The Global Network Performance Monitoring Market size is expected to reach $3.2 billion by 2028, rising at a market growth of 6.9% CAGR during the forecast period.
The process of visualizing, monitoring, optimizing, debugging, and reporting on the availability and health of the network as experienced by the users is known as network performance monitoring. Network performance monitoring (NPM) systems can use different types of telemetry, including network flow data, packed data, and device metrics, like SNMP, WMI, API, synthetic tests, CLI, and logs.
Additionally, packets are necessary for anything done on the network because they transport data between nodes. With the advancement in technology, the complexity of network management has increased. This is due to the prevalence of hybrid configurations among businesses today, which combine on-premise servers with cloud-based services.
Consequently, most companies want to establish a reliable network performance monitoring system. The company's success will depend on how well the network operates. In particular, if the network is down even for a few moments, the company could experience serious implications. In the event of data loss or theft, network monitoring is a modern technology that is used to trace and monitor computer networks.
It alerts or warns the network administrator in case of data loss and theft. Due to faulty devices' influence on network performance, ongoing network monitoring is essential. These systems continuously collect enormous amounts of data, which enables data to be filtered to find any anomalies using network monitoring tools. As a result, enterprises, cloud services, and telecommunications leverage these technologies. In addition, innovations in the electronics device and system sectors improve and modernize network monitoring systems.
Network monitoring companies created effective crisis-management strategies to help them recover quickly from the COVID-19 crisis. These strategies included focusing on next-generation products and solutions, a modest reduction in the R&D budget for network monitoring solutions, constant monitoring of market trends, systematic approaches to investment and divestment, cautiously launching marketing campaigns, and reinforcing long-term contracts. Businesses thus utilize network performance monitoring tools to determine their network risks and vulnerabilities before making further changes. As a result, network performance monitoring grew in popularity over the course of the pandemic. Consequently, COVID-19 had a positive impact on the network performance monitoring market.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The below illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Acquisitions.
Downtime, lost productivity, and even security issues can occur when network equipment fails. While hardware issues and malfunctions might bring the entire network to a complete halt, high processing or network utilization can painfully slow down operations. These problems can be quickly identified and corrected with the help of network performance monitoring tools. Network monitoring saves costs for the company by minimizing downtime. Many network monitoring technologies also add value by automatically integrating new devices, specifying network layouts, and revealing malicious activities or potential security breaches. In the upcoming years, the industry will have profitable growth prospects as a result of these factors.
Employees are increasingly being provided personal mobile applications and devices to use for both personal and business purposes under the term "bring your own device" or BYOD. Mobile device adoption has significantly increased as a result of organizations' greater support for BYOD. The availability of a plethora of services, applications, and capabilities has increased the accessibility of storage, transmission, and receiving of large volumes of data on mobile devices. Passwords, credit card numbers, and usernames are among the sensitive data stored on mobile devices. Therefore, during the forecast period, these factors drive the growth of the network performance monitoring market.
As more corporate functions go online, businesses must update their networks to provide capacity and new features. In addition to managing standard IT applications, networks increasingly need to serve a variety of business services like video conferencing and telephony, which require additional network bandwidth. Additionally, multicasting protocols, autoconfiguration protocols, protocols for new endpoint devices, and IP virtualization capabilities are required to deploy new services on shared network infrastructure. As a result, the high implementation costs for NPM solutions are severely impeding the market's expansion for network performance monitoring.
Based on component, the network performance monitoring market is categorized into hardware and services. The hardware segment garnered the highest revenue share in the network performance monitoring market in 2021. Network performance reporting and analytics are crucial for network monitoring and optimization. Hardware for network performance monitoring offers visualization and reporting alternatives on a configurable dashboard that can imbibe all network data sources and offer real-time performance visibility.
On the basis of enterprise size, the network performance monitoring market is divided into SMEs and large enterprises. The small and medium sized enterprises segment procured a substantial revenue share in the network performance monitoring market in 2021. SMEs, or small and medium-sized businesses, are typically known to employ under 1,000 people. SMEs are increasingly using network performance monitoring to locate, manage, and regulate network datasets of various sizes. As many businesses lack the funding to monitor file sharing throughout their network infrastructures, maximum efficiency and cost reduction are regarded as essential aspects which NPM tools can provide.
Based on end user, the network performance monitoring market is segmented into IT & telecom service providers, cloud service providers, governments & public sector units, and others. The IT & telecom service providers segment acquired the largest revenue share in the network performance monitoring market in 2021. One of the main factors propelling the segment's expansion is the significant growth of the telecommunications sector globally. The demand for comprehensive network infrastructure visibility is fueling the industry's expansion. With the requirement for data connectivity growing over the past few years, telecommunications networks have undergone a rapid transformation.
| Report Attribute | Details |
|---|---|
| Market size value in 2021 | USD 2 Billion |
| Market size forecast in 2028 | USD 3.2 Billion |
| Base Year | 2021 |
| Historical Period | 2018 to 2020 |
| Forecast Period | 2022 to 2028 |
| Revenue Growth Rate | CAGR of 6.9% from 2022 to 2028 |
| Number of Pages | 288 |
| Number of Tables | 443 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Market Share Analysis, Companies Strategic Developments, Company Profiling |
| Segments covered | Component, Enterprise Size, End User, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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On the basis of region, the network performance monitoring market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America segment witnessed the maximum revenue share in the network performance monitoring market in 2021. Growth is attributable to the region's abundance of businesses providing network performance monitoring products and services. In addition, the robust telecom sector in North America is a significant customer of network performance monitoring tools. The region also experiences a high adoption rate of cutting-edge technologies, like cloud-based technologies, propelling the North American market development for network performance monitoring.
Free Valuable Insights: Global Network Performance Monitoring Market size to reach USD 3.2 Billion by 2028
The major strategies followed by the market participants are Acquisitions. Based on the Analysis presented in the Cardinal matrix; Microsoft Corporation is the forerunner in the Network Performance Monitoring Market. Companies such as Broadcom, Inc., Keysight Technologies, Inc., Cisco Systems, Inc. are some of the key innovators in Network Performance Monitoring Market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Broadcom, Inc., Microsoft Corporation, Cisco Systems, Inc., Juniper Networks, Inc., Keysight Technologies, Inc., SolarWinds Worldwide, LLC, LogicMonitor, Inc., Paessler AG, Profitap HQ B.V., and Nagios Enterprises, LLC.
By End User
By Enterprise Size
By Component
By Geography
The global Network Performance Monitoring Market size is expected to reach $3.2 billion by 2028.
Growing need for robust network monitoring tools to address issues with outages are driving the market in coming years, however, Exorbitant costs related to network monitoring restraints the growth of the market.
Broadcom, Inc., Microsoft Corporation, Cisco Systems, Inc., Juniper Networks, Inc., Keysight Technologies, Inc., SolarWinds Worldwide, LLC, LogicMonitor, Inc., Paessler AG, Profitap HQ B.V., and Nagios Enterprises, LLC.
The Large Enterprises segment acquired maximum revenue share in the Global Network Performance Monitoring Market by Enterprise Size in 2021 thereby, achieving a market value of $2.2 billion by 2028.
The North America market dominated the Global Network Performance Monitoring Market by Region in 2021, and would continue to be a dominant market till 2028; thereby, achieving a market value of $1.1 billion by 2028.
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