The global WAN Optimization market size is predicted to reach over USD 1.9 billion in 2020 and projected to grow at a CAGR of 8.5% over the forecast period.
Various changes in IT and business requirements are driving a demand for greater flexibility in WAN capabilities, propelling the WAN optimization market forward. Because of increased network data traffic, optimization technologies have grown in importance, positively impacting the WAN optimization market's growth. The high initial investment associated with WAN optimization, on the other hand, is the primary impediment to market growth. The expansion of enterprises and data centres is expected to drive the WAN optimization market forward.
WAN optimization refers to approaches for improving data-transfer efficiencies across wide-area networks (WAN); it aids in improving the efficiency between two data points over the networks. The rising popularity of cloud and virtual WAN optimization controllers is driving the WAN optimization market forward. The various advantages of WAN optimization, such as more reliable and faster recovery; it also has the ability to increase network response time capabilities, thereby increasing demand for WAN optimization and driving market growth.
WAN optimization technology is capable of managing real-time applications such as video streamlining, Voice over Internet Protocol (VoIP), and pre-population of on-demand video, among other features, significantly lowering network demand. As a result, WAN optimization is mostly beneficial to enterprises that rely on networks. As a result, the WAN Optimization market is expected to increase steadily over the forecast period of 2020 to 2028.
The report also emphasizes several distinctiveness of the global WAN Optimization industry by valuing the market from value chain breakdown. Moreover, the report encompasses numerous qualitative features of the WAN Optimization industry which comprises market restraints, drivers, as well as key industry opportunities. Furthermore, the report offers an inclusive evaluation of the company profiling along with the market rivalry of local and global vendors.
The WAN Optimization market has tough competition among the new emerging and pre-established market vendors. Besides, the WAN Optimization industry vendors are trying to capture the prospective markets to grab a competitive advantage over the remaining industry vendors. To capture the market, market players are forming agreements, acquiring other companies & startups, mergers & acquisitions, partnerships & collaboration, and escalating their business existence.
Based on the End Use Type, the market is segmented into SMEs, Large enterprises. In 2019, the large enterprises segment accounted for more than 70% of the market. This is due to the widespread use of WAN optimization software by large technology companies, banks, hospitals, and e-commerce retailers. The use of these solutions has assisted these businesses in lowering their total cost of ownership and overcoming latency issues while improving network efficiency. Furthermore, large enterprises use software from multiple vendors for a variety of applications. WAN optimization solutions provide the interoperability required for various software to operate in unison.
The North American market is open to the adoption of WAN optimization solutions. Because of the growing demand for the next-generation 5G network, the region is seeing a surge in demand for SD-Wan solutions. Because of the rapidly changing technological landscape, enterprises in the region are shifting to manage SD-WAN services. North American telecom providers are integrating various toolsets to provide services for both accelerating and monitoring application performance. Major North American WAN optimization vendors are developing new technologies that make WAN optimization more efficient and cost-effective.
The major players of the global WAN Optimization market are Riverbed Technology, Allot Communication Ltd., Silver Peak System INC, Citrix Systems, INC., Array Networks, INC., Cisco Systems, INC.,F5 Networks, INC., Radware Ltd., Streamcore., Juniper Networks Inc., Acacia Communications Inc. , Amphenol Corporation among others. In addition, the previously recognized as well as new market players are approaching the market with advanced and new strategic services and solutions and to remain competitive in the global market.
Segment Overview of Global WAN Optimization Market
Component Overview, 2019-2028 (USD Billion)
- Traditional WAN
- Professional Services
- Managed Services
End User Type Overview, 2019-2028 (USD Billion)
- Large enterprises
Deployment Type Overview, 2019-2028 (USD Billion)
Regional Overview, 2019-2028 (USD Billion)
- Rest of Europe
- Rest of Asia-Pacific
Middle East and Africa
- South Africa
- Rest of Middle East and Africa
- Rest of South Americ