Network Infrastructure - Benelux

Benelux

Revenue in the Network Infrastructure market is projected to reach US$4.57bn in 2024.
Service Provider Network Infrastructure dominates the market with a projected market volume of US$3.08bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 5.31%, resulting in a market volume of US$5.92bn by 2029.
The average Spend per Employee in the Network Infrastructure market is projected to reach US$286.00 in 2024.
In global comparison, most revenue will be generated in China (US$63,560m in 2024).

Key regions: India, China, Brazil, Indonesia, Japan

Definition:

The Network Infrastructure market focuses on hardware resources essential for service provider and enterprise networks. This market specifically focuses on solutions designed for the complex networking requirements of businesses and organizations, setting aside options like consumer-grade networking hardware products such as basic WIFI routers and network switches. These network infrastructure components are crucial in environments where reliable and secure connectivity, as well as efficient network operations, are paramount, establishing them as a fundamental part of the IT infrastructure in various industries.

Structure:

The Network Infrastructure market is structured in two markets based on the services model provided by the companies.

Service Provider Network Infrastructure covers the hardware resources of telecommunication service companies that enable wired and wireless network connectivity and communication to transfer voice and data.
Enterprise Network Infrastructure covers the hardware resources that enable wired and wireless network connectivity, communication, operations, and management of enterprises.

Additional Information:

The Network Infrastructure market includes revenue, revenue change, average spend per employee, and key player market shares as key performance indicators. Only revenues that are generated by primary vendors at the manufacturer price level either directly or through distribution channels (excluding value-added tax) are included, and revenues generated by resellers are excluded. Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players in the Network Infrastructure market include companies such as Huawei, HPE, Cisco, and Ericsson.

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Region

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Currency

Analyst Opinion

The Data Center market in Benelux is experiencing moderate growth due to various factors, including the increasing adoption of digital technologies, growing awareness of the importance of network infrastructure, and the convenience of online services. However, the market growth is being impacted by subdued growth rates caused by factors such as economic uncertainty and competition within the Service Provider and Enterprise sub-markets.

Customer preferences: The demand for reliable and secure network infrastructure in the Data Center Market has risen due to the increasing adoption of cloud computing and digital transformation by businesses. This has also led to a growing need for edge computing solutions to support the processing and storage of data closer to end-users. Additionally, with the rise of remote work and virtual events, there is a greater emphasis on high-speed and low-latency connectivity, driving the demand for advanced networking solutions in the Benelux region.

Trends in the market: In the Benelux region, the Network Infrastructure Market within the Data Center Market is experiencing a shift towards software-defined networking (SDN) solutions. This trend is driven by the need for greater flexibility and agility in managing data center networks. Additionally, there is a growing demand for network virtualization and automation to improve efficiency and reduce costs. This trend is expected to continue, with industry experts predicting a significant adoption of SDN in the coming years. For industry stakeholders, this trend presents opportunities for innovation and partnerships in developing and offering SDN solutions. It also highlights the importance of keeping up with technological advancements to remain competitive in the market.

Local special circumstances: In the Benelux region, the Network Infrastructure Market within the Data Center Market is heavily influenced by the region's highly developed and interconnected telecommunications infrastructure. This allows for a robust and reliable network infrastructure, making it an attractive location for data centers. Additionally, the region's strict data privacy laws and regulations have led to the emergence of secure and compliant data centers, catering to the increasing demand for data storage and management services.

Underlying macroeconomic factors: The Network Infrastructure Market within the Data Center Market in Benelux is greatly impacted by macroeconomic factors such as technological advancements, government policies, and investment in IT infrastructure. Countries with advanced technology infrastructure and supportive regulatory environments are experiencing higher growth in this market. Additionally, the increasing demand for cloud services and data storage, as well as the growing adoption of IoT devices, are driving the need for robust network infrastructure in the region. The overall economic health of the Benelux countries, coupled with their focus on digital transformation, is expected to further fuel the growth of the Network Infrastructure Market within the Data Center Market.

Methodology

Data coverage:

The data encompasses B2B enterprises. Figures are based on hardware-related expenses of businesses for setting up and maintaining an IT infrastructure.

Modeling approach / Market size:

Market sizes are determined through a top-down approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports and national statistical offices. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of digitization. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques, such as exponential trend smoothing and the S-curve function, is based on the behavior of the relevant market.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.