Router and Switch Market Size to reach $40bn by 2022
Published Date: September 18, 2019 Authors: Preeti Wadhwani, Sachin Kasnale
Router and Switch Market size is predicted to reach USD 40 billion by 2022; according to a new research report by Global Market Insights, Inc.
The router and switch market growth is attributed to the surge in the number of data centers and rapid investments for the development of broadband infrastructure. For instance, in September 2015, IBM opened a new cloud data center in Brazil, which helped customers to improve the performance of networks and guaranteed no shutdowns for equipment replacement. Huge investments in the data centers market to power enterprise and consumer cloud services will accelerate the need for switches and routers to improve data center agility and connect several devices on the same network in the data center. The companies present in the market are offering LAN and WAN connectivity solutions with network security features to enable customers in the delivery of mission-critical business applications. For instance, Cisco’s integrated service routers are integral components of the Cisco Self-Defending Network designed for security landscape.
The asynchronous transfer mode switch segment is expected to hold a share of over 2% by 2022 as it exhibits capabilities similar to both circuit switching and packet switching networks. These switches differ from conventional switches due to their high-speed interface and are designed to cater to various types of network traffic depending on priority through ATM networks. Furthermore, these switches are gaining traction in enterprise networks as they are ideal for real-time, low latency data applications such as VoIP and video & file transfer.
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The Ethernet aggregation services segment in router and switch market will grow at a CAGR of over 2% between 2015 and 2022. The demand for IP and Ethernet aggregation service will rise as it enables aggregation of traffic from Ethernet and IP services on the same network architecture. The success of any enterprise network depends on its ability to deliver huge traffic volumes to offices, remote users, and data centers. It becomes very important for enterprises to have a scalable network architecture that supports the convergence of multiple services and traffic types on the same infrastructure.
Browse key industry insights spread across 187 pages with 58 market data tables & 52 figures & charts from the report, “Router and Switch Market Size By Service (Ethernet Aggregation, BRAS, Ethernet Access, Internet Data Center/Hosting), By Product (Service Provider Core Router, Internet Exchange Router, Multiservice Edge Router, ATM Switch, Ethernet Service Edge Router), Industry Analysis Report, Regional Outlook (U.S., Canada, Germany, UK, China, India, Japan, Brazil, Mexico, MEA), Growth Potential, Competitive Market Share & Forecast, 2012 - 2022” in detail along with the table of contents:
The Asia Pacific router and switch market is expected to hold a market share of above 25% by 2022 due to the rise in the number of SMEs, the growing adoption of networking technologies, and the massive growth of data & video applications among enterprise & residential customers. SMEs present in the region are rapidly expanding their businesses through online channels, which led to an increase in the demand for routers and switches to support connectivity demands and enable services such as videoconferencing and IP voice. Smartphone penetration has further aggravated the data traffic due to the implementation of bandwidth-intensive applications by enterprises. This will also augment the need for networking devices, which act as building blocks for all business communications from voice to data to wireless access.
The router and switch market is expected to witness high competition due to the presence of various established market players who are adopting strategies, such as new product developments and partnerships, to stay competitive in the market. Some players are entering into partnerships with security solution providers to enhance the capabilities of their networking offerings. In March 2015, Juniper Networks expanded the capabilities of its physical and virtual SRX Firewalls. The new Express Path capability helped customers to secure their latency-sensitive traffic on a per-policy basis and assured efficient utilization of security resources for traffic.
Some of the key players operating in the router and switch market are ADTRAN Inc, ECI Telecom, Extreme Networks, Alcatel-Lucent, Force10 Networks, Huawei Technologies Co. Ltd., Juniper Networks, ZTE Corporation, Actelis Networks, RAD Data Communication Networks, Tellabs Inc., Telco Systems, and Ericsson.
The router and switch market research report include in-depth coverage of the industry with estimates & forecast in terms of revenue in USD from 2012 to 2022 for the following segments:
- Internet Exchange Router
- Service Provider Core Router
- Multiservice Edge Router
- Ethernet Service Edge Router
- ATM Switch
- Ethernet Aggregation
- Ethernet Access
- Internet Data Center
The above information has been provided for the following regions and countries:
- North America
- Latin America