SD-WAN Market is Getting into the Router Replacement

SD-WAN Market

The worldwide market for software-defined networks (SD-WAN), including control and management equipment and software, grew 23% sequentially in the second quarter of 2019, while companies accumulated purchases to replace the installed router base with activated SD-WAN device. Let start here how SD-WAN Market is Getting into the Router Replacement

According to IHS Markit | In the second quarter, major companies began to replace their existing routers with SD-WAN technology. Technology is now part of Informa Tech. SD-WAN revenue surges by 23%. These efforts have been expanded, and some deployments have reached up to 5,000 sites for a single customer, as reported by IHS Markets Data Tracker Market Technology.

Watchout How SD-WAN Market is Getting into the Router Replacement

“Our discussions with providers have shown that most SD-WANs are core technology,” said Josh Bancroft, senior research analyst at IHS Markit. “As a result, larger companies have begun to upgrade their old WANs, router-centric with SD-WAN. Sellers are using upgrade options for customers with a large number of aging router devices.”

VMware remained the leader in the SD-WAN market with the highest revenue share in the second quarter, followed by Cisco and Aryaka. Fortinet moved up to fourth position, benefiting from a continuous upgrade of the security apparatus for large enterprises.

The growing quantity of remote and mobile workers will continue to be an essential growth factor for SD-WAN devices. Despite the detail that compact appliances are the most cost-effective solution for home office deployment, traditional SD-WAN devices are still linked in home office environments. In the second quarter, up to 200 devices remained joined in the homes of radiologists in North America.

“In the future, we expect to continue deploying SD-WAN devices in the homes of remote workers using more compact or more traditional form factors,” Bancroft said. “LTE connections and broadband connections ensure session-based reloading for unified communications users. It also encourages the security of sensitive patient data through security policies that can be set by the medical service providers in the orchestration portals at the device level. ”

At the recent SD-WAN summit in Paris, it became apparent that SD-WAN vendors continue to invest in LTE devices and provide consistent traffic for applications deployed on mobile devices.

“During key discussions and notes, vendors said they are already testing the performance of 4G LTE interconnect devices from various vehicle manufacturers,” Bancroft said. “A number of vendors are also in talks with automakers to prepare for the autonomous deployment of vehicles.”

Further highlights of the market for data center networks are:

IHS Markit | Sales of SD-WAN technology project providers will grow to $ 4.4 billion by 2023.

The Data Center Tracker Marketplace Equipment Tracker covers the application delivery segment as a service. Quarterly revenues increased 3 percent (QoQ) to $ 24 million in the second quarter of 2019.

For application delivery controller vendors, hardware decreased by 2%, virtualized devices by 4%, and virtualized software ADCs by only 23%.
SD-WAN defined

For SD-WAN sales, IHS Markit | The technology captures the manufacturers’ revenues in dollars for SD-WAN devices. The shipment tracking includes modules (I / O interfaces, textile cards and processing modules), power supplies and software (operating system, service functions, etc.) for the sales recorded in the chart quarter.

The entire does not contain revenue from WAN connectivity, services and support, product maintenance, managed services, and professional services. Where appropriate and possible, sales of charged products will be attributed to the brand and not to the OEM.

Regarding the sales of manufacturers with SD-WAN control and management software, we track software licenses provided for sales recorded in the chart quarter. IHS Markit does not contain revenue from WAN connectivity, services and support, software maintenance, managed services and professional services. Software licenses may be available indefinitely or for a fee. If so, and if possible, sales of renamed products are official to the brand and not OEM.

Market tracker for data center network devices

According to the forecasts by 2023, IHS Markit’s Market Tracker for data center networks offers quarterly global and regional market size, vendor market share, analysis, and trends for Ethernet switches for data center, by category, and market. The tracker also includes category-by-category application controllers, software-defined WAN (SD-WAN) devices, and control and management software. Suppliers included include A10, ALE, Arista, Fortinet, Array Networks, Aryaka, Barracuda, Cisco, Citrix, CloudGenix, CradlePoint, Cato, Dell, F5, FatPipe, HPE, Huawei, Hughes, InfoVista, Juniper, KEMP and Nokia (Nuage) . , Silver Peak, Radware, Riverbed, Talari, Teloip, VMware, Versa, ZTE, and others etc.

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