Session Border Controller (SBC) Market Size (2024 – 2030)

The Global Cutting Tools Market was valued at USD 747 million and is projected to reach a market size of USD 1.079 Billion by the end of 2030. The market is anticipated to expand at a compound annual growth rate (CAGR) of 5.4% between 2024 and 2030.

Some of the key factors anticipated to generate numerous opportunities for market growth during the forecast period include enterprise preferences shifting from public switched telephone network (PSTN) lines to IP telephony or voice over internet protocol (VoIP) based private branch exchange (PBX) and increased global penetration of 5G telecommunications networks. In VoIP networks based on the session initiation protocol (SIP), a device called a session border controller (SBC) manages signaling. A phone discussion between two people is referred to as a "session". Statistics and call or video information are included with every call. A "border" is what separates two networks from one another. A session border controller (SBC), which acts as a router and permits only authorized sessions to cross the border, is essential to the session's data flow. The term "controller," conversely, describes the impact that session border controllers have on the data streams that make up the two-party session. All internal communications channels, including text chat, VoIP, IP video, video calling, and team video or texting sessions, are also managed by it. Session border controllers (SBCs) operate in two architectural modes: dispersed or split SBC architecture and integrated or freestanding non-split SBC architecture. SBCs are frequently deployed on the cloud (virtual).

Key Market Insights:

The need for safe and continuous communication in Voice over Internet Protocol (VoIP) networks is driving a significant spike in the global session border controller (SBC) industry. Businesses all around the world are driving this expansion by giving features like call quality control and encryption top priority to protect critical conversations in the age of cloud-based technologies. Interestingly, this tendency extends beyond developed markets as developing nations are incorporating cutting-edge communication technologies into their growing manufacturing sectors, especially in the automobile sector. The need for dependable and secure communication infrastructure grows as these areas embrace modernization, putting SBC manufacturers in a position to take advantage of the expanding opportunities given by the global landscape of digital transformation.

Global SBC Market Drivers:

Increased Security Apprehensions in the Cloud Communications Era have driven the market.

The global Session Border Controller (SBC) market thrives on the ever-growing need for robust security in Voice over Internet Protocol (VoIP) networks. As businesses increasingly embrace cloud-based communication solutions, traditional network perimeters weaken. This exposes them to vulnerabilities like unauthorized access, eavesdropping, and data breaches. Here's where SBCs step in as guardian angels. They act as security gateways, enforcing access control, encrypting calls, and defending against malicious attacks. This safeguard for sensitive communications in the cloud era is a key driver propelling the SBC market.

The Need for Seamless Collaboration in the Era of Remote Work

The global shift towards remote work models has significantly impacted the SBC market. With geographically dispersed teams, businesses require reliable and secure solutions for seamless communication and collaboration. SBCs play a critical role in this scenario. They act as traffic cops, managing and optimizing VoIP traffic across various networks, ensuring smooth call quality and uninterrupted video conferencing experiences. Additionally, SBCs can integrate with existing communication platforms, allowing employees to utilize familiar tools securely regardless of location. This enhanced collaboration fosters productivity in today's remote work landscape, driving the demand for SBC solutions.

Global SBC Market Restraints and Challenges:

Using a session border controller has many advantages, but there are drawbacks to the technology as well. Complicated interoperability is one of the primary issues limiting the product's use across industrial verticals. The principal obstacles to industry growth are the absence of a well-defined data model for protocol creation and the high level of expertise required for SBC setup and maintenance.In addition, a number of other factors, including the availability of open-source session border controllers (SBCs), the complexity of the configuration process, poor implementation practices, and a lack of awareness about SBCs among business organizations worldwide, are anticipated to slow market growth in the years to come.

Global SBC Market Opportunities:

First off, there are a lot of Session Border Controller (SBC) manufacturers and component suppliers in the area, which creates a competitive environment that is good for innovation and technology breakthroughs. Furthermore, the increasing uptake of the digital ecosystem by business users, such as operators, suppliers, government agencies, and others, acts as a stimulant for market growth and increases the need for safe and seamless communication solutions. Positive government measures that support the development of digital technology also contribute to market expansion by encouraging investment and creating a supportive regulatory environment. SBCs are becoming more and more necessary in the Asia Pacific area to guarantee secure VoIP communication as businesses and organizations from a variety of sectors prioritize digital transformation activities. With the region's dynamic technical landscape and growing demand for digital infrastructure, this emerging market offers SBC vendors rich opportunities to profit, setting them up for long-term success and market penetration.

SESSION BORDER CONTROLLER MARKET REPORT COVERAGE:

Global SBC Market Segmentation: Product Type

• Enterprise SBC

• Service Provider SBC

• Hybrid SBC

The Global SBC Market Segmented by Product Type, Hybrid SBC held the largest market share last year and is poised to maintain its dominance throughout the forecast period. In the global cutting tool market, Hybrid SBC (Session Border Controller) emerged as the segment with the largest market share last year, and it is anticipated to sustain this dominance throughout the forecast period. This leadership position can be attributed to several key factors. Firstly, Hybrid SBCs offer a versatile and adaptable solution that combines the functionalities of both hardware and software-based SBCs. This hybrid approach provides users with the flexibility to integrate and customize their communication infrastructure according to their specific requirements, leading to increased efficiency and cost-effectiveness. Additionally, Hybrid SBCs typically offer enhanced scalability and performance compared to traditional hardware-based solutions, making them particularly appealing for businesses operating in dynamic and rapidly evolving environments. Furthermore, the growing demand for secure and seamless communication solutions, especially in industries such as telecommunications, IT, and manufacturing, further drives the adoption of Hybrid SBCs.

Global SBC Market Segmentation: End-Use Industry

• Public Sector

• Manufacturing

• Transportation

• BFSI

• Healthcare

• IT & Telecom

• Energy & Utility

• Media & Entertainment

• Retail

The Global Cutting Tool Market Segmented by End-use, IT and Telecom held the largest market share last year and is poised to maintain its dominance throughout the forecast period. The IT and Telecom industry stands out as the primary beneficiary of Session Border Controllers (SBCs), largely owing to their pivotal role in fortifying communication infrastructures. Within these sectors, where data security and privacy are paramount concerns, SBCs serve as indispensable guardians by effectively encrypting data, regulating access, and actively repelling potential cyber threats. Their role as security gateways is further underscored by their capability to authenticate users and devices, ensuring only authorized entities gain entry to sensitive networks. Moreover, with the widespread adoption of Voice over Internet Protocol (VoIP) networks, SBCs play a crucial role in optimizing call quality, managing traffic efficiently, and ensuring the seamless operation of communication channels, thereby enhancing overall productivity and user experience. Additionally, given the stringent regulatory landscape governing data privacy, SBCs play a pivotal role in ensuring compliance with industry-specific regulations such as GDPR and HIPAA, thus mitigating legal risks for IT and Telecom enterprises. This convergence of factors solidifies the IT and Telecom industry as the primary adopter and champion of SBC technology on a global scale, as these sectors continue to prioritize security, efficiency, and regulatory compliance in their communication networks.

Global SBC Market Segmentation: By Region

• North America

• Asia-Pacific

• Europe

• South America

• Middle East and Africa

The Global Cutting Tool Market Segmented by Region, North America held the largest market share last year and is poised to maintain its dominance throughout the forecast period. Several reasons are expected to drive the growth of the session border controller (SBC) market in North America. The principal motivator is the rapid advancement of technology in several industry sectors, as businesses adopt innovative solutions to boost their competitiveness and operational effectiveness. The increased use of cutting-edge technologies, such as artificial intelligence (AI), the Internet of things (IoT), and others, highlights the necessity for strong communication infrastructures, where SBCs are essential for facilitating safe and easy data sharing. In addition, there is a growing need for SBCs in small, medium, and big businesses due to the necessity of protecting confidential information and maintaining regulatory compliance. Furthermore, the significance of SBCs in enhancing call quality, traffic management, and security risk mitigation increases as companies depend increasingly on cloud-based services and VoIP solutions to enable distant collaboration and communication. As the centre of technological innovation and enterprise activity, North America is expected to experience substantial market growth as businesses prioritize investing in innovative communication technologies. This will place SBC vendors in a position to take advantage of the growing opportunities brought forth by this changing landscape.

COVID-19 Impact Analysis on the Global SBC Market:

The COVID-19 pandemic exerted both negative and positive impacts on the Session Border Controller (SBC) market. Disrupted supply chains due to lockdowns and travel restrictions initially led to temporary shortages and price fluctuations in SBC components, while businesses in sectors like hospitality or retail faced financial constraints, potentially delaying investments in non-essential IT upgrades such as SBCs. However, the surge in remote work models propelled by the pandemic bolstered demand for secure communication solutions like SBCs, facilitating seamless collaboration and VoIP call quality for geographically dispersed teams. Moreover, the heightened focus on cybersecurity during the pandemic prompted organizations to prioritize investments in SBCs to strengthen network security and protect sensitive data shared remotely. Overall, while the short-term challenges were evident, the long-term outlook for the SBC market remains positive, driven by the permanent shift towards remote work models and increasing adoption of cloud-based communication, positioning SBCs for sustained growth in the coming years.

Latest Trends/ Developments:

Three key themes that are reshaping the communication landscape are indicative of the emergence of session border controllers, or SBCs. First off, cloud-native SBCs are being developed in response to the rise of cloud-based communication systems, which provide scalability, flexibility, and easier deployment when compared to their conventional hardware-based counterparts. Second, SBCs' ability to recognize and stop cyberattacks is improved by the incorporation of artificial intelligence (AI) into sophisticated security capabilities like anomaly detection and real-time threat mitigation. Finally, as Unified Communications as a Service (UCaaS) gains traction, SBC providers are compelled to create solutions that integrate smoothly with UCaaS platforms, guaranteeing organizations an all-encompassing and secure communication experience. These patterns show how SBC technology is still being adjusted to fit the changing requirements of contemporary businesses, with an emphasis on robust security, agility, and smooth communication platforms.

Key Players:

1. Acme Packet Inc.

2. AudioCodes Ltd

3. Cisco Networks

4. Genband Inc.

5. Huawei Technologies Co. Ltd

6. Sonus Network Inc.