Digital Lifescapes

For most of the last decade, the optical layer connecting data centers was an IT plumbing decision, delegated to network engineers and reviewed by executives only when something broke. That era is ending. As AI training workloads outgrow the power available at any single site, hyperscalers are splitting mega-clusters across multiple campuses, cities, and regions, and stitching them back together with high-capacity optical links so they behave as one logical data center. The connectivity choices being made right now, largely invisible to the CFO and the board, will determine which companies can scale AI infrastructure economically over the next decade and which will find themselves locked into constrained, expensive architectures. Optical Networking Market Development ABI Research forecasts that Open Line System, or OLS, scale-across revenue in the United States will climb from under $1 billion in 2026 to approximately $5 billion by 2035, a trajectory that reflects how quickly distribut...

The industrial sector is on the eve of a wireless transformation, driven by an urgent demand for greater network capacity, reliability, and deterministic performance. Historically, manufacturers and mission-critical operations have relied on wired networks — favoring their predictability — because spectrum congestion in legacy 2.4GHz and 5GHz bands limited confidence in wireless for operational technology (OT) environments. However, with the introduction and rapid adoption of the 6GHz spectrum, compounded by significant advances in Wi-Fi standards, industrial facilities are now poised to embrace wireless LANs as the backbone for automation and digital innovation. Industrial WLAN Market Development Recent research from ABI Research forecasts that over 70 percent of industrial-grade wireless LAN access points (WLAN APs) shipped in 2030 will support the 6GHz band. This is a leap from 2 percent in 2023, highlighting a rapid and profound technological shift. The market for ruggedized indust...

The market for industrial facilities networking is undergoing a significant transformation. Operational Technology (OT) networks, traditionally reliant on wired connections, increasingly embrace wireless solutions. This shift is driven by several factors, including the need for greater flexibility, improved efficiency, and the emergence of new applications fueled by the Internet of Things (IoT).  At the forefront of this transformation lies a utilization of the 6 GHz band in industrial Wireless Local Area Networks (WLANs), a communication innovation. Industrial WLAN Market Development According to the latest worldwide study by ABI Research, they forecast a surge in industrial WLAN access points supporting the 6 GHz spectrum, with shipments rising from 2 percent in 2023 to 71 percent by 2030. The growth of industrial WLANs can be attributed in large part to the limitations of traditional wired networks. Dense deployments of sensors, robots, and other connected devices create a const...

The global enterprise wireless networking market is evolving. Driven by a desire to take advantage of the available 6 GHz communications spectrum, with greatly improved broadband throughput and latency rates, more organizations may choose to adopt Wi-Fi 6E technologies. According to the latest worldwide market study by ABI Research, shipments of Wi-Fi 6E access points and routers will rise from 1.5 million units in 2022 to 5.2 million units by 2024. Wireless spectrum expansion is just one facet of the commercial wireless network market transition, as the technology of Wi-Fi customer premise equipment will be upgraded once again with Wi-Fi 7 (IEEE 802.11be standard) devices. Enterprise Wireless Network Market Development "The adoption of Wi-Fi 7 access points will accelerate following the protocols standardization in 2024, and just two years later, most 6 GHz enabled access point shipments will be supporting Wi-Fi 7," said Andrew Spivey, industry analyst at ABI Research . Anot...

Public cloud computing solutions are moving closer to the edge of networks where CIOs and CTOs are hosting new apps. The edge journey is well underway for forward-looking organizations as they seek to connect with customers, improve operational efficiency, and adopt digital business technologies to drive innovation. The latest worldwide market study by International Data Corporation (IDC) found that three-quarters of organizations plan to increase their edge computing spending over the next two years with an average increase of 37 percent. A combination of factors is driving this increased spending at the edge. Cloud Edge Computing Market Development The performance requirements of expanding workloads and new use cases that leverage artificial intelligence (AI) and machine learning (ML) demand greater compute capacity at the edge. In addition, the amount of data being stored in edge locations are rapidly expanding, and organizations plan to keep this data longer. As a result, the numbe...

The ongoing adoption of flexible working models within the enterprise market has significant implications for typical IT organizations that must now support knowledge workers and front-line employees that operate outside the corporate network perimeter. The global COVID-19 pandemic created IT networking and security challenges. The expansion of the distributed workforce, an increasing reliance on cloud computing infrastructure, and the requirement to securely connect online employees -- wherever they choose to work, at any given moment in time. Legacy IT solutions that have rigid network underlays and a requirement for on-premises infrastructure cannot adequately deal with these trends. This 'Anywhere, Anytime Workplace' led to demand for new Secure Access Service Edge (SASE) solutions, with networking and security delivered as-a-service. Anywhere, Anytime Workplace Market Development   Although converging networking and security capabilities offer enterprises a promising solut...

Enterprise network management complexity grows as more devices require connectivity from more locations. Case in point, the remote working phenomena has driven demand for software-defined solutions to reduce networking costs, improve scalability, and enable the integration of security. Although the emergence of Secure Access Service Edge (SASE) -- which integrates SD-WAN with edge security -- has caused some vendors to rethink their solutions, market opportunity remains across the software-defined networking sector for innovative vendors to explore vertical industry demand. Established networking vendors already lead the SD-WAN market. Next, the cloud-native innovators will drive growth by also offering solutions that shift end-user computing and integrated security to the cloud, enabling CIOs and CTOs to develop versatile enterprise networking strategies. SD-WAN Market Development Cloud-based solution providers will become increasingly important, given the benefits that shifting netwo...

Cloud computing infrastructure is moving out to the edge of enterprise networks as more organizations explore ways to re-engineer their architecture in support of new and emerging information technology (IT) use cases. Managed cloud edge services will become a high-growth market as enterprises look for low-latency edge services to address process efficiencies, support new applications, comply with data sovereignty, and deal with IT security threats. According to the latest global market study by International Data Corporation (IDC), worldwide revenues for managed edge services will reach $445.3 million in 2021 -- that's an increase of 43.5 percent over 2020. Over the 2021-2025 forecast period, the compound annual growth rate (CAGR) for managed edge services will be 55.1 percent. Managed Edge Services Market Development Given the nascent demand for managed edge services, a wide range of IT service providers and business technology vendors are looking at this market as the next big r...

As more organizations adapt to a hybrid working model for their distributed workforce, enterprise CIOs and CTOs are tasked with delivering new productivity-enabling applications, while also seeking ways to effectively reduce IT cost, complexity, and risk. Traditional IT hardware infrastructure is evolving to more software-based solutions. The worldwide software-defined infrastructure (SDI) combined software market reached $12.17 billion during 2020 -- that's an increase of 5 percent over 2019, according to the latest market study by International Data Corporation (IDC). The market grew faster than other core IT technologies. The three technology pillars within the SDI market are: software-defined compute (53 percent of market value), software-defined storage controller (36 percent), and software-defined networking (11 percent). "Software-defined infrastructure solutions have long been popular for companies looking to eliminate cost, complexity, and risk within their data cente...

Despite a challenging backdrop from the ongoing effects of the global COVID-19 pandemic, the negative impact on fifth-generation (5G) wireless supply chains has been minimal compared to the wider mobile smartphone market. This led to 5G mobile devices becoming more diverse, brought to market quickly at a variety of price points, thereby accelerating affordability and adoption. The mobile market is transitioning to 5G and many leading vendors are now exploring the low-priced 5G smartphone segment. According to the latest worldwide market study by ABI Research, 681 million 5G handsets will be shipped in 2022. Therefore, the race is on for OEMs to find that all-important level of differentiation in their flagship portfolios to help boost margins and improve market share. 5G Wireless Market Development Vendors continue to drive the adoption of new product designs, screen technology, chipsets, and camera setups -- notably within the flagship smartphone segment. Meanwhile, the leaders seek a...

Public cloud computing platforms serve as the foundation for enterprise digital business. Increasingly, telecom service providers seek to partner with hyperscale cloud providers to use their scalable compute capacity and flexible object storage. Affordable compute capacity is the primary reason a growing number of network equipment vendors and telecom service providers are now exploring global public clouds as a complement to telco 5G core and cloud-edge infrastructure. According to the latest worldwide market study by ABI Research, the public cloud is set to spur new growth for the telco cloud market, which is forecasted to grow to $29.3 billion by 2025, at a Compound Annual Growth Rate (CAGR) of 27 percent. Telco Cloud Infrastructure Market Development The perceived low cost of ownership, little or no implementation risk, plus increased business agility and innovation are some of the key drivers that are propelling the advance of cloud computing capacity in the telecom sector. "...

Commercial wireless communications have evolved rapidly over the last decade. Also, private cellular connectivity differs between enterprise verticals. Exploring the various applications and industry use cases provides an important indication of where infrastructure deployment will occur next. With fifth-generation (5G) wireless technology maturing, the importance of private networking solutions for the enterprise domain will continue to grow. Looking ahead, the growing demand for private network deployments will be driven primarily by heavy industry verticals. Industrial manufacturing, energy production (including mining, oil and gas, and logistics) alone will generate private network revenues of $32.38 billion by 2030, representing half of the $64 Billion overall private network revenues, according to the latest worldwide market study by ABI Research. Private 5G Network Market Development "These findings show the importance of private networks, particularly for automating missio...

If you want to thrive and prosper, then encouraging 'remote work' must be part of your organization's digital transformation agenda and knowledge worker culture. Each individual 'branch of one' person must be supported at the edge of an organization's secure network infrastructure. Edge Computing refers to the facilities and services between centralized enterprise data centers and intelligent endpoints -- either a branch location or more recently an employee home office. Moreover, an endpoint can be a mobile device, such as a smartphone or media tablet. It could also be a sensor. Proliferating devices benefit from a digitally transformed IT world through cloud edge capabilities. Regardless of how that edge is being defined, the compute, storage and networking cornerstones gird data creation, analysis, and management outside of the centralized core. Edge Computing Market Development A future scenario is unfolding where extraordinary value and opportunity for esse...

The success of Wi-Fi 6 isn't a foregone conclusion. There's growing interest among CIOs and CTOs in strategic applications for fifth-generation (5G) network deployment with unlicensed and shared spectrum in both the consumer and the enterprise Wireless Local Area Network (WLAN) markets.  Distributed Antenna Systems (DASs) have become a vital component for in-building wireless cellular communication coverage, especially in the U.S. and Asian markets. However, many legacy DASs are facing challenges incorporating 5G and increasing the overall capacity of the systems. To overcome these challenges, many Mobile Network Operators (MNOs) are starting to transition from traditional in-building DASs to 5G-Ready digital Distributed Radio Systems (DRS) due to technical and financial aspects and a smooth transition to 5G networks. Wireless Infrastructure Market Development According to the latest worldwide market study by ABI Research, worldwide revenue for DASs will grow approx. 2.7 times...

It's inevitable, the Chief Human Resource Officer (CHRO) and Chief Information Officer (CIO) must now work together more closely to deliver the progressive employment policies, flexible business processes, and adaptable IT platforms that enable the work-from-anywhere economy. The American mobile worker population will grow over the next four years, increasing from 78.5 million in 2020 to 93.5 million mobile workers in 2024, according to the latest market study by International Data Corporation (IDC). By the end of the forecast period, IDC expects mobile workers will account for nearly 60 percent of the total U.S. workforce. "COVID-19's disruption of the U.S. labor force has had a dramatic impact on how large businesses operate and will continue to shape how and where people work in the months to come," said Bryan Bassett, senior research analyst at IDC . Mobile Worker Market Development The ability to quickly mobilize different segments of a company's workforce wi...

In the past, most CIOs and CTOs would consider Wi-Fi infrastructure as the primary mode of delivering wireless local area network connectivity to their organization. Now, the development of fifth-generation (5G) cellular technologies has created alternative modes of wireless networking. Moreover, the demand for private networks in the enterprise domain continues to rise. According to the latest worldwide market study by ABI Research, private cellular network deployments within the enterprise domain will generate equipment revenues of more than $64 billion by 2030. While very large enterprises will likely drive the market for the next 10 years -- accounting for 50 percent of private networks by 2030 -- companies with annual revenues between $250 million and $1 billion will account for 40 percent of private networks by 2030, with their proportion expected to rise further beyond the forecast period. Private Cellular Network Market Development "These numbers underline the huge momentu...

The technologies associated with the internet of things (IoT) and machine to machine (M2M) connectivity are enabling a new wave of wireless networking applications within the industrial automation sector. According to the latest global market study by Berg Insight, annual shipments of wireless devices for industrial automation applications reached 4.6 million units worldwide in 2018, accounting for approximately 6 percent of all new connected nodes. Growing at a compound annual growth rate (CAGR) of 16.3 percent, annual shipments are expected to reach 9.9 million in 2023. Moreover, the installed base of wireless IoT devices in industrial automation applications reached 21.3 million units in 2018. Industrial Automation Market Development While wired networking solutions are still predominantly used for industrial communications between sensors, controllers and systems, wireless solutions have gained a strong foothold in a number of applications. Wireless solutions are used for...

Vendor revenue from sales of infrastructure products -- server, storage, and Ethernet switch -- for cloud IT grew by 45.5 percent year-over-year in the first quarter of 2018 (1Q18), reaching $12.9 billion according to the latest worldwide market study by International Data Corporation (IDC). IDC also raised its forecast for total spending on cloud IT infrastructure in 2018 to $57.2 billion with year-over-year growth of 21.3 percent. Let's consider the key trends that are driving this phenomena. What really matters most, going forward? Cloud Infrastructure Market Development Public cloud infrastructure quarterly revenue has more than doubled in the past three years to $9 billion in 1Q18, growing 55.8 percent year-over -year. Private cloud revenue reached $3.9 billion for an annual increase of 26.5 percent. The combined public and private cloud revenues now represent 46.1 percent of the total worldwide IT infrastructure spending, up from 41.8 percent a year ago. Traditional (...

The online security market is expanding globally, and for good reason. The dramatic increase in connected devices has created a huge attack surface for cyber criminals. Whether their motive is mischief, or theft, the impacts can be far-reaching and very costly. As an example, the downtime cost on Amazon’s North American sales operations as a result of the 2016 'Dyn' cyberattack -- ~211 minutes of service disruption -- resulted in a loss of $32 million. Most companies don't have the same eCommerce revenue as Amazon, but this event demonstrates the impact a cyberattack can have on targeted companies. Cybersecurity Solution Market Development Global business investment on cybersecurity solutions will grow by 33 percent over the next 4 years, reaching $134 billion annually by 2022, according to the latest worldwide study by Juniper Research. Their new research analysis found that nearly 70 percent of 2022 spending would originate from medium-sized businesses, as cyber...

Cloud computing services supported by converged networks will create new opportunities for forward-looking senior executives to make informed decisions and gain significant new strategic competitive advantages. According to the latest market study by Frost & Sullivan, transaction data is the new currency for the digital enterprise and high-speed, dedicated and secure network connections are crucial for senior decision makers to monetize their commercial data residing in cloud services. Furthermore, an integrated network with cloud services will ensure a secured network to deliver business-critical applications and data to support executives in achieving their digital transformation agenda and related business outcomes. Converged Infrastructure Market Development Industry verticals, both traditional and emerging, are already investing heavily in integrated networks as part of their cloud-first journey to leverage next-generation technologies -- such as big data, analytics, a...