Network Automation Market Worth $32.4 Billion by 2028 - Exclusive Report by Meticulous Research®

Network Automation Market by Component, Deployment Mode, Industry Size, Networking Type (Physical Networking, Virtual Networking, Hybrid Networking), Industry Vertical (CSPs, Data Centers, and Enterprises)– Global Forecast to 2028

London, Aug. 18, 2021 (GLOBE NEWSWIRE) -- According to a new market research report titled,” Network Automation Market by Component, Deployment Mode, Industry Size, Networking Type (Physical Networking, Virtual Networking, Hybrid Networking), Industry Vertical (CSPs, Data Centers, and Enterprises)– Global Forecast to 2028, published by Meticulous Research®, the network automation market is expected to grow at a CAGR of 22.8% from 2021 to 2028 to reach $32.4 billion by 2028.

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Network automation uses software to automate network and security provisioning and management to maximize network efficiency and functionality. Several industries and organizations, including IT and telecom, data centers, enterprises and communication service providers, are deploying network automation solutions worldwide on a considerable scale.

Increasing demand for safer smart healthcare systems with intent-based networking technology, growing need to detect and identify old hardware, compliance issues, and storage issues, and increasing need for zero-touch provisioning and unified network visibility are the key factors driving the growth of the network automation market. However, lack of standards for software-defined networking and the absence of a blueprint and well-established route for migrating to a semi-automated network are expected to pose serious challenges to the growth of the network automation market.

Impact of COVID-19 on the Network Automation Market

The impact of the COVID-19 outbreak on the global network automation market started in early 2020 in China, one of the world's largest producers for endpoint and connected devices, including smartphones, computers, tablets, network sensors and routers, firewalls, and modems. The temporary closing of production plants for few months in China and restrictions imposed on export and import of the hardware solutions to and from China’s restricted area affected the supply chain process and has strongly impacted the production, sales, and operations of the network automation market.

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Leading network automation players are providing network automation solutions during the COVID-19 pandemic to deal with the sudden downturn. Several industry players are exerting extensively to bring the network automation market back on track. For instance, in June 2021, Honeywell International Inc (U.S.) have implemented different solutions, including Catalyst Series Access Points, Cisco DNA Spaces, and Webex Room Kit Series from Cisco Systems, Inc. (U.S.), to prepare for a safe workplace for the future. Furthermore, local governments worldwide are also undertaking several relief steps to mitigate the negative impact of COVID-19. As a result, the network automation market is expected to slowly regain its original track over the forecast period.

Key Findings in the Network Automation Market Study

The global network automation market is segmented on the basis of component (solutions/software, professional services), deployment mode (on-premise and cloud-based), enterprise size (large enterprises, small and mid-sized enterprises), networking type (physical networking, virtual networking, hybrid networking), industry vertical (CSPs, data centers, and enterprises), and geography. The study also evaluates industry competitors and analyses the market at a country level.

Based on component, the solution segment is expected to emerge as the largest segment in the network automation market in 2021. The large share of this segment is mainly attributed to the rising investment in R&D activities, increasing and varying connectivity demands by communication service providers, and well-established network automation solution providers. Enhanced productivity, security, and easy deployment of network automation solutions further support the growth of this segment. Owing to the benefits offered by these solutions, several providers are investing in R&D to make the solutions better and more affordable, even for small and medium-scale enterprises.

Based on the deployment mode, the network automation market is segmented into on-premise and cloud-based deployment. In 2021, the on-premise segment is expected to command the largest share of the overall network automation market due to high acceptance among large enterprises, rising demand for advanced security and control, increasing deployments of network automation solutions across on-premises data centers, and rising demand to personally configure solutions to complete exact needs. On the other hand, the cloud-based segment is expected to grow at the highest CAGR during the forecast period.

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Based on industry vertical, the data center segment is expected to command the largest share of the overall network automation market in 2021. The large share of this segment is mainly attributed to the growing demand to automate routine workflows and processes of data centers; increasing deployments of network automation solutions for data centers; and the growing need to reduce repetitive or mundane tasks, speed up processes, and drive down overhead in data centers.

Geographically, the North American region is expected to command the largest share of the global network automation market in 2021. This is mainly attributed to the presence of prominent players offering network automation solutions and services to various sectors in the region. The North American region is a home to a larger and more established sales force for network automation solutions due to the increasing penetration of well-established technologies, technically developed workforce, and economic support for sales operations, consequently driving the market growth.

Furthermore, North American service providers heavily deploy network automation solutions to meet the ever-escalating demand for bandwidth, enterprise business services, improved efficiencies, and lower operating expenses, consequently driving the market growth. As North America is the hub for IT and data center operations, several companies are demanding network automation solutions to facilitate several benefits for IT and data centers, including unification, pooling of resources, and reduced complexity in networking. Thus, the rising demand for effective infrastructure in IT companies and data centers is driving the market's growth. Besides, increasing deployments of network automation solutions in the North American region are driving the growth of the North American Network Automation market. For instance, in May 2020, Rollins Inc. (U.S.) implemented a Fortinet Secure SD-WAN solution across 700 locations to obtain network stability and improved user experience.

However, Asia-Pacific region is expected to witness rapid growth during the forecast period. Over the years, Asia-Pacific enterprises are rapidly investing in technologies like software-defined networking (SDN) and network function virtualization (NFV) and their readiness to work with service providers to implement these technologies. These complementary technologies, including SDN and NFV, are considered effective techniques to reduce networking and operational costs while enabling innovative business models and service innovation. Malaysia, Korea, and Thailand were the most advanced markets in NFV deployments. In addition, enterprises across the countries such as the Philippines, Japan, Singapore, and Indonesia are driving the second wave of NFV deployments in the region. Thus, increasing deployments of NFV by major countries across the Asia-Pacific region is driving the growth of the market. Besides, increasing focus on the deployment of network automation solutions across Asia-Pacific is driving the growth of the network automation market in APAC. For instance, in May 2020, NTT West (Japan) has implemented Secure SD-WAN and SD-Branch solutions from Fortinet Inc. (U.S.) to provide WAN and LAN centralized management.

The report also includes an extensive assessment of the key strategic developments adopted by the leading market participants in the industry over the past four years (2018–2021). The network automation market has witnessed a number of product launches in recent years. For instance: in March 2021, Cisco Systems Inc. (U.S.) launched new network automation architecture, Secure Access Service Edge (SASE). Furthermore, in November 2020, VMware, Inc. (U.S.) launched a modern network framework for data center and cloud networking.

The global network automation market is consolidated and dominated by few major players, namely, Cisco Systems, Inc., VMware, Inc., Red Hat, Inc.,  IBM Corporation, Juniper Networks, Inc., Micro Focus International plc, BMC Software, Inc., Fujitsu Group, AppViewX, Telefonaktiebolaget LM Ericsson, Forward Networks, Inc., SolarWinds Corporation, Apstra, NetBrain, BlueCat Networks, Itential, NetYCE, Microsoft Corporation, Hewlett Packard Enterprise Development LP, Dell Technologies, Inc., NVIDIA Corporation, Huawei Technologies Co., Ltd., Arista Networks, Inc., Anuta Networks International LLC, Nokia Corporation, Palo Alto Networks, Inc., and Fortinet, Inc. among others.

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Scope of the Report

Network Automation Market, by Component

  • Solutions/Software
    • Configuration Management Tools
    • SD-WAN and Network Virtualization Tools
    • Intent-based Networking Solutions/Platforms
    • Other Network Automation Tools
  • Professional Services
    • Advisory, Analytics & Automation
    • Deployment & Integration
    • Training & Supporting

Network Automation Market, by Deployment Mode

  • On-premise
  • Cloud-based

Network Automation Market, by Industry Size

  • Large Enterprises
  • Small and Mid-Sized Enterprises

Network Automation Market, by Networking Type 

  • Physical Networking
  • Virtual Networking
  • Hybrid Networking

Network Automation Market, by Industry Vertical  

  • CSPs
  • Data Centers
  • Enterprises
    • IT & Telecommunication
    • Manufacturing
    • Government & Public Sector
    • Retail
    • BFSI
    • Healthcare and Life Science
    • Education
    • Energy and Utilities
    • Media & Entertainment
    • Other Industry

Network Automation Market, by Region

  • North America
      • U.S.
      • Canada
  • Europe
      • Germany
      • U.K.
      • France
      • Italy
      • Spain
      • Netherland
      • Rest of Europe
  • Asia-Pacific
      • Japan
      • China
      • India
      • South Korea
      • Thailand
      • Indonesia
      • Australia & New Zealand
      • Rest of Asia-Pacific
  • Latin America
      • Brazil
      • Mexico
      • Rest of Latin America
  • The Middle East and Africa
      • Saudi Arabia
      • UAE
      • Israel
      • Rest of MEA

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