by The global Enterprise Network LAN Equipment Market is estimated to be valued at US$ 6.01 Bn in 2023 and is expected to exhibit a CAGR of 4.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Enterprise network LAN equipment includes switches, routers, and wireless access points that connect devices within an organization. LAN equipment is installed in enterprises of all sizes to enable connectivity and sharing of data and resources amongst users. Advancements in Ethernet switching technology has enabled faster data transfer speeds and support for a greater number of devices. Wireless LAN equipment has seen increased adoption as bring-your-own-device or BYOD policies have become common in workplaces.
Market key trends:
The adoption of artificial intelligence (AI) and machine learning technologies is driving the need for higher bandwidth and more sophisticated networking equipment in enterprises. AI workloads generating large amounts of data require high-speed connectivity within datacenters. The use of wireless networks is also growing to support IoT devices and sensors collecting data. Virtualization of network functions is allowing enterprises to deploy network services on demand. Network virtualization enhances scalability, flexibility and reduces costs compared to physical hardware. Software-defined networking (SDN) further enables programmability and automation of network operations. All these trends are creating opportunities for innovative LAN equipment with advanced capabilities.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the enterprise network LAN equipment market is moderate. Large capital investments and economies of scale pose entry barriers to new players in this market.
Bargaining power of buyers: The bargaining power of buyers in the enterprise network LAN equipment market is high as buyers have a reasonable choice of suppliers and negotiate on the basis of quality, reliability, and service. Switching costs are also low for buyers.
Bargaining power of suppliers: The bargaining power of suppliers is moderate. While a few large suppliers exist, availability of substitutes and the competitive nature of the market limits suppliers’ bargaining power.
Threat of new substitutes: The threat of substitutes in the enterprise network LAN equipment market is moderate. New technologies like 5G and Wi-Fi 6 pose a threat as substitutes. However, upgradation costs are limiting large-scale technology switches.
Competitive rivalry: The competitive rivalry in the enterprise network LAN equipment market is high with the presence of many global and regional players competing on product differentiation and pricing.
Key Takeaways
The global enterprise network LAN equipment market is expected to witness high growth, exhibiting CAGR of 4.1% over the forecast period, due to increasing digitization of enterprises.
Regional analysis: North America dominates the global enterprise network LAN equipment market and is expected to continue its dominance over the forecast period. Asia Pacific is expected to be the fastest growing region due to government initiatives for digital infrastructure development.
Key players: Key players operating in the enterprise network LAN equipment market are Poly Plus Battery Co., Mullen Technologies Inc., Tesla, Inc., Lithium Air Industries, Inc. Key players focus on product launches and collaborations to gain a competitive advantage in the market. _______________________________________________________________________
