Data Center Switch Market

Nov 20, 2023 - 11:45
Data Center Switch Market

Data Center Switch Market Insights

The global data center switch market is likely to witness rapid revenue growth. The growing adoption of virtualization and software-defined networking (SDN) would drive market growth. Market Research Future (MRFR) states that the global data center switch industry value will escalate from USD 15.2 BN in 2022 to USD 25.2 BN by 2032, growing at a 5.80% CAGR over the review period (2023-2032).

The growing need for data, traffic, and bandwidth management boosts the data center switch market size. Besides, the rising demand for faster network speed and the emphasis on data center efficiency & power consumption substantiate the data center switch market share. The growing need for network security, alongside the increasing use of edge computing & distributed architectures and the 5g adoption, are other major market drivers.

Data center switches advantages and the growing requirement to ensure the communication infrastructure's effectiveness in the automotive and transport environments boost the market size. Furthermore, government initiatives promoting the use of ethernet in process and manufacturing industries to adopt the latest technology drive the market's growth. Rising demand for simplified solutions for data center management and automation system creates significant market opportunities. 

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Major Players

Key players active in the Data Center Switch Market are

  • Extreme Networks, Inc,
  • Super Micro Computer, Inc.,
  • Cisco Systems, Inc.,
  • Juniper Networks, Inc.,
  • Hewlett Packard Enterprise (HPE),
  • NVIDIA Corporation (Mellanox Technologies Ltd.),
  • Lenovo Group,
  • DELL EMC (Dell Technologies),
  • Arista Networks, Inc, and
  • Huawei Technologies Co., Ltd., among others.  

Data Center Switch Market - Segments

The data center switch industry is segmented into switch types, product types, end-users, port speeds, and regions. The switch type segment is sub-segmented into core, ToR switch, and others. The product type segment is sub-segmented into Ethernet, InfiniBand, and others. 

The port speed segment is sub-segmented into 10G, 25G, 40G, 100G, 400G, and others. The end-user segment is sub-segmented into retail, BFSI, IT & telecom, government & defense, manufacturing, media & entertainment, and others. By region, the data center switch industry is segmented into Asia-Pacific, Europe, North America, and rest-of-the-world.

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Data Center Switch Market - Regional Analysis

North America dominates the global data center switch industry. The large presence of key technology providers, such as Cisco and Analog Devices, and early adopters of the latest technology in this region drive market growth. The rising adoption of new communication network protocols and the demand for high data transfer speeds in data centers influence the data center switch market share. The US and Canada hold sizable shares in the regional market with their rapid industrialization and spurring rise across industries. 

The Asia-Pacific region holds the second-leading global data center switch industry share. The major data center switch industry trend is the presence of leading players enabling the early adoption of the technology and high penetration of IoT devices.  

Furthermore, widely spreading industrial automation in manufacturing and process industries and increased R&D investments to develop technology increase the region's data center switch market share. China, Japan, and India are major data center switch industry in the region. 

Europe is a profitable market for data center switches. The rapidly growing aerospace & defense and energy & power industries drive the growth. Moreover, the presence of key automakers and pharmaceutical product manufacturers impacts the market's growth. The flourishing manufacturing industry in this region is also a major tailwind for the market's growth.

Besides, rising defense budgets and huge spending in the European space industry to get long-term solutions for high-end, demanding devices support the regional market's growth. The UK, Germany, France, and Italy are major data center switch industry in the region. 

Data Center Switch Market - Competitive Analysis

The market for data center switch is witnessing several strategic approaches, such as partnerships, expansion, collaboration, mergers & acquisitions, and product/ technology launches. Leading industry players invest significantly to drive research and development activities and expansion plans. 

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Industry/ Innovation/ Related News:

July 28, 2023 --- Broadcom introduces cloud-like Ethernet switch bandwidth to enterprise data centers. Broadcom aims to help enterprise data center operators gain better support 400G connectivity with its new software-programmable Trident 4-X7 Ethernet switch ASIC. The new switch is designed to provide a sustainable power supply and is intended for use inside enterprise data center top-of-rack (ToR) switches. Trident 4-X7 will likely meet the need for 400G connectivity inside enterprise data centers, growing with the escalating demand for bandwidth. 


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