Software Defined Networking Market Size

Software Defined Infrastructure Market Analysis

The Global Software Defined Networking Market is valued at USD 11.91 billion in the current year and is expected to register a CAGR of 22.8% during the forecast period to become USD 33.25 billion by the next five years. The rising digital transformation through data as well as networking technologies, such as blockchain, IoT, cognitive, and advanced analytics, strengthens the overall adoption of connectivity advances in various industries, which in turn is driving the market significantly.

• The development of the global software-defined networking market is fuelled by key factors like a surge in the adoption of cloud computing, an increase in investments in software-defined networking function virtualization, especially to minimize the capital expenditure & operating expenses, and a rise in the need for various mobility services. The surge in the acceptance of cloud computing solutions in the SDN network plays a crucial role in improving the overall operability, security, and network manageability in advanced data centers.
• Moreover, the rising investments by various telecom service providers in 5G infrastructure would help to improve connectivity and maximize the deployment of SDN solutions. Also, the evolution of the 5G infrastructure network would help boost the SDN market's growth. According to 5G Americas, as of 2023, there are around 1.9 billion 5G subscriptions worldwide. It is anticipated to increase to about 2.8 billion by the end of the year 2024 and 5.9 billion by 2027, which in turn is expected to drive the market considerably.
• Also, the enterprise's propensity toward digitalization further propels the demand for robust network services. Many companies are looking to enhance their overall network capabilities, which is where Software Defined Network is gaining traction. For instance, in February 2023, ETSI Open Source Group TeraFlowSDN declared the 2nd launch of TeraFlowSDN controller, a robust and innovative SDN controller and orchestrator. TeraFlowSDN Release 2 delivers validated and extended support for slicing end-to-end transport networks over various domains.
• However, the lack of experienced and skilled network engineers and the rise in security risks and attack threats can restrict market growth throughout the forecast period.
• Since the outbreak of COVID-19, the demand for cloud-based solutions significantly grew owing to remote working models being adopted by enterprises. With the rising remote working model, companies maximized investments in cloud-based analytics and assurance, edge computing, and AI-powered networking technologies, which were expected to boost the studied market.