Global Network Optimization Services Market to Double by 2022
Technological advancements in network infrastructure, increasing number of data centers and rising adoption of virtualization have been creating numerous opportunities for the spiraling growth of the network optimization services market. Consequently, the global network optimization services market revenue is expected to grow from the present USD 4.78 billion to USD 9.08 billion by 2022 at a CAGR of 13.7 percent.
Network optimization services encompass local networks optimization, WAN optimization, RAN optimization and data center optimization.
While the lack of enterprise expertise coupled with the variations in cloud performance have hampered the market growth to an extent, it has been adequately countered by the growing requirement for scalable and flexible network optimization services.
Forecast across Geographies
The Asia-Pacific (APAC) region presents one of the fastest-growing markets for network optimization solution and services, though North America is expected to retain its position as the market leader owing to relatively lower infrastructure costs, technology advancements and stable economies of its constituent countries.
India, Australia, Japan and China are the four major contributors to the growth of the APAC network optimization services market.
WAN Optimization Solutions to Gain Traction
Companies are steadily transitioning to the adoption of WAN optimization solutions, taking into account the ease of implementing the application and network optimization on branch office networks. With this, the workforce distributed at multiple locations can access applications that are consolidated in centralized data centers.
On-premises Deployment Scores over Hosting
The demand for on-premises solutions, which involves the deployment of the application within the premises of an organization, is growing despite the rapidly-proliferating cloud computing solutions. The advantages provided by on-premises solutions include the retention of control over the systems and data, along with dedicated staff handling the support and maintenance, despite the drawbacks such as the necessity for good infrastructure and high deployment costs.
While large enterprises majorly adopt adopting on-premises solutions as they can easily comply with the requirements for huge infrastructure and data centers, Small and Medium-sized Enterprises (SMEs) need to weigh both the pros and cons when selecting either on-premises or hosted solutions.