Previously in 2017, the global software-defined networking market size was valued at USD 5.74 billion and estimated to project the rise with an exponential growth rate over the forecast period. The growing demand for feasible networks and growing pressure on enterprises to making a cost-effective operational expenditure will drive the global software-defined networking market in the near future.
In 2022, the size of the global software-defined networking market was estimated to be US$ 19.6 billion. the market is expected to grow at a compound annual growth rate (CAGR) of 21.3% from 2023 to 2028, reaching US$ 64.1 billion.
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"The Global Software Defined Networking Market 2018-2028 (USD Billion)")
Moreover, the software-defined network has a centralized control console. It can be centrally controlled without getting individual switch operations in the network. A software-defined network (SDN) basically consists of several types of network virtualization, technologies, and automation using programs. The applications in a cloud computing multi-tenant architecture to manage flexibility in traffic and efficient manner will flue the market growth of software-defined networking across the globe.
Based on the solutions, the global software-defined networking market is categorized into the physical network infrastructure, SDN application, virtualization, integration & deployment, training & maintenance, and managed services. Looping on the insights of solution overview, the managed services segment is anticipated to grow with the highest growth rate in the forecast period owing to the increasing challenges faced by the organizations to select and install software-defined network systems.
Leading players of the software-defined networking market such as AT&T and Verizon have deployed a number of managed SDN platform solutions. In 2017, the physical network infrastructure contributed the highest revenue to the global software-defined networking market, due to the growing adoption rate by SDN infrastructure by companies across several different sectors.
Based on application, the global software-defined networking marketing is classified into BFSI, consumer goods, IT & Telecom, defense, healthcare, and others. Within the application segment, IT & Telecom hold the largest market share in 2017, owing to the complexity of telecom network infrastructure and demand for low-cost solutions. However, the consumer goods segment is estimated to witness growth with the highest CAGR over the forecast period owing to the growing demand for scalable and centralized network infrastructure in the consumer goods industry.
Discussing the regional view, the global software-defined networking market is a wide range to North America, Europe, Asia-Pacific, Latin America, and Middle-East & Africa. North America has influenced the global defined software networking market resulting in advanced networking infrastructure available, favorable regulations & standards for networking in the US and Canada. The Asia-pacific market is anticipated to grow in the forecast period with the highest growth rate on account of increasing upgrades in the networking infrastructure and the emerging trend of Bring Your Own Device (BYOD) in the APAC region.
Leading players of the global software-defined networking market include Cisco Systems, Inc., Hewlett-Packard Enterprise, Big Switch Networks, Juniper Networks, Inc., NEC Corporation, Brocade Communications Systems, Inc., IBM Corporation, VMware, Inc., Extreme Networks, Inc., and others. These key players have always contributed to design new strategies through partnerships, collaborations, and agreements.
Software Defined Networking Market Scope
| Metrics | Details |
| Base Year | 2022 |
| Historic Data | 2018-2019 |
| Forecast Period | 2022-2028 |
| Study Period | 2018-2028 |
| Forecast Unit | Value (USD) |
| Revenue forecast in 2028 | US$ 64.1 billion |
| Growth Rate | CAGR of 21.3 % during 2018-2028 |
| Segment Covered | By End User, By Industry Vertical, Regions |
| Regions Covered | ngredion Incorporated, Cargill Incorporated, Archer Daniels Midland Company, Tereos S.A., BENEO, Nexira, COSUCRA, Sensus |
| Key Players Profiled | Cisco, Dell, HPE, VMware, Huawei, Juniper Networks, Nokia, Oracle, Citrix, Arista Networks, CloudGenix, |
Key segments of the global software-defined networking market
Solutions and Services Overview, (USD Billion)
- Physical Network Infrastructure
- Virtualization
- SDN Application
- Integration and Deployment
- Training and Maintenance
- Managed Services
Industry vertical Overview, (USD Billion)
- BFSI
- IT and Telecom
- Consumer Goods
- Defense
- Healthcare
- Others
Regional Overview, (USD Billion)
- North America
- Europe
- Asia Pacific
- Latin America
- Middle-East & Africa
Frequently Asked Questions (FAQ) :
The market value of software defined networking market in 2025 was USD 101.23 billion.
The application of the software defined networking market BFSI, IT & Telecom, Consumer Goods, Defense, Healthcare and other.
The top companies that hold the market share in software defined networking market are Hewlett-Packard Enterprise, Cisco Systems, Inc., Big Switch Networks, Juniper Networks, Inc., NEC Corporation, Dell Inc., Brocade Communications Systems, Inc., Inc., IBM Corporation, Extreme Networks & among others.
Centralizing control over the network, SDN promptly provides several other benefits such as managing complex data traffic and customized data control. The growing adoption rate of SDN in enterprise data centers, and major implementation of the internet of things (IoT) across various industry verticals such as consumer goods, BFSI, healthcare, IT & Telecom, defense, and others, will have a positive influence on the growth of overall software-defined networking market.
In order to optimize networks by software control, vendors, and decreasing dependency on precise hardware configurations, increasing need for mobility, and cloud services are considered to be some of the leading drivers for the growth of the software-defined networking market. The industry holds advanced features such as efficient network administration, decoupling the decision-making system about the data traffic. One of the most essential and preferable features of software-defined networking is its ability to create intelligent responses to business demands. However, the network can be directly assigned to specific end user and application with the help of centralized control. The SDN reduces the comparability from networking and response time.
The software-defined networking market is anticipated to project the highest rate during the forecast period enabling the operators to manage the entire network and devices with consistent growth, regardless of the complexity of the underlying network technology. Additionally, the open APIs support a wide range of applications, including OSS/BSS, cloud orchestration, and business-critical networked apps.
The data center segment is anticipated to grow at the fastest rate during the forecast period, owing to the growing adoption rate of SDN in the evolving software-defined data center. The increasing usage of SDN in the data centers for gaining visibility, handling congestion, and control over the flows in a network, and managing the throughput and connectivity is leading software-defined networking market growth.
North America is the one which stands the largest software-defined networking market as most of the software-defined networking providers such as Hewlett Packard Enterprise, Cisco, and IBM which are based in the North America region and are making the huge investment over there. Due to the ongoing advancements in 4G and 5G technologies the US, telecommunication service providers are deploying SDN at every layer of their network.
In the Europe region, technology service providers have recognized the value proportion of SDN and have initiated deploying software-defined networking in their networks. In the Asia Pacific, emerging countries such as India, China, and Japan are showcasing a major contribution in the market. In India, the telecommunication services industry is upbringing the transformation and service providers top deploy software-defined networking technology at a large scale.
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