
Virtual Router Market by Component (Service, Solution), Type (Custom, Predefined), Vertical, End User - Global Forecast 2024-2030
Description
Virtual Router Market by Component (Service, Solution), Type (Custom, Predefined), Vertical, End User - Global Forecast 2024-2030
The Virtual Router Market size was estimated at USD 280.21 million in 2023 and expected to reach USD 336.62 million in 2024, at a CAGR 20.60% to reach USD 1,040.16 million by 2030.
A virtual router is a software-based routing framework that enables the host machine to perform as a hardware router over a local area network (LAN) and a wide area network (WAN). Virtual routers are an abstraction of physical routers and are designed to function in virtualized environments. They can run on commodity hardware & within a virtual machine and are frequently employed in cloud computing and network virtualization infrastructures. Increasing demand for high-speed, wide network coverage and cost-efficient network management solutions fueled the market growth. However, concerns over data security and privacy in virtualized environments limit the adoption of virtual routers. Complexities in integrating virtual routers with existing network infrastructure create potential challenges for market growth. Furthermore, integration with 5G networks to support the expanding bandwidth requirements creates significant opportunities in the market. In addition, an enhanced focus on cybersecurity in network management boosts the adoption of virtual routers.
Regional Insights
In the Americas, particularly in the United States and Canada, there is a strong focus on innovation and investments in network infrastructure. The American market is characterized by high adoption rates of cloud services, IoT, and smart technologies, encouraging a conducive environment for the growth of virtual routers. There is an increased demand for cost-effective and scalable network solutions, which virtual routers can provide. The increasing implementation of 5G networks is anticipated to drive the market further in the American region. In the EU, customers are benefiting from a robust digital infrastructure that supports the expansion of virtual router technology. The presence of numerous multinational companies and technological enterprises drives the need for scalable and reliable network services. GDPR and other regulatory frameworks also demand that virtual router solutions comply with high data protection standards. In the Middle East and Africa, despite the diverse range of economies, there is a noticeable push towards digital transformation. Investments in smart city projects and a burgeoning telecom sector are indicators of a ripe market for virtual routers driven by a need for better and more cost-effective network connectivity. The APAC region, with countries including China, Japan, and India, makes a major contribution to the adoption of virtual routers. The region has seen widespread growth of digital infrastructures with strong government backing for digital initiatives. Trends indicate high growth potential due to the vast adoption of mobile devices and increasing internet penetration.
Market Insights
Market Dynamics
The market dynamics represent an ever-changing landscape of the Virtual Router Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.
Market Drivers
- Rising advancements in virtualization technology and cloud computing
- Increasing demand for high-speed and wide network coverage
- Growing data traffic issues due to the proliferation of mobile devices
- High cost of development of virtual routers
- Growing introduction of technologically advanced virtual routers
- Increasing roll-out of 5G technologies worldwide
- Growing complexities in integrating virtual routers with existing network infrastructure
- Component: Growing adoption of services to ensure high efficiency and minimal downtime
- Type: Expanding the significance of custom virtual router that offer a high degree of flexibility
- Vertical: Emerging potential of virtual routers across the automotive & transportation industry that enable vehicle-to-infrastructure communication and support telematics
- End User: Increasing application of virtual routers across enterprises to ensure data protection and compliance with industry regulations
- Porter’s Five Forces Analysis
- Value Chain & Critical Path Analysis
- Pricing Analysis
- Technology Analysis
- Patent Analysis
- Trade Analysis
- Regulatory Framework Analysis
The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Virtual Router Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).
Market Share Analysis
The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Virtual Router Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.
Recent Developments
Arrcus bags USD 65 million in funding for virtualized routing and switching infrastructure
Arrcus secured an additional USD 15 million in Series D financing, raising its total investment to USD 65 million, participation from Hitachi Ventures, part of the USD 600 million Hitachi Vendors portfolio, alongside existing investors, including Prosperity7, Liberty Global, General Catalyst, Clear Ventures, and Lightspeed. The adaptability of Arrcus's software, which is ready for edge computing, 5G, and multi-cloud deployments, allows its implementation on multiple platforms, including ODM white boxes and x86 compute frameworks and cloud environments.
Arista Modernizes Routing in the Wide Area Network
Arista Networks, Inc. unveiled its groundbreaking Arista WAN Routing System, a comprehensive networking solution to revolutionize wide area networks. The portfolio further extends with the 5000 Series WAN Platforms, which offer a spectrum of options from high-capacity edge routing to scalable virtual and public cloud edge routing techniques, all while delivering encrypted traffic with unparalleled efficiency.
AT TOKYO and UNIADEX Collaborate to Launch ATBeX NFV Service in November 2022 Providing SD-WAN, Router, and Firewall Functions on a Virtual Appliance
AT TOKYO Corporation and UNIADEX, Ltd. launched the revolutionary ATBeX NFV service. This state-of-the-art service, forged in response to the growing complexity of data traffic and the need for efficient network management, offers an innovative solution that integrates ATBeX's powerful interconnectivity platform with UNIADEX's U-Cloud services.
Strategy Analysis & Recommendation
The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Virtual Router Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.
Key Company Profiles
The report delves into recent significant developments in the Virtual Router Market, highlighting leading vendors and their innovative profiles. These include 6WIND S.A., ACCESS CO., LTD., Allied Telesis, Inc., Arista Networks, Inc., AT&T, Inc., Broadcom, Inc., Check Point Software Technologies Ltd., Ciena Corporation, Cisco Systems, Inc., Connectify, Inc., CoreSite, DriveNets Ltd., Fujitsu Limited, Huawei Technologies Co., Ltd., Intel Corporation, International Business Machines Corporation, Inventum Technologies Private Limited, Juniper Networks, Inc., netElastic Systems, Inc., Nokia Corporation, Palo Alto Networks, Inc., Patton LLC, Telefonaktiebolaget LM Ericsson, TOKYO Corporation, Verizon Communications Inc., and ZTE Corporation.
Market Segmentation & Coverage
This research report categorizes the Virtual Router Market to forecast the revenues and analyze trends in each of the following sub-markets:
Component
- Service
- Managed Services
- Professional Services
- Solution
- Integrated Solution
- Standalone Solution
- Type
- Custom
- Predefined
- Vertical
- Aerospace & Defense
- Automotive & Transportation
- Banking, Financial Services & Insurance
- Building, Construction & Real Estate
- Consumer Goods & Retail
- Education
- Energy & Utilities
- Government & Public Sector
- Healthcare & Life Sciences
- Information Technology
- Manufacturing
- Media & Entertainment
- Telecommunication
- Travel & Hospitality
- End User
- Enterprises
- Service Providers
- Americas
- Argentina
- Brazil
- Canada
- Mexico
- United States
- California
- Florida
- Illinois
- New York
- Ohio
- Pennsylvania
- Texas
- Asia-Pacific
- Australia
- China
- India
- Indonesia
- Japan
- Malaysia
- Philippines
- Singapore
- South Korea
- Taiwan
- Thailand
- Vietnam
- Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom
Please Note: PDF & Excel + Online Access - 1 Year
Table of Contents
182 Pages
- 1. Preface
- 1.1. Objectives of the Study
- 1.2. Market Segmentation & Coverage
- 1.3. Years Considered for the Study
- 1.4. Currency & Pricing
- 1.5. Language
- 1.6. Stakeholders
- 2. Research Methodology
- 2.1. Define: Research Objective
- 2.2. Determine: Research Design
- 2.3. Prepare: Research Instrument
- 2.4. Collect: Data Source
- 2.5. Analyze: Data Interpretation
- 2.6. Formulate: Data Verification
- 2.7. Publish: Research Report
- 2.8. Repeat: Report Update
- 3. Executive Summary
- 4. Market Overview
- 5. Market Insights
- 5.1. Market Dynamics
- 5.1.1. Drivers
- 5.1.1.1. Rising advancements in virtualization technology and cloud computing
- 5.1.1.2. Increasing demand for high-speed and wide network coverage
- 5.1.1.3. Growing data traffic issues due to the proliferation of mobile devices
- 5.1.2. Restraints
- 5.1.2.1. High cost of development of virtual routers
- 5.1.3. Opportunities
- 5.1.3.1. Growing introduction of technologically advanced virtual routers
- 5.1.3.2. Increasing roll-out of 5G technologies worldwide
- 5.1.4. Challenges
- 5.1.4.1. Growing complexities in integrating virtual routers with existing network infrastructure
- 5.2. Market Segmentation Analysis
- 5.2.1. Component: Growing adoption of services to ensure high efficiency and minimal downtime
- 5.2.2. Type: Expanding the significance of custom virtual router that offer a high degree of flexibility
- 5.2.3. Vertical: Emerging potential of virtual routers across the automotive & transportation industry that enable vehicle-to-infrastructure communication and support telematics
- 5.2.4. End User: Increasing application of virtual routers across enterprises to ensure data protection and compliance with industry regulations
- 5.3. Market Disruption Analysis
- 5.4. Porter’s Five Forces Analysis
- 5.4.1. Threat of New Entrants
- 5.4.2. Threat of Substitutes
- 5.4.3. Bargaining Power of Customers
- 5.4.4. Bargaining Power of Suppliers
- 5.4.5. Industry Rivalry
- 5.5. Value Chain & Critical Path Analysis
- 5.6. Pricing Analysis
- 5.7. Technology Analysis
- 5.8. Patent Analysis
- 5.9. Trade Analysis
- 5.10. Regulatory Framework Analysis
- 6. Virtual Router Market, by Component
- 6.1. Introduction
- 6.2. Service
- 6.3. Solution
- 7. Virtual Router Market, by Type
- 7.1. Introduction
- 7.2. Custom
- 7.3. Predefined
- 8. Virtual Router Market, by Vertical
- 8.1. Introduction
- 8.2. Aerospace & Defense
- 8.3. Automotive & Transportation
- 8.4. Banking, Financial Services & Insurance
- 8.5. Building, Construction & Real Estate
- 8.6. Consumer Goods & Retail
- 8.7. Education
- 8.8. Energy & Utilities
- 8.9. Government & Public Sector
- 8.10. Healthcare & Life Sciences
- 8.11. Information Technology
- 8.12. Manufacturing
- 8.13. Media & Entertainment
- 8.14. Telecommunication
- 8.15. Travel & Hospitality
- 9. Virtual Router Market, by End User
- 9.1. Introduction
- 9.2. Enterprises
- 9.3. Service Providers
- 10. Americas Virtual Router Market
- 10.1. Introduction
- 10.2. Argentina
- 10.3. Brazil
- 10.4. Canada
- 10.5. Mexico
- 10.6. United States
- 11. Asia-Pacific Virtual Router Market
- 11.1. Introduction
- 11.2. Australia
- 11.3. China
- 11.4. India
- 11.5. Indonesia
- 11.6. Japan
- 11.7. Malaysia
- 11.8. Philippines
- 11.9. Singapore
- 11.10. South Korea
- 11.11. Taiwan
- 11.12. Thailand
- 11.13. Vietnam
- 12. Europe, Middle East & Africa Virtual Router Market
- 12.1. Introduction
- 12.2. Denmark
- 12.3. Egypt
- 12.4. Finland
- 12.5. France
- 12.6. Germany
- 12.7. Israel
- 12.8. Italy
- 12.9. Netherlands
- 12.10. Nigeria
- 12.11. Norway
- 12.12. Poland
- 12.13. Qatar
- 12.14. Russia
- 12.15. Saudi Arabia
- 12.16. South Africa
- 12.17. Spain
- 12.18. Sweden
- 12.19. Switzerland
- 12.20. Turkey
- 12.21. United Arab Emirates
- 12.22. United Kingdom
- 13. Competitive Landscape
- 13.1. Market Share Analysis, 2023
- 13.2. FPNV Positioning Matrix, 2023
- 13.3. Competitive Scenario Analysis
- 13.3.1. Arrcus bags USD 65 million in funding for virtualized routing and switching infrastructure
- 13.3.2. Arista Modernizes Routing in the Wide Area Network
- 13.3.3. AT TOKYO and UNIADEX Collaborate to Launch ATBeX NFV Service in November 2022 Providing SD-WAN, Router, and Firewall Functions on a Virtual Appliance
- 13.4. Strategy Analysis & Recommendation
- 14. Competitive Portfolio
- 14.1. Key Company Profiles
- 14.2. Key Product Portfolio
Pricing
Currency Rates
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