Global Private Network Services Market, By Service Type (Managed Services, Professional Services), Network Type (Wide Area Network (WAN), Large Area Network (LAN), Virtual Private Network (VPN), Enterprise Private Network (EPN), Storage Area Network (SAN), Others), Enterprise Size (Small Enterprises, Medium Enterprises, Large Enterprises), End-User Industry (Telecommunication & IT, Retail & E-Commerce, Government, Media & Entertainment, Transportation & Logistics, Health Care, Banking, Financial Services and Insurance (BFSI), Manufacturing, Others) – Industry Trends and Forecast to 2029.
Private Network Services Market Analysis and Size
The volume of data has increased significantly in recent years as the number of mobile devices has increased globally. As network services evolve, next-generation network services are expected to address the need for critical wireless communication for industrial operations, public safety, and critical infrastructure connectivity.
Data Bridge Market Research analyses that the private network services market was valued at USD 15.43 billion in 2021 and is expected to reach the value of USD 22.80 billion by 2029, at a CAGR of 5.00% during the forecast period of 2022-2029. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.
Private Network Services Market Scope and Segmentation
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Report Metric
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Details
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Forecast Period
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2022 to 2029
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Base Year
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2021
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Historic Years
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2020 (Customizable to 2014 - 2019)
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Quantitative Units
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Revenue in USD billion, Volumes in Units, Pricing in USD
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Segments Covered
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Service Type (Managed Services, Professional Services), Network Type (Wide Area Network (WAN), Large Area Network (LAN), Virtual Private Network (VPN), Enterprise Private Network (EPN), Storage Area Network (SAN), Others), Enterprise Size (Small Enterprises, Medium Enterprises, Large Enterprises), End-User Industry (Telecommunication & IT, Retail & E-Commerce, Government, Media & Entertainment, Transportation & Logistics, Health Care, Banking, Financial Services and Insurance (BFSI), Manufacturing, Others)
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Countries Covered
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U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America
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Market Players Covered
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Amazon Web Services, Inc. (U.S.), Microsoft (U.S.), Oracle (U.S.), Google LLC (U.S,), Palo Alto Networks. (U.S.), SAP SE (Germany), Zscaler, Inc. (U.S.), Cisco Systems, Inc. (U.S.), Cloud flare Inc., ( U.S.), IBM Corporation (U.S.), Workday, Inc. (U.S.), P.T.C. (U.S.), Fujitsu (Japan), Microsoft (U.S.), Siemens (Germany), Cisco Systems Inc., (U.S.), A.W.S. (U.S.), Oracle (U.S.) and Atos SE (France)
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Market Opportunities
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Market Definition
Private network services are managed networks provided by IT service providers to their clients. Private network services range from LAN/WLAN management to unified communications to network consulting and network implementation. Private network services enable end-users to focus on their core competencies while saving money on network maintenance and construction.
Global Private Network Services Market Dynamics
Drivers
- High subscription rate of cellular services
Private network services have seen an increase in demand due to the widespread adoption of cellular networks in recent years, and this trend is expected to continue in the forecast period. A private 5G cellular network consists of core network servers and cell sites to support connectivity and maximize WAN connection to mobile end points. Private cellular networks provide benefits such as network slicing, extremely low latency, and increased bandwidth.
Furthermore, a private 5G cellular network provides high-performance networks to industries and aids in the operation of various technologies such as automated guided vehicles, drones, sensor technology, heavy machinery automation, and others. Following the Covid-19 pandemic, Wi-Fi hotspots have become overcrowded, and demand for higher capacity and data speeds that incorporate a private 5G network has increased.
- Network reliability
The most significant advantage of private network services over public network services is their ultra-high reliability. Many industries demand 99% network reliability, which is difficult to achieve with existing private networks. A 5G network with coordinated multiple point technologies improves reliability and meets this requirement. Many transmitters and receivers are organised in small cells in private network services to transfer user data to the nearest receiver code. As a result, private networks face less interference than public 5G networks. Furthermore, the transmitters and receivers support data feedback, allowing them to share channel conditions. This approach guarantees reliability with private networks, which drives market growth.
Opportunity
- Technological advancements
Rising exponential growth in global IP traffic and cloud traffic, among other things, are driving the private network services market. Furthermore, rising technological advancements and modernization in the field of network services will open up new opportunities for the private network services market during the forecast period.
Restraints
- Data privacy
However, rising concerns about data privacy, the increasing complexity and cost of upgrading traditional network infrastructure, rising network traffic with high customer churn, and a drop in exchange rates due to the COVID-19 pandemic are among the major factors that will limit market growth and further challenge the private network services market during the forecast period.
This private network services market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the private network services market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.
COVID-19 Impact on Private Network Services Market
The COVID-19 outbreak delayed the deployment of various private network infrastructures due to future testing and trial obstacles in certifying standalone networks' reliability and computational efficiency. The COVID-19 outbreak influenced telecom regulatory agencies worldwide, causing them to postpone their private network spectrum bidding plans, limiting market growth. Due to the network's inherent benefits, the emergence of the COVID-19 pandemic and its recurrence in second and third waves in various parts of the world has increased demand for private network adoption. Private network services benefit from high bandwidth, low latency, improved video, and remote sensing, and can be implemented effectively for all orientations working remotely. As a result, enterprises see private network services as a way to meet the standards set by the post-pandemic new normal scenario, and this factor has accelerated the global development of private network services.
Global Private Network Services Market Scope
The private network services market is segmented on the basis of service type, network type, enterprise size, and end-user industry. The growth amongst these segments will help you analyse meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.
Service type
- Managed Services
- Professional Services
- Consulting
- Integration & Implementation
- Support services
Network type
- Wide Area Network (WAN)
- Large Area Network (LAN)
- Virtual Private Network (VPN)
- Enterprise Private Network (EPN)
- Storage Area Network (SAN)
- Others
Enterprise size
- Small and medium sized enterprises
- Large Enterprises
End user industry
- Banking Financial Services and Insurance (BFSI)
- Healthcare
- IT and Telecommunication
- Retail and E-Commerce
- Transportation and Logistics
- Manufacturing
- Media & Entertainment
- Government
- Others
Private Network Services Market Regional Analysis/Insights
The private network services market is analysed and market size insights and trends are provided by country, service type, network type, enterprise size, and end-user industry as referenced above.
The countries covered in the private network services market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.
North America is expected to dominate the private network services market because of the rising rate of cybercrime and the increased number of cellular/mobile subscribers. The region is undergoing a dynamic transformation in terms of the adoption of new technologies across various sectors. This region's businesses were early adopters of LAN, WAN, and Wi-Fi. North America has a stable and well-established economy, allowing it to invest heavily in R&D activities that contribute to the development of innovative technologies in private network services.
Asia Pacific is expected to have the highest CAGR in the private network services market during the forecast period due to an increase in demand for internet-based communication services among SMEs in the region, Adoption of unified communication services and cloud technologies such as VoIP unified communications and voice & video conferencing are among the private network services industry trends in Asia Pacific.
The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of Global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.
Competitive Landscape and Private Network Services Market Share Analysis
The private network services market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, Global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to private network services market.
Some of the major players operating in the private network services market are:
- Amazon Web Services, Inc. (U.S.)
- Microsoft (U.S.)
- Oracle (U.S.)
- Google LLC (U.S,)
- Palo Alto Networks. (U.S.)
- SAP SE (Germany)
- IBM Corporation (U.S.)
- Zscaler, Inc. (U.S.)
- Cisco Systems, Inc. (U.S.)
- Cloud flare Inc., (U.S.)
- Workday, Inc. (U.S.)
- PTC (U.S.)
- Fujitsu (Japan)
- Microsoft (U.S.)
- Siemens (Germany)
- Cisco Systems Inc. (U.S.)
- AWS (U.S.), Oracle (U.S.)
- Atos SE (France)
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