09 Dec 2019
Posted in Technology
China, Japan and India potential markets for networking vendors in APAC through 2023, says GlobalData
China, Japan and India are the potential markets for revenue opportunity in the Asia-Pacific (APAC) region for networking vendors through 2023, says GlobalData, a leading data and analytics company.
According to GlobalData’s Market Opportunity Forecasts Model, China along with Japan and India will account for nearly 72% of the overall networking revenue, whereas China alone will account for nearly 46% of the revenue opportunity in the region by 2023.
Sunil Kumar Verma, Lead ICT Analyst at GlobalData, comments: “Increase in the adoption of wireless networks, digitization initiatives supported by various governments for the deployment of telecom infrastructure and services will drive the overall network revenue opportunity in APAC to US$145bn in 2023.”
Enterprises continue to strengthen their network agility and service delivery capabilities with a view to offer converged service offerings, in addition to adopting cloud IT delivery model and facilitate the connected world ecosystem.
Verma continues: “Network spending in China is estimated to reach US$67bn by 2023, driven by commercial 5G launch across 50 cities in November 2019. IT sector development, increased mobile broadband consumption and growing mobile workforce will drive the Chinese network market growth during the forecast period.”
The 2020 summer Olympics in Tokyo will be one of the prime factors driving the overall network spending Japan at a CAGR of 7.1% to reach US$26bn in 2023.
The digital inclusion plan to bridge the urban-rural divide and nationwide broadband network deployment as a part of Digital India initiative by the Government of India will see the potential network revenue opportunity to grow at a CAGR of 7.6% during 2018-2023 to reach around US$11bn.
Sunil concludes: “Enterprises are more inclined towards partnering with regional/niche and innovative service providers with a view to deliver customized capabilities for their end-users. This will result in the evolution of business delivery models for both vendors as well as the enterprises and provide them with ample mutual opportunities to be leveraged in the existing market.”