PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1773888
PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1773888
Global Routing Market to Reach US$27.0 Billion by 2030
The global market for Routing estimated at US$17.3 Billion in the year 2024, is expected to reach US$27.0 Billion by 2030, growing at a CAGR of 7.7% over the analysis period 2024-2030. Wired Router, one of the segments analyzed in the report, is expected to record a 8.9% CAGR and reach US$19.6 Billion by the end of the analysis period. Growth in the Wireless Router segment is estimated at 5.0% CAGR over the analysis period.
The U.S. Market is Estimated at US$4.7 Billion While China is Forecast to Grow at 12.2% CAGR
The Routing market in the U.S. is estimated at US$4.7 Billion in the year 2024. China, the world's second largest economy, is forecast to reach a projected market size of US$5.8 Billion by the year 2030 trailing a CAGR of 12.2% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 3.8% and 7.5% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 5.1% CAGR.
Global Routing Market - Key Trends & Drivers Summarized
Why Is Routing Technology At The Core Of Modern Network Infrastructure?
Routing technology is fundamental to modern digital communication, enabling the efficient transfer of data across networks. Whether in enterprise IT environments, data centers, or telecommunications infrastructure, routers serve as the backbone of the internet, ensuring seamless connectivity between devices, applications, and cloud services. The growing demand for high-speed internet, fueled by digital transformation, IoT expansion, and 5G deployment, has significantly increased the need for advanced routing solutions. Businesses are prioritizing network scalability, security, and low-latency performance, driving innovations in routing hardware and software. Additionally, the shift toward cloud computing and software-defined networking (SDN) is transforming traditional routing models, enabling more flexible and cost-effective data traffic management. With global internet traffic increasing exponentially, routing technology remains at the forefront of networking evolution, supporting everything from enterprise connectivity to smart city infrastructure.
What Cutting-Edge Technologies Are Transforming Routing Systems?
The routing industry is undergoing a technological revolution, incorporating AI-driven automation, edge computing, and quantum networking to enhance performance and security. AI and machine learning are playing a crucial role in predictive network traffic management, allowing routers to dynamically optimize data flow and reduce congestion. Software-defined networking (SDN) and network function virtualization (NFV) are redefining traditional routing architectures, enabling centralized control, automation, and rapid scalability. Edge computing is also influencing routing strategies, as businesses seek lower-latency solutions by processing data closer to the source. Quantum networking, while still in its early stages, is expected to revolutionize secure data transmission, with routers designed to leverage quantum encryption for ultra-secure communication. Additionally, the adoption of 5G and Wi-Fi 6 is reshaping wireless routing, ensuring seamless high-speed connectivity for mobile and IoT devices. These innovations are setting the stage for next-generation routing solutions that will power the future of digital infrastructure.
Which Industries Are Driving The Demand For Advanced Routing Solutions?
The demand for routing technology is surging across industries that rely on high-performance networking solutions. The telecommunications sector remains the largest adopter, investing in high-capacity routers to support 5G networks, fiber-optic infrastructure, and global internet expansion. Enterprise IT environments are also a major driver, as businesses embrace cloud computing, remote work solutions, and hybrid network architectures. The rise of IoT applications in smart cities, industrial automation, and connected vehicles is further fueling demand for efficient and scalable routing solutions. Financial institutions and e-commerce platforms depend on secure and low-latency routing for real-time transactions and digital payments. The healthcare industry is another key sector, leveraging advanced routing systems to support telemedicine, digital health records, and connected medical devices. As data-intensive applications continue to grow, industries worldwide are investing in robust routing solutions to ensure seamless connectivity and operational efficiency.
What Factors Are Fueling The Growth Of The Routing Market?
The growth in the routing market is driven by several factors, including the rapid expansion of internet infrastructure, increasing adoption of cloud computing, and rising demand for high-speed, low-latency connectivity. The deployment of 5G networks is accelerating investments in advanced routing hardware and software to handle massive data traffic. The proliferation of IoT devices is also contributing to market growth, as businesses require scalable and efficient routing solutions to manage complex network architectures. The shift towards SDN and NFV is enabling organizations to optimize network performance and reduce operational costs, driving further adoption. Cybersecurity concerns are another critical factor, with businesses prioritizing secure and encrypted routing solutions to protect sensitive data. Additionally, the growing emphasis on edge computing and decentralized networking is reshaping routing strategies, enabling faster and more efficient data processing. As digital transformation continues to drive connectivity demands, the routing market is poised for sustained growth.
SCOPE OF STUDY:
The report analyzes the Routing market in terms of units by the following Segments, and Geographic Regions/Countries:
Segments:
Type (Wired Router, Wireless Router); Placement (Edge Placement, Core Placement, Virtual Placement); Application (Datacenter Application, Enterprise Application); Vertical (BFSI Vertical, Healthcare Vertical, Education Vertical, Residential Vertical, Media & Entertainment Vertical, Other Verticals)
Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.
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