Press release
2025-2034 Industrial Ethernet Switch Market Outlook: Key Drivers, Emerging Challenges, and Strategic Insights
Industrial Ethernet Switch
What Will the Industrial Ethernet Switch Industry Market Size Be by 2025?
In recent times, there has been a robust growth in the industrial ethernet switch market size. The market, with an estimated worth of $2.94 billion in 2024, is projected to rise to $3.09 billion in 2025. This represents a compound annual growth rate (CAGR) of 5.1%. Factors contributing to the swelling of the market size during the historic period include automation in manufacturing and the emergence of Industry 4.
What's the Long-Term Growth Forecast for the Industrial Ethernet Switch Market Size Through 2029?
Over the upcoming years, substantial growth is anticipated in the industrial ethernet switch market, with the estimated market worth expected to reach $4.18 billion in 2029, boasting a compound annual growth rate (CAGR) of 7.8%. Several factors contributing to this projected growth during the forecast period include the integration of 5G networks, the rapid proliferation of edge computing, increasing concerns regarding cybersecurity, growth in remote monitoring and maintenance along with the ongoing expansion of IIoT. The forecast period is also expected to witness key trends such as integration of time-sensitive networking (TSN), transitioning to gigabit and 10-gigabit ethernet, improved security features, advanced robustness for challenging environments, and enhanced capabilities for remote management and monitoring.
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What Are the Key Growth Drivers Fueling the Industrial Ethernet Switch Market Expansion?
The surge in the use of the industrial Internet of Things (IoT) is predicted to fuel the progression of the industrial ethernet switch market. The industrial IoT is a broader application of the Internet of Things within various industrial areas. Industrial ethernet switches offer high-capacity and high-density industrial networking IoT solutions, and are indispensable for business and industrial networks worldwide. For example, a report from the Sweden-based telecommunications company Ericsson in September 2022 forecasted that around 60% of cellular IoT connections will become broadband IoT by 2028, with 4G being predominant. With 13.2 billion IoT connections worldwide in 2022, the prediction is for this figure to hit 34.7 billion connections by 2028, which represents a growth rate of 18%. Hence, the escalated use of the industrial Internet of Things is powering the expansion of the industrial ethernet switch market.
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What Are the Key Trends Driving Industrial Ethernet Switch Market Growth?
Innovations in products are becoming a predominant trend in the industrial ethernet switch sector. Leading firms within the industrial ethernet switch market are crafting superior products to maintain their market presence. For example, Westermo, an industrial data communications products manufacturing firm based in Sweden, unveiled a 10-gigabit industrial Ethernet switch in May 2022. The product was engineered to accommodate the increasing bandwidth needs, enabling current, large-scale data communication networks to handle more data than ever before. It comes with the WeOS operating system that ensures uninterrupted operation and supports an ever-growing range of protocols and features, while simplifying installations, operations, and upkeep, thereby reducing complexity.
How Is the Industrial Ethernet Switch Market Segmented?
The industrial ethernet switchmarket covered in this report is segmented -
1) By Type: Managed Industrial Ethernet Switches, Unmanaged Industrial Ethernet Switches
2) By Application: Smart Grid, Security And Surveillance, Intelligent Rail And Traffic
3) By Industry Vertical: Manufacturing, Electric And Power, Aerospace And Defense, Automotive And Transportation, Oil And Gas, Other Industry Verticals
Subsegments:
1) By Managed Industrial Ethernet Switches: Layer 2 Managed Switches, Layer 3 Managed Switches, PoE (Power Over Ethernet) Managed Switches, Rack-Mount Managed Switches
2) By Unmanaged Industrial Ethernet Switches: Standard Unmanaged Switches, Compact Unmanaged Switches, DIN Rail Unmanaged Switches
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Which Companies Are Leading the Charge in Industrial Ethernet Switch Market Innovation?
Major companies operating in the industrial ethernet switch market include Huawei Technologies Co. Ltd., Siemens AG, Cisco Systems Inc., Schneider Electric SE, ABB Ltd., Rockwell Automation Inc., Omron Corp., Phoenix Contact GmbH & Co. KG, Hirschmann (a Belden brand), Belden Inc., Advantech Co. Ltd., Hirschmann (a Belden brand), Extreme Networks Inc., Allied Telesis Inc., Moxa Inc., Beckhoff Automation GmbH & Co. KG, 3onedata Co., Korenix Technology Co. Ltd., Weidmüller, Westermo Network Technologies, B&R Industrial Automation GmbH, Harting Technologiegruppe
Which Regions Are Leading the Global Industrial Ethernet Switch Market in Revenue?
Asia-Pacific was the largest region in the global industrial ethernet switches market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the industrial ethernet switch market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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