The Latest Sd-Wan Industry Statistics Explained
The global SD-WAN market was valued at USD 1.4 billion in 2020.
The statistic “The global SD-WAN market was valued at USD 1.4 billion in 2020” indicates the total estimated worth of the Software-Defined Wide Area Network (SD-WAN) market worldwide during the year 2020. This value reflects the monetary value of the goods and services related to SD-WAN technology that were bought and sold across various regions and industries. This statistic provides insight into the size and significance of the SD-WAN market, highlighting the increasing adoption and investment in this technology by organizations looking to improve network performance, security, and scalability.
The SD-WAN market is forecasted to grow at a CAGR of 34.5% between 2021 and 2026.
The statistic stating that the SD-WAN (Software-Defined Wide Area Network) market is projected to grow at a Compound Annual Growth Rate (CAGR) of 34.5% between 2021 and 2026 indicates a rapid and significant expansion in the industry over the next five years. This growth rate highlights the increasing adoption and integration of SD-WAN technology among businesses and organizations looking to modernize and optimize their network infrastructures. The forecasted CAGR of 34.5% suggests a strong demand for SD-WAN solutions due to benefits such as improved network performance, scalability, and cost-efficiency. This statistic signals a promising outlook for the SD-WAN market, with substantial opportunities for providers and stakeholders in the industry to capitalize on the growing demand for innovative networking solutions.
North America holds the largest market share in the SD-WAN industry, with more than 40% of the global market in 2019.
The statistic indicates that North America dominated the Software-Defined Wide Area Network (SD-WAN) industry in 2019 by holding over 40% of the global market share. This suggests that the region had a significant lead over other regions in terms of adoption and investment in SD-WAN technology during that year. The strong market presence of North America in the SD-WAN industry could be attributed to factors such as technological advancement, increased demand for cloud-based services, widespread digital transformation initiatives among businesses, and the presence of key players and service providers in the region. This statistic highlights the region’s crucial role in driving growth and innovation within the SD-WAN market globally.
As of 2020, 60% of enterprises in the US have either already deployed or plan to deploy SD-WAN products in the next two years.
The statistic indicates that as of 2020, a significant proportion, specifically 60%, of enterprises in the United States have either already implemented Software-Defined Wide Area Networking (SD-WAN) products or are considering deploying them within the next two years. This suggests a widespread adoption and growing interest in SD-WAN technology among businesses, likely driven by the benefits it offers such as improved network performance, scalability, and cost-efficiency compared to traditional networking solutions. The statistic underscores the increasing recognition of SD-WAN as a viable and advantageous networking solution in the evolving landscape of enterprise technology infrastructure.
In 2019, Cisco had the highest market share in the SD-WAN industry at 16.2%.
The statistic stating that Cisco had the highest market share in the SD-WAN industry at 16.2% in 2019 indicates that among all companies offering SD-WAN solutions, Cisco held the largest portion of the market. This means that out of every dollar spent in the SD-WAN market, approximately 16.2 cents went to Cisco. Market share is a common metric used to assess a company’s competitive position within an industry, and a high market share suggests that Cisco was a key player in the SD-WAN sector at that time, potentially offering popular and competitive solutions compared to its competitors.
The APAC region’s SD-WAN market is projected to grow at an impressive CAGR of 38% from 2020 to 2024.
The statement indicates that the Software-Defined Wide Area Network (SD-WAN) market in the Asia-Pacific (APAC) region is expected to experience significant growth over the period from 2020 to 2024. Specifically, the Compound Annual Growth Rate (CAGR) is estimated to be 38%, reflecting a substantial increase in market size and adoption of SD-WAN technology across various industries within the APAC region. This growth forecast suggests a strong demand for SD-WAN solutions due to factors such as digital transformation initiatives, increasing usage of cloud-based services, and the need for efficient and cost-effective network connectivity. Organizations in the APAC region are likely to embrace SD-WAN solutions to enhance network performance, security, and agility, driving the market expansion at a rapid pace.
The managed services segment dominated the SD-WAN industry in 2018 with over 60% market share.
The statistic indicates that in 2018, the managed services segment held a prominent position within the SD-WAN (Software-Defined Wide Area Network) industry, capturing more than 60% of the market share. This suggests that a significant majority of organizations utilizing SD-WAN solutions preferred to outsource the management of their network infrastructure to service providers specializing in this field. The dominance of the managed services segment highlights the growing importance of outsourcing network management for businesses seeking efficient and effective solutions to support their networking needs, driving competition and innovation within the industry.
In 2020, the number of enterprises using traditional WAN connectivity decreased from 46% to 30%.
The statistic indicates a noticeable shift in networking trends among enterprises in 2020. The percentage of enterprises utilizing traditional Wide Area Network (WAN) connectivity, which typically involves dedicated leased lines or hardware-based solutions, decreased from 46% to 30%. This decline suggests that more enterprises are moving away from outdated networking technologies towards modern, flexible, and potentially more cost-effective alternatives. The decrease in the adoption of traditional WAN connectivity could be attributed to the increasing popularity of cloud-based solutions, software-defined networking (SDN), and the growing reliance on virtual private networks (VPNs) and other remote access technologies. This shift underscores the ongoing evolution of networking practices as businesses adapt to changing technological landscapes and the need for more agile and efficient connectivity solutions.
The BFSI sector is expected to grow at the fastest CAGR in the SD-WAN market from 2021 to 2026.
This statistic indicates that the Banking, Financial Services, and Insurance (BFSI) sector is projected to experience the highest Compound Annual Growth Rate (CAGR) within the Software-Defined Wide Area Network (SD-WAN) market over the period from 2021 to 2026. This suggests that the BFSI industry is expected to show significant expansion in the adoption and implementation of SD-WAN technology compared to other sectors during this timeframe. Factors driving this growth may include the need for secure and efficient network connectivity, increasing digitization efforts, evolving customer demands, and a focus on innovation and competition within the financial services industry. Overall, this statistic highlights the strategic importance of SD-WAN solutions within the BFSI sector and its potential impact on the industry’s future competitiveness and operational efficiency.
As of 2020, less than 15% of businesses do not plan to deploy SD-WAN within the next 2 years.
The statistic states that in 2020, the majority of businesses, specifically over 85%, plan to deploy Software-Defined Wide Area Network (SD-WAN) technology within the next 2 years. This indicates a significant trend towards the adoption of SD-WAN among businesses, likely driven by the growing need for improved network performance, reliability, and flexibility. The statistic highlights that only a small fraction, less than 15%, of businesses have no plans to implement SD-WAN in the near future, suggesting that the technology is becoming increasingly integral to modern business operations and networking strategies.
Almost 80% of enterprises indicated improving network security is their most critical reason for considering SD-WAN services.
The statistic suggests that a significant majority, nearly 80%, of enterprises prioritize improving network security as the most important factor when considering implementing Software-Defined Wide Area Network (SD-WAN) services. This indicates a strong emphasis on enhancing the security of network communications and data protection within organizations. Security concerns such as protecting against cyber threats, ensuring data privacy, and safeguarding sensitive information are driving enterprises to adopt SD-WAN solutions with advanced security features to bolster their network defenses and mitigate potential risks. The high percentage of enterprises citing network security as a top priority underscores the increasing significance of cybersecurity in the decision-making process around implementing SD-WAN services.
By 2023, 60% of enterprises will have implemented SD-WAN.
This statistic indicates the expected level of adoption of Software-Defined Wide Area Networking (SD-WAN) technology among enterprises by the year 2023. Specifically, it suggests that a majority of enterprises, about 60%, are projected to have implemented SD-WAN technology into their networking infrastructure by that time. SD-WAN offers various benefits such as improved network performance, cost savings, and enhanced security features, which are driving its adoption among enterprises seeking to modernize and optimize their network operations. The statistic highlights the growing trend towards leveraging SD-WAN solutions to address the evolving demands of digital transformation, cloud adoption, and remote work scenarios in the business environment.
The global managed SD-WAN market is forecast to grow at a 17% CAGR from 2021 to 2026.
This statistic indicates that the global managed Software-Defined Wide Area Network (SD-WAN) market is expected to experience a Compound Annual Growth Rate (CAGR) of 17% between 2021 and 2026. This suggests a significant growth trend in the adoption and utilization of managed SD-WAN services over the forecast period. The forecasted CAGR of 17% implies that the market is anticipated to expand rapidly and potentially double in size every four to five years. This growth may be driven by factors such as increasing demand for efficient and flexible networking solutions, advancements in technology, and a growing reliance on cloud-based services. The forecast provides valuable insights for businesses, investors, and stakeholders looking to understand and capitalize on opportunities within the managed SD-WAN market in the coming years.
Approximately 40% of SD-WAN adopters have reduced their costs by 25%.
The statistic indicates that around 40% of organizations that have adopted SD-WAN (Software-Defined Wide Area Network) technology have managed to reduce their costs significantly, by an average of 25%. This suggests that a substantial proportion of businesses implementing SD-WAN solutions are achieving cost savings due to the efficiencies and benefits that this technology offers. Cost reduction is a key driver for many companies when considering adopting SD-WAN, as it can streamline network management, improve performance, and reduce reliance on expensive legacy infrastructure. The statistic highlights the potential financial advantages that adopting SD-WAN can bring to organizations looking to optimize their network operations and reduce overall expenses.
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