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Global Data Centre Networking Market

Global Data Centre Networking Market

by Component (Solution, Services), by End User (IT and telecom, Retail, BFSI, Public sector and utilities, Energy, Manufacturing, Healthcare, Others): Global Opportunity Analysis and Industry Forecast, 2021-2031

Report Code: A00357
Pages: 256
Aug 2022 | 4904 Views
Author(s) : Vikas G , Vineet K
Tables: 153
Charts: 66
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Global Data Centre Networking Market Research, 2031

The global global data centre networking market was valued at $19.8 billion in 2021, and is projected to reach $61.2 billion by 2031, growing at a CAGR of 12.2% from 2022 to 2031.

The pandemic has elevated the data traffic. The growth of emerging technologies; for instance Internet of Things (IoT), big data and artificial intelligence has resulted to an upsurge in requirement of storage volume. However, this upsurge has driven the investments in data center networking globally.

The data center networking is efficiently operating of variety of infrastructures through different networking resources used all together. It plays a crucial role in storage and processing of data through assistance of various networking resources. Data center networking is capable of operating data delivery with high bandwidth through switches, servers and storage endpoints. It enables connecting many networks together and making cloud computing feasible. The major driving factor of the market accounts to the rising demand of high speed data connection and increasing need of cloud storage. Moreover, in recent years there has been a huge increment in investments made in data center networking technologies globally. This further contributes to the market growth.

Data Centre Networking Market, Data Centre Networking Market Size, Data Centre Networking Market Share, Data Centre Networking Market Trends, Data Centre Networking Market Growth, Data Centre Networking Market Forecast, Data Centre Networking Market Analysis

The global data centre networking market is segmented into Component and End User. By component, it is bifurcated into solution and services. By end-user, it is segregated into IT and telecom, retail, BFSI, public sector and utilities, energy, manufacturing, healthcare, and others. Region wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

Global Data Centre Networking Market
By Component

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Solution segment dominated the global market in 2021

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On the basis of component, the solution segment dominated the market growth in 2021 and is expected to maintain its dominance in the upcoming years, due to increase in adoption of data center networking solutions driven by several advantages offered by data center networking such as energy efficiency. However, the services segment is expected to witness highest growth, owing to extensive adoption of deployment and integration services among end users, as it ensures effective functioning of data center networking solution throughout the process.

Global Data Centre Networking Market
By End User

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Healthcare is the most lucrative segment

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Depending on end-user, IT and telecom segment is dominating the Data Centre Networking Market Share and is expected to do so in the forecast period as, data center networking have become a more strategic asset for IT companies as well as telecom operators. However, Healthcare segment is anticipated to have the highest growth in the Data Centre Networking Market Forecast period due to data center networking is finding increasing applications to serve hospitals, biotech, pharmaceutical, and other healthcare organizations.

Global Data Centre Networking Market
By Region

2031
North America 
Europe
Asia-pacific
Lamea

Asia-Pacific is the most lucrative region

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Depending on the region, North America dominated the data center networking market in 2021, as a result of the enormously high demand from businesses for on-demand services, real-time user contact, and effective storage management. However, Asia-Pacific is expected to exhibit highest growth during the forecast period, owing to the growing importance of smart technologies, IoT-powered devices, Big Data, Industry 4.0, 5G, and cloud computing in this region.   

Impact of COVID-19 on the data center networking market trends

The data center networking market was valued at $21.78 billion in 2022, and is projected to reach $61.15 billion by 2031, registering a CAGR of 12.2%. The current estimation of 2031 is projected to be higher than pre-COVID-19 estimates. COVID19 outbreak has significantly impacted the data center networking market. It led to complete shutdown of manufacturing and production across the globe. The global economy was also severely impacted by this pandemic, which further generated hurdles for many industries and businesses globally.

Furthermore, this pandemic has elevated the data traffic. The growth of emerging technologies; for instance Internet of Things (IoT), big data and artificial intelligence has resulted to an upsurge in requirement of storage volume.  However, this upsurge has driven the investments in data center networking globally.                             

Top Impacting Factors  

The key factors impacting the growth of data center networking market includes increasing demand for high speed internet connection. In addition, increase in utilization of cloud storage by different end-users positively impact the Data Centre Networking Market Growth. Moreover, growth in penetration of technologies is expected to further propel the market growth. In addition, high demand for robust data center networking solutions provide lucrative opportunities for Data Centre Networking Industry growth. However, irregularities associated with data protection regulatory landscape may hinder the growth of Data Centre Networking Market Size.

Increase in demand for a high speed by internet users:

The increasing demand for high speed internet and high growth of mega data centers & colocation is expected to influence the growth of Data Centre Networking Industry. The high adoption of 100 GB switch ports and the rapid development of broadband and internet infrastructure are also expected to positively impact the growth of the market. Moreover, rise in construction of new data centers and replacement of existing technologies and the decline in costs of semiconductor components are also expected to create a huge demand for data center networking as well as lifting the growth of the data center networking market.

Key Benefits For Stakeholders

  • This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the global data centre networking market analysis from 2021 to 2031 to identify the prevailing global data centre networking market opportunities.
  • The market research is offered along with information related to key drivers, restraints, and opportunities.
  • Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
  • In-depth analysis of the global data centre networking market segmentation assists to determine the prevailing market opportunities.
  • Major countries in each region are mapped according to their revenue contribution to the global market.
  • Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
  • The report includes the analysis of the regional as well as global global data centre networking market trends, key players, market segments, application areas, and market growth strategies.

Global Data Centre Networking Market Report Highlights

Aspects Details
Component
  • Solution
    • Ethernet Switches
    • Routers
    • Servers
    • Application Delivery Controllers
    • Others
  • Services
    • Professional
    • Managed
End User
  • IT and telecom
  • Retail
  • BFSI
  • Public sector and utilities
  • Energy
  • Manufacturing
  • Healthcare
  • Others
By Region
  • North America  (U.S., Canada)
  • Europe  (UK, Germany, France, Russia, Rest of Europe)
  • Asia-Pacific  (China, India, Japan, Australia, South Korea, Rest of Asia-Pacific)
  • LAMEA  (Latin America, Middle East, Africa)
Key Market Players Broadcom Corp, Cisco Systems Inc., Dell Technologies Inc., HPE, Lenovo Group, IBM, Intel Corporation, Juniper Networks Inc., Microsoft Corporation, Oracle Corporation, HUAWEI TECHNOLOGIES CO. LTD, Fujitsu Ltd., ALCATEL-LUCENT ENTERPRISE, Pluribus Networks, VMware Inc., Console Connect, Edge Micro
 

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Based on insights of various CXOs of leading companies, the data center networking market is witnessing high growth in recent years. The industry is undergoing enormous adoption of data center networking hardware and software solutions for meeting the rising demand of data capacity. However, lack of skilled and talented workforce is challenging the growth of the market. Regardless of upcoming challenges, the market is growing faster than ever owing to increased utilization of cloud storage. As a result of this, a lot of investments are being made in the market to meet the rising demand which is further propelling the market growth.

Moreover, the growing penetration of compute-intensive technologies is providing lucrative opportunities for the market growth. In addition, integration of advanced technologies such as, artificial intelligence and IoT with hardware in data center networking is enabling the remote management. These factors are fuelling the market growth.

For instance, in April 2022, Nokia collaborated with Microsoft to provide Nokia data center solutions for Microsoft's data center networking facilities to support bandwidth growth to Microsoft Azure. In addition, Nokia also supplied fixed-form-factor platforms into other Microsoft network applications.

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FREQUENTLY ASKED QUESTIONS?

A. The data center networking market was valued at $21.78 billion in 2022, and is projected to reach $61.15 billion by 2031, registering a CAGR of 12.2%.

A. Depending on end-user, IT and telecom segment is dominating the market

A. Affordable labor charges, high job opportunities, low charges for transportation are some of the factors anticipated to create new opportunities for the data center networking market

A. Depending on the region, North America dominated the data center networking market in 2021.

A. The market players operating in the Data center networking platform market includes Alcatel-Lucent Enterprise, Broadcom, Cisco, Dell Technology, Huawei Technologies, IBM, Intel, Juniper Network, Lenovo, Microsoft Corporation

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