Virtualized Network Testing and Monitoring Market Size (2023 – 2030)

The Global Virtualized Network Testing and Monitoring Market was projected to be $2.3 billion in 2022, and by 2030 it is anticipated to be worth $3.95 billion. The market is estimated to expand at a CAGR of 7% between 2023 and 2030.

Market Overview

Analyzing the performance and quality of virtualized networks is an essential part of their upkeep. This process, known as network testing and monitoring, applies to both software-defined networking (SDN) setups and in cases where Network Functions Virtualization (NFV) are present. In order for these systems to operate effectively it becomes increasingly important that they maintain high levels of Quality of Service (QoS). Thus comprehensive evaluations must be regularly conducted with a focus on correct functioning - something achievable only through further examining SDNs & NFVs alongside each other.

The virtualized network testing and monitoring market has been growing rapidly over the past few years and is likely to continue to do so in the coming years. This growth can be attributed to the increasing adoption of SDN and NFV technologies, as well as the growing need for network automation and orchestration.

Virtualized Network Testing and Monitoring Market Drivers

Efficient Network Performance Management boosts the growth of the market

Traditional network performance management solutions are less effective now because of the emergence of cloud computing and the expanding usage of virtualization. Modern networks have more demands than can be met by the conventional method of observing network activity and gauging bandwidth use. The complexity, dynamic, and dispersed nature of network performance in a virtualized environment makes monitoring and management difficult. A more sophisticated method of network performance management is offered by virtualized network testing and monitoring systems. Insights on network performance are provided in real-time by these technologies, helping businesses identify and promptly resolve problems.

Network Security drives the market growth for virtualized network testing and monitoring.

Networks are more susceptible to security attacks as a result of their increasing complexity and dispersion. Finding and removing security risks is getting harder as networks get more complicated. Organizations may suffer severe consequences as a result of cyberattacks, including monetary loss, harm to their reputation, and legal liability. By offering real-time insights into network traffic and activity, virtualized network testing and monitoring systems may aid enterprises in identifying and preventing security breaches.

Virtualized Network Testing and Monitoring Market Challenges

The complexity of Virtualized Environments impedes the growth of the market

Virtualized environments are becoming increasingly complex due to the growing adoption of software-defined networking (SDN) and network function virtualization (NFV) technologies. In comparison to traditional network infrastructure, these technologies enable businesses to build virtual networks and services that are more adaptable, scalable, and affordable. Monitoring and managing network performance and security, nevertheless, is challenging due to the complexity of these virtualized setups. Solutions for testing and monitoring virtualized networks need to be capable of navigating the complexities of virtualized systems.

The scarcity of Skilled Professionals restrains the market growth

Lack of qualified professionals is another issue that the virtualized network testing and monitoring sector must deal with. Solutions for virtualized network testing and monitoring demand specific abilities, including familiarity with virtualization technology, network protocols, and security best practises. The lack of qualified individuals makes it challenging for businesses to adopt and maintain virtualized network testing and monitoring systems. The fast rate of technological development in the virtualized network testing and monitoring business further worsens the issue of the lack of qualified workers.

Impact of COVID-19 on Virtualized Network Testing and Monitoring Market

In the market for virtualized network testing and monitoring, the COVID-19 pandemic has had a conflicting effect. The pandemic has temporarily slowed the use of virtualized network testing and monitoring solutions and disrupted supply chains. But, it has also given manufacturers the chance to provide products that can assist enterprises in tracking and managing network security and performance in a dispersed context. Long term, as businesses continue to use cloud computing and virtualization, the pandemic is anticipated to accelerate the transition to digital transformation and raise demand for virtualized network testing and monitoring solutions.

VIRTUALIZED NETWORK TESTING AND MONITORING MARKET REPORT COVERAGE:

Virtualized Network Testing and Monitoring Market Segmentation

Virtualized Network Testing and Monitoring Market Segmentation – By Component

• Software        

  • Network Testing

  • Network Monitoring

  • Network Security

• Services

  • Consulting

  • Integration

  • Support

It is anticipated that the software section of the virtualized network testing and monitoring market would have a bigger market share than the services segment. This is a result of the rising need for virtualized network testing and monitoring solutions that can offer immediate insights into network performance and security. Due to enterprises' continued transition to remote work and reliance on dispersed networks, the network monitoring sector is anticipated to have the greatest market share within the software segment. As more businesses attempt to connect virtualized network testing and monitoring solutions with their current IT infrastructure, the integration section of the services market is predicted to develop at the fastest rate. As enterprises look to enhance their network efficiency and security in a dynamic and scattered environment, the consultancy sector is also anticipated to expand.

Virtualized Network Testing and Monitoring Market Segmentation – By Deployment Mode

• On-premise

• Cloud-based

Due to the growing popularity of cloud computing and virtualization, the cloud-based deployment method is anticipated to have a bigger market share than the on-premise deployment mode. An advantage of cloud-based deployment is that it is more scalable, less expensive up front, and easier to administer and maintain the solutions. The COVID-19 pandemic has further accelerated the shift towards cloud-based deployment, as organizations increasingly rely on distributed networks and remote work. This trend is likely to continue in the coming years, driving the growth of the cloud-based segment of the virtualized network testing and monitoring market. However, the on-premise deployment mode is still relevant for organizations that have specific security or compliance requirements or need greater control over their network infrastructure. This segment is predicted to grow at a slower rate than the cloud-based segment, but it will continue to be important for certain industries and use cases.

Virtualized Network Testing and Monitoring Market Segmentation – By Organization Size

• Small and Medium Enterprise (SME)

• Large Enterprise

Due to their greater budgets and more intricate network infrastructures, large enterprise segments are predicted to have a higher market share than SME companies. The SME category, however, is also anticipated to expand in the upcoming years as small and medium-sized businesses have easier access to and are able to afford cloud-based solutions. The demand for improved network performance and security, as well as the expanding trend towards remote work and dispersed networks, are anticipated to be the driving forces behind SMEs' adoption of virtualized network testing and monitoring solutions.

Virtualized Network Testing and Monitoring Market Segmentation – By Industry Verticals

• Telecom and IT

• Banking and Financial Services

• Healthcare

• Government

• Retail-e-commerce

• Others

Due to their strict security and compliance standards and intricate network infrastructures, the telecom, IT, banking, and financial services sectors are predicted to hold a greater market share than other verticals. With healthcare businesses adopting digital technologies at a rapid rate and depending on network infrastructure for essential medical applications, the healthcare sector is also anticipated to be a significant development driver. Other verticals, such as retail and e-commerce, and government, are also predicted to grow in the coming years, as they face increasing security and performance challenges in their network infrastructures.

Virtualized Network Testing and Monitoring Market Segmentation- By Region

• North America

• Europe

• Asia-Pacific

• Rest of the World

North America is predicted to hold the largest market share in the global market for virtualized network testing and monitoring due to the extensive use of cutting-edge technology and the presence of significant players. Europe is estimated to be another big market for virtualized network testing and monitoring solutions because of the growing usage of cloud-based technologies and the necessity for secure network infrastructure. Asia Pacific is predicted to experience the biggest growth due to the region's rapid adoption of digital technologies and high demand for secure network infrastructure. Throughout the rest of the world, it is projected that the market for virtualized network testing and monitoring would grow dramatically.

Key players

Here are the top 10 key players in the virtualized network testing and monitoring market:

1. Cisco Systems, Inc.

2. Keysight Technologies, Inc.

3. NetScout Systems, Inc.

4. Viavi Solutions Inc.

5. Spirent Communications

6. Huawei Technologies Co., Ltd.

7. Nokia Corporation

8. Anritsu Corporation

9. EXFO Inc.

10. Accedian Networks Inc.

These companies offer a range of virtualized network testing and monitoring solutions and services to meet the needs of enterprises across different industries. They also invest in research and development to innovate and improve their solutions and engage in strategic partnerships and collaborations to expand their market reach and offerings.