Forecast: Strong Growth for Software-Defined Networking

The worldwide software-defined networking (SDN) market will reach $12.5 billon by 2020, according to a forecast from International Data Corporation (IDC). The market research firm predicts that SDN — comprising physical network infrastructure, virtualization/control software, SDN applications (including network and security services) and professional services — will grow by nearly 54 percent over the next 5 years, driven primarily by cloud computing and the 3rd platform.

"While the physical network, encompassing datacenter switches, will still account for the largest single segment of the SDN market in 2020, the fastest growth will be found in the two software categories – the virtualization/control layer and SDN applications," IDC reported in a press release. It expects the virtualization/control layer software market to grow nearly 64 percent in the forecast period, while SDN applications (including Layer 4-7 network and security services and analytics) are expected to grow 66 percent by 2020.

"While networking hardware will continue to hold a prominent place in network infrastructure, SDN is indicative of a long-term value migration from hardware to software in the networking industry. For vendors, this will portend a shift to software- and service-based business models, and for enterprise customers, it will mean a move toward a more collaborative approach to IT and a more business-oriented understanding of how the network enables application delivery," said Brad Casemore, director of research for datacenter networking at IDC, in a statement.

The full report, SDN Market to Gain Enterprise Headway, Driven by 3rd Platform and Cloud, is available for purchase at the IDC site.

About the Author

Rhea Kelly is editor in chief for Campus Technology, THE Journal, and Spaces4Learning. She can be reached at [email protected].

Featured

  • SXSW EDU

    Explore the Future of AI in Higher Ed at SXSW EDU 2025

    This March 3-6 in Austin, TX, the SXSW EDU Conference & Festival celebrates its 15th year of exploring education's most critical issues and providing a forum for creativity, innovation, and expression.

  • white clouds in the sky overlaid with glowing network nodes, circuits, and AI symbols

    AWS, Microsoft, Google, Others Make DeepSeek-R1 AI Model Available on Their Platforms

    Leading cloud service providers are now making the open source DeepSeek-R1 reasoning model available on their platforms, including Amazon, Microsoft, and Google.

  • glowing futuristic laptop with a holographic screen displaying digital text

    New Turnitin Product Brings AI-Powered Tools to Students with Instructor Guardrails

    Academic integrity solution provider Turnitin has introduced Turnitin Clarity, a paid add-on for Turnitin Feedback Studio that provides a composition workspace for students with educator-guided AI assistance, AI-generated writing feedback, visibility into integrity insights, and more.

  • From Fire TV to Signage Stick: University of Utah's Digital Signage Evolution

    Jake Sorensen, who oversees sponsorship and advertising and Student Media in Auxiliary Business Development at the University of Utah, has navigated the digital signage landscape for nearly 15 years. He was managing hundreds of devices on campus that were incompatible with digital signage requirements and needed a solution that was reliable and lowered labor costs. The Amazon Signage Stick, specifically engineered for digital signage applications, gave him the stability and design functionality the University of Utah needed, along with the assurance of long-term support.