SD-WAN Market Size, Share, Growth and Forecast (2024–2032) | UnivDatos
The SD-WAN technology has evolved from a novelty concept to one of the critical trends in IT in recent years. As organizations around the world integrate digital transformation and cloud services, SD-WAN is critical to improving networks and connections. The current advances in this area further portray how advancements in technologies, the growth of industries, and the changes in business requirements have influenced SD-WAN advancements and implementation. This paper aims to analyze the state of the SD-WAN market, trends, and recent changes that are defining its further evolution.
According to the UnivDatos Market Insights, rapid adoption of cloud and distributed computing, rising demand for remote work, and integration of networking and security will drive the global scenario of the SD-WAN market. As per their “SD-WAN Market” report, the global market was valued at USD 7 billion in 2023, growing at a CAGR of about 35% during the forecast period from 2024 - 2032 to reach USD billion by 2032.
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1. Integration with 5G Technology
Another recent trend that has especially occurred in the SD-WAN market is the integration with 5G technology. With the advancement of 5G networks around the world, it is characterized by high rates, low delay, and increased reliability. It is equally a good chance for SD-WAN providers to improve their services in some ways. The integration of SD-WAN with 5G is that it provides enhanced and flexible networks for organizations regarding applications such as big data, IoT, and video, which require high bandwidth and minimum rates of delay. It also enables the SD-WAN solutions to take advantage of 5G to enhance the network connectivity, boosting the application delivery, and meet the current need of high bandwidth applications.
In February 2024, VMware, acquired by Broadcom Inc., announced significant new developments across its 5G, SD-WAN, SASE, and Edge Compute, collectively the Software-Defined Edge portfolio, to enable Communications Service Providers (CSPs) to modernize their networks and create new monetizable services.
2. AI and Machine learning to Improve Network Management
AI and ML are disruptors to network management and its operations due to the benefits that they present. Innovations have brought Artificial Intelligence (AI) and Machine Learning (ML) into SD-WAN providers where they are used to provide features like auto traffic control, prediction, and abnormality analysis. SD-WAN powered by Artificial Intelligence can dynamically control network traffic depending on current conditions, identify conditions that may detrimentally affect the network, and manage resources to guarantee that applications’ performance is consistent. This change towards AI and ML improves the operations of SD-WAN overall and makes for a more appealing solution for organizations that require smart and dynamic networks.
For instance, on June 20, 2024, Tata Communications announced the launch of its Unified/ Single-Vendor Hosted Secure Access Service Edge (SASE) for global enterprises. In partnership with Versa Networks, a leader in AI-powered Unified SASE, Tata Communications Hosted SASE, converges software-defined wide area networks (SD-WAN) and secure service edge (SSE) capabilities in a single pass technology enabling future-ready businesses to fully harness the power and potential of cloud-based environments through exceptional performance, zero-trust security, ease of use, and cost-effectiveness.
3. Increased Focus on Security
Security Considerations
SD-WAN isn’t only limited to segmentation though and often comes with features such as Next-Generation-Firewall (NGFW) and Intrusion Prevention Systems (IPS) for protecting against breaches, Cloud Access Security Broker (CASB) and Secure Web Gateway (SWG) for secure integrations of cloud service utilization and IPsec and AES for encrypted data transfer, improving confidentiality and protecting business intellectual property. This means that SD-WAN enables compliance via industry standards and regulations, encryption, and tunnelling for data protection requirements like NIST 800-53 and NIST 800-82 for ICS.
Since increased threats emerge, the need for end-to-end security in SD-WAN solutions increases as well. New features in SD-WAN platforms include encryption, next-generation firewalls, and intrusion detection and prevention systems. The focus on security is due to the need to protect the business’ data and maintain legal compliance. SD-WAN providers are also making use of Zero Trust security models, which check each access request regardless of its source. This focus on security is important because of the growing use of cloud-based applications and data while SD-WAN is used to control and secure the traffic flow of an organization’s network.
4. Managed SD-WAN Services
Managed services are another trend that has emerged in the context of SD-WAN augmentation. The market for outsourced managed SD-WAN services is growing, as there is a trend for companies to now outsource that task because of the challenges they may face when handling SD-WAN in-house. MSPs also provide telecommunication firms with End-to-End SD-WAN solutions installed, monitored, managed, and supported. In this way, organizations can leverage the capabilities of SD-WAN technology especially if they do not have the resources, time, and expertise required in intricate projects such as those implied in software development. The expansion of managed SD-WAN services was ascribed to the tendencies toward the outsourcing of IT-related operations seen in today’s marketplace, allowing organizations to concentrate on their primary operations while maintaining the effectiveness of their network infrastructure.
On March 22, 2023 – Aryaka, the leader in Unified SASE solutions, announced enhanced SD-WAN and SASE offerings specifically designed to meet the needs of small to medium-sized enterprises (SMEs). With entry pricing of under USD 150/site, Aryaka delivers a more comprehensive set of managed service capabilities compared to alternatives including application optimization, network security, multi-cloud connectivity, and cloud-based observability and control, all supported by lifecycle services management.
5. Hybrid and Multi-Cloud Growth
The emergence of both hybrid and multi-cloud environments is making SD-WAN solutions, which can effectively link and manage various cloud resources popular among the users. Organizations are moving to multiple cloud platforms to take advantage of different solutions and to avoid getting locked with single vendors and in such cases, SD-WAN is expected to offer connectivity across the cloud platforms. Most importantly, SD-WAN’s capability of enhancing the optimal traffic flow and its efficiency of cloud applications plays a vital role in achieving the fluidity of hybrid and multi-cloud setups. Companies are improving their SD-WAN products to support other clouds for the provision of UI continuity and service delivery of the best quality.
6. Expansion into Emerging Markets
This market also has the presence of growth in the emerging markets for the SD-WAN. Such regions as Asia-Pacific, Latin America, and Africa are experiencing a drastic growth of digital transformation, and hence, grow the need for SD-WAN solutions. Innovative technology markets in various regions are still growing and there is implementing a vast number of networks and cloud computing, which are common to require dependable and highly scalable solutions. These markets need SD-WAN to proactively enable them to address the challenges of increasing the performance of the existing business networks in addition to acquiring networking solutions at a cheaper cost with improved reliability and scalability. The growth of emerging markets also offers providers of SD-WAN a great chance at obtaining new business and at the same time promoting the advancement of the technology.
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Conclusion
The adoption of SD-WAN is still in its early stage and a lot depends on recent technologies that are introduced to the market. Since the SD-WAN is being enhanced by the integration with 5G, AI and ML updates, higher security measures, and the growing market for managed services, the attention to the solutions is growing as well. Especially, as organizations switch to hybrid and multi-cloud solutions, and enter new, exotic geographies, SD-WAN will remain a dominant factor in enhancing the networks’ capabilities and efficiency. The SD-WAN is a contemporary area of the market that is constantly evolving with the stream of modern evolving business requirements; thus, it will remain the focus of future technological advancement and investment in the coming years.
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