Network Automation Market Size, Share, Growth Analysis, By Network Type(Physical, Virtual, Hybrid), By Deployment type(On-Premises, Cloud), By Application(IT, Telecom, Manufacturing, Energy), By Region - Industry Forecast 2024-2031

Global Network Automation Market size was valued at USD 5.40 billion in 2022 and is poised to grow from USD 6.62 billion in 2023 to USD 33.79 billion by 2031, growing at a CAGR of 22.60% in the forecast period (2024-2031).

Network automation involves the process of streamlining the deployment, configuration, testing/validation, and operation of network devices, which can be either physical (such as routers, switches, access points, and firewalls) or virtual (including public cloud networking, virtual machines, containers, and virtual network functions). This technology is applicable to a wide array of enterprise and service provider network services, including data center networks, public cloud networks, and Wide Area Networks (WAN), among others. The increasing number of connected devices, industrial digitalization, and the growing need for simplified and efficient workplace operations necessitate substantial processing power at network edges. Additionally, IT teams need flexibility, consistency, and swift provisioning for both on-premises and cloud-based applications. Network automation systems help meet these requirements by automating and monitoring network configurations, detecting devices on the network automatically, and troubleshooting network issues. Advanced network automation leverages big data, artificial intelligence, and machine learning for network configuration and management. Moreover, various open-source projects are focused on establishing standards for virtualization-based network automation.

Top-down and bottom-up approaches were used to estimate and validate the size of the Global Network Automation market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Global Network Automation Market Segmental Analysis

The global network automation market is segmented based on solution, deployment mode, end user, organization size, enterprise vertical, and region. Based on the solution, the market is segmented into network automation tools, and intent-based networking. Based on the deployment mode, the market is segmented into cloud, on-premises. Based on end user, the market is segmented into enterprise vertical, service providers. Based on the organization size, the market is segmented into large enterprises, small and medium enterprises. Based on the enterprise vertical, the market is segmented into information technology, banking, financial services, and insurance, manufacturing, healthcare, energy and utilities, education, and others. Based on region, the market is segmented into North America, Europe, Asia-Pacific, Latin America, and MEA.

Drivers of the Global Network Automation Market

Data centers are experiencing significant transformation due to increasing network traffic and advancements in cloud technology, driving market growth. In the current cloud-based landscape, the network has become more critical to IT operations than ever before. As users access data and computing resources from both remote locations and corporate headquarters, network traffic is expanding, particularly as key servers and data are increasingly hosted in the cloud. The rise of cloud services, which complement traditional enterprise data centers, has made network traffic patterns more complex. Consequently, many businesses are looking for ways to enhance their networks' cloud compatibility. Network automation solutions are increasingly essential due to the growing network traffic, as they enhance network management and offer comprehensive visibility across all environments.

Restraints in the Global Network Automation Market

The growth of the Network Automation Market may be limited by the availability of accessible open-source automation tools. Several open-source technology developers have created effective network monitoring solutions that are considered superior to their costly commercial counterparts. Due to budget constraints, small and medium-sized enterprises (SMEs) often prefer open-source network automation solutions. This preference is restraining the market for commercial network automation solutions. However, some vendors are capitalizing on this trend by offering for-profit upgrades to these open-source products. These commercial upgrades include paid versions with enhanced features such as automated software patch downloads, support, and maintenance.

Market Trends of the Global Network Automation Market

Network automation and orchestration tools are evolving from specialized functions used by individual infrastructure and operations (I&O) employees into comprehensive solutions that enable increasingly automated network operations. Technological advancements, driven by the growing demand for bandwidth and seamless data sharing, are enhancing network automation. These advancements provide users with advanced network technologies that offer multi-cloud support, thereby improving efficiency and flexibility.