Market Insights Technology Data Center Network Infrastructure

Service Provider Network Infrastructure - Worldwide

Worldwide

Revenue in the Service Provider Network Infrastructure market is projected to reach €157.70bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 5.88%, resulting in a market volume of €209.80bn by 2029.
The average Spend per Employee in the Service Provider Network Infrastructure market is projected to reach €44.31 in 2024.
The global market share of Cisco was 0% in 2019.
In global comparison, most revenue will be generated in China (€42,070m in 2024).

Key regions: United Kingdom, Japan, India, United States, Germany

Marché

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Comparaison de régions

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Analyst Opinion

The Service Provider Network Infrastructure Market is seeing mild growth globally, influenced by factors such as the increasing use of digital technology, growing health consciousness among individuals, and the convenience of online health services. This trend is impacting the market's growth rate.

Customer preferences: With the rise of remote work and virtual learning, there has been a growing demand for reliable and high-speed internet connectivity. As a result, there is a rising adoption of network infrastructure solutions, such as edge computing and software-defined networking, to support the increasing network traffic. Furthermore, service providers are focusing on expanding their fiber-optic networks to cater to the growing demand for bandwidth-intensive applications and services. This trend is further fueled by the increasing use of cloud computing and the need for low-latency connections for real-time applications.

Trends in the market: In the Service Provider Network Infrastructure Market of the Network Infrastructure Market within the Data Center Market, there is a growing trend of virtualization and software-defined networking (SDN) solutions. This allows for greater flexibility and scalability for service providers to meet the increasing demands of data center services. Additionally, there is a rise in the adoption of cloud-based networking solutions, enabling service providers to offer more agile and cost-effective services to their customers. These trends are significant as they drive the evolution of data centers and have implications for industry stakeholders such as network equipment vendors and service providers. It is expected that these trends will continue to shape the landscape of the data center market, with a focus on providing more efficient and cost-effective network infrastructure solutions.

Local special circumstances: In the Service Provider Network Infrastructure Market of the Network Infrastructure Market within the Data Center Market, unique factors such as government regulations and network infrastructure limitations in developing countries like India and Brazil have a significant impact on market dynamics. In India, strict regulations on data privacy and security have led to the adoption of advanced network infrastructure solutions by service providers. In Brazil, limited access to reliable internet and high costs of network infrastructure have hindered the market growth, leading to a focus on cost-effective solutions and partnerships with local providers.

Underlying macroeconomic factors: The growth of the Service Provider Network Infrastructure Market within the Data Center Market is also influenced by macroeconomic factors such as advancements in network technologies, government policies, and investment in digital infrastructure. Countries with strong government support and significant investment in digital infrastructure are experiencing faster market growth compared to regions with regulatory challenges and limited investment in network infrastructure. Furthermore, the increasing demand for data center services and the rise of cloud computing are driving the demand for robust network infrastructure solutions to support the growing digital economy.

Methodology

Data coverage:

The data encompasses B2B enterprises. Figures are based on hardware-related expenses of businesses for setting up and maintaining an IT infrastructure.

Modeling approach / Market size:

Market sizes are determined through a top-down approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports and national statistical offices. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of digitization. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques, such as exponential trend smoothing and the S-curve function, is based on the behavior of the relevant market.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.