Virtual Customer Premises Equipment Market (V-CPE) 2018 Global Leaders: Hewlett Packard, ALTEN Calsoft, IBM, NEC Corporation, Cisco, Telco, Ericsson

The Global Virtual Customer Premises Equipment Market is expected to reach USD 3 billion by the end of 2022 with ~43% CAGR during forecast period 2016-2022.The major growth driver of Virtual CPE Market includes growing adoption of virtual CPE network infrastructure, growing adoption of internet technologies and growing need of enterprise mobility market among others

Global Virtual Customer Premises Equipment Market by Solutions (Virtual Switches, Virtual Routers, Security and Compliance), by Service (Professional, Managed) and End-Users (BFSI, Healthcare, Manufacturing, Government, Telecommunications and IT) - Forecast to 2022

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Key Players:

Intel Corporation (U.S.), Qosmos Inc. (France), AT&T Inc. (U.S.), NEC Corporation (Japan), Orange business services (Netherlands), Verizon wireless (U.S.), Cisco systems Inc. (U.S.), Ericsson Inc. (Sweden), IBM corporation (U.S.), Dell Inc. (U.S.) are some of the prominent players profiled in MRFR Analysis and are at the forefront of competition in the Global Mobile Security Market.

Global Virtual CPE Market - Overview

Virtual customer premises equipment (vCPE) is a highly efficient way by which network services can be delivers. These services include routing, firewall security, and virtual private network connectivity and are offered through use of software as opposed to use of dedicated hardware devices offering flexibility, simplicity and accelerated rate of delivery. These factors work as strong drivers for the global vCPE market. In its recent report on the subject

The increasing need of mobility of IT services, increasing demand for virtual networking infrastructure solutions & services and the robust demand for private cloud is expected to drive the global vCPE market during ther assessment period. Virtual customer premises equipement additionally offer enhanced networking infrastruction which can be accessed for anywhere. The growing adoption and demand for cloud-based applications has been feulled by the high demand for private clouds to optimize IT infrastructure in organizations, particularly amond end-use industries. However, due to its use in private sectors and in end use verticals such a the banking, financial services and insurance sector, security concerns are high and not properly met, leading to hinderance in market growth. Moreover, the lack of a skilled workforce and issues regarding reliability are further expected to challenge growth of the market. However, virtualzation of technology is leading the a greater exchance of information, and due to the emergence of this market, appropriatly skilled professionals are expected to enter the market in the coming years. R&D investments are expected to lead to development and advancements of the technology, thus strengthening the market and leading to opportunity for future expansion.

Virtual Customer Premises Equipment is to simplify the network and its administration by moving from home or business into the network, where it can be handled by commodity server under the control of a network operator. Being flexible, the network operator can reduce costs, dynamically deliver network functions, and provide agile new service. By using v-CPE the network providers can simplify & accelerate service delivery and also configure & manage the devices remotely. For instance, by using these equipment’s network operators can virtualize IP functions for subscriber and service management, or virtualize Network Address Translation (NAT), Dynamic Host Control Protocol (DHCP), or firewall services.
Raising need of mobility, increasing demand for virtual networking infrastructure solutions and services, along with varying traffic patterns are some of the key driving factors for the growth of the v-CPE market. Virtual Customer Premises Equipment also provides the enhanced physical networking infrastructure which can be transformed into sharable virtual resources. These can also be accessed from anywhere without using much of the networking hardware. In addition, the high demand for private clouds among enterprises is promoting cloud-based applications is fuelling the growth of the virtual customer premises equipment market.

Segments:

The Global virtual customer premises equipment market has been segmented on the basis of solutions, services, end-users and region. By solutions, the market has been bifurcated into virtual switches, virtual routers, security, compliance, controller & application platform, orchestration, infrastructure management and others.

On the basis of services, the market can be segmented as managed and professional. On the basis of end-users the market can be segmented into BFSI, healthcare, retail & e-commerce among others. Further, the market has been segmented into four regions which include- North America, Europe, Asia-Pacific and RoW.

On the basis of services, the market can be segmented into managed and professional. Out of these, Professional accounted for the largest market share majorly due to the adoption of network virtualization among enterprises has increased the demand for network function virtualization (NFV) technology which helps to increase the demand for v-CPE infrastructure.

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Industry News

Feb. 2017 - Mellanox Technologies, Ltd., a leading supplier of high-performance, end-to-end smart interconnect solutions for data center servers and storage systems, and ECI, a global provider of ELASTIC Network solutions, introduced an advanced virtual Customer Premises Equipment (vCPE) platform. The advanced platform delivers industry-leading performance and efficiency, readying global communication service providers for cost-effective Network Function Virtualization (NFV) deployment. The joint solution is based on ECI’s Mercury NFVi platform and uCPE solution accelerated by Mellanox’s powerful Indigo™ network processor which is capable of over 400Gb/s of L2-L7 advanced packet processing.

May. 2017 - Cloudify announced the launch of a new open virtual customer premises equipment (vCPE) to provide organizations and vendors with a framework to build custom vCPE to configure and on-board new virtual network functions (VNFs) quickly and at a low cost. The configuration framework, simplified VNF on-boarding, open, and multi-tenant service portal allows organizations to configure and deploy custom built network service chains.

Latest Industry News

Microsoft is offering a public preview of both Azure Virtual WAN and Asure Firewall in an effort to demonstrate the vCPEs for scure connectivity of offices and infrastructure.

Colt is working German company Adva to build and deploy a global vCPE platform (uCPE). Adva is providing Colt with its Ensemble Connector for its network operating systen and hosint platform for third-party applications which include virtual netowork functions, SD-WAN and firewalls.

Global Virtual CPE Market - Competitive Analysis

The Market of virtual CPE appears to be highly competitive. To maintain their market position and to drive the market growth, various dynamic and diversified international organizations, domestic organizations and as well as new entrants form a competitive landscape. Market leaders are innovating continuously and increasingly seeking market expansion through various strategic mergers and acquisitions, innovation, increasing investments in research and development and cost-effective product portfolio. Major players are investing on internal R&D and, most of all, in acquiring other firms. Prominent vendors of virtual CPE are targeting to invest more in technology and research and development activities to innovate their already existing products. The rising government funding is also expected to motivate key companies to invent new Mobile Security modules that match the changing trends and needs across the globe. These players possess state of art R&D labs and strong sales and distribution network which have helped them to gain leadership position in the market.

Regional Analysis

Globally, North America accounts for the largest share of the total market with the U.S leding growth for the region. North America is primarily made up of develop economies which has an affinity toward the adoption of the latest technological advancements, as such, the region has a high number of vCPE service providers which offer custom services in an effort to meet the massive demand.

Meanwhile, the Asia-Pacific is growing rapidly with countries such as China and Japan leading growth for the region. The large investments in the region toward the development of NFV and cCPE technologies and the rapidly increasing adoption of software defined virtual technology combined with significant IT hubs present in countries such as India are expected to accelerate market growth during the assessment period.

TABLE OF CONTENTS

1 Market Introduction

1.1 Introduction

1.2 Scope Of Study

1.2.1 Research Objective

1.2.2 Assumptions

1.2.3 Limitations

1.3 Market Structure

LIST OF TABLES

Table 1 Global Virtual Customer Premises Equipment Market, By Solutions

Table 2 Global Virtual Customer Premises Equipment Market, By Services

Table 3 Global Virtual Customer Premises Equipment Market, By End-Users

Continued…

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LIST OF FIGURES

Figure 1 Research Services

Figure 2 Global Virtual Customer Service Premises Equipment Market, By Solutions (%)

Figure 3 Global Virtual Customer Service Premises Equipment Market, By Services (%)

Continued…

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