The global enterprise network services market has experienced modest contraction in recent years with this capital-intensive and mature market. Key macroeconomic factors, including elevated interest rates and persistent inflation, have exerted downward pressure on market dynamics. In addition, price compression in network services has intensified as competition rises and firms leverage cost-reducing technologies. The adoption of software-defined networking has further contributed to this trend by enabling enterprises to shift to lower-cost, cloud-based network access and services.
These declines are not entirely offset by areas that are growing for network providers, such as managed services, expanding to the LAN, security offerings, private 5G, and the internet of things. The challenge of today’s operators is supporting both legacy and modern infrastructures.
The market includes more than 35 players, but the top 4 hold a combined 55.0% market share. The projected revenue CAGR from 2023 is 2028 is 1.5%, with connection CAGR of 2.9%.
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