Network And Software Infrastructure Market Report 2026

Network And Software Infrastructure Market Overview

• Network And Software Infrastructure market size has reached to $15.04 billion in 2025 • Expected to grow to $16.24 billion in 2030 at a compound annual growth rate (CAGR) of 8.2% • Growth Driver: Increasing Mobile Data Traffic Fueling The Growth Of The Market Due To Rising Demand For Scalable Connectivity, Efficient Data Routing, And High-speed Network Performance • Market Trend: AI-Driven Edge Computing Platforms Transform Network And Software Infrastructure • North America was the largest region in 2025 and Asia-Pacific is the fastest growing region.

What Is Covered Under Network And Software Infrastructure Market?

Network and software infrastructure is a set of integrated hardware, software, and network solutions designed to support connectivity, data management, application deployment, and communication within smart city environments. It enables efficient information exchange, real-time monitoring, analytics, and automation across urban IoT devices and ICT systems, enhancing operational efficiency, resource management, and citizen services. The main components of network and software infrastructure include hardware and networking equipment, software and platforms, and services. Hardware and networking equipment refer to routers, switches, servers, gateways, and related devices used to enable connectivity and network operations. The deployment modes include on premises, cloud based, and hybrid. The infrastructure types include core network infrastructure, edge computing infrastructure, cloud infrastructure, internet of things infrastructure, and software defined networking infrastructure. The key applications include data management and storage, connectivity and communication, application deployment, real time monitoring and analytics, and automation and orchestration. They are used by end users such as telecommunications service providers, information technology and software companies, enterprises, smart city administrations, and government and public sector.

What Is The Network And Software Infrastructure Market Growth Forecast?

The network and software infrastructure market size is expected to see strong growth in the next few years. It will grow to $22.28 billion by 2030 at a compound annual growth rate (CAGR) of 8.2%. The growth in the forecast period can be attributed to 5g standalone and future 6g adoption in cities, edge computing proliferation across urban infrastructure, autonomous mobility integration requirements, real time city analytics and automation demand, cyber resilience and secure infrastructure modernization. Major trends in the forecast period include edge-native distributed computing architectures for urban infrastructure, software defined networking enabled city scale traffic orchestration, interoperable urban data exchange platforms for multi-agency coordination, zero trust network architecture adoption for smart city systems, hybrid cloud edge integration for real time municipal service delivery.

Global Network And Software Infrastructure Market Segmentation

1) By Component: Hardware And Networking Equipment, Software And Platforms, Services 2) By Deployment Mode: On Premises, Cloud Based, Hybrid 3) By Infrastructure Type: Core Network Infrastructure, Edge Computing Infrastructure, Cloud Infrastructure, Internet Of Things Infrastructure, Software Defined Networking Infrastructure 4) By Application: Data Management And Storage, Connectivity And Communication, Application Deployment, Real Time Monitoring And Analytics, Automation And Orchestration 5) By End User: Telecommunications Service Providers, Information Technology And Software Companies, Enterprises, Smart City Administrations, Government And Public Sector Subsegments: 1) By Hardware And Networking Equipment: Servers And Storage Equipment, Switching And Routing Equipment, Network Security Appliances, Data Center Networking Equipment, Optical Networking Equipment, Wireless Networking Equipment 2) By Software And Platforms: Network Operating Systems, Virtualization Platforms, Network Management Software, Cloud Infrastructure Platforms, Software Defined Networking Platforms, Network Security Software 3) By Services: Network Integration Services, Infrastructure Deployment Services, Managed Network Services, Consulting Services, Support And Maintenance Services, Cloud Infrastructure Services

What Is The Driver Of The Network And Software Infrastructure Market?

The increasing mobile data traffic is expected to propel the growth of the network and software infrastructure market going forward. Mobile data traffic refers to the volume of data transmitted and received over mobile networks through wireless communication services such as internet browsing, streaming, and app usage on mobile devices. The increase in mobile data traffic is primarily driven by the widespread adoption of high-bandwidth applications such as video streaming and cloud-based services, which significantly increase data consumption on mobile networks. Network and software infrastructure are used to manage growing mobile data traffic by optimizing connectivity, scaling capacity, routing data efficiently, and maintaining reliable high-speed network performance. For instance, in November 2025, according to Ericsson AB, a Sweden-based telecommunications and networking technology company, the proportion of mobile data traffic carried over 5G networks is projected to increase from 34% at the end of 2024 to 43% by the end of 2025 and further expand to 83% by 2031, reflecting accelerating 5G adoption and network migration globally. Therefore, increasing mobile data traffic is driving the growth of the network and software infrastructure industry.

Key Players In The Global Network And Software Infrastructure Market

Major companies operating in the network and software infrastructure market are Amazon.com Inc., Google LLC, Microsoft Corporation, Huawei Technologies Co. Ltd., Siemens AG, International Business Machines Corporation, Cisco Systems Inc., Telefónica S.A., Schneider Electric SE, Honeywell International Inc., Telefonaktiebolaget LM Ericsson, Nokia Corporation, Fujitsu Limited, NEC Corporation, ZTE Corporation, Equinix Inc., Arista Networks Inc., Fortinet Inc., Ciena Corporation, Extreme Networks Inc., Lantronix Inc., Sasken Technologies Limited, Actelis Networks Inc.

Global Network And Software Infrastructure Market Trends and Insights

Major companies operating in the network and software infrastructure market are focusing on developing technological advancements such as AI-driven edge computing and distributed infrastructure platforms to enhance real-time data processing, reduce latency, and enable intelligent workload management across enterprise environments. AI-driven edge computing and distributed infrastructure platforms refer to systems that use artificial intelligence to manage, process, and analyze data across decentralized edge devices and distributed networks closer to the data source for faster, efficient, and real-time operations. For instance, in November 2025, Cisco Systems, a US-based networking hardware, cybersecurity, and enterprise software infrastructure company, launched the Cisco Unified Edge. This platform enables enterprises to run AI workloads locally at the edge in environments such as factories, retail stores, and healthcare facilities, reducing dependency on centralized data centers and improving real-time decision-making capabilities. It enhances network efficiency by processing data closer to its source, supports AI-driven applications with lower latency, and strengthens distributed software infrastructure for modern enterprise operations.

What Are Latest Mergers And Acquisitions In The Network And Software Infrastructure Market?

In March 2024, Cisco Systems, a US-based networking hardware, cybersecurity, and enterprise software infrastructure company, acquired Splunk Inc. for approximately $28 billion. With this acquisition, Cisco Systems aims to integrate Splunk’s data analytics, observability, and security capabilities with its networking and cybersecurity portfolio to create a unified, AI-driven digital infrastructure platform that enhances visibility, threat detection, and operational resilience across enterprise IT environments. Splunk Inc. is a US-based software company that provides a network and software infrastructure solution via a data analytics and observability platform.

Regional Insights

North America was the largest region in the network and software infrastructure market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in this market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in this market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

What Defines the Network And Software Infrastructure Market?

The network and software infrastructure (NSI) market consists of revenues earned by entities by providing services such as network design and management, system integration, software development, installation and setup, maintenance and support, cloud and edge computing deployment, and cybersecurity management. The market value includes the value of related goods sold by the service provider or included within the service offering. The network and software infrastructure (NSI) market also includes sales of servers and storage equipment, switching and routing equipment, network security appliances, and data center networking equipment. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

How is Market Value Defined and Measured?

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified). The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

What Key Data and Analysis Are Included in the Network And Software Infrastructure Market Report 2026?

The network and software infrastructure market research report is one of a series of new reports from The Business Research Company that provides market statistics, including industry global market size, regional shares, competitors with the market share, detailed market segments, market trends and opportunities, and any further data you may need to thrive in the network and software infrastructure industry. The market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future state of the industry.