The software-defined networking market size is projected to reach US$ 93.10 billion by 2031 from US$ 23.45 billion in 2023. The market is expected to register a CAGR of 18.8% in 2023—2031. The growing need to simplify network management rising implementation of SDN for 5G are likely to remain key software-defined networking market trends.
The software-defined networking market is growing at a rapid pace and fueling the growth of the market as IT organizations are shifting rapidly toward cloud technology. The IT businesses and entities have the benefits associated with application-level roles and events for functional efficiency and resiliency. This consists of network services automation, cloud integration, and hybrid automation services. Currently, several enterprises are generative network service applications for software for SDN in order to add a value of virtualization to a new standard by enabling those services to impact the infrastructure vigorously on behalf of the applications and their usability.
Using software-based controllers or application programming interfaces (APIs) to connect with underlying hardware infrastructure and manage traffic on a network, software-defined networking, or SDN, is a networking technique. This approach is distinct from traditional networks, which manage network traffic with specialized hardware components like switches and routers. SDN can use software to build and manage a virtual network or manage conventional hardware.
One of the main factors propelling the software-defined networking (SDN) industry is the increasing need from enterprises to streamline network administration. Conventional networks frequently have intricate setups and manual administration procedures, which raises expenses and results in inefficiencies. SDN offers a consistent interface for controlling a variety of network devices, centralizes network control, and allows automation in order to overcome these difficulties. This centralized method facilitates a vendor-neutral approach, expedites network provisioning, simplifies policy management, and improves network performance visibility. SDN is a strong option for updating network infrastructures and adjusting to shifting business demands since it makes operations simpler, which saves businesses money, time, and resources.
SDN is an intelligent network architecture that complies with 5G ecosystem standards. 5G can operate over a control plane with the help of SDN, which can offer an entire framework. Better data flows when data travels across the 5G network are only one of the many advantages this technology provides. SDN architecture reduces latency and maximizes network bandwidth. By identifying the best data flows in real-time, SDN technology can automate and manage network redundancy from a centralized control plane, avoiding significant outages.
Key segments that contributed to the derivation of the software defined networking market analysis are solutions, end-user, deployment, and industry vertical.
The geographic scope of the software defined networking market report is mainly divided into five regions: North America, Asia Pacific, Europe, Middle East & Africa, and South America/South & Central America. North America has dominated the software defined networking market. High technology adoption trends in various industries in the North American region have fuelled the growth of the software defined networking market. Factors including increased adoption of digital tools and high technological spending by government agencies are expected to drive the North American software defined networking market growth. Moreover, a strong emphasis on research and development in the developed economies of the US and Canada is forcing the North American players to bring technologically advanced solutions into the market. In addition, the US has a large number of software defined networking market players who have been increasingly focusing on developing innovative solutions. Some of the key players in the software defined networking market are IBM, Cisco, and Microsoft, among others. All these factors contribute to the region's growth of the software defined networking market.
The regional trends and factors influencing the Software Defined Networking Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Software Defined Networking Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2023 | US$ 23.45 Billion |
| Market Size by 2031 | US$ 93.10 Billion |
| Global CAGR (2023 - 2031) | 18.8% |
| Historical Data | 2021-2022 |
| Forecast period | 2024-2031 |
| Segments Covered |
By Solutions
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The Software Defined Networking Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Software Defined Networking Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The software defined networking market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. The following is a list of developments in the market:
(Source: VMware, Inc., Press Release, 2023)
(Source: ETSI, Press Release, 2022)
The "Software Defined Networking Market Size and Forecast (2021–2031)" report provides a detailed analysis of the market covering below areas:
The global software defined networking market is expected to reach US$ 93.10 billion by 2031.
The key players holding majority shares in the global software defined networking market are Cisco Systems, Inc., IBM, Hewlett Packard Enterprise Development LP, Broadcom, Juniper Networks, Inc., Huawei Technologies Co., Ltd., NEC Corporation of America, Dell Inc., Telefonaktiebolaget LM EricssonCiena Corporation.
The growing adoption of IoT and the rising implementation of software defined networking in 5G are the factors that are anticipated to play a significant role in the global software defined networking market in the coming years.
Growing need to simplify network management organizations and rising demand for cloud services are the major factors that propel the global software defined networking market growth.
The global software defined networking market was estimated to be US$ 23.45 billion in 2023 and is expected to grow at a CAGR of 18.8 % during the forecast period 2024 - 2031.