Network Analytics Market Expected to Reach $17 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Network Analytics Market," The network analytics market was valued at $2.9 billion in 2022, and is estimated to reach $17 billion by 2032, growing at a CAGR of 19.7% from 2023 to 2032.

Network analysis is a method of studying the relationships between entities in a network. It involves analyzing connections, or links, between entities, as well as characteristics of entities themselves. Network analysis can be used to study a wide range of systems, including social networks, transportation networks, and biological networks. For example, in social network analysis, the entities might be individuals, and the links might represent relationships such as friendship or professional collaboration. By analyzing the patterns of relationships between individuals in a social network, it may be possible to identify key influencers, detect the spread of ideas or behaviors, or understand how groups are organized.

Network analytics provides network operators and administrators with a deeper understanding of their network. A typical network enterprise, data center, telecom or cloud is hugely diverse. It comprises various devices from multiple vendors, a firewall from Checkpoint, routers. Pinpointing and addressing any issue in such a network without relevant statistics and analytical information is tedious and error prone. Network analytics allows the operator to collect valuable continuous data, analyze trends, and predict future behavior. True network analytics needs to start by being completely vendor agnostic. It should be able to collect data across disparate devices, store the relevant time series data and correlate that data in real time.   

Additionally, the network analytics market is expected to witness notable growth owing to rising network complexities, surge in network optimization and growing adoption of cloud-based network analytics solutions. Moreover, increasing regulatory compliance and data privacy requirements is expected to provide lucrative opportunity for the growth of the market during the forecast period. On the contrary, security and privacy concerns limits the growth of the network analytics market.

On the basis of end user, telecom providers dominated the network analytics market size in 2022, owing to integration of edge computing into telecom infrastructure for faster insights and reduced latency. Moreover, artificial intelligence and automation are increasingly employed to enhance network management efficiency, automate issue resolution, and predict potential problems. However, the cloud service providers is expected to witness the fastest growth, owing to the increasing focus on hybrid and multi-cloud solutions, allowing businesses to seamlessly integrate and manage workloads across multiple cloud platforms for flexibility and optimization.

Region-wise North America dominated the network analytics market share in 2022, owing to increase in prevalence of cyber threats has made network security analytics. In addition, the deployment of 5G networks is driving the adoption of network analytics for optimizing performance, managing traffic, and ensuring seamless connectivity. However, Asia-Pacific is expected to witness the fastest growth in the upcoming year, owing to the deployment and optimization of 5G networks, drives the adoption of analytics tools to enhance performance and support new applications. The region is witnessing a surge in cloud-native solutions, providing scalability and flexibility for evolving digital infrastructures.

The COVID-19 pandemic prompted a rapid and widespread shift towards remote work, resulting in a fundamental transformation of network usage patterns. This change not only increased the volume of data traversing corporate networks but also altered the types of applications and services being accessed. Network analytics became crucial for organizations to understand and manage these shifts, ensuring that networks could support the increased demand for video conferencing, collaboration tools, and other remote work applications.

Moreover, the pandemic accelerated digital transformation initiatives, pushing organizations to adopt cloud services at an unprecedented pace. This transition, coupled with the decentralization of workforces, created new challenges for network management and highlighted the need for cloud-based network analytics solutions. These solutions enable organizations to gain insights into the performance of applications hosted in the cloud, optimize data flows between on-premises and cloud environments, and ensure a seamless user experience. On the cybersecurity front, surge in remote work introduced new attack vectors, making network security a top priority. Network analytics played a critical role in detecting and responding to security threats, as traditional security perimeters became more porous with the widespread use of remote connections. The ability of network analytics to provide real-time visibility into network activities and identify anomalous behavior became paramount in the context of heightened cybersecurity risks.

Key Findings of the Study

• By component, the network intelligence solution segment led the network analytics market in terms of revenue in 2022.
• By deployment mode, the cloud segment is anticipated to have fastest growth rate for network analytics market.
• By application, the network performance management segment led the network analytics market in terms of revenue in 2022.
• By enterprise size, the small and medium-sized enterprise is anticipated to have fastest growth rate for network analytics market.
• By end user, the telecom providers segment led the network analytics market forecast in terms of revenue in 2022.
• By region, North America generated the highest revenue for network analytics market analysis in 2022.

The key players profiled in the network analytics industry analysis are Cisco Systems, Inc., Broadcom, IBM Corporation, Hewlett Packard Enterprise Development LP, Accenture, Huawei Technologies Co., Ltd., SAS Institute Inc, Telefonaktiebolaget LM Ericsson, Juniper Networks, Inc., and Ciena Corporation. These players have adopted various strategies to increase their market penetration and strengthen their position in the network analytics industry.