The Asia Pacific network automation market is expected to record a high CAGR of over the forecast period. The surge of investments in the 5G technology will propel the market growth of automation vendors in this region. For instance, Japan’s leading telecom providers invested around USD 45.5 billion to boost the 5G infrastructure in their country. Furthermore, macroeconomic factors such as urbanization and an upsurge in disposable income of end users will have a strong impact on the market growth.
Network automation market growth has rather transformed the way enterprises run their operations and manage their resources, clients as well as performance efficiency through agile and easily customizable networking solutions. With a large amount of automated processes being done across the world every day, network automation helps to adapt in a consistently evolving business environment by instigating effective control and monitoring.
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The network automation industry has proven to be vital in improving existing network facilities, automate manual tasks and also allowing the development of innovative enterprise solutions. Reducing operating costs by continuous inventory tacking, analyzing data to identify persistent or imminent problems, along with the implementation of security and compliance policies are some widely realized benefits offered by the network automation market, propelling it to a valuation of over USD 1.7 billion in 2017.
A significant improvement achieved by advent of digital networking systems is the reduction in human errors while handling vast networks manually. It is estimated that at least 40% of network failures are caused by mistakes done by people, mostly in configuring and updating hardware components.
Automation using the cloud has assisted in ensuring fast, accurate network configurations for guaranteeing uninterrupted business performance. With a rise in the number of companies that provide cloud-based services, reports indicate that nearly 83% of the global enterprise workloads will be handled through the cloud in the next two years, representing the rapid progression of the cloud-based network automation market.
The industry expansion has also been effected by huge investments and developments in the digital space pertaining to the industry 4.0 revolution, including advanced computing technologies such as artificial intelligence and machine learning. The network automation market is expected to propagate AI powered cloud services for effecting the conversion of business data into insights, impacting decisions, while optimizing the overall customer experience. Combining human-like interface with cutting-edge data analysis and management capabilities, AI could broaden the network automation industry scope beyond the usual cloud benefits, facilitating demand predictability and suitable network scaling via intelligent automation. The manufacturing segment has particularly accepted AI associated automations on a large scale, as recent industry trends suggest.
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Essentially, equipment at manufacturing plants required regular preventive maintenance for avoiding any halts in production or damage to any machinery. Using cognitive AI automation of a network of sensors and interconnected machinery, undesirable downtime and wasted labor can be reduced by monitoring and predicting maintenance requirements. The network automation market has supplemented efficient control over the supply chain by making possible a continuous exchange of data and creating a self-sustaining work environment. Enhancing the output of supply chain elements such as warehousing, transportation, packaging and customer feedback are advantages that appeal for the transition of enterprises to AI-based cloud network automation services.
AI assisted quality control will further endorse the need for cloud network automation industry for warranting superior quality end products, since the systems can accurately detect and analyze minute defects. It is also a recognized notion that resources are the key components in the manufacturing industry and automated networks employing the cloud help to map these resources better using AI, advising on how to harness them for meeting the customer demand. As evident, the extensive upsides of applying AI-powered cloud networking solutions to manufacturing processes has the potential to alter the network automation market, which is constantly becoming more accessible with improving internet connectivity worldwide.
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IBM, Cisco, BMC, Juniper Networks, Arista, IPsoft, Micro Focus International, SolarWinds Worldwide, Riverbed, Apstra, and Fujitsu are some leading industry players that have defined the pathway for complete automation of enterprise networks. The increasing awareness regarding the ability of automated networking to improve margins, business continuity and customer satisfaction will catapult the global network automation market over the coming years and is expected to exhibit a CAGR of 22% from 2018 to 2024.