Service Provider Network Infrastructure - EMEA

Revenue in the Service Provider Network Infrastructure market is projected to reach US$50.34bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 4.10%, resulting in a market volume of US$61.55bn by 2029.
The average Spend per Employee in the Service Provider Network Infrastructure market is projected to reach US$48.07 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.

For more information on the data displayed, use the info button right next to the boxes.

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 within the Data Center Market in EMEA nan has been experiencing subdued growth, impacted by various factors such as increasing competition, regulatory changes, and economic uncertainty. However, the market is still expected to grow due to the increasing demand for digital services and the need for reliable and efficient network infrastructure.

Customer preferences: As the demand for high-speed and reliable internet connectivity continues to rise, service providers are investing in advanced network infrastructure to cater to the growing needs of businesses and consumers. With the rise of remote work and digitalization, there is a notable shift towards cloud-based solutions and virtualization technologies, enabling service providers to offer flexible and scalable services to their customers. This shift is driven by the increasing need for agility and cost-effectiveness in today's fast-paced business landscape.

Trends in the market: In EMEA, the Service Provider Network Infrastructure Market of the Network Infrastructure Market within the Data Center Market is seeing a shift towards software-defined networking (SDN) and network function virtualization (NFV). This trend is driven by the need for more flexible and scalable networks to support the growing demand for cloud services. Additionally, there is a growing focus on network automation and self-service capabilities to improve operational efficiency. These trends are significant for industry stakeholders as they enable them to keep pace with the changing network landscape and offer more agile and cost-effective solutions to their customers. However, this also poses challenges in terms of re-skilling and re-training network professionals to manage and operate these new technologies.

Local special circumstances: In EMEA, the Service Provider Network Infrastructure Market is heavily influenced by the unique regulatory landscape. With the implementation of the General Data Protection Regulation (GDPR), companies are required to comply with strict data privacy laws, which has led to an increase in demand for secure and compliant network infrastructure solutions. Additionally, cultural differences across the region also play a role in shaping the market, with some countries placing a higher emphasis on data privacy and security than others. These factors contribute to the complex dynamics of the market, making it crucial for companies to tailor their offerings to meet the specific needs of each country within the region.

Underlying macroeconomic factors: The Service Provider Network Infrastructure Market within the Data Center Market in EMEA is heavily influenced by macroeconomic factors such as the growing demand for high-speed internet connectivity, advancements in cloud computing, and increasing investments in digital transformation initiatives. Countries with strong economic growth and favorable government policies supporting digital infrastructure development are experiencing higher demand for network infrastructure solutions. Moreover, the rising adoption of 5G technology and the growing need for data centers to support the surge in data traffic are also contributing to the market growth.

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.