ICT

SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market

By Segment, By Region, And Segment Forecasts, 2017 – 2025

Vertical: ICTBase Year: 20189 Sections

Executive Summary

SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market — Snapshot

  • Market Size (2017)

    2017

    $1.08B

  • Projected (2025)

    2025

    $20.31B

  • CAGR (2017–2025)

    44.4%

    44.4%
  • Key Players

    114+

The global SD-WAN market was valued at USD 1,521.2 million in 2018 and is expected to register a CAGR of approximately 45.3% during the forecast period. Software-defined wide-area network (SD-WAN) can be applied to different WAN connections such as 4G, broadband, LTE, or MPLS. SD-WAN connects enterprises network that includes data centers and branch offices over a considerable distance. With the growing number of cloud-based applications, the traditional WAN is unable to offer proper connectivity and speed; SD-WAN is preferred as it provides flexibility to control the efficiency of connections in high traffic networks. The SD-WAN relies on edge connectivity abstraction, WAN virtualization, elastic traffic management, and policy-driven, and centralized management. SD-WAN provides faster routing between network points, offers high-quality services for critical applications, and increases the network agility, and therefore occupies a larger market share in the overall SDN market as compared to SD-LAN and security applications. Considering the current market situation, it is imperative for the vendors in the SD-WAN market to enhance their offerings and cater to the growing demand for SD-WAN solutions in order to gain significant market shares.

Enterprises in various industry verticals such as retail, healthcare, IT & telecom, and BFSI have realized the importance of SD-WAN as it helps them to tap into customer data and preferences at the points of service, along the provision of network security. Additionally, the deployment rate of SD-WAN is significantly growing, with a large number of enterprises planning to replace their routers within one or two years with SD-WAN. A significant growth in the adoption of SD-WAN is attributed to its ability to enable the use of a combination of different access points at a site to deliver greater uptime and more available bandwidth for a lower cost as compared to legacy network services such as MPLS. SD-WAN also has the capability to generate a triple-digit return on investment on faster payback intervals, leading to cost savings in the form of reduced network downtime, optimized network access costs, and resource savings from a managed service.

At present, in the SD-WAN market, the supply-side vendors are focusing on enhancing their capabilities in terms of professional services, implementation services, support and maintenance services, consulting services, and managed services. The utilization of these services is growing at a considerable rate and this upsurge is projected to continue for the next five to six years.

In order to gain a competitive advantage and prevail in the SD-WAN market, most of the companies are required to integrate SD-WAN with machine learning and deep learning in order to cater to new and emerging use cases. For instance, in July 2019, IBM Corporation invented a deep reinforcement learning approach to maximize the overall performance of the modern programmable SD-WAN architecture supporting 5G.

The data center is a key application area for SD-WAN vendors. It is growing at a considerable rate and with high growth prospects. The modernization of data centers due to the introduction of digital transformation is leading to an increasing requirement for SD-WAN. Furthermore, the rising adoption of cloud infrastructure is expected to contribute to the growth of the SD-WAN market for data centers significantly. Therefore, the vendors in the market are focusing on various prospects to extend data center SD-WAN overlays and fabrics to multi-cloud application environments.

Cisco Systems Inc., VMWare., Silver Peak, Nuage Networks, Aryaka Networks India Pvt Ltd and Riverbed Technology, are the major companies in the market, competing in terms of services offered and price. These companies primarily focus on the development of switches, network infrastructure, and controllers. Although the global players are dominating the market, regional players with reasonably smaller market shares also have a strong presence. The global players are expected to strengthen their presence worldwide through the adoption of organic and inorganic growth strategies during the forecast period.

TABLE 1 Market synopsis

Market Size

· 2018: USD 1,521.2 million

· 2025: USD 20,314.0 million

CAGR (2019–2025)

· 45.3%

Key Market Drivers

· Increasing adoption of private cloud

· Rising software defined data center

Key Market Opportunities

· Increase in use of Cloud-Based Technologies

Key Vendors

· Cisco Systems Inc.

· VMware Inc.

· Silver Peak

· Nuage Networks

· Aryaka Networks India Pvt Ltd

· Riverbed Technology

Key Insight

The SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market market is projected to grow at a CAGR of 44.4% from 2017 to 2025.

Market Performance Trend

Historical performance and future projections (2020–2030, USD Billion)

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Market Scope & Coverage

What this report covers

  • Geographic Coverage: This analysis covers 5 regions: Middle East and Africa, North America, Asia Pacific, Europe, South America.
  • Market Segmentation: The market is analyzed across 2 segments: Services, Appliances. Forecasts are provided for each segment from 2017 to 2025.
  • Competitive Landscape: 114 leading companies are profiled, covering market positioning, strategies, and recent developments.

Market Size (USD Mn)

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Market Overview

SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market — Growth Trajectory

The software-defined wide-area network (SD-WAN or SDWAN) is a specific application of software-defined networking (SDN) technology applied to WAN connections such as broadband internet, 4G, LTE, or MPLS. It connects enterprise networks — including branch offices and data centers — over large geographic distances

SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market — Growth Trajectory

Services
Appliances

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Market Size Trend (USD Mn)

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Market Dimensions

How this market is segmented

  • Component Component is broken down into: Appliances, Services.
  • Deployment Deployment is broken down into: On-Premise, Cloud.
  • Vertical Vertical is broken down into: IT & Telecommunication, Others, BFSI, Manufacturing, Healthcare, Retail.

Geographic Analysis

Regional market breakdown

  • Middle East and Africa Middle East and Africa market size reached $26.04M in 2017 and is projected to reach $375.81M by 2025, growing at a CAGR of 39.6%.
  • North America North America market size reached $657.02M in 2017 and is projected to reach $11.60B by 2025, growing at a CAGR of 43.2%.
  • Asia Pacific Asia Pacific market size reached $140.12M in 2017 and is projected to reach $3.43B by 2025, growing at a CAGR of 49.1%.
  • Europe Europe market size reached $228.48M in 2017 and is projected to reach $4.52B by 2025, growing at a CAGR of 45.2%.
  • South America South America market size reached $24.54M in 2017 and is projected to reach $388.00M by 2025, growing at a CAGR of 41.2%.

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Research Methodology

SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market — How We Researched This Market

This report applies a rigorous multi-stage research process combining primary interviews, secondary data sources, and bottom-up market modelling to ensure accuracy and completeness across all segments and geographies.

  • Base Year

    2018

  • Historical Period

    2017 – 2018

  • Forecast Period

    2018 – 2025

  • Primary Interviews

    150+

Research Process

Historical data (2017–2018) and forecast period (2018–2025)

1

Problem Definition

  • Market scoping
  • Objective setting
  • Framework design
2

Secondary Research

  • Literature review
  • Data mining
  • Trend analysis
3

Primary Research

  • Expert interviews
  • Field visits
  • Surveys
4

Data Analysis

  • Quantitative modeling
  • Statistical testing
  • Validation
5

Insights & Reporting

  • Synthesis
  • Recommendations
  • Visualization

Research Depth

Our research process spans primary interviews with industry stakeholders combined with comprehensive secondary data analysis, validated through triangulation across multiple independent sources.

Historical vs. Forecast Data

Historical (observed)
Forecast (modelled)

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Competitive Landscape & Porter's Five Forces

SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market — Competitive Analysis

Michael Porter’s Five Forces model is a framework to study the global software-defined wide area network (SD-WAN) market. Strategic business managers, trying to gain an edge over competing firms in the global software-defined wide area network (SD-WAN) market, can utilize this model to better comprehend the industry in which the company operates. The components of each of the forces and the degree of impact of each component in the context of the global SD-WAN market have been broken down and analyzed.

Quantitative Analysis

Regional Breakdown

Regional market breakdown for SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market.

Regional Market Size (USD Mn)

Market estimates by geography (2025)

USD Mn

InsightNorth America leads with $11.60B by 2025, while Asia Pacific is projected to grow fastest at a 49.1% CAGR.

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Regional Market Data

REGION201720182025CAGRSHARE
Middle East and Africa$26.04M$93.86M$375.81M39.6%2%
North America$657.02M$2.60B$11.60B43.2%57%
Asia Pacific$140.12M$657.44M$3.43B49.1%17%
Europe$228.48M$955.28M$4.52B45.2%22%
South America$24.54M$92.10M$388.00M41.2%2%
Total$1.08B$4.40B$20.31B44.4%100%

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Segment Revenue (2025)

Services
Appliances
027975593839011186

Segment Market Share

  • Services50%
  • Appliances50%

Total Market Size

$20.31B

Market by Segment (2025)

APPLICATIONREVENUE ($B)GROWTH RATEMARKET PENETRATION
Services$10.17B44.4%
89%
Appliances$10.15B44.4%
67%

* Revenue projections based on 2025 estimates. Growth rates represent CAGR 2024–2030. Market penetration indicates current adoption rate within addressable market segments.

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Analytics

SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market — Key Findings

Analytical insights on SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market covering market dynamics, competitive landscape, and strategic outlook.

Key Analytical Findings

The SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market market is projected to reach $20.31B by 2025, growing at 44.4% CAGR. The Services segment holds the largest share.

Market Dynamics

The software-defined wide area network market is driven by various factors such as the increasing adoption of private cloud and rising software defined data centers. However, bandwidth provisioning and vendor lock-in pose a major challenge to the existing market players. Nonetheless, the increase in use of cloud-based technologies offers market opportunities for software-defined wide area network players to offer comprehensive networking services to the cloud computing players.

Market Drivers

A private cloud is a type of cloud computing architecture that provides superior control and security to its end users along with the key benefits of the cloud, such as scalability, longer uptime, pay-as-you-grow model, and higher efficiency. The customer entirely maintains a private cloud and bears the associated cost of acquisition, deployment, and maintenance. It provides increased security and control, improved reliability, scalability, and overall system performance of the organization. Software-defined wide-area networking (SDWAN) solutions are increasingly being adopted for effective cloud networking. These solutions transform the networks and services to enable the use of cloud computing on a larger scale. The growth in private cloud computing services offers noteworthy market opportunities for SDN. The private cloud computing services market was valued at USD 68.47 billion in 2017 and is expected to reach USD 147.86 billion in 2023 registering a CAGR of nearly 13%. The continuous evolution of IoT and smart technologies and the development of smart cities across the globe are expected to propel the adoption of private cloud computing services.

SD-WAN solutions address network challenges such as application performance, network complexities, and security while reducing the overall capital and operational expenditure. It has witnessed high adoption by enterprises with multiple branch offices as they mostly face the challenge of managing and securing their wide area network (WAN) and branch networks. Due to the growing bandwidth requirements, network complexity, increasing use of cloud resources, and growing security concerns, these enterprises find traditional networking solutions inefficient. Therefore, they are increasingly deploying SD-WAN solutions in pursuit of gaining complete visibility and deliver applications across their distributed enterprise.

Market Opportunities

The adoption of cloud services has significantly grown over the past 3–4 years and it is expected to further increase in the coming years. The cloud computing technology will continue to be adopted among enterprises, and in order to offer secured network agility, cloud service providers will invest in SD-WAN technology. Cloud service providers focus on ensuring that the customers can move their virtualized workloads without requiring much planning with the help of SD-WAN solutions. SDWAN reduces the network complexity and also helps cloud service providers to host millions of virtual networks without the need for common isolation methods such as VLAN. SD-WAN also allows network administrators to manage network services from a central management tool by virtualizing physical network connectivity into logical network connectivity. With such benefits, a large number of cloud service providers are implementing or planning to implement SD-WAN technology which is expected to offer growth opportunities in the years to come.

Market Restraints

Increasing demand and network dynamics are resulting in network service providers purchasing large point-to-point connections, especially from network owners. This, in turn, leads to issues due to increased complexity in connection management when integrated with quality of service (QoS). Also, the enterprises, when strategizing investments in SD-WAN technology, are often skeptical about the returns; this is because the deployment of SD-WAN requires a significant amount of research in terms of the workload, network structure, and support for legacy systems. In this case, enterprises are unsure whether SD-WAN providers will be able to effectively take these factors into consideration.

Vendor lock-in is another key concern among enterprises. Vendor lock-in is an economic term, wherein the customer using a product or service cannot easily switch to a competitor's product or service. These two key concerns have created resistance among enterprises in investing in technology. According to a survey conducted by SDxCentral in 2018 titled “Real-World SD-WAN Deployment—A Survey-Backed Analysis” a significant number of enterprises were either unaware or not confident about different vendors and their SD-WAN offerings. The enterprises were also notably concerned regarding SD-WAN implementation and that it will not offer returns on their investment. These factors are likely to restrain the growth of the global software-defined wide area network market.

Strategic Outlook and Future Directions

Near-term growth will likely concentrate in modular bioreactor lines and closed-system media workflows that shorten validation cycles while preserving batch traceability.

Partnerships between CDMOs and instrumentation vendors should accelerate standard datasets for comparability across sites, improving forecasting models used in capacity planning.

Longer horizon, organoid and microphysiological adoption may reshape segment mix; teams that invest early in assay interoperability and cloud QC hooks are better positioned to capture upside without fragmenting their analytics stack.

Market Value by Segment (2025)

Value (USD Mn)
Services
Appliances

Companies

Key companies profiled in SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market

Profiles of 114 companies operating in the SOFTWARE DEFINED WIDE AREA NETWORK SD WAN Market market, including revenue, employee count, and market positioning where available.

Showing 114 of 114 companies

Untangle I

Untangle Inc.

ICT

Company Headquarters: California, US Founded: 2003 Workforce: ~50 Company Working: Untangle Inc. (Untangle) is a cybersecurity solutions provider for large enterprises and SMEs, home offices, non-profits, schools, and governmental organizations. The integrated suite of software and appliances offered by the company provides enterprise-grade capabilities to optimize their networks and safeguarding their data and devices. The Network Security Framework provided by the company offers cloud-managed security and connectivity options to ensure monitoring, protection, and control across the entire digital attack surface from headquarters to the network edge. Untangle serves education, healthcare, BFSI, hospitality, retail, government, and manufacturing, among many other industries. The company has around 40,000 customers across the globe with key customers from North America.

RevenueN/A
Employees50
Market CapN/A
Founded2002
California, US
Forcepont

Forcepont

ICT

Company Headquarters Texas, US Founded: 1994 Workforce: ~2,500 Company Working: Forcepoint is a cybersecurity solutions provider. The company offers innovative technology solutions which help in solving critical security issues to protect critical business data and IP’s. The company offers a systems-oriented approach for insider threat detection and analytics, cloud-based user and application protection, next-generation network protection, data security, and systems visibility. Forcepoint offers solutions for security related to cloud, network, and data and insider threats. The company serves government, infrastructure, financial, healthcare, and retail industry verticals in almost more than 150 countries.

RevenueN/A
Employees2,500
Market CapN/A
Founded1993
United States, North America
Citrix Sys

Citrix Systems Inc.

ICT

Company Headquarters: Florida, US Founded: 1989 Workforce: ~10,000 Company Working: Citrix Systems Inc. (Citrix) designs, develops, and markets information technology solutions. The company operates under a single reportable segment which provides a digital workspace that unifies apps, data, and services. It markets and licenses its solutions via multiple channels worldwide, which includes selling through its resellers, direct sellers, and over the Internet. The company derives its sales from solutions related to its digital workspace, networking products, and related support services. The networking operation includes hardware or software-based solutions with Citrix ADC, and Citrix SD-WAN as its major product offerings. Citrix SD-WAN offers an integrated platform of security, routing, WAN optimization, and path control for simplifying implementation and maintenance of the branch network, which allows customers to leverage hybrid WAN architecture, thereby increasing the WAN capacity. Citrix operates in the Americas, Europe, the Middle East and Africa (EMEA) and the Asia Pacific regions.

Revenue$0.0B
Employees10,000
Market CapN/A
Founded1988
Florida, US
CATO Netwo

CATO Networks

ICT

Company Headquarters: Israel Founded: 2015 Workforce: ~500 Company Working: Cato Network is a provider of the SASE platform, converging SD-WAN, and network security into a global, cloud-native service. The company offers a cloud-based solution for the usage of public mobile and cloud applications. Cato Network helps midsize enterprises to streamline their global network security operations and reduces MPLS connectivity costs by eliminating branch appliances, providing direct, secure internet access, and integrating mobile users and cloud infrastructures with the enterprise network.

RevenueN/A
Employees500
Market CapN/A
Founded2014
Israel
Riverbed T

Riverbed Technology

ICT

Company Headquarters: US Founded: 2002 Workforce: ~1000 Company Working: Riverbed Technology develops solutions to the fundamental problems associated with information technology (IT) performance across wide area networks (WANs). The company offers solutions for branch offices, mobile workers, private data centers, private clouds, and cloud computing. Its product portfolio consists of Steelhead products and the Cascade product line. Also, its Riverbed Optimization System (RiOS), consists of hardware and software products that address the fundamental performance limitations of distributed computing environments. Riverbed’s flagship Steelhead products enable its customers to enhance the performance of their applications and access to their data across WANs, by increasing transmission speeds by 5 to 50 times and in some cases by up to 100 times.

RevenueN/A
Employees1,000
Market CapN/A
Founded2001
US
Aryaka Net

Aryaka Networks Inc.

ICT

Company Headquarters: US Founded: 2009 Workforce: ~500 Company Working: Aryaka Networks India Pvt Ltd provides optimized, software-defined network connectivity and application acceleration to globally distributed enterprises. The company offers networking services to more than 10 million users across more than 4,000 sites. Aryaka Networks India Pvt Ltd has expertise in WAN Optimization, Content Delivery, Web App Delivery, IP App Delivery, TCP Optimization, CDN, WAN as-a-Service, Cloud Networking, Branch Office Acceleration, Cloud Acceleration, and Mobile Acceleration. Leading brands such as Skullcandy, Air China, Freescale Semiconductor, and ThoughtWorks, as well as partners such as Microsoft Azure, AWS, Intelisys, and SK Broadband, have all chosen Aryaka for their enterprise-grade networking needs.

RevenueN/A
Employees500
Market CapN/A
Founded2008
US
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About the Author

ICT Research Team

ICT

Wantstats' technology team put this together — analysts who track vendor roadmaps, standards bodies, and enterprise adoption curves for a living. The numbers reflect proprietary tracking data cross-referenced with executive interviews, reviewed internally before release.

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I have been reading the first document or the study, the Global HVAC and FP market report 2021 till 2026. Must say, good info! I have not gone in depth at all parts, but got a good indication of the data inside!
Jason Lee

R&D Director, Seojin

Thanks for your great support. Appreciate it. Well received report. It helps us to understand market well. We're planning other area of survey in the future, let's keep in touch.
Akif Moroglu

Strategy & Business Development Director, Dogan Holding

We got the report in time, we really thank you for your support in this process. I also thank to all of your team as they did a great job.
Noah Malgeri
Noah Malgeri

Co-Founder, Mojave Rail Fabrication Limited

This is really good guys. Excellent work on a tight deadline. I will continue to use you going forward and recommend you to others. Nice job.
Michael Robert

Manager, JavolVision

Thanks, I am so happy that we worked together. Maybe we still can work together in the future.
Joseph Aguayo
Joseph Aguayo

Sales Operations & Pricing Manager, Intel

Thanks. It's been a pleasure working with you, please use me as reference with any other Intel employees.
Bong Lau

Sales Leader, Bamberg

We bought your "2025 report" in 2020. Everything is fine and very good.
Peter Groot Koerkamp
Peter Groot Koerkamp

Account and Business Manager, EFS-Holland BV

Thanks for sending the report it gives us a good global view of the Betaïne market.
Younghwan Choi
Younghwan Choi

Senior Retail Manager, LG Chem

We found the report very insightful! we found your research firm very helpful. I'm sending this email to secure our future business.
Mark Irwin

Management Consultant, Level 21

I am very pleased with how market segments have been defined in a relevant way for my purposes (such as "Portable Freezers & refrigerators" and "last-mile"). In general the report is well structured. Thanks very much for your efforts.
Rob Kooiker

Group Product Manager HVAC & Fire Protection GMA, Rockwool

I have been reading the first document or the study, the Global HVAC and FP market report 2021 till 2026. Must say, good info! I have not gone in depth at all parts, but got a good indication of the data inside!
Jason Lee

R&D Director, Seojin

Thanks for your great support. Appreciate it. Well received report. It helps us to understand market well. We're planning other area of survey in the future, let's keep in touch.
Akif Moroglu

Strategy & Business Development Director, Dogan Holding

We got the report in time, we really thank you for your support in this process. I also thank to all of your team as they did a great job.

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