Networking Support Services Global Market Opportunities and Strategies to 2032

This report describes and explains the networking support services market and covers 2017-2022, termed the historic period, and 2022-2027, 2032F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.

The global networking support services market reached a value of nearly $842.75 billion in 2022, having grown at a compound annual growth rate (CAGR) of 6.7% since 2017. The market is expected to grow from $842.75 billion in 2022 to $1,119,917.8 million in 2027 at a rate of 5.9%. The market is then expected to grow at a CAGR of 7.9% from 2027 and reach $1,638,126.8 million in 2032.

Growth in the historic period resulted from the rising adoption of digitalization, growth in the adoption of cloud computing among small and medium-sized enterprises (SMEs), increasing use of smartphone devices and growing development of smart cities. Factors that negatively affected growth in the historic period were cybersecurity threats and decline in global manufacturing production growth.

Going forward, increasing demand for cloud-based solutions, rising demand for automation procedures, and growing internet usage will drive the growth. Factor that could hinder the growth of the networking support services market in the future include shortage of skilled professionals.

The networking support services market is segmented by type into LAN-as-a-Service, WAN-as-a-Service and other types. The WAN-as-a-Service market was the largest segment of the networking support services market segmented by type, accounting for 61.0% or $514.31 billion of the total in 2022. Going forward, the LAN-as-a-Service segment is expected to be the fastest growing segment in the networking support services market segmented by type, at a CAGR of 6.5% during 2022-2027.

The networking support services market is segmented by organization size into large enterprises and small and medium-sized enterprises. The small and medium enterprises (SMEs) market was the largest segment of the networking support services market segmented by organization size, accounting for 74.4% or $626.83 billion of the total in 2022. Going forward, the small and medium enterprises (SMEs) segment is expected to be the fastest growing segment in the networking support services market segmented by organization size, at a CAGR of 6.1% during 2022-2027.

The networking support services market is segmented by deployment type deployment and cloud. The on-premise market was the largest segment of the networking support services market segmented by deployment type, accounting for 65.4% or $551.07 billion of the total in 2022. Going forward, the cloud segment is expected to be the fastest growing segment in the networking support services market segmented by deployment type, at a CAGR of 8.1% during 2022-2027.

The networking support services market is segmented by end-user industry into banking, financial services and insurance (BFSI), IT (information technology) and telecommunication, government and public sector, healthcare and life sciences, manufacturing, retail and consumer goods, transportation and logistics and other end-user industries. The IT and telecommunication market was the largest segment of the financial advisory market segmented by end-user industry, accounting for 23.8% or $200.76 billion of the total in 2022. Going forward, the IT and telecommunication segment is expected to be the fastest growing segment in the financial advisory market segmented by end-user industry, at a CAGR of 7.2% during 2022-2027.

Western Europe was the largest region in the networking support services market, accounting for 41.7% or $351.46 billion of the total in 2022. It was followed by North America, Asia Pacific and then the other regions. Going forward, the fastest-growing regions in the networking support services market will be South America and Middle East where growth will be at CAGRs of 17.9% and 14.7% respectively. These will be followed by Africa and Eastern Europe where the markets are expected to grow at CAGRs of 9.6% and 8.2% respectively.

The global networking support services market is highly fragmented, with large number of players operating in the market. The top ten competitors in the market made up to 4.93% of the total market in 2022. The market concentration can be attributed to the presence of large number of players in different geographies. Prominent players are acquiring the products and entering into partnerships with the other companies to consolidate their market positions across the globe, while others are distributing products. Telefonaktiebolaget LM Ericsson was the largest competitor with a 1.32% share of the market, followed by Verizon Communications Inc with 0.74%, AT&T Inc with 0.58%, Cisco Systems Inc with 0.48%, NEC Corporation with 0.40%, Nokia Corporation with 0.35%, DXC Technology Company with 0.31%, Hewlett Packard Enterprise Company with 0.27%, Juniper Networks, Inc with 0.25% and Dell Technologies Inc with 0.23%.

The top opportunities in the networking support services market segmented by type will arise in the WAN-as-a-Service segment, which will gain $166.00 billion of global annual sales by 2027. The top opportunities in the networking support services market segmented by organization size will arise in the small and medium enterprises (SMEs) segment, which will gain $214.08 billion of global annual sales by 2027. The top opportunities in the networking support services market segmented by end-user industry will arise in the IT and telecommunication segment, which will gain $83.48 billion of global annual sales by 2027. The top opportunities in the networking support services market segmented by deployment type will arise in the cloud segment, which will gain $138.63 billion of global annual sales by 2027. The networking support services market size will gain the most in the USA at $44.46 billion.

Market-trend-based strategies for the networking support services market include focus on launch of new innovative product solutions with high bandwidth connectivity, focus on strategic partnerships and collaborations among market players, focus on development of advanced software-as-a-service (SaaS) solutions in network services, focus on introduction of cloud-native network management platforms and focus on integration of wide area network (WAN) services.

Player-adopted strategies in the networking support services market include focus on enhancing its operational capabilities through the launch of new solutions and focus on strengthening its business operations through partnerships and collaborations.

To take advantage of the opportunities, the analyst recommends the networking support services companies to focus on launch of new innovative product solutions with high bandwidth connectivity, focus on development of advanced software-as-a-service (SaaS) solutions in network services, focus on introduction of cloud-native network management platforms, focus on integration of wide area network (WAN) services, expand in emerging markets, continue to focus on developed markets, focus on strategic partnerships and collaborations, provide competitively priced offerings, provide subscription models, participate in trade shows and events, continue to focus on B2B promotions, target fast-growing end-user industries and offer services to startups.