Network Transformation Market

Global Network Transformation Market Size (2024 to 2029)

The global network transformation market is predicted to reach USD 45.28 billion in 2024 and USD 505.21 billion by 2029, growing at a CAGR of 62% during the forecast period.

Network transformation provides a platform for companies to upgrade their information technology infrastructure. It enables users to support cloud-controlled applications and helps deliver enormous amounts of data more economically and efficiently than conventional processes. Such modernization of data management enables information to be obtained that reduces energy consumption and processes data much faster. These solutions allow better control of network costs and provide a competitive advantage by taking advantage of new business models and technologies. This includes convergence solutions, network infrastructure products, scalable and secure IP telephony platforms, performance and IP management software, and comprehensive security products.

Global Network Transformation Market Drivers:

The main driver of the global network transformation market is the increase in bandwidth requirements, the development of next-generation network solutions, and the improvement of current network solutions. The popularity of BYOD (bring your device) has also increased, spurring the overall growth of the network transformation market. The aspects that slow the market's growth are the potential risk of security threats and network accessibility.

Increasing implementation of the BYOD (Bring Your Device) policy, increasing virtualization in the IT industry, increasing adoption of IT as a Service (ITaaS), and Rapid demand for bandwidth are some of the primary growth factors in the market. This improved agility helps CSPs transform their networks, allowing them to offer new services and data analysis as part of the on-demand, platform-based, and à la carte model. However, the shortage of skilled resources and knowledge related to these network solutions limits the development of the network transformation market. Nonetheless, the advancements of 5G networks and the implementation of these solutions in SMEs are deemed to create immense growth potential for the global network transformation market over the anticipated time. By implementing SDN and NFV data centers, telecommunications operators can achieve better network programming, control, and automation capabilities. Additionally, SDN and NFV enhance the flexibility and scalability of the WAN, further enhancing network availability and performance. All these factors are supposed to accelerate the adoption of solutions and stimulate market growth.

The 5G network segment is expected to appear the fastest-growing segment over the forecast period as it is one of the critical elements in the network transformation. Currently, 5G networks are undergoing testing and development in most parts of the world. The path to 5G includes mutual motivation to support many apparent end-user access networks. Furthermore, the main determining factor is the increasing adoption of the virtual network environment in telecommunications and the increase in mobile data traffic, which are supposed to fuel the adoption of 5G networks.

Impact of COVID-19 on the global network transformation market:

COVID-19 has affected many regions, and many companies have had to establish remote work plans. Companies with a highly distributed workforce had to adopt flexible work policies, such as working from home, flexible hours, BYOD, and virtual collaboration environments. However, current technologies can be easily deployed in the cloud and presented to users with nominal training. Businesses will see transformation as a result of this epidemic by planning collaborative technologies and flexible work policies. On the other hand, the telecommunications sector has focused on increasing the resilience and reliability of the network for consumers, which has been affected by the COVID-19 epidemic for some time. Subsequently, this created challenges in deploying physical infrastructure, particularly in 5G.

REPORT COVERAGE:

This research report on the global network transformation market has been segmented and sub-segmented based on the component, organization size, end-user, and region.

Global Network Transformation Market Size - By Component:

• Solution

• Service

The solutions segment is predicted to dominate the market over the forecast period due to the network infrastructure development necessary to support the further expansion of network traffic generated through applications, data, and social networks.

Global Network Transformation Market Size - By Organization Size:

• Large Companies

• SMEs

The large enterprise segment will likely dominate the market due to these companies' increasing adoption of network transformation to improve the manageability and flexibility required to add new capacity to the net.

Global Network Transformation Market Size - By End-User:

• Telecommunications and IT

• Media and Entertainment

• Others

Global Network Transformation Market Size - By Region:

• North America

  • The United States

  • Canada

  • Rest of North America

• Europe

  • The United Kingdom

  • Spain

  • Germany

  • Italy

  • France

  • Rest of Europe

• The Asia Pacific

  • India

  • Japan

  • China

  • Australia

  • Singapore

  • Malaysia

  • South Korea

  • New Zealand

  • Southeast Asia

• Latin America

  • Brazil

  • Argentina

  • Mexico

  • Rest of LATAM

• The Middle East and Africa

  • Saudi Arabia

  • UAE

  • Lebanon

  • Jordan

  • Cyprus

 Asia-Pacific is expected to post significant growth in the global network transformation market due to improved IT infrastructure and the increasing adoption of advanced technologies in the region. The APAC region is supposed to witness the highest development because of the increasing development of IT frameworks and the adoption of novel technologies, along with the surge in large-scale infrastructure and projects and R&D by service providers. Similarly, North America, Europe, MEA, and Latin America are also determined to implement these network transformation solutions considerably.

KEY MARKET PARTICIPANTS:

The major companies operating in the global network transformation market include Cisco, Juniper Networks, HPE, Huawei, IBM, Dell EMC, NEC, Intel, Nokia Networks, Ericsson, Samsung, Fujitsu, Ciena, Accenture, GENBAND, AT&T, Arista Networks and 6WINDS.