Networking Equipment Market Size, Share, Growth, and Industry Analysis, By Types (Networking Equipment Power Supply (Adapter) of 1~10W, Networking Equipment Power Supply (Adapter) of 11~20W, Networking Equipment Power Supply (Adapter) of 21~50W, Networking Equipment Power Supply (Adapter) of 50~100W), By Applications (Switches, Routers, WLAN, ADSL, Modem, Hubs, Set-Top Boxes, Others) , and Regional Insights and Forecast to 2035

Networking Equipment Market Size

The Global Networking Equipment Market size reached USD 120.26 billion in 2025 and is projected to rise to USD 125.55 billion in 2026, followed by USD 131.07 billion in 2027, ultimately reaching USD 184.98 billion by 2035. The market is expanding at a steady 4.4% during the forecast period, supported by rising enterprise digitalization. More than 62% of organizations increased network upgrade spending, while 58% accelerated cloud-driven infrastructure adoption and 54% enhanced wireless networking capabilities, reinforcing consistent market momentum.

The US Networking Equipment Market continues to strengthen as nearly 68% of enterprises integrate high-performance switches and routers to manage expanding data volumes. Around 63% of telecom providers enhance backbone capacity, while 57% of businesses accelerate investment in network security layers. Additionally, 52% of organizations increase deployment of wireless systems, contributing to sustained nationwide growth and supporting broader adoption of cloud-ready networking ecosystems.

Key Findings

• Market Size: Market reached USD 120.26 billion in 2025, USD 125.55 billion in 2026, rising to USD 184.98 billion by 2035 at 4.4%.
• Growth Drivers: Supported by 62% network modernization, 59% wireless expansion, and 54% enterprise security upgrades driving market adoption.
• Trends: Influenced by 67% cloud integration, 58% Wi-Fi 6 growth, and 52% SDN deployment across global networking environments.
• Key Players: Cisco, Juniper, HP, TP-Link, Netgear & more.
• Regional Insights: Asia-Pacific 33%, North America 32%, Europe 27%, Middle East & Africa 8%, driven by varied digital acceleration and infrastructure maturity.
• Challenges: Integration issues affect 47% of users, while 44% face security vulnerabilities and 41% encounter multi-vendor compatibility limitations.
• Industry Impact: Over 63% improved network performance, 58% reduced downtime, and 52% boosted operational efficiency through modern upgrades.
• Recent Developments: 48% product modernization, 45% wireless upgrades, and 39% automation enhancements shaping next-gen equipment advancements.

The Networking Equipment Market continues evolving through rising digital transformation, growing wireless adoption, and expanding enterprise automation needs. Nearly 61% of global organizations enhance routing and switching systems, while 57% prioritize security-focused upgrades to protect expanding digital ecosystems. Roughly 53% of IT infrastructures now rely on hybrid networking models that merge cloud and on-premise capabilities. Increasing demand for mobility, bandwidth efficiency, and intelligent network orchestration further strengthens the market’s competitive landscape and accelerates innovation.

Networking Equipment Market Trends

The networking equipment market is undergoing strong structural shifts driven by rapid digital adoption, rising cloud connectivity, and expanding enterprise networking loads. More than 62% of enterprises globally are increasing their network infrastructure upgrades as cloud traffic accelerates. Demand for advanced switches is rising sharply, with nearly 54% of organizations prioritizing next-generation switching solutions to improve data throughput and operational continuity. Firewall and security appliances are also gaining traction, as over 67% of IT teams report stronger network protection needs due to increased cyber vulnerabilities. Software-defined networking continues to reshape deployment models, with SDN-enabled tools expanding by around 48% across enterprise networks. Wireless networking sees strong growth momentum, where Wi-Fi 6 and Wi-Fi 6E adoption already surpasses 58% integration in high-density environments. Similarly, 5G-driven networking tools are widening, as nearly 52% of telecom providers expand 5G-ready network hardware to strengthen backbone infrastructure. Data center upgrades fuel switch and router usage, with more than 61% of global data centers implementing next-gen load management. These trends collectively point toward a diversified and increasingly interconnected networking ecosystem, pushing enterprises toward faster, more secure, and higher-capacity networking equipment.

Networking Equipment Market Dynamics

OPPORTUNITY

Expanding High-Bandwidth Network Adoption

High-bandwidth networking adoption is creating significant opportunities, with nearly 69% of enterprises prioritizing upgrades to support rising data volumes. Over 58% of organizations are accelerating deployments of advanced switches and routers to handle workload surges. Around 63% of IT teams are integrating scalable networking solutions to enhance traffic management capabilities. Additionally, edge computing demand is increasing, with approximately 52% of businesses deploying edge-driven networking tools to reduce latency and improve real-time performance across distributed environments.

DRIVERS

Rising Need for Secure Network Infrastructure

Security-focused networking demand continues to escalate, with more than 72% of enterprises expanding secure access and firewall layers. Nearly 64% of organizations report increased integration of threat monitoring tools due to growing endpoint connections. IoT ecosystems also influence network transformation, as around 59% of connected devices require advanced routing and segmentation frameworks. Additionally, 66% of network administrators prioritize unified protection systems to safeguard expanding digital operations across multi-location networks.

RESTRAINTS

"Complexity in Multi-Vendor Network Integration"

Integration challenges persist as approximately 53% of enterprises struggle with compatibility issues across multi-vendor equipment. Around 47% experience delays due to configuration complexity, while nearly 44% report rising labor requirements for network alignment. More than 41% of organizations face limitations in achieving seamless interoperability during large-scale deployment stages. Additionally, 49% of network teams cite technical uncertainty when consolidating legacy and next-gen hardware, restricting rapid transformation initiatives across diverse operational environments.

CHALLENGE

"Infrastructure Scalability and Rising Operational Costs"

Scalability and cost pressures pose major challenges, with nearly 58% of businesses reporting increased expenditure in network expansion and maintenance. Around 49% of IT leaders face difficulties scaling their network architecture to meet high-traffic demands without exceeding operational limits. Approximately 46% struggle with managing performance across complex hybrid and remote environments. Additional strain arises from distributed workloads, as more than 52% highlight challenges in optimizing network performance across growing digital ecosystems and geographically dispersed facilities.

Segmentation Analysis

The global Networking Equipment Market, valued at USD 120.26 Billion in 2025 and projected to reach USD 184.98 Billion by 2035, is expanding across both type and application segments. Demand patterns vary significantly, with power supply categories and networking functions driving differentiated adoption levels. Each segment contributes uniquely to overall market growth, supported by rising digitalization, network traffic expansion, and enterprise-level modernization. Distinct variations in performance, efficiency, and output capacity influence the deployment of specific types, while applications such as switches, routers, WLAN systems, and set-top boxes shape consumption trends across diverse industries. The following segmentation analysis details market distribution, share patterns, and segment-specific growth drivers based on the interconnected global networking ecosystem.

By Type

Networking Equipment Power Supply (Adapter) of 1-10W

Adapters in the 1~10W category maintain strong relevance in low-power networking devices, driven by rising adoption across compact home networking products. Around 42% of small-scale residential networking tools rely on this wattage segment due to its energy efficiency. Nearly 38% of IoT-compatible communication nodes operate within this power bracket, supporting lightweight connectivity tasks. Approximately 36% of cost-sensitive deployments favor this range for its reliability and lower thermal output.

This type generated a market size included within the overall USD 120.26 Billion in 2025, accounting for an estimated 21% share of the total market. It is projected to grow at a CAGR of 4.4% during the forecast period, supported by rising smart home device integration and expansion of energy-efficient networking peripherals.

Networking Equipment Power Supply (Adapter) of 11-20W

The 11~20W adapter category sees wider adoption in mid-range networking components where higher throughput and extended uptime are critical. Approximately 48% of medium-capacity networking devices rely on this wattage due to its balanced power profile. Nearly 45% of SME-oriented routers and access points specify this range for stability, while around 41% of enterprise-grade peripheral tools utilize these adapters for enhanced energy distribution.

This type contributed a significant share within the global USD 120.26 Billion market in 2025, holding roughly 24% of total market distribution. The segment continues to expand at a CAGR of 4.4%, fueled by mid-tier enterprise digitization and rising deployment of smart communication systems.

Networking Equipment Power Supply (Adapter) of 21-50W

Adapters in the 21~50W range serve high-performance networking devices that demand stable voltage delivery. Approximately 52% of enterprise-class network switches and routers fall into this wattage requirement. Nearly 49% of data-intensive networking tools rely on this segment to support increased processing loads, while around 46% of commercial-grade wireless solutions integrate this range to maintain consistent power flow.

This type represented nearly 31% share of the USD 120.26 Billion market in 2025 and exhibits a CAGR of 4.4%. Growth is driven by data center modernization and increased rollout of bandwidth-hungry communication infrastructure.

Networking Equipment Power Supply (Adapter) of 50-100W

The 50~100W category powers advanced networking systems including enterprise routers, industrial networking hubs, and high-tier access points. Approximately 57% of performance-intensive networking deployments require this wattage bracket. Nearly 54% of heavy-load communication infrastructure components rely on the stability offered by this output range. Around 51% of large-scale commercial users prefer this category for enhanced operational continuity.

This type held an estimated 24% portion of the USD 120.26 Billion global market in 2025 and is set to expand at a CAGR of 4.4%. Growth stems from industrial networking automation and rising adoption of high-density data transmission systems.

By Application

Switches

Switches dominate high-volume enterprise and data center networks, supported by approximately 62% expansion in multi-gigabit switching adoption. Nearly 58% of cloud-intensive operations rely on advanced switch frameworks, while around 55% of corporate networks upgrade switching systems to enhance traffic load balancing. Demand intensifies as businesses move toward virtualized and software-defined switching environments.

Switches represented a substantial share of the USD 120.26 Billion market in 2025, accounting for nearly 27% of total value, and are forecast to grow at a CAGR of 4.4% due to escalating high-bandwidth requirements.

Routers

Routers continue to expand across enterprise and residential ecosystems, with 61% of high-traffic networks depending on advanced routing capabilities. Around 56% of hybrid and remote working setups require improved routing systems, while approximately 53% of backbone networks integrate intelligent routing features for enhanced speed and reliability.

Routers accounted for nearly 22% of the market in 2025 within the total USD 120.26 Billion valuation, experiencing a CAGR of 4.4% fueled by remote work expansion and IoT proliferation.

WLAN

WLAN solutions observe rising adoption as nearly 67% of enterprise networks shift to wireless-first strategies. Around 59% of high-density facilities deploy next-gen WLAN systems for better mobility, while approximately 54% of commercial infrastructures integrate wireless access points to support flexible operational activities.

WLAN held a 19% share of the USD 120.26 Billion market in 2025, advancing at a CAGR of 4.4% driven by smart office transformations.

ADSL

ADSL continues to serve legacy broadband users, with nearly 34% of small-scale networks maintaining ADSL-based systems for cost efficiency. Around 29% of long-term residential networks still depend on this technology, while approximately 27% of rural internet connections use ADSL for stable connectivity.

ADSL accounted for around 8% of the market in 2025, maintaining modest growth at a CAGR of 4.4%.

Modem

Modems remain essential across multiple connectivity platforms, with nearly 46% of households dependent on modem-enabled broadband. Approximately 39% of SMEs utilize modems for reliable internet access, while around 36% of legacy installations rely on modem-based infrastructure.

Modems held nearly 10% market share in 2025 and are projected to expand at a CAGR of 4.4%.

Hubs

Hubs maintain a smaller but functional segment, utilized in nearly 22% of low-complexity networking environments. Around 18% of small offices and compact digital deployments rely on hubs for basic signal distribution, while approximately 16% of non-critical devices integrate this infrastructure.

Hubs contributed about 5% of the market in 2025, continuing steady growth at a CAGR of 4.4%.

Set-Top Boxes

Set-top boxes remain widely used in media distribution, with around 49% penetration across consumer entertainment networks. Nearly 45% of TV-based internet systems depend on STBs, while approximately 42% of smart home entertainment ecosystems integrate advanced networking-enabled STBs.

This segment represented 7% of the 2025 market and grows at a CAGR of 4.4%.

Others

The Others segment includes specialized networking devices supporting niche applications, with around 33% adoption in industrial networks. Nearly 29% of customized enterprise systems use these components, while approximately 26% of hybrid frameworks rely on specialized tools for enhanced network orchestration.

This segment held nearly 6% market share in 2025 and expands at a CAGR of 4.4%.

Networking Equipment Market Regional Outlook

The global Networking Equipment Market, valued at USD 120.26 Billion in 2025 and expected to reach USD 184.98 Billion by 2035, displays strong regional disparities driven by digital infrastructure maturity, enterprise IT adoption, and telecom modernization. North America, Europe, Asia-Pacific, and Middle East & Africa collectively shape the global landscape through distinct technological priorities. Market expansion is primarily fueled by cloud integration, wireless network upgrades, fiber deployment, and rapid data traffic escalation. Regional consumption patterns also reflect varying levels of enterprise growth, smart city adoption, and digitization agendas. The market shares are distributed as follows: North America 32%, Europe 27%, Asia-Pacific 33%, and Middle East & Africa 8%, cumulatively accounting for 100% of the global market distribution.

North America

North America demonstrates strong momentum in networking equipment adoption due to high penetration of enterprise digital transformation. Nearly 68% of large-scale organizations in the region continue upgrading switches and routers to handle expanding cloud workloads. Around 61% of telecom providers increase investment in network backbone enhancement, while 57% of enterprises adopt security-centric routing infrastructure to support remote work environments. Additionally, 52% of data-driven industries accelerate WLAN deployments to strengthen device mobility and operational agility.

North America held a 32% share of the USD 120.26 Billion market in 2025. The region is projected to expand steadily toward 2035, driven by cloud modernization, cybersecurity upgrades, and widespread fiber and 5G infrastructure strengthening.

Europe

Europe shows balanced growth supported by strong advancements in digital infrastructure and industrial automation. Nearly 63% of enterprises across the region invest in network efficiency upgrades, while around 58% increase usage of high-bandwidth switching systems. Approximately 54% of organizations deploy enhanced WLAN solutions to improve mobility in commercial spaces. Additionally, 49% of European telecom operators intensify 5G network expansion, resulting in rising demand for scalable routing equipment.

Europe accounted for 27% of the USD 120.26 Billion market in 2025, supported by cloud infrastructure adoption and accelerating IT standardization across multiple industries.

Asia-Pacific

Asia-Pacific emerges as the fastest-expanding region in networking equipment consumption, driven by rapid digitalization and large-scale infrastructure upgrades. Nearly 72% of enterprises in the region expand their network capacity to handle increased data volumes. Around 66% of telecom operators deploy advanced routing and switching systems to support high-density populations. Approximately 59% of commercial environments enhance WLAN ecosystems to improve productivity. Rising demand from manufacturing, BFSI, and IT services accelerates adoption of high-performance networking components.

Asia-Pacific held a 33% market share in 2025, the highest among all regions, supported by strong economic growth and escalating internet penetration.

Middle East & Africa

Middle East & Africa is experiencing steady growth as governments and enterprises increase investment in digital infrastructure. Around 48% of organizations enhance their networking systems to support modernization initiatives. Nearly 44% of telecom operators deploy advanced broadband and wireless solutions, while 39% of enterprises adopt higher-capacity switches and routers to manage rising data consumption. Expanding smart city projects and public-sector digitalization continue boosting demand for reliable networking equipment.

Middle East & Africa accounted for 8% of the USD 120.26 Billion market in 2025, driven by infrastructure expansion across urban and semi-urban regions.

List of Key Networking Equipment Market Companies Profiled

Investment Analysis and Opportunities in Networking Equipment Market

Investments in networking equipment continue accelerating as nearly 67% of enterprises upgrade their infrastructure to support cloud-driven workloads and high-volume data transfers. Around 59% of telecom operators allocate increased budgets toward scalable routing and switching systems to enhance network performance. Approximately 54% of businesses invest in Wi-Fi 6 and wireless-first ecosystems for improved mobility. Additionally, 48% of organizations focus on security-driven network upgrades due to rising cyber risks. These investment opportunities expand as edge computing adoption grows across 52% of industrial and commercial environments, strengthening the overall demand landscape.

New Products Development

New product development in the networking equipment market intensifies as nearly 63% of manufacturers focus on advanced software-defined solutions to improve automation and network intelligence. Around 58% continue introducing Wi-Fi 6E and next-generation wireless devices to enhance high-density performance. Approximately 53% of producers integrate stronger security layers into new hardware releases to counter evolving threats. About 49% develop energy-efficient components as sustainability-driven demand rises. Additionally, 47% prioritize cloud-managed networking tools to support remote operations and hybrid connectivity environments.

Developments

• Cisco software-driven architecture expansion: Cisco introduced enhanced SDN capabilities that increased automation efficiency by 41% across enterprise networks, improving real-time monitoring and reducing network downtime in complex deployments.
• Juniper AI-enabled routing updates: Juniper launched upgraded AI-powered routing functionalities that boosted packet optimization accuracy by 37%, enabling better performance across high-load telecom networks.
• TP-Link Wi-Fi 6E product rollout: TP-Link expanded its Wi-Fi 6E lineup, offering devices with up to 52% improved multi-device handling capacity, supporting higher throughput in smart homes and enterprise environments.
• Netgear mesh networking enhancement: Netgear introduced new mesh systems with approximately 46% stronger signal propagation, improving indoor wireless coverage and overall connection stability.
• NEC next-gen optical networking upgrade: NEC launched upgraded optical transmission solutions with around 39% higher bandwidth efficiency, supporting large-scale data center interconnections.

Report Coverage

The Networking Equipment Market report provides a comprehensive evaluation of market dynamics, emerging trends, and competitive landscape across global regions. It includes extensive segmentation analysis, highlighting how over 62% of enterprises actively pursue network modernization, while 58% invest in advanced wireless connectivity solutions. The report also examines supply chain positioning and vendor strategies shaping market growth. A detailed SWOT analysis indicates strong advantages, such as 68% adoption of high-performance switches reflecting market strength, while complexity in multi-vendor integration affects 47% of organizations, marking a key weakness. Opportunities arise as nearly 52% of industries expand edge computing deployments, while threats intensify with 44% of networks exposed to rising cybersecurity vulnerabilities. The coverage also explores regional contributions, with Asia-Pacific representing 33% of global consumption, followed by North America at 32%. Europe accounts for 27% and Middle East & Africa contributes 8%. Overall, the report offers insights into technological advancements, product innovation trends, demand patterns, and strategic actions by global manufacturers, helping stakeholders navigate shifting market landscapes and capitalize on emerging growth avenues.