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Software-Defined Networking Market Growing at a CAGR 19.0% | Key Player Cisco, Huawei, VMware, Dell EMC, HPE

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Software-Defined Networking Market Growing at a CAGR 19.0% | Key Player Cisco, Huawei, VMware, Dell EMC, HPE

August 17
13:21 2020
Software-Defined Networking Market Growing at a CAGR 19.0% | Key Player Cisco, Huawei, VMware, Dell EMC, HPE

Cisco (US), Dell EMC (US), HPE (US), VMware (US), Huawei (China), Juniper Networks (US), Nokia (Finland), Oracle (US), Citrix (US), Extreme Networks (US), Infovista (US), NEC (Japan), Pluribus Networks (US), Arista Networks (US), Cloud Genix (US), Cumulus Networks (US), DataCore Software (US), Fortinet (US), Fujitsu (Japan), HiveIO (US), Lenovo (HongKong)
Software-Defined Networking Market by Component (SDN Infrastructure, Software, and Services), SDN Type (Open SDN, SDN via Overlay, and SDN via API), End User, Organization Size, Enterprise Vertical, and Region – Global Forecast to 2025

The global SDN Market size is expected to grow from USD 13.7 billion in 2020 to USD 32.7 billion by 2025 at a Compound Annual Growth Rate (CAGR) of 19.0% during the forecast period. The major growth drivers for the market are the investments of CSPs in SDN technology to automate network infrastructure significant reduction in CAPEX and OPEX, increasing demand for cloud services, data center consolidation, and server virtualization, increase in demand for enterprise mobility to enhance productivity for field-based services. However, low motivation and engagement by organizations may restrain market growth.

The SDN via API  is expected to show the highest growth rate during the forecast period

SDN enables the programming of network behavior in a centrally controlled manner through software applications using open APIs. By opening up traditionally closed network platforms and implementing a common SDN control layer, operators can manage the entire network and its devices consistently, regardless of the complexity of the underlying network technology. The open APIs support a wide range of applications, including cloud orchestration, Operation Support System (OSS)/Business Support System (BSS), Software-as-a-Service (SaaS), and business-critical networked apps.

APIs are core components in the SDN architecture. There are two types of APIs: northbound APIs and southbound APIs. The former is used by controllers to push configuration and state to network devices, such as switches and routers, while the latter is used to push information between the controller and other applications. Several service providers, such as AT&T and Orange, are working with Metro Ethernet Forum (MEF), a nonprofit international industry consortium dedicated to the adoption of carrier ethernet networks and services, and TM Forum, a nonprofit industry association for service providers and their suppliers in the telecommunications industry, to accelerate efforts to develop a set of standardized APIs for industry-wide use.

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The consulting professional services  segment is estimated to have a larger market share during the forecast period

Consulting services deal with complex inquiries and have numerous clients that demand constant changes in product and service offerings. These services focus more on offering superior customer services. The demand for consulting services is increasing across the globe due to the rising pressure on organizations to stay competitive in their respective markets. Consulting service providers offer services irrespective of the location and time to help clients streamline their business processes with innovative practices to sustain the market competition and efficiently manage employees.

The traditional and emerging market players are Cisco(US), Dell EMC(US), HPE(US), VMware (US), Huawei(China), Juniper Networks(US), Nokia (Finland), Oracle(US), Citrix(US), Extreme Networks(US), Infovista(US), NEC(Japan), Pluribus Networks(US), Arista Networks(US), CloudGenix (US), Cumulus Networks(US), DataCore Software(US), Fortinet(US), Fujitsu(Japan), HiveIO(US), Lenovo(HongKong), NetApp(US), Pica8(US), Pivot3(US), and Scale Computing(US) These players have adopted various strategies, such as partnerships, collaborations, agreements, acquisitions, and new product launches, to achieve growth in the global SDN market. Partnerships and acquisitions have been the most dominating strategy adopted by major players from 2017 to 2020, which helped them to innovate in their offerings and broaden their customer base.

Cisco provides its well-acclaimed SDN product, the open SDN controller, which is an open-source-based software that is advancing through the latest innovation. The company supports the OpenDaylight community. Its features include commercial distribution, clustering, serviceability, and Open Virtual Appliance packaging, which provide it an edge over its competitors. It also offers Cisco Application Centric Interface (ACI), a comprehensive SDN architecture, which offers multiple benefits, such as greater scalability and network visibility. Cisco Systems services help organizations effectively migrate, adopt, deploy, and securely manage intent-based networking using SD-WAN. Cisco Software-Defined Access (SD-Access) offers organizations a single network fabric from the edge to the cloud, enabling them to set policy-based automation for users, devices, and things. It gives network architects and administrators the tools to orchestrate key business functions, such as user mobility, secure segmentation, user onboarding, IoT integration, guest access, context-based troubleshooting, and data center and cloud integration. Cisco ACI, the industry-leading SDN solution, provides application agility and data center automation.

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VMware core products include data center and cloud infrastructure, networking and security, storage and availability, hyper-converged infrastructure, Cloud Management Platform (CMP), personal desktop, digital workspace, desktop and application virtualization, and enterprise mobility management. VMware was the first to bring forth the concept of an SDDC. The company offers products and solutions across categories, including SDDC and SDS, through computing, storage and availability, network and security, management and automation, hybrid cloud computing, End-User Computing (EUC), content collaboration, Enterprise Mobility Management (EMM), and application and desktop virtualization. VMware acquired VeloCloud, one of the SD-WAN industry leaders, in December 2017, to enter into the software-defined industry by using VeloCloud’s SDN-WAN (after the acquisition it is called as NSX SD-WAN by VeloCloud). VMware NSX SD-WAN by VeloCloud delivers high-performance, reliable branch access to cloud services, private data centers, and SaaS-based enterprise applications.

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