Network Telemetry Market revenue to reach USD 29.5 Billion by 2036, says Research Nester

Network Telemetry Market revenue to reach USD 29.5 Billion by 2036, says Research Nester

New York , Nov. 29, 2023 (GLOBE NEWSWIRE) -- The global network telemetry market size is projected to expand at 40% CAGR between 2024 and 2036. The market is expected to garner a revenue of USD 29.5 billion by the end of 2036, up from a revenue of USD 350 million in the year 2023. As organizations increasingly rely on their networks to conduct business, the need for network visibility has become more important than ever. Network visibility allows IT teams to monitor network traffic, identify potential issues, and proactively address them before they become larger problems.

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This is especially critical in today's environment where cyber-attacks and other security threats are becoming more sophisticated and frequent. There were nearly 1.2 billion email breaches in a year, affecting one in six internet users. A data breach costs businesses on average $4.30 million in 2022. In the first half of 2022, there were around 230 million ransomware attacks worldwide. As a result, the demand for network telemetry solutions has been steadily increasing. These solutions provide real-time visibility into network performance and security, allowing organizations to quickly detect and respond to issues.

Network Telemetry Market: Key Takeaways

  • Market in North America to propel highest growth
  • Cloud segment to garner the highest growth
  • Market in Asia Pacific to grow at a significant rate

 Emergence of IoT and Edge Computing to Boost Market Growth

The Internet of Things (IoT) and Edge Computing are two major technological advancements that have revolutionized the way data is collected, processed, and analyzed. IoT refers to the interconnected network of devices, vehicles, and appliances that are embedded with sensors, software, and network connectivity. These devices generate vast amounts of data that can be analyzed to derive insights and improve operations. The number of IoT devices is expected to exceed 16 billion in 2023, which is a 56% increase over 2020. Data generated by these devices is expected to reach 80 zettabytes (ZB) by 2025.
Edge Computing, on the other hand, is a distributed computing paradigm that brings computation and data storage closer to the devices that generate the data. This reduces the latency and bandwidth requirements for transmitting data to centralized servers for processing. Edge Computing enables real-time processing of data and reduces the need for high-speed connections, making it ideal for IoT applications.
The emergence of IoT and Edge Computing has led to a surge in the volume, velocity, and variety of data generated by networked devices. This has created a need for advanced network telemetry solutions that can collect, process, and analyze this data in real-time. The Network Telemetry market is expected to grow significantly as a result of the increasing demand for these solutions.

Network Telemetry Industry: Regional Overview

The global network telemetry market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa region. 

Increased Investment in Network Technologies to Drive the Growth in the North America Region

The network telemetry market in North America region is estimated to garner the largest revenue by the end of 2036. This is largely due to the fact that the region is home to the largest number of network equipment manufacturers, as well as a growing number of enterprises, who are deploying more and more network telemetry solutions. In the United States, the telecommunications equipment industry is experiencing tremendous growth. The U.S. technology industry, including Cisco, Bay Networks, and 3Com, has experienced strong growth in the recent years. This growth is due to increased investment in network technologies, such as faster speed and higher bandwidth, as well as increasing demand from companies for more advanced network solutions.

Presence of largest number of internet users and largest economies to drive the Growth in the Asia Pacific Region

The Asia Pacific network telemetry market is estimated to garner the largest revenue by the end of 2036. This is due to the fact that the region is home to the largest number of internet users and has the largest economies in the world such as India, Japan, and China. As of June 2023, India had over 1.3 billion internet users, whereas China's internet population grew by 12 million since December 2022. Additionally, the region is also witnessing a rapid surge in the adoption of 5G and AI technologies, which are expected to drive the demand for network telemetry services in the region. This surge in the adoption of 5G and AI technologies has created the need for more sophisticated network monitoring and management tools, and this is where network telemetry services come in. These services provide a comprehensive view of the network, allowing network administrators to monitor and analyze the performance of the network in real-time and identify any potential problems.

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Network Telemetry Segmentation by Components

  • Service
  • Solutions

The network telemetry market service segment is anticipated to hold the largest revenue by the end of 2036. Network Telemetry services are essential for organizations to monitor their networks, detect threats, and optimize performance. These services are also necessary to ensure that networks are secure and compliant. Thus, they are in high demand and are expected to grow significantly in the coming years. Furthermore, with the increasing deployment of IoT and 5G, organizations will need to rely on Network Telemetry services to ensure their networks are secure and functioning properly. A recent report indicates that there were 450 million 5G connections added across the globe in 2022. Overall, the number of customers increased by 15% sequentially from 920 million in Q3 2022 to 1 billion in Q4 2022. Additionally, as organizations continue to adopt cloud technologies, they will require Network Telemetry services to monitor and secure their cloud networks.

Network Telemetry Segmentation by Deployment Mode

  • Cloud-Based
  • On-Premise

The cloud-based segment is anticipated to hold the largest revenue by the end of 2036. Cloud-based services have become increasingly popular in recent years due to their numerous benefits, including increased scalability, flexibility, and cost-effectiveness. As more and more businesses adopt cloud-based services, the demand for Network Telemetry solutions that can monitor and analyze network traffic in real-time is also increasing. Cloud adoption among enterprise organizations is over 95%, with over 92% of organizations using it. In 82% of organizations, multiple public clouds and private clouds are being used. Cloud-based services rely heavily on network infrastructure to function properly. In order to ensure that these services are performing optimally, businesses need to have a clear understanding of their network traffic.

Network Telemetry Segmentation by Type

  • Passive Telemetry
  • Active Telemetry

Network Telemetry Segmentation by End Use

  • Verticals
  • Service Providers

Network Telemetry Segmentation by Organizational Size

  • Small
  • Medium-Sized Enterprise
  • Large Enterprise

Network Telemetry Segmentation by Application

  • Network Performance Monitoring & Management
  • Security & Threat Detection

A few of the well-known market leaders in the global network telemetry market that are profiled by Research Nester are Cisco Systems, Juniper Networks, Arista Networks, Mellanox Technologies, Pluribus Networks, Barefoot Networks, Solarflare Communications, VOLANSYS Technologies, Nokia Corporation, IBM Corporation, and other key market players.

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Recent Development in the Network Telemetry Market

  • September 2019: Arista Networks released Cloud Vision 2019, its management software. The software provides monitoring, automation, and management capabilities. Additionally, it increases network agility, reduces risks, and reduces operational costs.

  • October 2019: Juniper Networks and Telefonica, UK, have developed the Fusion Network, which is a secure, cloud-enabled, automated network infrastructure. Telefónica has selected Juniper Networks as its strategic network Internet Protocol IP partner.

About Research Nester

Research Nester is a one-stop service provider with a client base in more than 50 countries, leading in strategic market research and consulting with an unbiased and unparalleled approach towards helping global industrial players, conglomerates and executives for their future investment while avoiding forthcoming uncertainties. With an out-of-the-box mindset to produce statistical and analytical market research reports, we provide strategic consulting so that our clients can make wise business decisions with clarity while strategizing and planning for their forthcoming needs and succeed in achieving their future endeavors. We believe every business can expand to its new horizon, provided a right guidance at a right time is available through strategic minds.


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