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Market Research Report

Commercial Routers Market Outlook 2024: Global Opportunity and Demand Analysis, Market Forecast, 2016-2024

Published On : 2017-10-27 Report Page : 265 Category:Hardware ICT

Global Commercial Routers Market

Market Overview

Commercial routers play an integral role in businesses today by serving as networking devices. They help in routing and forwarding information over networks and keeping devices connected to the internet. With the advent of digitization and internet penetration in all aspects of business, commercial routers have become increasingly important.

The market for commercial routers has witnessed steady growth as enterprises increasingly use Virtual Private Networks and M2M communication technologies. The development of Internet of Things (IoT) technology has given a major boost to demand for commercial routers, as more and more devices now need to be connected.

Another factor driving demand is the rising usage of routers in the retail industry. With booming e-commerce and digitization of physical sale processes as well, routers becoming imperative for smooth functioning and enhancing customer experience.

Organizations at all levels of operation, big, small or medium, are now opting for increased connectivity within and outside the workplace, and these numbers are expected to rise in future. Adoption of VPN technologies by universities and academic institutions will further drive demand for commercial routers.

Market Segmentation

  • By Physical nature
    • Wired Routers
    • Wireless Routers
  • By Connectivity
    • Core Routers
    • Edge Routers
  • By Enterprise Size
    • Small and Medium Sized Enterprises
    • Large Size Enterprises
  • By Region
  • North America (US, Canada) {Market Share (%), Market Size (USD Billion), Production (Units)}
  • Europe (UK, France, Italy, Germany, Spain, Hungary, Sweden, Russia, Poland and Rest of Europe) {Market Share (%), Market Size (USD Billion), Production (Units)}
  • Middle East and Africa (GCC Countries, North Africa, South Africa and Rest of Middle East & Africa) {Market Share (%), Market Size (USD Billion), Production (Units)}
  • Latin America (Brazil, Mexico and Rest of Latin America) {Market Share (%), Market Size (USD Billion), Production (Units)}
  • Asia Pacific (China, Japan, India, Singapore, South Korea, Australia, New Zealand and Rest of Asia-Pacific) {Market Share (%), Market Size (USD Billion), Production (Units)}
  • Rest of the World {Market Share (%), Market Size (USD Billion), Production (Units)}

Market Size and Forecast (2016-2024)

On the back of rising automation and adoption of IoT, the global market for commercial routers is expected to grow at a CAGR of 6.8% during the forecast period.

Medium sized enterprises command the highest demand for commercial routers as compared to other kinds of enterprises. These enterprises have adequate capital and requirements to optimize processes through technology, and are therefore increasing expenditure on connectivity. This segment is also set to witness the highest growth during the forecast period.

Geographically, the North American region occupies the largest market share in terms of revenue. This can be attributed to the high internet penetration rates and heavy investment in technology in the region. As per World Bank data, the US spent 2.72% of its GDP on research and development activities in 2013, which is among the highest in the world. The US government has also approved the E-Rate Funding Program, which provides discounts of 20-90% to assist schools and libraries in the US obtain affordable internet access. On the back of high rates of internet access and connectivity, North America is also expected to witness the highest growth during the forecast period.

Key Drivers

Global rise in internet usage and increased connectivity are the key factors driving the market for commercial routers. More and more organizations are opting for VPNs and using M2M communication to enhance information flow and management in the workplace.

The rising IoT industry has significantly enhanced demand for commercial routers, as enterprises increasingly use IoT technologies and platforms to integrate and optimize operations.

Another key factor that is propelling growth in the market for commercial routers is their increasing usage in the retail industry. As the sales processes get digitized, routers are required for smooth and efficient functioning of PoS (Point of Sales) machines, vending machines and Radio Frequency Identification systems. This is to enhance customer experience and build and maintain large customer base. Rise in the usage of location based services has further bolstered demand for commercial routers.

Universities and educational institutions have also begun using VPNs and building Wi-Fi enabled campuses to enhance the learning processes. With the advent of smart classrooms, the need for connectivity has increased, further driving demand for commercial routers.

Restraints and Risk Factors

Despite the advent of IoT and rising internet penetration, 60% of the world remains excluded from the world economy as of 2016, according to World Bank data. Hence, restraining growth of the market for commercial routers, especially in regions with low internet access rates like regions of Asia or Sub Saharan Africa. Unwillingness of businesses to adopt advanced technologies in economies with low digitization levels might pose risks to entrants in the market.

Development of technologies like ZigBee and Zwave that consume lesser amounts of energy is likely to give competition to traditional Wi-Fi technologies.

Key Players

  • Cisco

o Synopsis

o Business Strategy

o Product Portfolio

o SWOT Analysis

  • Hewlett Packard
  • Brocade Communication Systems
  • Alcatel Lucent
  • Juniper Networks
  • Huawei Technologies
  • ADTRAN
  • Aerohive
  • ASUSTeK Computer
  • Avaya
  • Belkin International (Linksys)
  • Buffalo Technology
  • D-Link
  • DrayTek

Scope Background

Market Synopsis

Market Segmentation

Global Commercial Routers Market is segmented as follows:

  • By  physical nature (Market Size, Demand Analysis and Growth Analysis)
  • By  connectivity (Market Size, Demand Analysis and Growth Analysis)
  • By enterprise size (Market Size, Demand Analysis and Growth Analysis)

Global Commercial Routers Market report covered insights of below mentioned regions:

  • North America (U.S., Canada) {Market Size, Growth Analysis and Opportunity Analysis}
  • Latin America (Argentina, Mexico, Brazil and Rest of Latin America) {Market Size, Growth Analysis and Opportunity Analysis}
  • Europe (Germany, Italy, Spain, France, The U.K., Netherlands, Sweden, Hungary, Russia, Poland, Rest of Europe) {Market Size, Growth Analysis and Opportunity Analysis}
  • Asia-Pacific (China, India, Singapore, Japan, Australia, New Zealand, South Korea and Rest of Asia Pacific) {Market Size, Growth Analysis and Opportunity Analysis}
  • Middle East and North Africa (MENA) {Market Size, Growth Analysis and Opportunity Analysis}
  • Rest of World  {Market Size, Growth Analysis and Opportunity Analysis}

Market Dynamics: Growth Drivers, Restraints and Opportunities

  • Risk Factors
  • Regional Variations
  • Recent Trends and Developments

Key Market Players

  • Synopsis
  • Business Strategy
  • Product Portfolio
  • SWOT Analysis

Porter’s Five Force Model

Market Landscape: Competition and Beyond

Market outlook for business players and entry level players to ascertain their business in dynamic ecosystem

Expert Analysis

Concluding Remarks


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Commercial Routers Market Outlook 2024: Global Opportunity and Demand Analysis, Market Forecast, 2016-2024

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