Overview
Virtual router market size is set to grow at a CAGR of 23% during the forecast period 2020-2025 and projected to reach $501.5 million by 2025. The increase in demand for Network Functions Virtualization (NFV) and software-defined networking (SDN) along with the requisite for mobility are acting as the driving factors of the virtual router market. This demand is, in turn, rising the requirement for numerous advanced virtual router software solutions. The key networking players are engaged in producing varied virtual routing products which consist of virtual private network, BGP routing, router firewalls, traffic engineering, network virtualization route reflectors, and Virtual CPE for the WAN contributes to the expansion of global virtual router market size.
Key Takeaways
- North America held a larger share in the virtual router market owing to the increasing demand for virtual router software to improve the network infrastructure within the business organizations.
- The growing acceptance of virtual routers to WAN based routers is likely to aid in the market growth of virtual routers.
- An increase in the prevalence of virtual networks across different end-use industries will increase the market demand for the virtual router market in the near future. This is because of the growing developments in virtual router software set to provide a significant number of opportunities for the virtual router market during the forecast period.
Component - Segment Analysis
Presently, the solution held the
largest share in the virtual router market size in 2018. This component not
only offers an integration pack of transparency and effective control of the
routing capability but also assist in saving the operational cost. Therefore,
this factor is creating a demand influx in the virtual router market. On the
other hand, the custom virtual router segment established a major share in the
virtual router market in 2018 and is projected to grow at a higher CAGR during
the forecast period. These virtual routers allow users to form multiple virtual
routers using a single routing device following the specific routing
requirements if any exists. This flexibility factor is burgeoning the customer
base for virtual router installation online.
End-User - Segment Analysis
Geography - Segment Analysis
North America's virtual router market share dominated the
global virtual router market, accounts for 40%, followed by APAC and Europe. It
is majorly due to the presence of a giant base of virtual router vendors in
this region. Additionally, the rise in the number of investments made by the
key service providers such as Cisco Systems, Inc., Juniper Networks, Inc., and
IBM, to adopt virtual routers and for further developments in the virtual
router solutions, especially in the U.S., Canada, and Mexico. Furthermore,
North America is generating a larger share of the global virtual router
revenue, owing to the increased focus of networking players to optimize the
network infrastructure, which in turn, raised the requirement of virtual router
solutions. APAC is estimated to experience a faster growth rate in the global virtual
router market during 2020-2025. Since, the growth in the penetration level of
both NFV and SDN specifically in the eminent economies such as China, Japan,
and India are collectively augmenting the growth of the APAC virtual router
market.
Drivers – Virtual Router Industry Outlook
- The objective to reduce the cost of internet browsing cost is boosting the growth of the virtual router market
In this
contemporary world, the usage of the internet has become a part of daily life.
Modern generation population including professionals and individuals are
relying much on the internet for all cases such as business purposes, social
media, advertising, marketing, and various other purposes. In addition to this,
the flexibility of internet speed, bandwidth, size of software, maximum user
acceptance, range of coverage offered by the virtual router software is leading
to increasing the customer base which includes business organizations,
individuals, and professionals to experience a smooth and cost-effective
connection. Connectify Hotspot,
mHotspot, My WiFi Router, MaryFi, VirtualRouter Plus, MO Virtual Router,
MyPublicWiFi, Bzeek, OSToto, and ARPMiner are the popular virtual router
software’s which provide a secured internet access point.
- The rise in the demand for a private cloud is burgeoning the virtual router market
Currently, the
IT originations are showcasing their interest to rely on a self-service
interface to support legacy applications and also to run a mass number of
applications. Besides, data centers are
adopting virtual routers to deliver rapid provisioning of new data center
compute and storage resources. The scalability offered by the router
manipulates the resources used as required. Hence, the private cloud is
creating huge opportunities for the expansion of the virtual router market.
Challenges – Virtual Router Industry
- The functionality difference in comparison with a core IP router hampering the growth of the virtual router market
However, the virtual routers
fails to perform the functions the same as of a heavy-duty core IP router in
some cases. Hence, this factor resulted in restraint to the growth of the
virtual router market. Moreover, unwillingness to transform from the legacy system
to the virtualized environment coupled with the lack of skills and expertise in
operating the virtual router software together act as a challenge for the
virtual router market.
Market Landscape
Mergers & Acquisitions, R&D activities, and
new operating systems are key strategies adopted by players in the virtual
router market. In 2018, the market of virtual router has been fragmented by the
top five players accounting for 28% of the share. The International Business
Machines Corporation (IBM), Cisco Systems, Inc., Huawei Technologies Co., Ltd.,
Juniper Networks, Inc., Brocade, The Hewlett Packard Enterprise Company (HPE),
Arista Networks, Telefonaktiebolaget LM Ericsson, ZTE Corporation, and Palo
Alto Networks, Inc. are the virtual router top 10 companies.
LIST OF TABLES
1.Global Virtual Router Market By Component Market 2023-2030 ($M)1.1 Solution Market 2023-2030 ($M) - Global Industry Research
1.1.1 Integrated Solution Market 2023-2030 ($M)
1.1.2 Standalone Solution Market 2023-2030 ($M)
1.2 Service Market 2023-2030 ($M) - Global Industry Research
1.2.1 Professional Services Market 2023-2030 ($M)
1.2.2 Managed Services Market 2023-2030 ($M)
2.Global Market By Type Market 2023-2030 ($M)
2.1 Custom Market 2023-2030 ($M) - Global Industry Research
2.2 Predefined Market 2023-2030 ($M) - Global Industry Research
3.Global Virtual Router Market By End-User Market 2023-2030 ($M)
3.1 Service Provider Market 2023-2030 ($M) - Global Industry Research
3.1.1 Telecom Market 2023-2030 ($M)
3.1.2 Data Center Market 2023-2030 ($M)
3.1.3 Cloud Market 2023-2030 ($M)
3.2 Enterprises Market 2023-2030 ($M) - Global Industry Research
3.2.1 Manufacturing Market 2023-2030 ($M)
3.2.2 Healthcare Market 2023-2030 ($M)
3.2.3 Government & Defense Market 2023-2030 ($M)
3.2.4 Education Market 2023-2030 ($M)
4.Global Virtual Router Market By Component Market 2023-2030 (Volume/Units)
4.1 Solution Market 2023-2030 (Volume/Units) - Global Industry Research
4.1.1 Integrated Solution Market 2023-2030 (Volume/Units)
4.1.2 Standalone Solution Market 2023-2030 (Volume/Units)
4.2 Service Market 2023-2030 (Volume/Units) - Global Industry Research
4.2.1 Professional Services Market 2023-2030 (Volume/Units)
4.2.2 Managed Services Market 2023-2030 (Volume/Units)
5.Global Market By Type Market 2023-2030 (Volume/Units)
5.1 Custom Market 2023-2030 (Volume/Units) - Global Industry Research
5.2 Predefined Market 2023-2030 (Volume/Units) - Global Industry Research
6.Global Virtual Router Market By End-User Market 2023-2030 (Volume/Units)
6.1 Service Provider Market 2023-2030 (Volume/Units) - Global Industry Research
6.1.1 Telecom Market 2023-2030 (Volume/Units)
6.1.2 Data Center Market 2023-2030 (Volume/Units)
6.1.3 Cloud Market 2023-2030 (Volume/Units)
6.2 Enterprises Market 2023-2030 (Volume/Units) - Global Industry Research
6.2.1 Manufacturing Market 2023-2030 (Volume/Units)
6.2.2 Healthcare Market 2023-2030 (Volume/Units)
6.2.3 Government & Defense Market 2023-2030 (Volume/Units)
6.2.4 Education Market 2023-2030 (Volume/Units)
7.North America Virtual Router Market By Component Market 2023-2030 ($M)
7.1 Solution Market 2023-2030 ($M) - Regional Industry Research
7.1.1 Integrated Solution Market 2023-2030 ($M)
7.1.2 Standalone Solution Market 2023-2030 ($M)
7.2 Service Market 2023-2030 ($M) - Regional Industry Research
7.2.1 Professional Services Market 2023-2030 ($M)
7.2.2 Managed Services Market 2023-2030 ($M)
8.North America Market By Type Market 2023-2030 ($M)
8.1 Custom Market 2023-2030 ($M) - Regional Industry Research
8.2 Predefined Market 2023-2030 ($M) - Regional Industry Research
9.North America Virtual Router Market By End-User Market 2023-2030 ($M)
9.1 Service Provider Market 2023-2030 ($M) - Regional Industry Research
9.1.1 Telecom Market 2023-2030 ($M)
9.1.2 Data Center Market 2023-2030 ($M)
9.1.3 Cloud Market 2023-2030 ($M)
9.2 Enterprises Market 2023-2030 ($M) - Regional Industry Research
9.2.1 Manufacturing Market 2023-2030 ($M)
9.2.2 Healthcare Market 2023-2030 ($M)
9.2.3 Government & Defense Market 2023-2030 ($M)
9.2.4 Education Market 2023-2030 ($M)
10.South America Virtual Router Market By Component Market 2023-2030 ($M)
10.1 Solution Market 2023-2030 ($M) - Regional Industry Research
10.1.1 Integrated Solution Market 2023-2030 ($M)
10.1.2 Standalone Solution Market 2023-2030 ($M)
10.2 Service Market 2023-2030 ($M) - Regional Industry Research
10.2.1 Professional Services Market 2023-2030 ($M)
10.2.2 Managed Services Market 2023-2030 ($M)
11.South America Market By Type Market 2023-2030 ($M)
11.1 Custom Market 2023-2030 ($M) - Regional Industry Research
11.2 Predefined Market 2023-2030 ($M) - Regional Industry Research
12.South America Virtual Router Market By End-User Market 2023-2030 ($M)
12.1 Service Provider Market 2023-2030 ($M) - Regional Industry Research
12.1.1 Telecom Market 2023-2030 ($M)
12.1.2 Data Center Market 2023-2030 ($M)
12.1.3 Cloud Market 2023-2030 ($M)
12.2 Enterprises Market 2023-2030 ($M) - Regional Industry Research
12.2.1 Manufacturing Market 2023-2030 ($M)
12.2.2 Healthcare Market 2023-2030 ($M)
12.2.3 Government & Defense Market 2023-2030 ($M)
12.2.4 Education Market 2023-2030 ($M)
13.Europe Virtual Router Market By Component Market 2023-2030 ($M)
13.1 Solution Market 2023-2030 ($M) - Regional Industry Research
13.1.1 Integrated Solution Market 2023-2030 ($M)
13.1.2 Standalone Solution Market 2023-2030 ($M)
13.2 Service Market 2023-2030 ($M) - Regional Industry Research
13.2.1 Professional Services Market 2023-2030 ($M)
13.2.2 Managed Services Market 2023-2030 ($M)
14.Europe Market By Type Market 2023-2030 ($M)
14.1 Custom Market 2023-2030 ($M) - Regional Industry Research
14.2 Predefined Market 2023-2030 ($M) - Regional Industry Research
15.Europe Virtual Router Market By End-User Market 2023-2030 ($M)
15.1 Service Provider Market 2023-2030 ($M) - Regional Industry Research
15.1.1 Telecom Market 2023-2030 ($M)
15.1.2 Data Center Market 2023-2030 ($M)
15.1.3 Cloud Market 2023-2030 ($M)
15.2 Enterprises Market 2023-2030 ($M) - Regional Industry Research
15.2.1 Manufacturing Market 2023-2030 ($M)
15.2.2 Healthcare Market 2023-2030 ($M)
15.2.3 Government & Defense Market 2023-2030 ($M)
15.2.4 Education Market 2023-2030 ($M)
16.APAC Virtual Router Market By Component Market 2023-2030 ($M)
16.1 Solution Market 2023-2030 ($M) - Regional Industry Research
16.1.1 Integrated Solution Market 2023-2030 ($M)
16.1.2 Standalone Solution Market 2023-2030 ($M)
16.2 Service Market 2023-2030 ($M) - Regional Industry Research
16.2.1 Professional Services Market 2023-2030 ($M)
16.2.2 Managed Services Market 2023-2030 ($M)
17.APAC Market By Type Market 2023-2030 ($M)
17.1 Custom Market 2023-2030 ($M) - Regional Industry Research
17.2 Predefined Market 2023-2030 ($M) - Regional Industry Research
18.APAC Virtual Router Market By End-User Market 2023-2030 ($M)
18.1 Service Provider Market 2023-2030 ($M) - Regional Industry Research
18.1.1 Telecom Market 2023-2030 ($M)
18.1.2 Data Center Market 2023-2030 ($M)
18.1.3 Cloud Market 2023-2030 ($M)
18.2 Enterprises Market 2023-2030 ($M) - Regional Industry Research
18.2.1 Manufacturing Market 2023-2030 ($M)
18.2.2 Healthcare Market 2023-2030 ($M)
18.2.3 Government & Defense Market 2023-2030 ($M)
18.2.4 Education Market 2023-2030 ($M)
19.MENA Virtual Router Market By Component Market 2023-2030 ($M)
19.1 Solution Market 2023-2030 ($M) - Regional Industry Research
19.1.1 Integrated Solution Market 2023-2030 ($M)
19.1.2 Standalone Solution Market 2023-2030 ($M)
19.2 Service Market 2023-2030 ($M) - Regional Industry Research
19.2.1 Professional Services Market 2023-2030 ($M)
19.2.2 Managed Services Market 2023-2030 ($M)
20.MENA Market By Type Market 2023-2030 ($M)
20.1 Custom Market 2023-2030 ($M) - Regional Industry Research
20.2 Predefined Market 2023-2030 ($M) - Regional Industry Research
21.MENA Virtual Router Market By End-User Market 2023-2030 ($M)
21.1 Service Provider Market 2023-2030 ($M) - Regional Industry Research
21.1.1 Telecom Market 2023-2030 ($M)
21.1.2 Data Center Market 2023-2030 ($M)
21.1.3 Cloud Market 2023-2030 ($M)
21.2 Enterprises Market 2023-2030 ($M) - Regional Industry Research
21.2.1 Manufacturing Market 2023-2030 ($M)
21.2.2 Healthcare Market 2023-2030 ($M)
21.2.3 Government & Defense Market 2023-2030 ($M)
21.2.4 Education Market 2023-2030 ($M)
LIST OF FIGURES
1.US Virtual Router Market Revenue, 2023-2030 ($M)2.Canada Virtual Router Market Revenue, 2023-2030 ($M)
3.Mexico Virtual Router Market Revenue, 2023-2030 ($M)
4.Brazil Virtual Router Market Revenue, 2023-2030 ($M)
5.Argentina Virtual Router Market Revenue, 2023-2030 ($M)
6.Peru Virtual Router Market Revenue, 2023-2030 ($M)
7.Colombia Virtual Router Market Revenue, 2023-2030 ($M)
8.Chile Virtual Router Market Revenue, 2023-2030 ($M)
9.Rest of South America Virtual Router Market Revenue, 2023-2030 ($M)
10.UK Virtual Router Market Revenue, 2023-2030 ($M)
11.Germany Virtual Router Market Revenue, 2023-2030 ($M)
12.France Virtual Router Market Revenue, 2023-2030 ($M)
13.Italy Virtual Router Market Revenue, 2023-2030 ($M)
14.Spain Virtual Router Market Revenue, 2023-2030 ($M)
15.Rest of Europe Virtual Router Market Revenue, 2023-2030 ($M)
16.China Virtual Router Market Revenue, 2023-2030 ($M)
17.India Virtual Router Market Revenue, 2023-2030 ($M)
18.Japan Virtual Router Market Revenue, 2023-2030 ($M)
19.South Korea Virtual Router Market Revenue, 2023-2030 ($M)
20.South Africa Virtual Router Market Revenue, 2023-2030 ($M)
21.North America Virtual Router By Application
22.South America Virtual Router By Application
23.Europe Virtual Router By Application
24.APAC Virtual Router By Application
25.MENA Virtual Router By Application
26.HPE, Sales /Revenue, 2015-2018 ($Mn/$Bn)
27.Cisco, Sales /Revenue, 2015-2018 ($Mn/$Bn)
28.Ericsson, Sales /Revenue, 2015-2018 ($Mn/$Bn)
29.Huawei Technologies, Sales /Revenue, 2015-2018 ($Mn/$Bn)
30.Nokia, Sales /Revenue, 2015-2018 ($Mn/$Bn)
31.Juniper Networks, Sales /Revenue, 2015-2018 ($Mn/$Bn)
32.IBM, Sales /Revenue, 2015-2018 ($Mn/$Bn)
33.Netelastic, Sales /Revenue, 2015-2018 ($Mn/$Bn)
34.Brocade, Sales /Revenue, 2015-2018 ($Mn/$Bn)
35.Arista Networks, Sales /Revenue, 2015-2018 ($Mn/$Bn)
36.ZTE Corporation, Sales /Revenue, 2015-2018 ($Mn/$Bn)
37.Carbyne, Sales /Revenue, 2015-2018 ($Mn/$Bn)
38.Palo Alto Networks, Sales /Revenue, 2015-2018 ($Mn/$Bn)
39.Ross Video, Sales /Revenue, 2015-2018 ($Mn/$Bn)
40.6wind, Sales /Revenue, 2015-2018 ($Mn/$Bn)
41.128 Technology, Sales /Revenue, 2015-2018 ($Mn/$Bn)
42.Trendnet, Sales /Revenue, 2015-2018 ($Mn/$Bn)
43.Linksys, Sales /Revenue, 2015-2018 ($Mn/$Bn)
44.Time, Sales /Revenue, 2015-2018 ($Mn/$Bn)
45.Allied Telesis, Sales /Revenue, 2015-2018 ($Mn/$Bn)
46.Check Point, Sales /Revenue, 2015-2018 ($Mn/$Bn)
47.Inventum, Sales /Revenue, 2015-2018 ($Mn/$Bn)
48.Drivenets, Sales /Revenue, 2015-2018 ($Mn/$Bn)
49.Access, Sales /Revenue, 2015-2018 ($Mn/$Bn)
50.Connectify, Sales /Revenue, 2015-2018 ($Mn/$Bn)