Software-Defined Networking Market Analysis

Software-Defined Networking Segmentation

End Users (Data Centers, Service Providers, Enterprises)

The data centers segment is slated to hold 45% share of the SDN market by 2037. The increasing number of data centers is driving the segment growth. There were over 8,000 data centers across the globe in 2022. SDN helps data center service providers to simplify and automate the provisioning of their networks for end-to-end network and service management and control. SDN controllers are a critical part of a data center software-defined network as they manage the flow control to network switches and routers. Moreover, as in a software-defined data center, all elements of the infrastructure viz, networking, storage, CPU, and security are virtualized and delivered as a service, the entire provisioning and operation of the infrastructure are driven by software.

Model (Open SDN, SDN Via APIs, SDN Overlay Models, Hybrid SDN)

The SDN overlay model segment is expected to garner the highest share of the overall segment is accredited to the increasing security threat and the need to improve cyber security. SDN overlay networks enhance security by segmenting traffic and restricting access. While using SDN as an overlay an attacker's traffic can be detected and stopped more easily in case of a network compromise.

Our in-depth analysis of the market includes the following segments:

Model	Open SDN SDN Via APIs SDN Overlay Models Hybrid SDN
End Users	Data Centers Service Providers Enterprises Others

Frequently Asked Questions (FAQ)

In the year 2025, the industry size of software-defined networking is assessed at USD 35.43 billion.

The software-defined networking market size was valued at USD 30.93 billion in 2024 and is expected to reach USD 271.9 billion by 2037, expanding at around 18.2% CAGR during the forecast period i.e., between 2025-2037. The increasing investment in the development of the latest network technologies and the growing network traffic will drive the market growth.

North America industry is likely to dominate majority revenue share of 30% by 2037, impelled by rise in the adoption of cloud computing & mobility solutions and the increasing need to manage networks owing to growing network traffic.

The major players in the market include Broadcom Inc., Arista Networks, Inc., Cisco Systems, Inc., Huawei Technologies Co., Ltd., Juniper Networks, Inc., VMware, Inc., Extreme Networks, Inc., Fujitsu Limited, Oracle Corporation, Dell Inc.

Software-Defined Networking Market Analysis