Service Provider Network Infrastructure - ASEAN

Revenue in the Service Provider Network Infrastructure market is projected to reach US$5.63bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 3.22%, resulting in a market volume of US$6.59bn by 2029.
The average Spend per Employee in the Service Provider Network Infrastructure market is projected to reach US$16.23 in 2024.
In global comparison, most revenue will be generated China (US$45bn in 2024).

Definition:

The Service Provider Network Infrastructure market focuses on hardware resources for telecommunication service companies, focusing on technologies that enable wired and wireless network connectivity. This market specifically focuses on the essential infrastructure for transferring voice and data, encompassing high-performance routers, switches, servers, and wireless communication devices. It addresses the robust and scalable requirements of professional telecom networks, differentiating itself from consumer-grade networking products. These systems are crucial for maintaining reliable, high-speed communication services, integral to the infrastructure of the global telecommunication industry.

Additional Information:

The Service Provider 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 Service Provider Network Infrastructure market include companies such as Huawei, Cisco, Ericsson, Nokia, ZTE, and Ciena.

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Advanced Routers and Switches for Service Providers, such as Cisco Industrial Services Router, and Cisco Catalyst Switch
Carrier IP Telephony, such as Cisco IP Telephone, and Cisco Unified IP Conference Phone
Microwave Transmission & Mobile Backhaul, such as Ericsson’s Mini-Link, and Nokia’s Wavence Microwave transmission technologies
Wireless Packet Core, such as Cisco Ultra Packet Core, and Ericsson Packet Core Gateway

Private Network Infrastructure, such as TP-Link Basic Router, TP-Link Easy Smart Switches and Google Nest WI-FI
Network Infrastructure Software, such as Microsoft Core Infrastructure SVR STE, and McAfee Internet Security
Network Infrastructure Services, such as IT Support Services, and Home Internet Services Providers (ISPs)

The Service Provider Network Infrastructure Market in ASEAN is experiencing subdued growth, impacted by factors such as slow adoption of digital technologies, limited health awareness, and challenges in providing convenient online services. This has hindered the market's growth rate, despite being a part of the larger and growing Data Center Market in the region.

Customer preferences: As the demand for faster and more reliable internet connectivity continues to grow, service providers in the ASEAN region are investing in advanced network infrastructure to meet the needs of their customers. With the rise of smart cities and the Internet of Things, there is a growing demand for low-latency and high-bandwidth connections, leading to the adoption of technologies such as 5G and edge computing. Additionally, the increasing use of cloud services and the digitalization of businesses are driving the need for robust and scalable network infrastructure within data centers. This trend is expected to continue as the region's economy and population become more digitally connected.

Trends in the market: In ASEAN, the Service Provider Network Infrastructure Market within the Data Center Market is seeing a surge in demand for cloud-based services, as businesses shift towards digital transformation. This is driven by the need for increased scalability and flexibility, as well as cost savings. Additionally, there is a growing trend of virtualization and software-defined networking, allowing for more efficient and agile network management. These trends signal a shift towards a more software-defined and virtualized network infrastructure, with potential implications for traditional hardware vendors and service providers.

Local special circumstances: In the ASEAN region, the Service Provider Network Infrastructure Market within the Data Center Market is influenced by the diverse regulatory landscape and varying levels of technological adoption across countries. For instance, in Indonesia, the market is driven by the government's push for digital transformation and the increasing demand for cloud-based solutions. In Vietnam, the market is growing due to the rise of e-commerce and the need for robust network infrastructure to support online transactions. Additionally, in Singapore, the market is driven by the country's status as a regional hub for data centers, leading to high demand for advanced networking solutions.

Underlying macroeconomic factors: The Service Provider Network Infrastructure Market within the Data Center Market is heavily influenced by macroeconomic factors such as technological advancements, government policies, and investment in digital infrastructure. Countries with supportive regulatory environments and strong investment in network infrastructure are experiencing faster market growth compared to regions with regulatory challenges and limited funding. Additionally, the increasing demand for data center services and the growing digital economy in ASEAN are driving the need for robust service provider network infrastructure to support the region's growing technological landscape.

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.

This report presents a comprehensive analysis and additional information on the Technology market, in a PDF format.

Nothing runs right in companies or corporations today without the proper IT network infrastructure and equipment. IT networking is the construction, design, and use of network equipment to allow groups of computing devices to exchange data with one another, over both wired and wireless networks. The market covers networking hardware, software, and services, including virtual networks, servers, network management, and security.