Industrial Ethernet Switches Market by Type (Layer 2, Layer 3, Managed Industrial Ethernet Switches), Protocol, End-Use Industry

Description

List of Tables

[187 Pages Report] The Industrial Ethernet Switches Market size was estimated at USD 12.45 billion in 2023 and expected to reach USD 13.32 billion in 2024, at a CAGR 7.21% to reach USD 20.28 billion by 2030.

Industrial Ethernet switches are specialized networking devices used for industrial environments, including manufacturing plants, utility facilities, and transportation systems. These devices are designed to withstand and tolerate extreme conditions including higher temperatures, vibrations, and electromagnetic interference. Industrial Ethernet switches facilitate reliable and efficient data transfer among various industrial devices, enabling real-time monitoring, control, and automation of diverse industrial processes. The growing inclination toward adopting Industrial Internet of Things (IIoT) technologies in the industrial sector and government Industry 4.0 initiatives drive the need for robust network infrastructures. The growing demand for real-time data processing capabilities and analytics in the oil & gas sectors and the expanding need to manage the diverse components of smart grids in the energy infrastructure have fuelled the need for industrial Ethernet switches. However, the complexity of integrating the equipment with existing legacy systems and the lack of standardized protocols across different industry verticals pose hurdles. Additionally, data security and privacy concerns raise questions regarding the safety and reliability of industrial Ethernet switches. However, key players are exploring integrating advanced cybersecurity solutions within industrial Ethernet switches to overcome data security and privacy issues. Furthermore, advancing switch technology to support higher data rates, improving security measures to cater to the expanding needs of industrial networks, and exploring the use of AI and ML for predictive maintenance and network optimization are expected to provide new avenues of growth.

KEY MARKET STATISTICS
Base Year [2023]	USD 12.45 billion
Estimated Year [2024]	USD 13.32 billion
Forecast Year [2030]	USD 20.28 billion
CAGR (%)	7.21%

Type: Ongoing innovations and advancements to improve the performance and efficiency of power over Ethernet (PoE) switches

Layer 2 switches refer to switches operating at the data link layer. These switches are primarily used for network segmentation or creating local area networks (LANs) and can manage traffic based on media access control (MAC) addresses. Layer 2 switches are prevalent in scenarios requiring high-speed connectivity among devices within the same network broadcast domain. They are ideally suited for simple, cost-effective network setups needing efficient local traffic management without inter-network routing. Layer 3 switches are operated at the network layer and can perform routing functions, handling data packets based on IP addresses. This enables communication between network segments or virtual LANs, providing advanced networking capabilities. They are ideally used for complex network architectures requiring inter-network communication, routing functionalities, and support for multiple VLANs. Managed switches offer comprehensive control over the network's behavior and configuration. They support various management protocols and interfaces for monitoring, traffic control, and customization. These switches are essential for networks that demand high reliability, security, and customization, allowing network administrators to manage network performance precisely.

Power over Ethernet (PoE) switches provide data connection and electrical power to devices over the Ethernet cable, eliminating the requirement for separate power supplies for networked devices. These switches are commonly used to deploy internet protocol (IP) cameras, voice-over-internet protocol (VoIP) phones, wireless access points, and other powered devices in challenging locations without easy AC power sources. Ruggedized switches are designed for the toughness of industrial environments, featuring durability against vibrations, shocks, and extreme temperatures. These switches are indispensable in operations in harsh contexts such as manufacturing floors, outdoor installations, or any area where standard equipment would fail. Unmanaged switches are plug-and-play devices without configurable options, providing straightforward network connectivity and expansion.

Protocol: Preference for CC-Link IE protocol in applications requiring high-speed data transfer and real-time control

CC-Link IE is a high-speed, high-performance industrial network protocol that supports gigabit Ethernet speeds, allowing for large data transfer with minimal delay. It is highly favored in complex automation systems and sectors requiring high throughput and real-time capabilities. EtherCAT stands out for its high-speed data exchange and efficient use of Ethernet networks, making it suitable for high-performance applications that require precise synchronization. EtherNet/IP utilizes standard Ethernet technologies for real-time data collection and control. Its interoperability and use of common infrastructure make it a popular choice. POWERLINK is an open standard for real-time Ethernet that provides deterministic performance over standard Ethernet hardware, suitable for demanding control applications. PROFINET is a widely used industrial Ethernet standard that offers a rich feature set for data exchange, diagnostics, and interoperability between devices and systems. SERCOS III merges the mechanics of the SERCOS interface with Ethernet, providing a powerful solution for machine construction and automation tasks requiring high-speed, synchronized communication.

End-Use Industry: Expanding utilization of industrial Ethernet switches in the oil and gas sector to ensure real-time monitoring of operations

The aerospace & defense industry requires highly reliable and secure Ethernet switches to support its crucial communication networks. These industries use ruggedized switches that can withstand harsh environments and provide secure data transmissions. The automotive & transportation sector focuses on Ethernet switches that support real-time data transmission for vehicle-to-everything (V2X) communications, onboard diagnostics, and infotainment systems. The electrical and electronics sector demands Ethernet switches to support high-speed data transfer and connectivity within production facilities, ensuring efficient automation and control systems. Ethernet switches in the energy and power sector are indispensable for managing and monitoring energy distribution and transmission. Durability and the ability to operate in extreme conditions are critical. Industrial Ethernet switches are essential in the IT & Telecom sector, facilitating reliable, high-speed data transmission and robust network management to support the critical infrastructure and operations of modern communication networks.

The food & beverages industry employs Ethernet switches to streamline operations and enhance food safety by facilitating real-time tracking and automation. Industrial Ethernet switches in the mining and metals sector support operations in remote and harsh environments, providing reliable data transmission amidst dust, moisture, and extreme temperatures. The oil & gas industry requires industrial Ethernet switches to ensure uninterrupted operations and data flow in explosive and hazardous environments. Industrial Ethernet switches in the pharmaceutical and medical devices industry support cleanliness and data integrity standards to protect sensitive information and ensure product quality. Industrial Ethernet switches are vital for controlling and monitoring treatment processes and infrastructure in the water and wastewater sector.

Regional Insights

The U.S. and Canada are the major countries adopting industrial Ethernet switches in the Americas. The demand for industrial Ethernet switches in the Americas region is primarily driven by the need to modernize industrial facilities, incorporate smart technologies, and efficiently manage extensive data loads. The market in the region benefits from advanced technological infrastructure and a keen governmental emphasis on adopting Industry 4.0 standards. Ongoing research and development (R&D) efforts aim to increase network systems' resilience, security, and efficiency within industrial settings. In addition, the region supports the integration of advanced technologies such as AI, ML, and data analytics due to its rapid development pace. The Asia-Pacific region, led by economies such as China, Japan, and India, is experiencing rapid industrial growth. The surge in manufacturing sectors, particularly automotive, electronics, and heavy industries, is pushing the demand for industrial Ethernet switches. Innovations and investments in smart factories, Industrial IoT (IIoT), and automation technologies further fuel the adoption. In China, the Made in China 2025 initiative emphasizes high-tech industries fostering local innovation, which includes substantial investments in enhancing network infrastructures. The market in the EMEA region is influenced by the EU's stringent standards for industrial operations and a strong emphasis on digitalization and sustainability in manufacturing processes. EU's stringent data privacy and security regulations have created a standardized framework for the progress and development of highly secure industrial Ethernet switches. The Middle East is gradually shifting from its oil-dependent economy toward diversification, with smart city projects and industrial innovation playing pivotal roles.

FPNV Positioning Matrix

The FPNV Positioning Matrix is pivotal in evaluating the Industrial Ethernet Switches Market. It offers a comprehensive assessment of vendors, examining key metrics related to Business Strategy and Product Satisfaction. This in-depth analysis empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success: Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The Market Share Analysis is a comprehensive tool that provides an insightful and in-depth examination of the current state of vendors in the Industrial Ethernet Switches Market. By meticulously comparing and analyzing vendor contributions in terms of overall revenue, customer base, and other key metrics, we can offer companies a greater understanding of their performance and the challenges they face when competing for market share. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With this expanded level of detail, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Key Company Profiles

The report delves into recent significant developments in the Industrial Ethernet Switches Market, highlighting leading vendors and their innovative profiles. These include ABB Ltd., Advantech Co., Ltd., Alcatel-Lucent S.A., Amphenol Corporation, Arista Networks, Inc., Beckhoff Automation GmbH, Belden Incorporated, Broadcom Inc., Cisco Systems Inc., CommScope Holding Company, Inc., D-Link Systems, Inc., Dell Technologies Inc., Eaton Corporation PLC, Emerson Electric Co., Fiberroad Technology Co., Ltd., Fujitsu Limited, General Electric Company, HARTING Deutschland GmbH & Co. KG, Hewlett Packard Enterprise Development LP, Hitachi Ltd., Honeywell International Inc., Huawei Technologies Co., Ltd., IDEC Corporation, Intel Corporation, International Business Machines Corporation, Juniper Networks, Inc., Mitsubishi Electric Corporation, Moxa Inc., NVIDIA Corporation, Omron Corporation, Patton LLC, Perle Systems Limited, Robert Bosch GmbH, Rockwell Automation, Inc., SALZ Automation GmbH, Schneider Electric SE, Siemens AG, TE Connectivity Ltd., Weidmuller Interface GmbH & Co. KG, Westermo Network Technologies AB, and ZTE Corporation.

Market Segmentation & Coverage

This research report categorizes the Industrial Ethernet Switches Market to forecast the revenues and analyze trends in each of the following sub-markets:

Type
- Layer 2
- Layer 3
- Managed Industrial Ethernet Switches
- Power over Ethernet
- Ruggedized Industrial Ethernet Switches
- Unmanaged Industrial Ethernet Switches

Protocol
- CC-Link IE
- EtherCAT
- EtherNet/IP
- POWERLINK
- PROFINET
- SERCOS III

End-Use Industry
- Aerospace & Defense
- Automotive & Transportation
- Electrical & Electronics
- Energy & Power
- Food & Beverages
- IT & Telecom
- Mining & Metals
- Oil & Gas
- Pharmaceutical & Medical Devices

Region
- Americas
  - Argentina
  - Brazil
  - Canada
  - Mexico
  - United States
    - California
    - Florida
    - Illinois
    - New York
    - Ohio
    - Pennsylvania
    - Texas
- Asia-Pacific
  - Australia
  - China
  - India
  - Indonesia
  - Japan
  - Malaysia
  - Philippines
  - Singapore
  - South Korea
  - Taiwan
  - Thailand
  - Vietnam

Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom

The report offers valuable insights on the following aspects:

1. Market Penetration: It presents comprehensive information on the market provided by key players.

2. Market Development: It delves deep into lucrative emerging markets and analyzes the penetration across mature market segments.

3. Market Diversification: It provides detailed information on new product launches, untapped geographic regions, recent developments, and investments.

4. Competitive Assessment & Intelligence: It conducts an exhaustive assessment of market shares, strategies, products, certifications, regulatory approvals, patent landscape, and manufacturing capabilities of the leading players.

5. Product Development & Innovation: It offers intelligent insights on future technologies, R&D activities, and breakthrough product developments.

The report addresses key questions such as:

1. What is the market size and forecast of the Industrial Ethernet Switches Market?

2. Which products, segments, applications, and areas should one consider investing in over the forecast period in the Industrial Ethernet Switches Market?

3. What are the technology trends and regulatory frameworks in the Industrial Ethernet Switches Market?

4. What is the market share of the leading vendors in the Industrial Ethernet Switches Market?

5. Which modes and strategic moves are suitable for entering the Industrial Ethernet Switches Market?

Product Code: MRR-F6513A06BDB7

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Increasing adoption of automation technologies and Industry 4.0 initiatives
  - 5.1.1.2. Expansion of smart grid solutions and technologies across the world
  - 5.1.1.3. Utilization of Ethernet switches to facilitate remote monitoring in oil & gas industries
- 5.1.2. Restraints
  - 5.1.2.1. Possibility of failure of industrial Ethernet switches and performance limitations
- 5.1.3. Opportunities
  - 5.1.3.1. Incorporation of advanced AI/ML and data analytics technologies in industrial ethernet switches
  - 5.1.3.2. Shift toward compact design Ethernet switches coupled with focused to achieve energy security and efficiency
- 5.1.4. Challenges
  - 5.1.4.1. Privacy issues associated with industrial ethernet switches
5.2. Market Segmentation Analysis
- 5.2.1. Type: Ongoing innovations and advancements to improve the performance and efficiency of power over Ethernet (PoE) switches
- 5.2.2. Protocol: Preference for CC-Link IE protocol in applications requiring high-speed data transfer and real-time control
- 5.2.3. End-Use Industry: Expanding utilization of industrial Ethernet switches in the oil and gas sector to ensure real-time monitoring of operations
5.3. Market Trend Analysis
- 5.3.1. Growing innovations and adoption of industrial Ethernet switches driven by the Americas accelerating adoption of Industry 4.0 technologies and presence of key players
- 5.3.2. Expanding manufacturing sector with adoption of Industry 4.0 supported by government initiatives across APAC
- 5.3.3. Introduction of industrial Ethernet switches for high-performance data communication networks, coupled with an increase in the construction of oil & gas processing facilities in the EMEA region
5.4. Cumulative Impact of High Inflation
5.5. Porter's Five Forces Analysis
- 5.5.1. Threat of New Entrants
- 5.5.2. Threat of Substitutes
- 5.5.3. Bargaining Power of Customers
- 5.5.4. Bargaining Power of Suppliers
- 5.5.5. Industry Rivalry
5.6. Value Chain & Critical Path Analysis
5.7. Regulatory Framework Analysis

6. Industrial Ethernet Switches Market, by Type

6.1. Introduction
6.2. Layer 2
6.3. Layer 3
6.4. Managed Industrial Ethernet Switches
6.5. Power over Ethernet
6.6. Ruggedized Industrial Ethernet Switches
6.7. Unmanaged Industrial Ethernet Switches

7. Industrial Ethernet Switches Market, by Protocol

7.1. Introduction
7.2. CC-Link IE
7.3. EtherCAT
7.4. EtherNet/IP
7.5. POWERLINK
7.6. PROFINET
7.7. SERCOS III

8. Industrial Ethernet Switches Market, by End-Use Industry

8.1. Introduction
8.2. Aerospace & Defense
8.3. Automotive & Transportation
8.4. Electrical & Electronics
8.5. Energy & Power
8.6. Food & Beverages
8.7. IT & Telecom
8.8. Mining & Metals
8.9. Oil & Gas
8.10. Pharmaceutical & Medical Devices

9. Americas Industrial Ethernet Switches Market

9.1. Introduction
9.2. Argentina
9.3. Brazil
9.4. Canada
9.5. Mexico
9.6. United States

10. Asia-Pacific Industrial Ethernet Switches Market

10.1. Introduction
10.2. Australia
10.3. China
10.4. India
10.5. Indonesia
10.6. Japan
10.7. Malaysia
10.8. Philippines
10.9. Singapore
10.10. South Korea
10.11. Taiwan
10.12. Thailand
10.13. Vietnam

11. Europe, Middle East & Africa Industrial Ethernet Switches Market

11.1. Introduction
11.2. Denmark
11.3. Egypt
11.4. Finland
11.5. France
11.6. Germany
11.7. Israel
11.8. Italy
11.9. Netherlands
11.10. Nigeria
11.11. Norway
11.12. Poland
11.13. Qatar
11.14. Russia
11.15. Saudi Arabia
11.16. South Africa
11.17. Spain
11.18. Sweden
11.19. Switzerland
11.20. Turkey
11.21. United Arab Emirates
11.22. United Kingdom

12. Competitive Landscape

12.1. Market Share Analysis, 2023
12.2. FPNV Positioning Matrix, 2023
12.3. Competitive Scenario Analysis
- 12.3.1. New Plug-and-Play Unmanaged Industrial Ethernet Switches Launched by Westermo
- 12.3.2. New Microchip Ethernet Switches Include TSN and Range of Port Bandwidths
- 12.3.3. Leonton New Powerful Compact PoE Switches Enhance PoE Network Deployment Flexibility and Reliability
- 12.3.4. HMS Networks Agrees to acquire Red Lion Controls
- 12.3.5. Perle Creates New IDS-710CT Managed Industrial Ethernet Switches
- 12.3.6. Alcatel-Lucent Enterprise Announces Partnership with RAH Infotech for India Market
- 12.3.7. Westermo and Eviden Announce Strategic Partnership To Develop Security Solutions For Industrial Data Communications
- 12.3.8. Allied Telesis Launches New Series of Ruggedized Industrial Ethernet Switches with PoE++ for Power Hungry Devices
- 12.3.9. Advantech's Latest Ethernet Switch Receives CC-Link IE TSN Conformance Certification
- 12.3.10. Fiberroad Announce The New Series Of Unmanaged Industrial Ethernet Switch for Industrial Automation Application
- 12.3.11. Moxa Joins Avnu Alliance to Promote Time-Sensitive Networking

13. Competitive Portfolio

13.1. Key Company Profiles
13.2. Key Product Portfolio