. SDN solutions offer a cheaper way to manage the entire network from a central location and offer real-time bandwidth management of the network to deliver critical business applications at higher speeds.

North America continent is intended to have the biggest sector size during the estimate period

North America (NA) is forecasted to have the biggest industry size during the outlook period. Factors, including the increase of innovative technologies, including cloud computing, mobility services, virtualization of network, and Bring Your Own Device are driving the adoption of SDN and NFV in the area. Furthermore, the territory is attesting the development of favorable standards and networking regulations for boosting the SDN and NFV market. Another factor providing to the advancement of SDN and NFV in the area is high industrialization. North America continent is a main area for the increase ot the SDN and NFV market, and is anticipated to continue being so in the future. The territory has gained a lot of momentum in SDN and NFV-related technologies, including NFV.

In the process of finding out and checking the market value for various segments and sub-segments collected by secondary research, extensive primary audit sessions were managed with main people.

• By Company Size: Tier I - 21.0 percent, Tier II - 35.0 percent, and Tier III - 44.0 percent

• By Designation Level: C-suite - 35.0 percent, D-level - 40.0 percent, and Others - 25.0 percent

• By Area: EU - 32.0 percent, Asia-Pac - 10.0 percent, North America (NA) - 38.0 percent, and MEA - 20.0 percent

The main SDN and NFV vendors are International Business Machines (NYSE:IBM), Cisco Systems (NASDAQ:CSCO), Hewlett Packard Enterprise Co., Juniper Networks, Huawei Technologies Co., Limited, NEC (Nichiden TYO:6701), Pica8, Brocade Communications Systems, Incorporated, Ciena Corporation, Intel (NASDAQ:INTC), Pluribus Networks, and Big Switch Networks, Incorporated.

Segment Research

The SDN and NFV market has been split on the basis of basis of components. The solutions segment is further divided into software and physical appliances; where the software solutions consist of software controller and application software, while the physical appliance segment consists of router and switches; the application software is further broken down into network security, load balancing, and others (orchestration, and virtual core and aggregation); services segment is split into integration, training and consulting, support and maintenance, and others (mobility and datacenter services). The end-user segment is segmenetd into telecommunication service providers, cloud service providers, and companies. The enterprises segment is further divided into organization sizes and verticals. The organization sizes segment is classified into Small and Medium-Sized Businesses and big enterprises; because the verticals are broken down into healthcare, Banking, Financial Services, and Insurance, consumer goods and retail, government and defense, IT Enabled Services, manufacturing, telecom and IT, and the other verticals, which include academia and analysis, energy and utilities, and tourism and hospitality, and the areas contain North America continent, Europe (EU), Asia Pacific (APAC), Middle East (ME) and African continent, and Latin America area.

SDN and NFV revolutionize the existing networking and data center infrastructure. SDN, combined with the innovative idea of NFV, eliminates physical infrastructure limitations of networks. This offers a cost-effective, application-centric networking approach, with an aim to lower down the operational cost, thereby reducing latency and resulting in efficient network traffic management.

The study will facilitate the market top players and new sector entrants in the SDN and NFV market in these ways:

1. The document breaks down the market into different subsegments, therefrom it includes the industry overall. It offers the best approximations of the revenue data for the global market and the sub-segments. The industry numbers are further split across different areas.

2. The analysis helps in understanding the global increase of the market. It offers info on the top market drivers, market restraints, opportunities, and alternatives.

3. The market research helps in understanding the players better and provides additional insights to enhance the organization's position in the sector. The market research also presents the positioning of the main actors established on their product offerings and strategic management.

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