Software Defined Networking (SDN) Market Is Expected To Reach USD 4,909.8 Million By 2020: Radiant Insights

Increasing demand for mobility and proliferation of mobile devices is expected to fuel the market over the next six years. Grand View Research also observes that the need to implement cloud computing services in an effective manner is expected to positively impact the industry on a global level.

By providing a software interface and easier management of network services, software defined network aids in establishment of efficient network infrastructure. Lack of standardization in implementation of SDN and difficulty in migration from legacy systems are expected to restrain market growth to a certain extent over the forecast period. The growing trend of BYOD (Bring Your Own Device) in organizations is expected to serve as an opportunity for market participants.

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Further key findings from the study suggest:

  • Enterprises were the largest end user segment in 2013, and accounted for over 40% of the overall market share. Telecommunications service providers are expected to be the fastest growing end user segment, with an estimated CAGR of 45.6% from 2014 to 2020. In terms of SDN solutions, cloud virtualization applications are expected to be the largest and fastest growing segment; they accounted for over 30% of the overall market share in 2013.
  • North America is expected to remain the largest market over the forecast period as a result of high penetration of mobile devices and need for enhanced network infrastructure in the region. Asia Pacific is expected to be the fastest growing market, at an estimated CAGR of 47.7% from 2014 to 2020.
  • The global SDN market consists of a large number of players vying to provide end-to-end solutions. Mergers and acquisitions to consolidate market share and offer hardware, software as well as services are frequent in the industry as key strategic initiatives. Major industry participants in the market include Cisco, IBM, VMware, HP, Alcatel-Lucent, NEC, and Juniper Networks among others.

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For the purpose of this study, Grand View Research has segmented the SDN market on the basis of end users, solutions, and region:

     SDN End Users Outlook (Revenue, USD Million, 2012 – 2020)          

  • Enterprises
  • Cloud service providers
  • Telecommunications service providers

     SDN Solutions Outlook (Revenue, USD Million, 2012 – 2020)

  • Switching
  • Controllers
  • Cloud virtualization applications
  • Others

     SDN Regional Outlook (Revenue, USD Million, 2012 – 2020)

  • North America
  • Europe
  • Asia Pacific
  • RoW

Table of Contents

Chapter 1 Executive Summary

1.1 Software Defined Networking (SDN) – Industry Summary & Critical Success Factors (CSFs)

Chapter 2 SDN Industry Outlook

2.1 Market Segmentation

2.2 Market Size and Growth Prospects

2.3 SDN Value Chain Analysis

2.3.1 Key Driver Analysis

2.3.1.1 Growing need for mobility

2.3.1.2 Proliferation of cloud services

2.3.1.3 Growing network complexity

2.3.2 Key Restraint Analysis

2.3.2.1 Lack of standardization

2.3.2.2 Security concerns

2.4 SDN Market Dynamics

2.5 Key Opportunities Prioritized

2.6 Industry Analysis – Porter’s

2.7 SDN – Key Participants Analysis

2.8 SDN – PESTEL Analysis

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