Worldwide SDN market forecast to hit $8bn by 2018

IDC touts ‘fresh opportunities’ for data centres amid ‘growing momentum’ of emerging architecture

Tags: International Data Corporation
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Worldwide SDN market forecast to hit $8bn by 2018
By  Stephen McBride Published  August 21, 2014

The global software-defined networking (SDN) market is set to hit $8bn by 2018 - a better-than-700% increase on 2014's $960m - according to projections from International Data Corporation (IDC).

The emerging technology continues to gain ground within the broader enterprise and cloud service provider markets for data centre networking, IDC said, highlighting that the rapid growth represented CAGR of 89.4%.

The forecast for the SDN ecosystem includes in-use physical network infrastructure; controller and network-virtualisation software; SDN network and security services and related applications; and SDN-related professional services.

Software-defined networking is an architectural model designed to deliver automated provisioning, network virtualisation, and network programmability to data centre and enterprise networks.

In releasing its forecast, IDC characterised SDN as "a key driver for innovation and change", especially in third-platform technologies such as cloud, mobile and big data, and in Internet of Things (IoT) applications.

"SDN is taking centre stage among innovative approaches to some of the networking challenges brought about by the rise of the third platform, particularly virtualisation and cloud computing," said Rohit Mehra, vice president, Network Infrastructure, IDC.

"With SDN's growing traction in the data centre for cloud deployments, enterprise IT is beginning to see the value in potentially extending SDN to the WAN and into the campus to meet the demand for more agile approaches to network architecture, provisioning, and operations."

"The 2014 through 2016 period will be a significant launch point for SDN in the enterprise, with significant growth opportunities for both enterprise-focused SDN infrastructure and cloud service providers," added Brad Casemore, research director, Datacenter Networks, IDC.

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