by The global Network Automation Market is estimated to be valued at US$ 14.56 Bn in 2021 and is expected to exhibit a CAGR of 23.4% over the forecast period of 2022-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Network automation refers to the deployment of automated processes and tools to manage, control, and optimize network operations. It involves the use of artificial intelligence (AI) and machine learning (ML) algorithms to automate repetitive tasks and improve network performance and efficiency. Network automation offers several advantages, including reduced operational costs, improved network security, faster troubleshooting and problem resolution, and enhanced scalability. With the increasing complexity of networks and the growing demand for efficient and reliable network operations, the need for network automation solutions is expected to witness significant growth in the coming years.
Market key trends:
One key trend shaping the network automation market is the increasing adoption of AI and ML technologies. With the vast amount of data generated by networks, AI and ML algorithms can analyze this data in real-time and identify patterns and anomalies. This enables network automation systems to make intelligent decisions and perform proactive actions to prevent potential network issues. Moreover, AI and ML algorithms can continuously learn and adapt to changing network conditions, further improving network performance and reliability. As organizations seek to optimize their network operations and keep pace with technological advancements, the adoption of AI and ML in network automation is expected to witness substantial growth in the foreseeable future.
Porter’s Analysis
Threat of New Entrants: The threat of new entrants in the network automation market is relatively low. This can be attributed to the high barriers to entry, such as the need for significant investments in research and development, advanced technologies, and established customer relationships. Additionally, the existing key players in the market have strong brand recognition and a wide range of solutions, making it difficult for new entrants to penetrate the market.
Bargaining Power of Buyers: The bargaining power of buyers in the network automation market is moderate. While buyers have the ability to compare prices and negotiate with suppliers, the market is driven by technological advancements and the need for efficient network management. This gives suppliers some leverage to maintain competitive pricing and offer innovative solutions to meet the demands of buyers.
Bargaining Power of Suppliers: The bargaining power of suppliers in the network automation market is relatively high. The market is dominated by a few key players, such as Cisco Systems Inc., Juniper Networks Inc., and VMware Inc., who have significant control over the supply chain. These suppliers have the ability to set prices, establish distribution networks, and dictate terms to buyers based on their market dominance.
Threat of New Substitutes: The threat of new substitutes in the network automation market is low. Network automation plays a crucial role in improving operational efficiency, reducing downtime, and minimizing human error. As such, the demand for network automation solutions is expected to increase, with limited alternatives that can deliver the same level of efficiency and reliability.
Competitive Rivalry: The competitive rivalry in the network automation market is intense. Key players such as Cisco Systems Inc., Juniper Networks Inc., and VMware Inc. are constantly engaged in technological advancements, innovations, and strategic partnerships to gain a competitive edge. The market is characterized by mergers and acquisitions, product launches, and collaborations to expand their market presence and cater to the evolving customer demands.
Key Takeaways
The global Network Automation Market Share is expected to witness high growth, exhibiting a CAGR of 23.4% over the forecast period (2022-2030). This growth can be attributed to the increasing need for efficient network management, rapid digitization, and the adoption of advanced technologies such as artificial intelligence (AI) and machine learning (ML). Companies are investing in network automation solutions to streamline their operations, improve scalability, and enhance overall network performance.
In terms of regional analysis, North America is expected to be the fastest-growing and dominating region in the network automation market. The presence of major technology vendors, increasing investments in advanced networking infrastructure, and the early adoption of automation technologies contribute to the market growth in this region.
Key players operating in the network automation market include Cisco Systems Inc., Extreme Networks Inc., Juniper Networks Inc., VMware Inc., SaltStack Inc., BMC Software Inc., Hewlett Packard Enterprise Development LP, Nuage Networks (Nokia Networks), IBM Corporation, NetBrain Technologies Inc., AppViewX Inc., Micro Focus International PLC, Fujitsu Limited, Arista Network Inc., SolarWinds Inc., Forward Networks Inc., and Network Automation Inc. These key players are focused on developing innovative solutions, expanding their product portfolios, and entering strategic collaborations to maintain their market positions and gain a competitive advantage.
Overall, the network automation market presents significant growth opportunities driven by the increasing need for efficient network management and the adoption of advanced technologies. The market is highly competitive, with key players constantly striving to offer innovative solutions, thereby shaping the future of the network automation industry.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
