The nascent Software Defined Wide Area Network (SD-WAN) market is expected to grow at a compounded annual growth rate of 33 percent over the next five years with sales to enterprises accounting for the majority of revenue, according to Dell’Oro Group.
Dell’Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunications, networks, and data center IT markets.
SD-WAN comprises a set of networking and software technologies that promise to help enterprises adapt their WANs to the new world of Cloud services.
“The SD-WAN market is dividing into use cases for enterprise self-managed deployments and for telecommunication service provider managed business services,” said Shin Umeda, Vice President at Dell’Oro Group. “Over the next five years, we expect the majority of SD-WAN deployments to come from enterprises, despite the recent explosion in managed services announcements coming from telecom service providers.”
Dell’Oro Group said that the forecast is based on a bottoms-up methodology and includes details of the hardware and software components required for full SD-WAN implementation separated into enterprise and telecom market segments.
