Network Function Virtualization Market Size, Share, and Analysis, By Component (Solutions, Orchestration & Automation, and Services), By Virtualized Network Functions (Compute, Storage, and Network), By Application (Virtual Appliance and Core Network), By End-User (Service Providers, Data Centers, and Enterprises), and By Region (North America, Europe, Asia-Pacific, And Rest of the World) And Regional Forecast 2024-2034
Network Function Virtualization Market Size, Share, and Analysis, By Component (Solutions, Orchestration & Automation, and Services), By Virtualized Network Functions (Compute, Storage, and Network), By Application (Virtual Appliance and Core Network), By End-User (Service Providers, Data Centers, and Enterprises), and By Region (North America, Europe, Asia-Pacific, And Rest of the World) And Regional Forecast 2024-2034
PRODUCT OVERVIEW
Network Function Virtualization Market is anticipated to exhibit a Compound Annual Growth Rate (CAGR) of 26% during the forecast span from 2024 to 2034. In 2023, the market size was assessed at USD 31 billion and is projected to reach USD 396.5 billion by the completion of 2034.
Network function virtualization (NFV) refers to an advanced technology that transforms traditional network services by virtualizing them and allowing them to run on standard hardware. This approach eliminates the need for dedicated hardware appliances as NFV uses virtualization techniques to combine and execute network operations as software on universal servers. This transition improves scalability and resource consumption within telecommunications and networking systems. Additionally, NFV separates network operations such as firewalls and routers from dedicated hardware, allowing for efficient deployment and maintenance. Moreover, the technology decouples virtualized instances with special hardware, enabling fast provisioning and economical operations. Hence, NFV is essential for the evolution of modern network infrastructures as it collaborates with Software-Defined Networking (SDN) to optimize and simplify network operations.
MARKET HIGHLIGHTS
Network function virtualization market is expected to reach USD 396.5 billion over the forecast period, owing to the increasing demand for flexible and cost-efficient network solutions. NFV emerges as a scalable alternative to traditional hardware-centric networks in the atmosphere of extensive digital transformation activities. Telecommunications sectors are prominently adopting NFV to improve their network flexibility and reduce operational costs, which contributes to market growth. Additionally, the rise of software-defined networking (SDN) further surges the deployment of network function virtualization across various sectors. Furthermore, North America and Europe are playing essential roles in pushing the market expansion, with an increasing number of enterprises adopting NFVs to optimize their network infrastructure. Thus, this evolving ecosystem positions the NFV market for sustained growth, due to the persistent demand for efficient and scalable network solutions across various sectors.
Network Function Virtualization Market Segments:
- By Component
- Solutions
- Orchestration & Automation
- Services
- By Virtualized Network Functions
- Compute
- Storage
- Network
- By Application
- Virtual Appliance
- Core Network
- By End-User
- Service Providers
- Data Centers
- Enterprises
Growth Drivers
Increasing Demand for Network Optimization to Create Development Prospects
Rising Adoption of Cloud Services will Provide New Opportunities for Growth
Restraint
Security Concerns Could Be Restricting Industry Growth
Key Players
- Cisco Systems, Inc.Hewlett Packard Enterprise (HPE)
- Nokia Corporation
- Ericsson AB
- VMware, Inc.
- Juniper Networks, Inc.
- Huawei Technologies Co., Ltd.
- NEC Corporation
- Intel Corporation
- Dell Technologies Inc.
- Red Hat, Inc.
- Oracle Corporation
- Amdocs Limited
- Brocade Communications Systems, Inc.
- Wind River Systems, Inc.
- North America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAG.R – United States and Canada
- Latin America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – Mexico, Argentina, Brazil and Rest of Latin America
- Europe Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – United Kingdom, France, Germany, Italy, Spain, Belgium, Hungary, Luxembourg, Netherlands, Poland, NORDIC, Russia, Turkey and Rest of Europe
- Asia Pacific Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – India, China, South Korea, Japan, Malaysia, Indonesia, New Zealand, Australia and Rest of APAC
- Middle East and Africa Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – North Africa, Israel, GCC, South Africa and Rest of MENA
- Qualitative and quantitative analysis of the market based on segmentation involving both economic as well as non-economic factors
- Provision of market value (USD Billion) data for each segment and sub-segment
- Indicates the region and segment that is expected to witness the fastest growth as well as to dominate the market
- Analysis by geography highlighting the consumption of the product/service in the region as well as indicating the factors that are affecting the market within each region
- Competitive landscape which incorporates the market ranking of the major players, along with new service/product launches, partnerships, business expansions, and acquisitions in the past five years of companies profiled
- Extensive company profiles comprising of company overview, company insights, product benchmarking, and SWOT analysis for the major market players
- The current as well as the future market outlook of the industry with respect to recent developments which involve growth opportunities and drivers as well as challenges and restraints of both emerging as well as developed regions
- Includes in-depth analysis of the market of various perspectives through Porter’s five forces analysis
- Provides insight into the market through Value Chain
- Market dynamics scenario, along with growth opportunities of the market in the years to come
- 3-month post-sales analyst support.
- 1. Executive Summary
- 1.1. Regional Market Share
- 1.2.Business Trends
- 1.3. Network Function Virtualization Market: COVID-19 Outbreak
- 1.4. Regional Trends
- 1.5. Segmentation Snapshot
- 2. Research Methodology
- 2.1.Research Objective
- 2.2. Research Approach
- 2.3. Data Sourcing and Methodology
- 2.4.Primary Research
- 2.5.Secondary Research
- 2.5.1.Paid Sources
- 2.5.2. Public Sources
- 2.6. Market Size Estimation and Data Triangulation
- 3. Market Characteristics
- 3.1.Market Definition
- 3.2.Network Function Virtualization Market: COVID-19 Impact
- 3.3. Key Segmentations
- 3.4.Key Developments
- 3.5.Allied Industry Data
- 4.Network Function Virtualization Market – Industry Insights
- 4.1. Industry Segmentation
- 4.2.COVID-19 overview on world economy
- 4.3.Industry ecosystem Channel analysis
- 4.4.Innovation & Sustainability
- 5. Macroeconomic Indicators
- 6. Recent Developments
- 7. Market Dynamics
- 7.1.Introduction
- 7.2. Growth Drivers
- 7.3. Market Opportunities
- 7.4.Market Restraints
- 7.5. Market Trends
- 8.Risk Analysis
- 9. Market Analysis
- 9.1.Porters Five Forces
- 9.2. PEST Analysis
- 9.2.1.Political
- 9.2.2. Economic
- 9.2.3. Social
- 9.2.4. Technological
- 10.Network Function Virtualization Market
- 10.1.Overview
- 10.2. Historical Analysis (2019-2022)
- 10.2.1. Market Size, Y-o-Y Growth (%) and Market Forecast
- 11. Network Function Virtualization Market Size & Forecast 2024A-2034F
- 11.1. Overview
- 11.2.Key Findings
- 11.3.Market Segmentation
- 11.3.1.By Component
- 11.3.1.1. Orchestration & Automation
- 11.3.1.1.1.By Value (USD Million) 2024-2034F
- 11.3.1.1.2. Market Share (%) 2024-2034F
- 11.3.1.1.3. Y-o-Y Growth (%) 2024-2034F
- 11.3.1.2.Services
- 11.3.1.2.1. By Value (USD Million) 2024-2034F
- 11.3.1.2.2.Market Share (%) 2024-2034F
- 11.3.1.2.3.Y-o-Y Growth (%) 2024-2034F
- 11.3.2. By Virtualized Network Functions
- 11.3.2.1.Compute
- 11.3.2.1.1. By Value (USD Million) 2024-2034F
- 11.3.2.1.2.Market Share (%) 2024-2034F
- 11.3.2.1.3.Y-o-Y Growth (%) 2024-2034F
- 11.3.2.2. Storage
- 11.3.2.2.1.By Value (USD Million) 2024-2034F
- 11.3.2.2.2. Market Share (%) 2024-2034F
- 11.3.2.2.3. Y-o-Y Growth (%) 2024-2034F
- 11.3.2.3. Network
- 11.3.2.3.1.By Value (USD Million) 2024-2034F
- 11.3.2.3.2. Market Share (%) 2024-2034F
- 11.3.2.3.3. Y-o-Y Growth (%) 2024-2034F
- 11.3.3.By Application
- 11.3.3.1.Virtual Appliance
- 11.3.3.1.1. By Value (USD Million) 2024-2034F
- 11.3.3.1.2.Market Share (%) 2024-2034F
- 11.3.3.1.3.Y-o-Y Growth (%) 2024-2034F
- 11.3.3.2. Core Network
- 11.3.3.2.1.By Value (USD Million) 2024-2034F
- 11.3.3.2.2. Market Share (%) 2024-2034F
- 11.3.3.2.3. Y-o-Y Growth (%) 2024-2034F
- 11.3.4.By End-User
- 11.3.4.1.Services Providers
- 11.3.4.1.1. By Value (USD Million) 2024-2034F
- 11.3.4.1.2.Market Share (%) 2024-2034F
- 11.3.4.1.3.Y-o-Y Growth (%) 2024-2034F
- 11.3.4.2. Data Center
- 11.3.4.2.1.By Value (USD Million) 2024-2034F
- 11.3.4.2.2. Market Share (%) 2024-2034F
- 11.3.4.2.3. Y-o-Y Growth (%) 2024-2034F
- 11.3.4.3. Enterprises
- 11.3.4.3.1.By Value (USD Million) 2024-2034F
- 11.3.4.3.2. Market Share (%) 2024-2034F
- 11.3.4.3.3. Y-o-Y Growth (%) 2024-2034F
- 12.North America Network Function Virtualization Market Size & Forecast 2024A-2034F
- 12.1.Overview
- 12.2. Key Findings
- 12.3. Market Segmentation
- 12.3.1.By Component
- 12.3.2. By Virtualized Network Function
- 12.3.3. By Application
- 12.3.4. By End-User
- 12.4. Country
- 12.4.1. United States
- 12.4.2. Canada
- 13.Europe Network Function Virtualization Market Size & Forecast 2024A-2034F
- 13.1.Overview
- 13.2. Key Findings
- 13.3. Market Segmentation
- 13.3.1.By Component
- 13.3.2. By Virtualized Network Function
- 13.3.3. By Application
- 13.3.4. By End-User
- 13.4.Country
- 13.4.1.Germany
- 13.4.2. United Kingdom
- 13.4.3. France
- 13.4.4. Italy
- 13.4.5. Spain
- 13.4.6. Russia
- 13.4.7. Rest of Europe (BENELUX, NORDIC, Hungary, Turkey & Poland)
- 14.Asia-Pacific Network Function Virtualization Market Size & Forecast 2024A-2034F
- 14.1. Overview
- 14.2. Key Findings
- 14.3.Market Segmentation
- 14.3.1.By Component
- 14.3.2. By Virtualized Network Function
- 14.3.3. By Application
- 14.3.4. By End-User
- 14.4. Country
- 14.4.1.India
- 14.4.2. China
- 14.4.3. South Korea
- 14.4.4.Japan
- 14.4.5.Rest of APAC
- 15.Middle East and Africa Network Function Virtualization Market Size & Forecast 2024A-2034F
- 15.1.Overview
- 15.2. Key Findings
- 15.3. Market Segmentation
- 15.3.1.By Component
- 15.3.2. By Virtualized Network Function
- 15.3.3. By Application
- 15.3.4. By End-User
- 15.4.Country
- 15.4.1. Israel
- 15.4.2. GCC
- 15.4.3. North Africa
- 15.4.4.South Africa
- 15.4.5. Rest of Middle East and Africa
- 16. Latin America Network Function Virtualization Market Size & Forecast 2024A-2034F
- 16.1.Overview
- 16.2. Key Findings
- 16.3. Market Segmentation
- 16.3.1.By Component
- 16.3.2. By Virtualized Network Function
- 16.3.3. By Application
- 16.3.4. By End-User
- 16.4.Country
- 16.4.1. Mexico
- 16.4.2. Brazil
- 16.4.3. Rest of Latin America
- 17. Competitive Landscape
- 17.1.Company market share, 2023
- 17.2. Key player overview
- 17.3. Key stakeholders
- 18. Company Profiles
- 18.1. Cisco Systems, Inc.
- 18.1.1.Company Overview
- 18.1.2.Financial Overview
- 18.1.3.Key Product; Analysis
- 18.1.4.Company Assessment
- 18.1.4.1.Product Portfolio
- 18.1.4.2.Key Clients
- 18.1.4.3. Market Share
- 18.1.4.4. Recent News & Development (Last 3 Yrs.)
- 18.1.4.5. Executive Team
- 18.2. Hewlett Packard Enterprise (HPE)
- 18.3. Nokia Corporation
- 18.4. VMware, Inc.
- 18.5. Juniper Networks, Inc.
- 18.6. Huawei Technologies Co., Ltd.
- 18.7. Ericsson AB
- 18.8. NEC Corporation
- 18.9. Intel Corporation
- 18.10. Dell Technologies Inc.
- 18.11.Red Hat, Inc.
- 18.12. Oracle Corporation
- 18.13. Amdocs Limited
- 18.14. Brocade Communications Systems, Inc.
- 18.15. Wind River Systems, Inc.
- 18.16. Other Prominent Players
- 19. Appendix
- 20.Consultant Recommendation
Research Assistance
Download our eBook: How to Succeed Using Market Research
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.
Download eBook