SD-WAN Market Size, Share, Opportunities, And Trends By Type (On-Premises SD-WAN, Gateway SD-WAN, Cloud SD-WAN), By Enterprise Size (Small, Medium, Large), By End-User (BFSI, Healthcare, Retail, Education, Others), And By Geography - Forecasts From 2023 To 2028

  • Published : Aug 2023
  • Report Code : KSI061615882
  • Pages : 150

The SD-WAN market is projected to grow at a steady rate during the forecast period. An SD-WAN is a type of virtual WAN structure, that enables businesses to utilize various transport services such as multiprotocol label switching (MPLS), LTE, and broadband internet services securely, thereby establishing reliable connections between users and applications. The types of SD-WAN include on-premises SD-WAN, gateway SD-WAN, and cloud SD-WAN. The SD-WAN market growth is propelled by advancements in cloud technology, supportive initiatives, and increasing security requirements.

Advancements in cloud technology bolster the SD-WAN market growth.

Businesses are adopting Software as a Service (SaaS) and Infrastructure as a Service (IaaS) due to which there's an escalating need for improved network performance and efficiency. Traditional WAN architectures struggle to keep up with the dynamic nature of cloud traffic, leading to network bottlenecks and suboptimal application performance. This is where SD-WAN steps in, offering an optimized, secure, and cost-effective solution. It enhances cloud application performance by using application-aware routing, ensuring that traffic is directed along the most efficient path. Thus, as cloud technology advances, the demand for SD-WAN increases, propelling the SD-WAN industry growth. For instance, in 2021, Wolken Software introduced a cloud-native, self-service customer service platform offered as Software as a Service (SaaS).

Security needs drive the SD-WAN market expansion.

SD-WAN integrates crucial security elements such as encryption and next-generation firewalls, safeguarding data traffic traversing the Internet. With cyber threats becoming increasingly sophisticated, the demand for secure networking solutions like SD-WAN has skyrocketed as the technology provides a robust defensive layer against these threats, ensuring network integrity while facilitating secure data transmission. For instance, in 2021, in collaboration with FORTINET, Tata Teleservices introduced 'SD-WAN iFLX', an SD-WAN solution that integrates a next-generation firewall (NGFW) for enhanced security. Also, in November 2022, VMware, Inc. revealed its cutting-edge Software-Defined Wide Area Network (SD-WAN) solution, which incorporates a novel SD-WAN Client, designed to empower enterprises with enhanced security, reliability, and optimization capabilities.

Favorable initiatives drive SD-WAN market growth.

Major initiatives, such as acquisitions and investments by industry giants, are playing a crucial role in expanding the SD-WAN market size. Companies are increasingly recognizing the value and potential of SD-WAN technology in the modern digital landscape, which is fuelling their strategic decisions to invest in or acquire firms specializing in this field. These actions not only expand the market presence of the SD-WAN technology but also contribute to its development and innovation. For instance, in April 2022, SoftBank made an investment in Aryaka to supply international Software-Defined Wide Area Network (SD-WAN) services. Also in September 2022, Nokia and Indosat Ooredoo Hutchison collaborated to introduce a managed Software-Defined Wide Area Network (SD-WAN) solution for Paragon Tech.

Asia-Pacific is projected to dominate the SD-WAN market.

 Asia Pacific is predicted to be the market leader owing to the favorable investments in technological advancements, strategic collaborations, and partnerships aimed at expanding their SD-WAN offerings and services. These initiatives are not only boosting their market presence but also promoting the widespread adoption of SD-WAN solutions across various sectors. For instance, in December 2022 Reliance Jio, secured a contract from Indian Oil Corporation Limited (IOCL) which stated that Reliance Jio will deploy and oversee the Software-Defined Wide Area Network (SD-WAN) for 7,200 of IOCL's retail outlets nationwide. Also in 2020, Wipro and Cisco joined forces to provide SD-WAN transformation services to Olympus, showcasing a collaborative effort to enhance network capabilities.

High initial investment may restrain the SD-WAN market growth.

The deployment of SD-WAN often necessitates an upfront investment in hardware, software, and licensing, which can pose a significant challenge for some organizations, particularly smaller businesses with constrained budgets. The initial expenditure required could act as a deterrent, making these entities hesitant to adopt this technology. Consequently, this factor could limit the expansion of the SD-WAN market. For instance, in 2021, the middle-range cost for a 10 Mbps SD-WAN site appliance stood at $452. For a Gigabit Ethernet (GigE) connection, customers could anticipate a median one-time setup fee (NRC) of $1,422. Furthermore, for larger network sites like headquarters or data centers requiring a 10 Gbps appliance, the setup cost could reach a significant amount of $8,823.

Key Developments

  • May 2023: Netskope and Macnica, Inc. teamed up to introduce the "Netskope Borderless SD-WAN," an SD-WAN solution designed to support Japanese companies. This solution aims to establish a Zero Trust framework and is backed by a fully integrated Secure Access Service Edge (SASE) platform, providing robust security and streamlined network management.
  • June 2023: Cisco unveiled an integrated SD-WAN platform operating on Amazon Web Services (AWS) Cloud WAN platform. The new offering utilizes Cisco's SD-WAN Cloud OnRamp, facilitating automated management of connectivity across AWS's global backbone. This includes connections from an enterprise location to AWS Cloud workloads. Management is streamlined through a single Cisco SD-WAN vManage dashboard, which orchestrates both the SD-WAN overlay and AWS Cloud WAN underlay, providing a unified and simplified interface for administrators.
  • December 2022: Edgecore Networks introduced its newest additions to the SD-WAN product line, the SDW series-SDW102 and SDW102-L. These new products are tailored to meet the needs of chain stores, small to medium-sized enterprises, and Small Office/Home Office (SOHO) settings. The SDW102 and SDW102-L aim to resolve application performance challenges experienced by remote users, delivering strong, secure, and flexible network services whenever required.
  • September 2022: Teridion launched its SD-WAN service in mainland China, broadening its offerings in the region. This service allows enterprises to connect their sites across China using IPSec and SD-WAN over affordable broadband Internet. Despite the low cost, the service promises carrier-grade reliability and high-performance bandwidth. Additionally, the service aligns with the regulations set forth by China's Ministry of Industry and Information Technology's Cloud Desktop Terminal Industry Alliance (CDTIA).
  • March 2020: NTT East introduced new Managed SD-WAN services as part of its VPN portfolio catered towards enterprises. These services leverage Cisco's SD-WAN technology, offering a comprehensive solution for businesses seeking efficient and secure networking capabilities.


  • By Type
    • On-Premises SD-WAN
    • Gateway SD-WAN
    • Cloud SD-WAN
  • By Enterprise Size
    • Small
    • Medium
    • Large
  • By End-User
    • BFSI
    • Healthcare
    • Retail
    • Education
    • Others
  • By Geography
    • North America
      • USA
      • Canada
      • Mexico
    • South America
      • Brazil
      • Argentina
      • Others
    • Europe
      • Germany
      • UK
      • France
      • Spain
      • Others
    • Middle East and Africa
      • Saudi Arabia
      • UAE
      • Others
    • Asia Pacific
      • China
      • Japan
      • South Korea
      • India
      • Australia
      • Other


1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base, and Forecast Years Timeline


2.1. Research Data

2.2. Assumptions


3.1. Research Highlights


4.1. Market Drivers

4.2. Market Restraints

4.3. Market Opportunities

4.4. Porter’s Five Force Analysis

4.4.1. Bargaining Power of Suppliers

4.4.2. Bargaining Power of Buyers

4.4.3. Threat of New Entrants

4.4.4. Threat of Substitutes

4.4.5. Competitive Rivalry in the Industry

4.5. Industry Value Chain Analysis


5.1. Introduction

5.2. On-Premises SD-WAN

5.3. Gateway SD-WAN

5.4. Cloud SD-WAN


6.1. Introduction

6.2. Small

6.3. Medium

6.4. Large


7.1. Introduction

7.2. BFSI

7.3. Healthcare

7.4. Retail

7.5. Education

7.6. Others


8.1. Introduction

8.2. North America

8.2.1. USA

8.2.2. Canada

8.2.3. Mexico

8.3. South America

8.3.1.  Brazil

8.3.2. Argentina

8.3.3. Others

8.4. Europe

8.4.1. Germany

8.4.2. UK

8.4.3. France

8.4.4. Spain

8.4.5. Others

8.5. Middle East and Africa

8.5.1. Saudi Arabia

8.5.2. UAE

8.5.3. Others

8.6. Asia Pacific

8.6.1. China

8.6.2. Japan

8.6.3. South Korea

8.6.4. India

8.6.5. Australia

8.6.6. Others


9.1. Major Players and Strategy Analysis

9.2. Emerging Players and Market Lucrativeness

9.3. Mergers, Acquisitions, Agreements, and Collaborations

9.4. Vendor Competitiveness Matrix


10.1. Cisco

10.2. Ayaka

10.3. VMWare Inc.

10.4. Citrix System Inc. (Cloud Software Group Inc.)

10.5. Aruba Networks

10.6. Oracle Corporation

10.7. Palo Alto Networks

10.8. ForcePoint

10.9. Nokia

10.10. Singtel (Temasek Holdings Limited)



VMWare Inc.

Citrix System Inc. (Cloud Software Group Inc.)

Aruba Networks

Oracle Corporation

Palo Alto Networks



Singtel (Temasek Holdings Limited)

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