Asia Pacific NFV Market to grow at 50

Network Function Virtualization Market to grow
at 42% CAGR from 2018 to 2024: Global Market
Insights Inc.
Network Function Virtualization (NFV) Market size is set to exceed USD 70 billion by
2024; driven by increasing demand for data center consolidation and server
virtualization. The NFV market growth is attributed to the growing trend of mobility in
enterprise IT infrastructures, lower telecom carrier costs enabled by NFV
deployment, and consistent industry as well as government initiatives for the
commercialization of 5G network technology. As network service providers have
invested in multiple technology transitions for mobile, broadband access, and
business services over the years, disparate networks with their own proprietary
architecture have emerged. This has led to enormous CAPEX and OPEX budget
bloats. NFV allows service providers to effectively virtualize network functions such
as load balancers, firewalls, subscriber policy management, and mobile RAN (Radio
Access Network) functions. Due to the excellent flexibility and agility offered by NFV
solutions, enterprises can scale their networking infrastructure in response to
increased workloads by using cloud-native NFVs. This flexibility allows them to
reduce the cost incurred in procuring additional hardware appliances for supporting
newly introduced network services.
NFV Market
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The hardware segment held a majority share of around 48% in 2017 in the global
NFV market due to the large-scale adoption of NFV servers for virtualizing diverse
network functions such as firewalls, Network Address Translation (NAT), routing, and
Internet Protocol Security (IPSec). As the market evolves, the software segment is
expected to lead the network function virtualization market growth due to the
extensive deployment of NFV-MANO platforms as well as VNF software applications
meant for virtualizing a diverse set of network functions.
NFV’s appeal lies in its ability to deliver more network function performance with
lesser data center rack space, power, and cooling. This capability is provided by the
virtualized architecture of the network framework supported by sophisticated NFV
software platforms and applications. Also, NFV software solutions can quickly
provision different types of virtual security appliances to enable software-defined
security to manage a dynamic threat landscape and protect the network integrity.
The manufacturing sector in the network function virtualization market is expected to
witness the fastest growth while registering a CAGR of around 50% between 2018
and 2024 due to the large-scale implementation of IIoT technology leading to a rapid
growth in the number of connected components in the industrial IT environment. In
the manufacturing sector, companies are leveraging the latest data center
technologies and the best design practices for enabling a better control over supply
chains, enhancing productivity through automation and closely managing the
manufacturing processes through the use of data processing solutions. Data center
functions are being increasingly utilized to consolidate operations and to integrate
different manufacturing processes.
Data center operations are expected to play a critical role in gathering and managing
machine related performance metrics to facilitate the real-time management of
operational processes in manufacturing industries. With increasing diversity of
connected devices and machine systems, modern networking functions, such as
NFV and SDN, will enable a better management of networking functions in largescale
industrial networks in the manufacturing sector over the forecast period.
Asia Pacific NFV market is projected to grow with the highest CAGR of around 50%
during the forecast period. The increasing adoption of cloud-based computing and
storage technology by SMEs in the region, expansion of data center ecosystem in
the region by leading global cloud service providers, and large-scale investment in
5G testing and commercialization by telecom carriers in China are some of the major
factors influencing the growth of the Asia Pacific NFV market.
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Europe Network Function Virtualization (NFV) Market Share, By Application,
2017
Browse key industry insights spread across 240 pages with 268 market data tables &
28 figures & charts from the report, “Network Function Virtualization (NFV) Market
Size By Component (Hardware [NFV Servers, Storage, Switches], Software
[NFV Management and Orchestration {NFV-MANO}, VNF Software], Service
[Training & Consulting, Integration & Maintenance, Managed Service]), By
Application (IT & Telecom, BFSI, Healthcare, Retail & Consumer Goods,
Government, Manufacturing), Industry Analysis Report, Regional Outlook
(U.S., Canada, UK, Germany, France, Italy, Spain, China, Japan, Australia &
New Zealand (ANZ), South Korea, India, Brazil, Mexico, GCC, South Africa),
Growth Potential, Competitive Market Share & Forecast, 2018 - 2024” in detail
along with the table of contents: https://bit.ly/2OuycCl
Companies operating in the global NFV market focus on product development and
innovation to develop robust network virtualization platforms along with strategic
collaborations and partnerships to leverage their mutual technological capabilities
and create innovative service offerings. Major players, such as Huawei, Cisco,
Nokia, HPE, and VMware focus, on developing modern network virtualization
infrastructure to enable service providers to run network services in a faster and
more efficient manner while enabling significant CAPEX and OPEX savings on
hardware investment. The cloud service providers provide the building blocks that
can be quickly assembled to build a virtual network infrastructure in the cloud.
Some of the key players operating in the network function virtualization market are
Cisco, Huawei, Ericsson, VMware, Juniper, F5 Networks, Nokia, AT&T, HP, Citrix,
NFWare, WindRiver, Riverbed, Broadcom, Oracle, Verizon, 6Wind, Arista, Amdocs,
IBM, and Pluribus.
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Industry Coverage
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