logo

Network As A Service (NaaS) Market

  • Industries
    •   Information & Technology
    •   Healthcare
    •   Machinery & Equipment
    •   Automotive & Transportation
    •   Food & Beverages
    •   Energy & Power
    •   Aerospace & Defense
    •   Agriculture
    •   Chemicals & Materials
    •   Architecture
    •   Consumer Goods
  • Blogs
  • About
  • Contact
  1. Home
  2. Information & Technology
  3. Network-as-a-Service (NaaS) Market

Network-as-a-Service (NaaS) Market Size, Share, Growth, and Industry Analysis, By Types (LAN-as-a-Service (LANaaS), WAN-as-a-Service (WANaaS)), Applications (Information Technology (IT) and Telecommunication, Manufacturing, Banking, Financial Services, and Insurance (BFSI), Government, Healthcare, Transport and Logistics, Retail, Others) and Regional Forecast to 2033

 Request a FREE Sample PDF
Last Updated: June 23 , 2025
Base Year: 2024
Historical Data: 2020-2023
No of Pages: 129
SKU ID: 25351388
  •  Request a FREE Sample PDF
  • Summary
  • TOC
  • Drivers & Opportunity
  • Segmentation
  • Regional Outlook
  • Key Players
  • Methodology
  • FAQ
  •  Request a FREE Sample PDF

NETWORK-AS-A-SERVICE (NAAS) MARKET SIZE

The global Network-as-a-Service (NaaS) market was valued at USD 8.848 billion in 2024 and is expected to reach USD 21.84 billion by 2025, further growing to USD 12.174 billion by 2033, reflecting a compound annual growth rate (CAGR) of 37.6% during the forecast period from 2025 to 2033.

The US NaaS market is experiencing significant growth, driven by the increasing adoption of cloud services, digital transformation initiatives, and the demand for scalable, secure, and efficient network solutions across various industries.

Network-as-a-Service (NaaS) Market

Network-as-a-Service (NaaS) is emerging as a transformative model that offers on-demand network services via the cloud, reducing the need for businesses to maintain their own complex, hardware-based network infrastructures. NaaS providers deliver network services such as bandwidth management, firewall security, data routing, and virtual private network (VPN) solutions through a subscription model. This eliminates the need for costly upfront capital investments in hardware and makes it easier for businesses to scale their network resources dynamically according to demand. Organizations benefit from enhanced agility and flexibility, ensuring that their networks are always optimized for performance without the burden of manual updates or on-premises maintenance. NaaS is particularly beneficial for enterprises with remote workforces, as it facilitates secure and efficient connectivity from anywhere in the world.

NETWORK-AS-A-SERVICE (NAAS) MARKET TRENDS

The NaaS market is growing at an accelerated pace, reflecting a significant shift in how companies manage their IT infrastructure. Cloud adoption is at the forefront of this transformation, with businesses increasingly leveraging public and private cloud environments. The ongoing trend towards digitalization and the need for high-performance, flexible, and cost-efficient networks are driving NaaS growth. This trend is further compounded by the rising demand for high-speed internet connectivity, as companies expand their operations globally. As businesses adopt advanced network services, the market for software-defined WAN (SD-WAN) and Secure Access Service Edge (SASE) is gaining traction, with these technologies offering an integrated security framework and optimized connectivity for cloud environments.

The increased emphasis on security and the management of distributed workforces has also accelerated the uptake of NaaS solutions. Organizations no longer need to rely on fixed infrastructures that are costly to maintain and update, especially in industries such as finance, healthcare, and e-commerce, where secure data transmission is paramount. Cloud-based NaaS solutions provide businesses with the tools to improve operational efficiency, reduce IT overheads, and offer secure, scalable solutions that adapt to shifting business needs.

Data centers are evolving as well, with some providers offering a fully managed, hybrid cloud-based service portfolio. The integration of artificial intelligence (AI) and machine learning (ML) technologies is another factor enhancing NaaS’s appeal, as they help streamline network management by predicting potential issues before they occur, ensuring businesses stay ahead of network disruptions.

NETWORK-AS-A-SERVICE (NAAS) MARKET DYNAMICS

The NaaS market’s growth is fueled by several dynamics, most notably the demand for more adaptable and cost-efficient networking solutions. The traditional approach of investing in physical hardware is becoming obsolete due to the scalability and flexibility offered by cloud-based NaaS platforms. Companies in various sectors are increasingly turning to NaaS to support cloud-based applications, streamline network operations, and improve overall business agility. Additionally, the convergence of network and cloud services into a single platform is a key factor enabling businesses to enhance connectivity, accelerate deployments, and reduce operating costs.

As more companies migrate their services to the cloud and require seamless connectivity across various platforms, NaaS emerges as a vital component of modern IT infrastructure. The widespread adoption of mobile, IoT, and big data technologies also adds pressure to traditional network systems, driving organizations to seek innovative solutions like NaaS that can efficiently handle large-scale data traffic.

Drivers of Market Growth

"Increasing demand for cloud-based services"

The rising demand for cloud services is one of the primary drivers of the NaaS market. As businesses adopt cloud platforms for their IT infrastructure, they need a secure and scalable network to support cloud applications and services. NaaS offers flexible and on-demand network solutions that integrate seamlessly with cloud technologies, allowing businesses to scale their network resources as needed while maintaining high performance and security. The need for agile network services is particularly prominent in industries such as finance, healthcare, and retail, where the ability to quickly adapt to market changes and customer demands is critical. Additionally, the shift toward hybrid cloud environments is creating a demand for seamless interconnectivity between on-premises infrastructure and cloud services, which NaaS can easily fulfill.

Market Restraints

"Complex deployment procedures and shortage of skilled professionals"

Despite the advantages, the widespread adoption of NaaS faces challenges. One key restraint is the complexity associated with deploying NaaS solutions in large, multifaceted organizations. Many businesses, especially those with legacy systems, face difficulties in transitioning from traditional network models to a cloud-based infrastructure. This shift requires careful planning, strategic execution, and expertise in cloud networking. Moreover, there is a global shortage of skilled professionals who are proficient in network virtualization, cybersecurity, and cloud-based solutions. This shortage is slowing down the adoption of NaaS, as companies often struggle to find qualified personnel to manage these advanced systems effectively.

Market Opportunities

"Growth in personalized and AI-driven network solutions"

There is a significant opportunity for growth in the NaaS market, particularly driven by advancements in AI and machine learning. AI-driven network solutions enable predictive analytics that help businesses proactively address network issues, optimize performance, and offer personalized services. These AI-driven capabilities make it possible for networks to adapt in real time based on traffic patterns, user behaviors, and external factors. The increasing use of artificial intelligence in NaaS solutions is also fostering the development of self-healing networks that can automatically detect and resolve issues before they impact end-users. This innovation offers substantial cost savings and operational efficiencies, making NaaS even more attractive to businesses seeking to improve their network performance.

Market Challenges

"Ensuring security and compliance in cloud-based networks"

As businesses migrate to the cloud, securing their networks and ensuring compliance with industry regulations are growing challenges. NaaS providers must address concerns related to data privacy, secure data transmission, and protection from cyber threats. Companies must also adhere to various industry-specific regulations, such as GDPR, HIPAA, and PCI-DSS, which dictate how sensitive data is stored and transmitted across networks. Ensuring that these standards are met while maintaining seamless performance and scalability is a complex task. Security breaches or non-compliance could have significant consequences, including reputational damage and legal repercussions, which can deter companies from fully adopting NaaS solutions. Consequently, addressing these challenges with robust security measures is critical for driving growth in the NaaS market.

SEGMENTATION ANALYSIS

The Network-as-a-Service (NaaS) market is categorized based on service types and applications, each addressing specific organizational needs.

By Type

  • "LAN-as-a-Service (LANaaS)"LAN-as-a-Service (LANaaS) offers businesses scalable and flexible local area network solutions without the necessity for extensive on-premises infrastructure. This service model allows organizations to efficiently manage network resources, enhance connectivity, and reduce operational costs. By leveraging cloud-based LAN solutions, businesses can dynamically adjust network capacities to meet evolving demands, ensuring optimal performance and reliability
  • "WAN-as-a-Service (WANaaS)"WAN-as-a-Service (WANaaS) provides organizations with wide area network solutions over the cloud, facilitating secure and efficient connectivity across multiple locations. This model eliminates the need for traditional MPLS circuits, offering cost-effective alternatives like SD-WAN that enhance network agility and performance. With WANaaS, businesses can optimize data traffic routing, improve application performance, and ensure reliable connectivity for remote offices and mobile users.

By Application

  • "Information Technology (IT) and Telecommunication:"In the IT and telecommunications sector, NaaS solutions streamline network management by offering scalable bandwidth, secure VPNs, and efficient data routing. This enables service providers to deliver enhanced connectivity services, reduce latency, and improve overall customer satisfaction. The flexibility of NaaS supports the dynamic demands of this sector, accommodating fluctuating data traffic and evolving technological requirements.

  • "Manufacturing:"Manufacturing industries utilize NaaS to connect operational technology systems across various plant locations, ensuring seamless data flow and real-time monitoring. By adopting NaaS, manufacturers can enhance supply chain management, optimize production processes, and implement IoT solutions for predictive maintenance, leading to increased operational efficiency and reduced downtime.

  • "Banking, Financial Services, and Insurance (BFSI):"The BFSI sector leverages NaaS to securely transmit sensitive financial data between branches, ATMs, and data centers. NaaS solutions offer robust security features, including encryption and secure access controls, ensuring compliance with regulatory standards and protecting against cyber threats. This enhances transaction integrity and builds customer trust in financial services.

  • "Government:"Government agencies implement NaaS to connect various departments and public service platforms, facilitating efficient data exchange and citizen services. NaaS provides scalable bandwidth and secure connections, supporting e-governance initiatives, disaster recovery plans, and inter-agency collaborations, thereby improving public service delivery and operational transparency.

  • "Healthcare:"In healthcare, NaaS connects electronic health record (EHR) systems, medical devices, and telemedicine platforms, ensuring secure and reliable data transmission. This supports telehealth services, real-time patient monitoring, and data analytics for improved patient outcomes, while adhering to healthcare regulations like HIPAA for data privacy and security.

  • "Transport and Logistics:"Transport and logistics companies utilize NaaS to track shipments, manage fleet operations, and coordinate supply chain activities across regions. NaaS enables real-time data sharing, route optimization, and responsive customer service, enhancing operational efficiency and responsiveness to market demands.

  • "Retail:"Retailers adopt NaaS to connect point-of-sale systems, inventory management, and e-commerce platforms, ensuring consistent and secure transactions across channels. This integration enhances customer experience, supports omnichannel strategies, and provides insights into consumer behavior for targeted marketing efforts.

  • "Others:"Various other sectors, including education, energy, and media, are adopting NaaS to meet their unique networking needs. NaaS solutions offer these industries scalable, secure, and cost-effective network infrastructures, supporting diverse applications such as online learning platforms, smart grids, and content delivery networks.

report_world_map

REGIONAL INSIGHTS

The adoption and growth of NaaS vary across regions, influenced by technological infrastructure, market maturity, and regional demands.

North America

North America, particularly the United States, leads in NaaS adoption, driven by a robust IT infrastructure and a high concentration of technology companies. Major cloud service providers, including Amazon Web Services (AWS), have established extensive data center operations across the region, enhancing the availability and reliability of NaaS offerings. The presence of leading technology firms and a culture of innovation contribute to the rapid integration of NaaS solutions in various sectors. citeturn0search22

Europe

Europe exhibits significant growth in NaaS adoption, with countries like Germany, the United Kingdom, and France leading in technological advancements. The European Union's emphasis on data protection regulations, such as the General Data Protection Regulation (GDPR), has heightened the demand for secure and compliant network solutions. NaaS providers in Europe focus on offering services that adhere to stringent regulatory standards, catering to sectors like finance, healthcare, and government.

Asia-Pacific

The Asia-Pacific region is experiencing rapid digital transformation, with countries like China, India, Japan, and South Korea investing heavily in cloud technologies. The proliferation of mobile devices, the rise of e-commerce, and government initiatives to promote smart cities contribute to the increasing demand for NaaS solutions. However, challenges such as varying regulatory environments and infrastructure disparities exist, requiring tailored approaches by NaaS providers to address diverse market needs.

Middle East & Africa

The Middle East and Africa are emerging markets for NaaS, with countries like the United Arab Emirates, South Africa, and Nigeria showing interest in cloud-based network solutions. Investments in smart infrastructure, urban development, and digital services are driving the adoption of NaaS. However, factors such as political instability, economic variability, and infrastructural challenges may impact the consistent growth of NaaS in these regions, necessitating strategic planning by service providers.

LIST OF KEY NETWORK-AS-A-SERVICE (NAAS) MARKET COMPANIES PROFILED

  • Cisco Systems
  • Juniper Networks
  • IBM Corp
  • NEC Corp
  • VMware
  • Aryaka Networks
  • Alcatel Lucent
  • Brocade Communications Systems
  • AT&T
  • Ciena Corporation
  • Aerohive Networks, Inc.
  • Akamai Technologies, Inc.
  • Amazon Web Services, Inc.
  • Broadcom Ltd.
  • Century Link, Inc.
  • Citrix Systems, Inc.
  • CloudGenix Inc.
  • Cradlepoint, Inc.
  • Extreme Networks Inc.
  • Rackspace Holdings Inc.
  • Silver Peak Systems, Inc.
  • Talari Networks Inc. (Oracle)
  • Verizon Communications Inc.

Top 2 Companies with Highest Share:

  1. Cisco Systems: Cisco is one of the largest players in the NaaS market, holding a significant share due to its extensive portfolio of network solutions and strong presence across various industries.

  2. Amazon Web Services (AWS): AWS holds a major share in the market as it provides cloud-based network services, enabling businesses to scale their network infrastructure and utilize flexible NaaS solutions with strong security features.

INVESTMENT ANALYSIS AND OPPORTUNITIES

The NaaS market is witnessing increased investments, with businesses focusing on enhancing network flexibility, security, and scalability. Major players are channeling resources into research and development to advance their NaaS offerings, driven by the rising demand for cloud-based networking solutions. For instance, Cisco and AWS are at the forefront of this investment trend, continuously expanding their NaaS service portfolios. Companies are also making strategic acquisitions to build their capabilities in the growing SD-WAN and SASE sectors, providing them with a competitive edge in the rapidly evolving market. Additionally, with enterprises seeking solutions that support remote work, the increasing demand for secure, high-performance connectivity in various industries such as healthcare, BFSI, and telecommunications presents substantial investment opportunities. Furthermore, the adoption of IoT, 5G, and AI-driven technologies is expected to create further opportunities for NaaS providers to innovate and cater to specific market needs, including low-latency connectivity, real-time data analysis, and machine learning-enabled network management. As a result, NaaS companies are expected to experience continued growth, attracting capital from venture funds and investors keen on tapping into this lucrative market.

NEW PRODUCTS DEVELOPMENT

New product development within the NaaS market is accelerating, with companies introducing innovative solutions that cater to the evolving needs of modern enterprises. In 2023 and 2024, several NaaS providers unveiled advanced products designed to enhance network management, security, and scalability. Cisco, for example, introduced an upgraded SD-WAN solution that integrates with its NaaS offerings, enabling businesses to leverage cloud-based networks for greater flexibility and performance. VMware also launched a new version of its VMware SD-WAN solution, which offers enhanced capabilities for secure and optimized cloud network performance. Additionally, companies like Aryaka Networks have developed hybrid cloud-based WAN solutions, which offer seamless connectivity between on-premises infrastructure and the cloud, ensuring uninterrupted service. With the increasing importance of security, several NaaS providers have introduced integrated SASE solutions that combine network security and wide-area networking functionalities into a single service. These innovations highlight the growing emphasis on providing businesses with reliable, high-performance, and secure network infrastructure that can easily scale to meet changing demands.

RECENT DEVELOPMENTS

  • Cisco launched an enhanced SD-WAN platform in 2023, which combines automation and AI for better network performance, real-time analytics, and increased security across distributed locations.

  • AWS introduced new NaaS services that improve network security and management with native integration to AWS cloud offerings, optimizing end-to-end connectivity for enterprises.

  • Aryaka Networks in 2024 unveiled a new global SD-WAN service, expanding its NaaS offering with better support for cloud-first businesses, providing optimized connectivity for SaaS applications.

  • VMware introduced advanced NaaS tools that integrate cloud-native and SD-WAN technologies, enabling enterprises to manage their networks efficiently and securely across hybrid cloud environments.

  • Verizon in 2024 launched a comprehensive NaaS solution, incorporating edge computing and AI to help businesses better manage their wide-area networks, delivering more reliable and scalable connectivity.

REPORT COVERAGE

This report covers an in-depth analysis of the NaaS market, detailing the various market segments, regional outlook, key players, and emerging trends. It provides insights into the growth drivers, challenges, and opportunities that are shaping the future of the NaaS market. The report includes detailed market segmentation, covering both types (LAN-as-a-Service and WAN-as-a-Service) and key application areas such as IT and telecommunications, healthcare, banking, retail, and more. Furthermore, it highlights the regional analysis, offering a clear understanding of market trends and growth potential in North America, Europe, Asia-Pacific, and other regions. The report also covers the competitive landscape, profiling key players such as Cisco Systems, AWS, and VMware, with a focus on recent product developments and strategic investments. By offering a comprehensive market overview, this report serves as an essential tool for businesses, investors, and industry leaders looking to navigate the dynamic and rapidly evolving NaaS market.

Network-as-a-Service (NaaS) Market Report Detail Scope and Segmentation
Report Coverage Report Details

By Applications Covered

Information Technology (IT) and Telecommunication, Manufacturing, Banking, Financial Services, and Insurance (BFSI), Government, Healthcare, Transport and Logistics, Retail, Others

By Type Covered

LAN-as-a-Service (LANaaS), WAN-as-a-Service (WANaaS)

No. of Pages Covered

129

Forecast Period Covered

2025 to 2033

Growth Rate Covered

CAGR of 37.6% during the forecast period

Value Projection Covered

USD 215558.4 Million by 2033

Historical Data Available for

2020 to 2023

Region Covered

North America, Europe, Asia-Pacific, South America, Middle East, Africa

Countries Covered

U.S. ,Canada, Germany,U.K.,France, Japan , China , India, South Africa , Brazil

Frequently Asked Questions

  • What value is the Network-as-a-Service (NaaS) market expected to touch by 2033?

    The global Network-as-a-Service (NaaS) market is expected to reach USD 215558.4 Million by 2033.

  • What CAGR is the Network-as-a-Service (NaaS) market expected to exhibit by 2033?

    The Network-as-a-Service (NaaS) market is expected to exhibit a 37.6% by 2033.

  • Which are the key players or most dominating companies functioning in the Network-as-a-Service (NaaS) Market?

    Cisco Systems, Juniper Networks, IBM Corp, NEC Corp, Vmware, Aryaka Networks, Alcatel Lucent, Brocade Communications Systems, AT&T, Ciena Corporation, Aerohive Networks, Inc., Akamai Technologies, Inc., Amazon Web Services, Inc., Broadcom Ltd., Century Link, Inc., Citrix Systems, Inc., CloudGenix Inc., Cradlepoint, Inc., Extreme Networks Inc., Rackspace Holdings Inc., Silver Peak Systems, Inc., Talari Networks Inc.(Oracle), Verizon Communications Inc.

  • What was the value of the Network-as-a-Service (NaaS) market in 2024?

    In 2024, the Network-as-a-Service (NaaS) market value stood at USD 8848 million.

What is included in this Sample?

  • * Market Segmentation
  • * Key Findings
  • * Research Scope
  • * Table of Content
  • * Report Structure
  • * Report Methodology

Download FREE Sample Report

man icon
Mail icon
Captcha refresh
loader
Insights Image

Request A FREE Sample PDF PDF

Man
Mail
Captcha refresh
loader

Join Our Newsletter

Get the latest news on our products, services, discounts, and special offers delivered directly to your mailbox.

footer logo

Global Growth Insights
Office No.- B, 2nd Floor, Icon Tower, Baner-Mhalunge Road, Baner, Pune 411045, Maharashtra, India.

Useful Links

  • HOME
  • ABOUT US
  • TERMS OF SERVICE
  • PRIVACY POLICY

Our Contacts

Toll-Free Numbers:
US : +1 (855) 467-7775
UK : +44 8085 022397

Email:
 sales@globalgrowthinsights.com

Connect With Us

Twitter

footer logo

© Copyright 2025 Global Growth Insights. All Rights Reserved | Powered by Absolute Reports.
×
We use cookies.

to enhance your experience.

More info.