Network Automation and Orchestration Market Growth, Services Analysis - mobile, IoT, consumer fixed and business fixedThis Network automation and orchestration market report provides forecasts for communications service provider (CSP) spending on network automation and orchestration (NAO) software systems and related services for 2021–2026. The NAO market will grow by USD8.8 billion between 2020 and 2026, largely due to the continued adoption of network control and orchestration (NCO) solutions.
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This forecast report and associated data annex provide:
a detailed, 6-year worldwide forecast for spending in the NAO market, split into:
• four main application sub-segments: network orchestrators, WAN SDN and EMS/NMS
• two delivery types: product-related and professional services (PS)
• four telecoms services: mobile, IoT, consumer fixed and business fixed
• eight geographical regions: Central and Eastern Europe (CEE), developed Asia–Pacific (DVAP), emerging Asia–Pacific (EMAP), Latin America (LATAM), the Middle East and North Africa (MENA), North America (NA), Sub-Saharan Africa (SSA) and Western Europe (WE)
an examination of the key market drivers and how they will affect spending during the forecast period
analysis of the business environment and regional dynamics that will influence the NAO market
a detailed market definition
recommendations for CSPs and vendors.
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The network automation and orchestration (NAO) market grew to USD8.8 billion in 2020 thanks to the continued adoption of NCO automation solutions, the virtualisation of the 4G core and the deployment of the cloud-native 5G core, all of which required a new generation of control, management and orchestration technology.
Most CSPs continued to increase their spending on WAN SDN automation within IP/optical networks by introducing SDN and multi-layer automation for transport networks. CSPs also expanded their SD-WAN portfolios for enterprise customers as working from home became more widespread. CSPs continued to deploy network orchestrators, virtualise more sites and add VNFs. More CSPs added NFV orchestration capabilities in order to consolidate their siloes by enabling orchestrators to manage multiple VNFs. There were also signs of increased spending on hybrid orchestrators to manage VNFs and CNFs as CSPs started to deploy the 5G standalone core alongside the existing 4G core.
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CSPs did not invest significantly in advanced orchestration technology for network slicing and network-as-a-service-based solutions, though there were some initial trials. This was expected because CSPs are still deploying the underlying networking technology (for example, the 5G standalone core) and are building a consensus with enterprise customers regarding the demand drivers and use cases. However, the spending on these solutions will accelerate towards the end of the forecast period as the technology and business case matures.
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