Global Virtual Customer Premises Equipment (vCPE) Market Report 2022: Market is Expected to Grow at a Staggering CAGR of 40.2%, Growing from $2.8 Billion in 2022 to $15.3 Billion by 2027

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Global Virtual Customer Premises Equipment Market

Global Virtual Customer Premises Equipment Market
Global Virtual Customer Premises Equipment Market

Dublin, Oct. 03, 2022 (GLOBE NEWSWIRE) -- The "Virtual Customer Premises Equipment (vCPE) Market by Component, Solutions/Tools (Virtual Switches, Virtual Routers), Service, Deployment Mode, Organization Size, Application (Data Center and Enterprises) and Region - Global Forecast to 2027" report has been added to ResearchAndMarkets.com's offering.

The global virtual customer premises equipment Market size is expected to grow USD 2.8 billion in 2022 to USD 15.3 billion by 2027, at a Compound Annual Growth Rate (CAGR) of 40.2% during the forecast period.

By Deployment mode, the on-premises segment to grow at the highest market share during the forecast period

On-premises deployment refers to the deployment and availability of the vCPE software on the premises of an organization. Customers demand on-premises deployment of vCPE solutions as it helps control and maintain systems on the network. Customers can implement certain restrictions and monitor the network while using the software.

The on-premises deployment also ensures one-time investments, installation is one-time costs, and customers can get complete ownership of the infrastructure with one-time investments. On-premises deployment of vCPE provides more functionality such as IPAM, NAT, Firewall, and QOS Policies are supported by vCPE VNFs at customer premises.

By Organization Size, the Large Enterprises segment to hold the larger market size during the forecast period

Organizations with more than 1,000 employees are considered large enterprises. The adoption of the vCPE software among large enterprises is expected to increase in the coming years. To manage infrastructure, applications, and data across traditional CPE and vCPE technologies, enterprises are implementing vCPE technologies.

They have a substantial network infrastructure that allows them to coordinate daily operations with offices in different regions. To reduce network downtime, vCPE offers a less expensive method of managing their entire network from a single location.

By Application, the data centers and telecom service providers segment is expected to grow at the highest market share during the forecast period

Data centers and telecom service providers are the most significant application areas in the V-CPE market. The amount of data generated in telecom companies are exceptionally large, which requires quality storage solutions and services. The telecom service providers segment includes service providers who transport digital information or transfer data electronically over mobile networks.

The segment includes all Telecom Service Providers (TSPs), MNOs, CSPs, ISPs, wireless broadband or fixed wireless providers, and MVNOs. These operators include players that provide carrier services/network services over the wireless network. Telecom operators are the prime buyers of vCPE solutions, covering approximately 65%-70% of the vCPE market.

Mobile operators face several challenges, such as updating the legacy systems to meet the current demands of end-users, intense competition, high CapEx and OpEx, and lower RoI. Hence, they seek scalable and cost-effective solutions.

This, in turn, is expected to be the main reason for the rapid adoption of vCPE solutions and services by telecom operators. With V-CPE solutions, telecom companies can easily transfer their business functions from one geographic location to another.

Also, they can use virtual CPE as a new way to deliver broadband services to business customers, along with most CPE functions such as routing, NAT, VPN, or firewall through a virtual environment. The breakup of the profiles of the primary participants is given below:

Premium Insights

  • Rising Technological Advancements to Drive Market Growth

  • On-Premises Segment to Account for Largest Share During Forecast Period

  • Solutions/Tools Segment and United States to Account for a Higher Market Share

  • Solutions/Tools and Rest of Asia-Pacific to Account for High Market Shares in 2022

  • India to Grow at Highest CAGR During Forecast Period

Market Dynamics

Drivers

  • Adoption of Network Virtualization Among Enterprises

  • Efficient Deployment of Managed Services

  • Simplified Data Transfer

Restraints

  • Security Concerns in Network Virtualization

  • Transition to Virtualized Infrastructure from Legacy Infrastructure

Opportunities

  • Reduction of Hardware Dependency

  • Value-Added Services

Challenges

  • Limited Knowledge and Shortage of Skilled Workforce

  • Monitoring Complex Multi-Technology Virtual Networks Across Infrastructures

Industry Trends

  • Value Chain

  • Virtual Customer Premises Equipment Value Chain

  • Ecosystem

  • Virtual Customer Premises Equipment Market: Ecosystem

  • Market: Ecosystem

Technology Analysis

  • Software-Defined Networking

  • Cloud Computing

  • Edge Computing

  • Network Function Virtualization

Use Cases

  • Case Study 1: Verizon Provides Wireless Router Solutions

  • Case Study 2: Virtualization of Customer Premises Equipment

Tariff and Regulatory Impact

  • Soc2

  • Digital Millennium Copyright Act

  • Anti-Cybersquatting Consumer Protection Act

Company Profiles

Key Players

  • Cisco

  • HPE

  • Juniper Networks

  • Broadcom

  • IBM

  • Arista Networks

  • Dell Corporation

  • Ericsson

  • Nec Corporation

  • Intel

  • Wind River

  • Rad Data Communication

  • Huawei Technologies

  • Verizon

  • Adva Optical Networking

  • Advantech

  • Spirent Communications

Start-Ups and SMEs

  • Versa Networks

  • Anuta Networks

  • Parallel Wireless

  • Altiostar

  • Noviflow Inc.

  • Cumucore

  • Nfware

  • Netelastic Systems

  • Voereir Ab

  • Brain4Net

For more information about this report visit https://www.researchandmarkets.com/r/s9bkxm

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