Due to the increasing network traffic, digitalization of industries, and increasing number of network attacks and security breaches, the demand for the optimization of the network infrastructure is rapidly increasing. These are some of the factors responsible for the growth of the network telemetry market. Further, the rise in the adoption of network telemetry solutions by many enterprises, such as Telefonica S.A., and developments in related technologies, such as the internet of things (IoT) and artificial intelligence (AI), generate a high demand for network telemetry solutions and services. Because of these factors, the global network telemetry market size was ~$300 million in 2020, and it would show significant growth during the forecast period (2021–2030).
Due to the implementation of lockdowns to control the COVID-19 pandemic, the demand for network telemetry solutions and services is rising, as network telemetry is related to networking and many organizations are working from home, therefore require such solutions and services.
The network telemetry market, on the basis of end user, is divided into telecom service providers, cloud service providers, managed service providers, and others. Telecom service providers held the largest share in 2020, and they are predicted to witness fast growth during the forecast period. This can be credited to the quick adoption of network telemetry solutions by telecom service providers, such as Telefonica UK Limited, to manage and optimize their network infrastructure.
Moreover, the network telemetry market is bifurcated into solutions and services, on the basis of component. In this segment, the services category would show the higher CAGR in the upcoming years. This can be attributed to the advancements in technologies, such as AI, growing demand for optimized network infrastructure, and surging adoption of network telemetry solutions by organizations, which is leading to a rise in the demand for maintenance, training, and consulting services.
North America was the largest market for network telemetry solutions and services during the historical period (2015–2020), and it would show significant growth in the upcoming years. This can be owed to the presence of many market players in North America, such as Juniper Networks Inc., Arista Networks Inc., and Pluribus Networks Inc. Moreover, the strong competition within every industry in North America and quick adoption of advanced technologies, including AI and IoT, make the region significant from the point of revenue growth and business expansion for the market players.
Players in the network telemetry market are forming partnerships in order to gain a good position. For instance,
In February 2021, Forescout Technologies Inc., a provider of enterprise of things security solutions, announced a partnership with Arista Networks Inc. in order to provide faster and more-effective zero-trust defense for organizations. Forescout integrated its eyeSegment solution with Arista CloudVision, which is the core management platform of Arista’s new multi-domain Macro-Segmentation Service Group (MSS Group) solution architecture.
In October 2019, Juniper Networks Inc. formed a partnership with Telefonica UK Limited and became the latter’s strategic network internet protocol (IP) partner, in order to build an automated and secured cloud-enabled network infrastructure, known as Fusion Network.
Some of the major players operating in the global network telemetry market are Cisco Systems Inc., Juniper Networks Inc., Arista Networks Inc., Mellanox Technologies Ltd., Pluribus Networks Inc., Barefoot Networks Inc., Solarflare Communications Inc., VOLANSYS Technologies Pvt. Ltd., Marvell Semiconductor Inc., and Netronome Systems Inc.