SD-WAN market to depict the highest CAGR from the manufacturing sector over 2019-2025, escalating penetration of smart IoT devices to propel the industry expansion
Publisher : Fractovia | Published Date : 2019-03-07Request Sample
Considering the exponential adoption rate of SD-WAN solutions across the industrial sector, it comes as no surprise that the SD-WAN market has been touted to crop up to be one of the most lucrative investment grounds over the forthcoming years. A majority of SD-WAN adoptions across different enterprises are driven by the need of unburdening the organizations of their expensive legacy WAN infrastructures, which heavily rely upon expensive network hardware appliances to facilitate connectivity to numerous remote locations, and considerably reduce these expenses for the companies.
North America SD-WAN Market Revenue, By Application, 2018 & 2025 (USD Million)
Moreover, these solutions also help to get rid of the excessive maintenance activities that are usually associated with these conventional infrastructures, making SD-WAN a preferred network connectivity solution and ensuring the overall growth of the software-defined wide area network market.
One of the other prominent factors driving the growth of this industry is the accelerated adoption rate of cloud-based platforms across different enterprises. These solutions help organizations to connect their remote devices & users directly to the cloud to facilitate access to the organization’s resources, especially storage & computing power, in a secure manner.
Global SD-WAN market | Impact of increasing smart IoT device demands
According to Forbes, the Industrial Internet of Things (IIoT) market is slated to accrue extensive proceeds by 2021. The growth would be propelled by increased penetration of numerous smart IoT devices across a plethora of different business verticals, including telecom, healthcare, retail and manufacturing. While these devices have increased the overall level of convenient for end users, they have also significantly increased network complexities and introduced new security risks.
The adoption of SD-WAN solutions enables enterprises to address the complexity issues of IoT infrastructures while also enhancing the network visibility, which allows the enterprises to manage the connected devices & considerably reduce the security risks. The capability of SD-WAN to effectively resolve the challenges that are faced by enterprises during IoT adoption is thus expected to drive the global SD-WAN market over 2019-2025.
Global SD-WAN market | Impact of the growing demand for managed services
As more enterprises outsource the implementation activities of their respective WAN infrastructures to prominent managed service providers, SD-WAN market is expected to accrue quite some returns from managed services. Indeed, the demand for these services is known to be particularly high in the United States. Apart from reducing the complexities that are associated with in-house WAN deployment, managed services also enable enterprises to significantly lessen their operational costs by outsourcing a sizable number of the network functions to third-party service providers.
As per estimates, software-defined wide area network market share from managed services is anticipated to depict a path-breaking CAGR of 65% over 2019-2025.
Global SD-WAN market | Impact of the increasing IoT adoption in the global manufacturing industry
While IoT solutions are experiencing accelerated adoption across a plethora of industrial sectors, the adoption rate is significantly more prominent in the global manufacturing domain. This is primarily due to the wide use of different sensors & smart devices that help conduct the day-to-day operations at different manufacturing facilities. However, manufacturing firms also require solutions that facilitate unprecedented network visibility for the effective management of these endpoints, which would be driving SD-WAN adoption and fueling the industry growth further.
Moreover, SD-WAN also enables manufacturers to prioritize network traffic & simplify the management of the network to ensure that the applications that are business-critical obtain the connection they require for their timely operation. Furthermore, as the implementation of communication technologies & IoT devices continues to rise throughout the manufacturing industry, the demand for solutions that support proper connectivity throughout the manufacturing facilities, would also depict an increase. Estimates claim that the global SD-WAN market is expected to witness a highly commendable CAGR of 60% over 2019-2025.
Aided by a robust application spectrum and the ubiquitous trend of IoT, the global SD-WAN market is slated to accumulate significant momentum over the forthcoming years. In fact, according to a research report by Global Market Insights, Inc., it is estimated that the global SD-WAN market size would be surpassing the $17 billion renumeration mark by 2025.
