라우팅 시장 보고서 : 동향, 예측, 경쟁 분석(-2031년)

The future of the global routing market looks promising with opportunities in the BFSI, healthcare, education, residential, and media & entertainment markets. The global routing market is expected to reach an estimated $28.1 billion by 2031 with a CAGR of 8.2% from 2025 to 2031. The major drivers for this market are the growing interest and need for software-defined networking (SDN) and network functions virtualization (NFV), explosive growth in the quantity of multimedia content produced via the internet and web-based applications, and elevated need for cloud solutions.

• Lucintel forecasts that, within the application category, the enterprise is expected to witness the highest growth over the forecast period.
• Within the end-use category, BFSI will remain the largest segment.
• In terms of region, APAC is expected to witness the highest growth over the forecast period.

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Emerging Trends in the Routing Market

The routing market is expanding rapidly, supported by various technological and market forces. These newer trends illustrate the shift toward advanced, flexible, and efficient routing solutions.

• Software-Defined Networking Adoption: Software-defined networking is the latest trend gaining traction in the routing market. It offers centralized management of network traffic and dynamic network control, making routing solutions more flexible, scalable, and efficient. This capability allows for automation, reduces operational costs, and improves performance, making it a key element of modern network architecture.
• Growth of 5G Networks: The introduction of 5G networks is increasing the demand for high-performance routing solutions capable of handling greater data traffic and ensuring ultra-low latency. The higher speeds and data volumes associated with 5G technology compel companies to innovate and develop routers that can support next-generation mobile networks.
• Growing Inclination toward Edge Computing: Companies are increasingly leaning toward edge computing to meet the rising need for lower latency and high performance by processing data closer to its source. This trend influences the routing market, with a growing demand for edge routers capable of handling both data processing and routing at distributed locations. The integration of edge computing enhances real-time data analysis and supports applications involving IoT and smart devices.
• Network Functions Virtualization Emphasis: Network functions virtualization is reshaping the routing market by decoupling network functions from proprietary hardware and implementing them in software. This shift provides greater flexibility, scalability, and cost savings. Network functions virtualization supports the deployment of virtualized network functions that are easier to manage and update, contributing to more agile and efficient network operations.
• Network Security: Due to the increasing sophistication of cyber threats, network security is a significant concern in the routing market. Advanced security functions in routers protect against data breaches and attacks. This includes features such as encryption and intrusion detection systems, which can be developed and integrated into routers to secure network traffic and maintain data integrity.

These trends drive innovation in the routing market for enhanced network performance, responding to the growing demands for data processing and security. The further integration of software-defined networking and network functions virtualization, along with the expansion of 5G and edge computing, provides flexible and efficient routing solutions. As security concerns rise, routers are now embedded with advanced protective features that ensure safe and reliable network operations.

Recent Developments in the Routing Market

The routing market has undergone remarkable changes due to emerging technologies and evolving market demands. Continuous improvements in performance, reliability, and network security characterize this landscape. Below are five key recent developments affecting the routing market:

• Enhanced Router Capabilities: New developments have led to the production of routers with significantly higher capabilities, including processing power and data throughput, compared to previous models. Modern routers feature multi-gigabit speeds and support for new protocols to accommodate increasing data traffic and meet the demands of diverse applications.
• Artificial Intelligence Integration: Artificial intelligence is increasingly utilized in routing to achieve optimal network performance and manage traffic more effectively. AI-driven routing systems can analyze real-time network conditions, predict potential issues, and automatically make adjustments for optimal efficiency and reliability. This capability improves the handling of complex network environments.
• Deployment of 5G Infrastructure: The deployment of 5G infrastructure represents a major development in the routing market, raising demand for routers that support higher data speeds with low latency. The overall volume of data associated with 5G requires more advanced routing solutions to support the diverse applications of next-generation mobile networks.
• Rise of Edge Computing: Edge computing has become a key factor for organizations in the routing market, enabling processing closer to the data source. This trend drives the development of routers that support distributed data processing and low-latency connectivity, further improving the ability to support real-time applications and IoT devices.
• Network Security Focus: Given the rise in cybersecurity threats, advanced security capabilities are increasingly emphasized in routing solutions. Advanced routers address this concern by incorporating features such as encryption and threat detection to protect against data breaches and cyberattacks. The need for robust security measures is critical for maintaining the integrity and safety of network operations.

These developments shape the routing market by driving technology and innovation to meet the evolving needs of network infrastructure. The performance of networks improves alongside scalability due to advancements in router capabilities, AI integration, 5G deployment, and edge computing. Increased focus on network security reflects the growing importance of data protection and ensuring reliable network operations.

Strategic Growth Opportunities for Routing Market

Strategic growth opportunities in the routing market arise from several applications. With continuous technological advancements and rising demand for effective network solutions, leveraging these opportunities can lead to significant growth. Five key growth opportunities by application include:

• Expansion in 5G Network Deployments: The rapid deployment of 5G networks presents significant opportunities for growth in routing solutions. Routers that can support 5G infrastructure with high-speed data processing and low-latency connectivity are in high demand, prompting companies to develop advanced routing technologies to meet the needs of next-generation mobile networks.
• Growth in Applications of Edge Computing: The increased adoption of edge computing offers substantial growth opportunities for routing solutions that enable data processing in a distributed architecture. Performance for applications requiring real-time analytics, such as those involving IoT devices and smart city solutions, can be enhanced by using routers optimized for edge environments. Companies can innovate and develop specialized routers tailored for edge computing scenarios.
• Development of AI-Driven Routing Solutions: AI-driven routing solutions play a critical role in increasingly complex networks. This area presents further growth potential through the development of routers using AI for automated traffic management, network optimization, and predictive maintenance. Integrating AI into routers enhances their capability to handle network performance and proactively address potential issues.
• Higher Demand for Network Security Solutions: The routing market has significant opportunities in response to rising concerns over cybersecurity, focusing on advanced security features. Developing routing solutions that incorporate robust encryption, threat detection, and protection against cyberattacks will meet the growing demand for secure network environments. This security emphasis contributes to growth potential within a market that prioritizes data protection.
• Adoption of Network Function Virtualization: The adoption of network functions virtualization has driven growth in the routing market by enabling network functions as software-based solutions. Developing routers to support network functions virtualization creates opportunities to offer flexibility and scalability in network management. This trend allows companies to provide solutions that easily adapt to the changing needs of networks while reducing operational costs.

These strategic growth opportunities influence the routing market by identifying areas of technological advancement and market demand. The expansion of 5G networks, growth in edge computing, AI-driven solutions, enhanced security features, and the adoption of network functions virtualization drive innovation and new market prospects. Companies that leverage these opportunities can strategically position themselves for further success in this expanding competitive landscape.

Routing Market Driver and Challenges

Drivers and challenges influencing the routing market include general economic factors, technological developments, and regulatory considerations. Understanding these elements is crucial for navigating the market effectively. Below are some main drivers and challenges in the routing market:

Key factors driving the routing market include:

• Rapid Growth in Data Traffic: The increasing volumes of data traffic resulting from the proliferation of connected devices and digital services are a key driver for the routing market. As a result, routers must increasingly support higher data speeds and capacity, prompting innovations in routing technology to accommodate expanding data demands.
• Development in 5G Technology: The rollout of 5G networks drives the routing market by necessitating advanced routers capable of handling higher data rates with lower latency. This technological demand leads to the development of enhanced routing solutions that can support next-generation wireless mobile networks.
• Shift toward Software-Defined Networking (SDN): The market is evolving with centralized control and flexibility in network management. The transition to SDN introduces more efficient and scalable routing solutions, enabling dynamic adjustments to network traffic and reducing operational complexity.
• Growth in Edge Computing: The increasing adoption of edge computing drives demand for routers capable of handling distributed data processing and real-time applications. Consequently, advanced edge routers are increasingly required as businesses aim to process data closer to its source.
• Increased Focus on Network Security: The heightened focus on network security is driving the development of routers that offer high-level security features. As cyber threats become more sophisticated and advanced, the need for routing solutions that effectively defend against data breaches and organized attacks is propelling market growth.

Challenges in the routing market include:

• High Cost of Advanced Routing Technologies: The research, development, and deployment of advanced routing technologies can be costly. Such high expenses may be beyond the reach of small companies or those located in developing regions.
• Complexity of Network Management: With the integration of SDN, network functions virtualization, and edge computing, networks have become more complex to manage. The increased complexity necessitates specialized skills and tools, making it challenging for many organizations to optimize their routing infrastructure effectively.
• Regulatory and Compliance Issues: The routing market is affected by various complex regulatory demands and higher compliance standards that impose constraints on routing solutions. Companies face challenges managing diverse regulations across different regions, which can impact enterprise operations and heighten competition in global markets.

The drivers and challenges in the routing market highlight the industry's dynamism. Rapid growth in data, technological innovation, and heightened security awareness are propelling market expansion, while challenges such as high costs, network complexity, and regulatory hurdles present obstacles. Understanding these factors will help stakeholders embrace transformation and opportunities while minimizing negative impacts on their objectives.

List of Routing Companies

Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. Through these strategies routing companies cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the routing companies profiled in this report include-

• Cisco
• Huawei Technologies
• Juniper Networks
• Hewlett Packard Enterprise Development LP
• Arista Networks
• ASUSTeK Computer
• New H3C Technologies
• NETGEAR
• Nokia
• Xiaomi

Routing by Segment

The study includes a forecast for the global routing market by type, placement, application, end use, and region.

Routing Market by Type [Analysis by Value from 2019 to 2031]:

• Wired Router
• Wireless Router

Routing Market by Placement [Analysis by Value from 2019 to 2031]:

• Edge
• Core
• Virtual

Routing Market by Application [Analysis by Value from 2019 to 2031]:

• Datacenter
• Enterprise

Routing Market by End Use [Analysis by Value from 2019 to 2031]:

• BFSI
• Healthcare
• Education
• Residential
• Media & Entertainment
• Others

Routing Market by Region [Analysis by Value from 2019 to 2031]:

• North America
• Europe
• Asia Pacific
• The Rest of the World

Country Wise Outlook for the Routing Market

Regional technological advances, increasing data requirements, and the advancement toward broadband networks are some of the factors that have driven the development of the routing market. This growth has occurred across regions such as the United States, China, Germany, India, and Japan, with each region contributing in different ways. These developments stem from a growing need for more efficient and robust routing solutions to support the increasing surge of data traffic and the proliferation of digital technologies. Recent key developments in each of these countries are highlighted below:

• United States: The U.S. routing market is witnessing rapid innovation, driven mainly by advancements in 5G technology and the increased adoption of edge computing. Major players like Cisco and Juniper Networks are in the race to develop high-capacity routing systems that improve network efficiency and reduce latency. The trends of software-defined networking and network functions virtualization allow for flexible and scalable network management. Additionally, there is a growing awareness of cybersecurity within router design to better address emerging threats with appropriate data protection.
• China: While the government is promoting the adoption of digital infrastructure and the deployment of 5G, the routing market continues to grow in China. Companies such as Huawei and ZTE are developing advanced routing solutions that enhance network speed and capacity. The "Made in China 2025" initiative aims to reduce dependence on foreign technology by advancing local networking technologies. This growth is also driven by significant investments in smart city projects and the expansion of data centers that require high-performance routing equipment.
• Germany: The routing market in Germany focuses on industrial automation and smart manufacturing. Leading tech giants, such as Siemens and Deutsche Telekom, are now integrating advanced routing capabilities into their Industry 4.0 solutions. There is also a strong push toward green technology, with new routers designed to be more energy-efficient and sustainable. The German market is seeing increased demand for high-speed data transmission-supported routers that facilitate secure communications, driven by the adoption of the Internet of Things and digitalization across various sectors.
• India: India's routing market is growing rapidly due to the expansion of the digital economy and improving internet penetration. Telecom giants like Bharti Airtel and Reliance Jio have begun upgrading their network infrastructure with significant investments to support higher data speeds and better connectivity. The deployment of 4G and the upcoming rollout of 5G serve as crucial catalysts, along with a growing emphasis on digital services and e-commerce. Additionally, improvements in rural connectivity are gaining momentum, increasing the demand for robust and cost-effective routing solutions.
• Japan: The Japanese routing market is trending toward high-speed networking solutions and technological innovation. Companies like NEC and Fujitsu are advancing routing technologies for the nation's dense fiber-optic network and upcoming 5G infrastructure. There is a strong focus on cybersecurity and network resilience, as Japan seeks to secure critical infrastructure and drive its digital economy. To maintain network reliability, investment in research and development has increased to address the challenges posed by high-density data traffic.

Features of the Global Routing Market

Market Size Estimates: Routing market size estimation in terms of value ($B).

Trend and Forecast Analysis: Market trends (2019 to 2024) and forecast (2025 to 2031) by various segments and regions.

Segmentation Analysis: Routing market by various segments, such as by type, placement, application, end use, and region in terms of($B).

Regional Analysis: Routing market breakdown by North America, Europe, Asia Pacific, and Rest of the World.

Growth Opportunities: Analysis of growth opportunities in different type, placement, application, end use, and regions for the routing market.

Strategic Analysis: This includes M&A, new product development, and competitive landscape of the routing market.

Analysis of competitive intensity of the industry based on Porter's Five Forces model.

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This report answers following 11 key questions:

• Q.1. What are some of the most promising, high-growth opportunities for the routing market by type (wired router and wireless router), placement (edge, core, and virtual), application (datacenter and enterprise), end use (BFSI, healthcare, education, residential, media & entertainment, and others), and region (North America, Europe, Asia Pacific, and the Rest of the World)?
• Q.2. Which segments will grow at a faster pace and why?
• Q.3. Which region will grow at a faster pace and why?
• Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
• Q.5. What are the business risks and competitive threats in this market?
• Q.6. What are the emerging trends in this market and the reasons behind them?
• Q.7. What are some of the changing demands of customers in the market?
• Q.8. What are the new developments in the market? Which companies are leading these developments?
• Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
• Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
• Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?

Table of Contents

1. Executive Summary

2. Global Routing Market : Market Dynamics

• 2.1: Introduction, Background, and Classifications
• 2.2: Supply Chain
• 2.3: Industry Drivers and Challenges

3. Market Trends and Forecast Analysis from 2019 to 2031

• 3.1. Macroeconomic Trends (2019-2024) and Forecast (2025-2031)
• 3.2. Global Routing Market Trends (2019-2024) and Forecast (2025-2031)
• 3.3: Global Routing Market by Type
  • 3.3.1: Wired Router
  • 3.3.2: Wireless Router
• 3.4: Global Routing Market by Placement
  • 3.4.1: Edge
  • 3.4.2: Core
  • 3.4.3: Virtual
• 3.5: Global Routing Market by Application
  • 3.5.1: Datacenter
  • 3.5.2: Enterprise
• 3.6: Global Routing Market by End Use
  • 3.6.1: BFSI
  • 3.6.2: Healthcare
  • 3.6.3: Education
  • 3.6.4: Residential
  • 3.6.5: Media & Entertainment
  • 3.6.6: Others

4. Market Trends and Forecast Analysis by Region from 2019 to 2031

• 4.1: Global Routing Market by Region
• 4.2: North American Routing Market
  • 4.2.1: North American Market by Application: Datacenter and Enterprise
  • 4.2.2: North American Market by End Use: BFSI, Healthcare, Education, Residential, Media & Entertainment, and Others
• 4.3: European Routing Market
  • 4.3.1: European Market by Application: Datacenter and Enterprise
  • 4.3.2: European Market by End Use: BFSI, Healthcare, Education, Residential, Media & Entertainment, and Others
• 4.4: APAC Routing Market
  • 4.4.1: APAC Market by Application: Datacenter and Enterprise
  • 4.4.2: APAC Market by End Use: BFSI, Healthcare, Education, Residential, Media & Entertainment, and Others
• 4.5: ROW Routing Market
  • 4.5.1: ROW Market by Application: Datacenter and Enterprise
  • 4.5.2: ROW Market by End Use: BFSI, Healthcare, Education, Residential, Media & Entertainment, and Others

5. Competitor Analysis

• 5.1: Product Portfolio Analysis
• 5.2: Operational Integration
• 5.3: Porter's Five Forces Analysis

6. Growth Opportunities and Strategic Analysis

• 6.1: Growth Opportunity Analysis
  • 6.1.1: Growth Opportunities for the Global Routing Market by Type
  • 6.1.2: Growth Opportunities for the Global Routing Market by Placement
  • 6.1.3: Growth Opportunities for the Global Routing Market by Application
  • 6.1.4: Growth Opportunities for the Global Routing Market by End Use
  • 6.1.5: Growth Opportunities for the Global Routing Market by Region
• 6.2: Emerging Trends in the Global Routing Market
• 6.3: Strategic Analysis
  • 6.3.1: New Product Development
  • 6.3.2: Capacity Expansion of the Global Routing Market
  • 6.3.3: Mergers, Acquisitions, and Joint Ventures in the Global Routing Market
  • 6.3.4: Certification and Licensing

7. Company Profiles of Leading Players

• 7.1: Cisco
• 7.2: Huawei Technologies
• 7.3: Juniper Networks
• 7.4: Hewlett Packard Enterprise Development LP
• 7.5: Arista Networks
• 7.6: ASUSTeK Computer
• 7.7: New H3C Technologies
• 7.8: NETGEAR
• 7.9: Nokia
• 7.10: Xiaomi