Network Infrastructure - Kazakhstan

Kazakhstan

Revenue in the Network Infrastructure market is projected to reach US$182.10m in 2024.
Service Provider Network Infrastructure dominates the market with a projected market volume of US$135.60m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of -2.22%, resulting in a market volume of US$162.80m by 2029.
The average Spend per Employee in the Network Infrastructure market is projected to reach US$17.95 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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Market

Region

Region comparison

Currency

Analyst Opinion

The network infrastructure market in Kazakhstan's data center industry is seeing minimal growth due to factors such as slow adoption of digital technologies, lower health awareness among consumers, and limited convenience offered by online services. Moreover, the sub-markets of service provider and enterprise network infrastructure continue to face challenges in expanding their market share.

Customer preferences: The demand for high-speed and reliable internet connectivity has grown significantly in Kazakhstan, leading to a rise in investments in network infrastructure within the data center market. With the increasing popularity of cloud-based services and remote work, there is a growing need for robust and efficient network infrastructure to support these activities. This shift towards a more digital and connected lifestyle is also driven by the country's young and tech-savvy population, who are driving the demand for advanced network infrastructure solutions.

Trends in the market: In Kazakhstan, the data center market is experiencing a shift towards modernization and expansion, with a focus on upgrading network infrastructure to support growing demand for connectivity. This trend is driven by the increase in cloud adoption and the need for reliable, high-speed connections. In addition, there is a growing demand for edge computing services, which require robust network infrastructure. As a result, industry stakeholders are investing in upgrading their network capabilities, including the deployment of fiber-optic networks and the adoption of SD-WAN technologies. These trends are significant for the data center market as they enable greater efficiency, flexibility, and scalability for businesses. However, they also bring challenges for stakeholders, such as the need to keep up with rapidly evolving technologies and the rising cost of infrastructure investments. To stay competitive, industry players will need to continuously innovate and collaborate with network service providers to meet the evolving needs of the market.

Local special circumstances: In Kazakhstan, the Data Center Market is driven by the country's strategic location between Europe and Asia, making it a key hub for data transmission and storage. Additionally, the government's efforts to diversify the economy and attract foreign investments have led to advancements in the country's telecommunications infrastructure, supporting the growth of the Network Infrastructure Market. The local regulatory environment, influenced by the country's transition to a digital economy, also plays a significant role in shaping the market landscape.

Underlying macroeconomic factors: The Network Infrastructure Market within the Data Center Market in Kazakhstan is greatly impacted by macroeconomic factors such as technological advancements, government policies, and investment in infrastructure. Kazakhstan's strong economic growth and favorable regulatory environment have led to increased investment in data center infrastructure, driving market growth. Additionally, the country's digital transformation and rapidly increasing internet penetration rate further support the demand for network infrastructure in data centers. These factors, along with the rising demand for cloud-based services and the increasing adoption of advanced technologies, are expected to drive the growth of the Network Infrastructure Market in Kazakhstan.

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.