Cloud Managed Networking Market Size, Share Report, Analysis, Trends, Growth 2032

Cloud Managed Networking Industry Prospective:

The global Cloud Managed Networking market size was worth around USD 23.88 billion in 2023 and is predicted to grow to around USD 58.65 billion by 2032 with a compound annual growth rate (CAGR) of roughly 10.5% between 2024 and 2032.

Request Free Sample

Cloud Managed Networking Market: Overview

Businesses may use the cloud for complete lifecycle management due to cloud managed networking, a cutting-edge method of network implementation. Network hardware and a cloud management platform make up the two main parts of a cloud managed network. With the use of a cloud-based platform, this creative solution makes it possible to manage network devices such as firewalls, switches, access points, and gateways. The cloud managed network enables effective cloud-based management and monitoring of network equipment as well as overall corporate operations by utilizing cutting-edge technologies like big data, artificial intelligence, and cloud computing.

Businesses that adopt cloud managed networks can streamline operations and increase scalability by centrally managing and monitoring their network infrastructure from the cloud. With the help of this approach, companies may improve user experience, maximize network performance, and use advanced analytics to make wise decisions. Businesses can leverage cloud technologies to transform their network administration procedures and propel business development by implementing cloud managed networks. The cloud managed networking market is being driven by several factors including ease of management, technological advancements, growing investment in cloud networking and many others.

Key Insights

• As per the analysis shared by our research analyst, the global Cloud Managed Networking market is estimated to grow annually at a CAGR of around 10.5% over the forecast period (2024-2032).
• In terms of revenue, the global Cloud Managed Networking market size was valued at around USD 23.88 billion in 2023 and is projected to reach USD 58.65 billion by 2032.
• The growing technological advancement is expected to propel the market growth during the forecast period.
• Based on the deployment type, the Public Cloud segment is expected to grow at a significant rate over the forecast period.
• Based on the enterprise size, the Large Enterprises segment is expected to grow at a significant rate over the forecast period.
• Based on the industry vertical, the Telecom & IT segment is expected to dominate the market over the forecast period.
• Based on region, North America is expected to lead the market during the forecast period.

Request Free Sample

Cloud Managed Networking Market: Growth Drivers

Rising adoption of AI & ML drives market growth

AI is already handling a large percentage of automatic, in-the-moment intelligent decision-making for redistributing traffic among clouds. AI and ML are anticipated to act as the administrators of the enterprise-wide area network (WAN) of the future due to their autonomic-oriented algorithms. As AI understands the goal of the application and reliably delivers a positive user experience, it will utilize its predictive powers to guide traffic to the best circuits and paths rather than responding to unfavorable network conditions like packet loss, latency, and jitter. Consequently, it is anticipated that the market for cloud managed networking will grow considerably during the forecast period.

Cloud Managed Networking Market: Restraints

Data privacy and security concerns hinder market growth

MSPs are able to help businesses ensure that the data they deploy in the cloud is protected and private. As an additional measure of security, they offer their clients complete network protection & encryption. The primary obstacle to the market's growth is expected to be the lack of knowledge that organizations in developing nations, especially those in remote locations or those without access to network connectivity or information technology services, have about cloud managed networking solutions.

Cloud Managed Networking Market: Opportunities

Rising technological innovation by the key players offers a lucrative opportunity for market growth

The rising technological innovation is expected to offer a lucrative opportunity to the cloud managed networking market over the forecast period. For instance, in February 2023, Cisco made good on its pledge to assist clients in streamlining their IT operations by announcing significant advancements in cloud-managed networking. Cisco presents an integrated experience that offers genuine business agility with its strong new cloud management capabilities for industrial Internet of Things apps, streamlined dashboards to unify IT and OT operations, and flexible network intelligence to see and secure all industrial assets. 

To improve overall safety and security, lower downtime of critical infrastructure, and increase business productivity and efficiencies, Cisco has expanded its Catalyst industrial wireless and switching portfolio. These innovations, along with Cisco's portfolio expansion, provide more common tooling and data.

Cloud Managed Networking Market: Challenges

Complexity in integration poses a major challenge to market expansion

It can be difficult to integrate cloud-managed networking solutions with third-party apps, legacy systems, and on-premises equipment already in place. During the integration process, compatibility problems, data migration challenges, and interoperability issues could surface. To guarantee smooth deployment and operation, meticulous preparation and cooperation are needed. Therefore, the integration with existing infrastructure might be posing a major challenge to the industry's growth.

Cloud Managed Networking Market: Segmentation

The global Cloud Managed Networking industry is segmented based on Component, Deployment Type, Enterprise Size, Industry Vertical and region.

Based on the component, the global Cloud Managed Networking market is bifurcated into Hardware, Software, and Services.

Based on the deployment type, the global Cloud Managed Networking industry is segmented into Public Cloud and Private Cloud. The Public Cloud segment is expected to grow at a significant rate over the forecast period. Because of the flexibility and agility provided by public cloud environments, businesses may quickly install, configure, and manage network resources in response to shifting business needs. These features are used by cloud-managed networking systems to automate operations related to provisioning, scalability, and configuration, freeing up IT personnel to concentrate on strategic projects rather than tedious infrastructure management.

Based on the enterprise size, the global Cloud Managed Networking market is segmented into Small & Medium Enterprises and Large Enterprises. The Large Enterprises segment is expected to grow at a significant rate over the forecast period. Network infrastructure that can grow quickly is essential for large enterprises to manage changes in business needs, expansion, seasonal variations, mergers, and acquisitions. Without being limited by physical hardware or location, cloud-managed networking solutions offer the scalability and flexibility required to dynamically scale network resources up or down. Thereby, driving the market growth.

Based on the industry vertical, the global Cloud Managed Networking industry is segmented into Media & Entertainment, Telecom & IT, Retail, Educational Institutions and Others. The Telecom & IT segment is expected to dominate the market over the forecast period. Intense competition and pressure to reduce costs without sacrificing service reliability and quality are faced by telecom and IT companies. These businesses can save capital costs, minimize operating expenses, and achieve greater cost predictability and control over their network spend by utilizing cloud-managed networking solutions, which offer economical pricing models, pay-as-you-go billing, and economies of scale.

Cloud Managed Networking Market: Report Scope

Regional Analysis

North America is expected to lead the market during the forecast period

North America is expected to lead the market growth during the forecast period. The regional market growth is attributed to the presence of major players such as IBM, Cisco and others. These players constantly launch innovative products in the market intending to gain the majority of the market revenue share. For instance, in May 2023, IBM introduced IBM Hybrid Cloud Mesh, a software-as-a-service (SaaS) solution intended to help businesses manage their hybrid multicloud architecture.

IBM Hybrid Cloud Mesh, powered by "Application-Centric Connectivity," is designed to assist modern enterprises in managing their infrastructure across hybrid multicloud and heterogeneous environments by automating the process, management, and observability of application connectivity in and between public and private clouds. Furthermore, technological advancement and increasing R&D investment are another important factor that propel the market growth in the region.

Cloud Managed Networking Market: Competitive Analysis

The global Cloud Managed Networking market is dominated by players like:

• Cisco Systems Inc.
• NTT Data Corporation
• Accenture plc
• Aerohive Networks Inc.
• Fujitsu Ltd.
• IBM Corporation
• Interoute Communications Limited
• Huawei Technologies
• Alcatel-Lucent S.A.
• Ericsson
• NETGEAR Inc.
• NEC Corporation

The Global Cloud Managed Networking market is segmented as follows:

By Component

• Hardware
• Software
• Services

By Deployment Type

• Public Cloud
• Private Cloud

By Enterprise Size

• Small & Medium Enterprises
• Large Enterprises

By Industry Vertical

• Media & Entertainment
• Telecom & IT
• Retail
• Educational Institutions
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa