How Big is the LAN Market?

It is difficult to pinpoint just how much new spending is directed towards cabled local area networks outside of the data center market these days. 

For smaller organizations Wi-Fi almost always is the default. Some estimate infrastructure sales to amount to about $9.4 billion, growing in excess of 17 percent annually.

The enterprise network infrastructure market represented about $52 billion in sales in 2020 and is growing at about seven percent according to Market Study Report. 

Cisco reported in 2019 that IDC projections for enterprise network equipment would reach $48 billion, including both wide area network and all forms of local area network equipment. 

source: Cisco 

 

Others believe sales may be substantially lower. The enterprise network equipment market was valued at $9.83 billion in 2020 and is expected to reach $15.48 billion by 2026, at a cumulative annual growth rate of 7.85 percent between 2021 to 2026, says Mordor Intelligence. 

By way of comparison, IDC projects global revenue attributable to the sales of private 4G and 5G infrastructure will grow from $945 million in 2019 to an estimated $5.7 billion in 2024 with a five-year compound annual growth rate of 43 percent. This includes aggregate spending on radio access networks, core, and transport infrastructure.