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Virtual Router Market Size, Share and Global Trend By Component (Software & services), By End User (Telecom Providers, Cloud Providers, Enterprises) and Regional Forecast, 2024-2032

Region :Global | Report ID: FBI100298 | Status : Ongoing



According to a report published by AT&T Intellectual Property I, L.P., in 2019, the company has invested around US$ 23 Bn for the development and deployment of 5G technology globally. Rising investment for the expansion of 5G infrastructure is expected to drive the growth of the virtual router market in the forecast period. A virtual router is a software-based routing structure that allows the host device to operate as a typical hardware router over a local area network.

The virtual router shares an internet connection with the Wi-Fi device by allowing network paths to segmented for multiple devices. The system helps to segregate traffic and increases network security by eliminating the need for encryption and authentication. Virtual routers provide functions such as traffic routing, network functions virtualization (NFV), overlapping of IP addresses, and enable the solution to function as a general hardware-based network appliance. A virtual route deployed in various applications such as virtual broadband services, virtual route reflection, and virtual cloud gateways. A recent development in virtual routers includes the implementation of Redundancy Protocol (VRRP) and security software in a virtual router to separate traffic and increased network security by removing the requirement for encryption and verification.

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The rise distributed cloud technology and SD-WAN services, increasing adoption of 4G and the increasing spending for the development of 5G infrastructure is expected to have a positive impact on the growth of the market in the forecasted period. Furthermore, key companies in this market are focusing on mergers and acquisition strategy to increase their market share and drive the growth of the virtual router over the globe. For example, in 2016, Cisco acquired Piston Cloud Computing with an aim to strengthen its virtual router market share, by deploying efficient operational in large scale distributed systems over the globe. This acquisition would offer users to automate instrumentation and deployment of a distributed 5G network for running applications on the virtual router.


Some of the key players in virtual routers market include: IBM, Nokia Corporation, Cisco Systems, Inc., Brocade Communication Systems Inc., Huawei Technologies Co., Ltd., Juniper Networks, Inc., Net gear Inc., ASUSTeK Computer Inc., Edimax Technology Co., Ltd., Belkin International, Inc., Xiaomi Corporation, and D-Link Corporation.




By Component

·         Software

·         On-premise

·         Cloud

·         Services

·         Consulting

·         Integration & Implementation

·         Maintenance & Operations

By End User

·         Telecom Providers

·         Cloud Providers

·         Enterprises

By Geography

·         North America (the USA and Canada)

·         Europe (UK, Germany, France, Italy, Spain, Scandinavia and Rest of Europe)

·         Asia Pacific (Japan, China, India, Australia, Southeast Asia and Rest of Asia Pacific)

·         Latin America (Brazil, Mexico and Rest of Latin America)

·         Middle East & Africa (South Africa, GCC and Rest of the Middle East & Africa)


Globally, North America is expected to lead the virtual router market. This growth is due to the significant adoption of software-defined network (SDN) and network functions virtualization (NFV) solutions. The aggressive investment in developed countries such as the US and Canada for the development of 5G infrastructure and the reduction of CAPEX & OPEX is also expected to drive market growth. Furthermore, supportive government regulations and policies in the region for the growth of digital and smart infrastructures are expected to propel the market growth.


Key Industry Developments

 In 2018, D-Link India Limited launched D-Link AC2600, which uses a service called the ‘McAfee Secure Home Platform’ to scan for the malware. The solution would provide the company parental controls and would help them keep their user from unconsciously visiting phishing websites. As a result of the rising demand for network security solutions in the router market, more companies are developing and deploying routers with the anti-malware tools to protect the users from several security breaches.

  • Ongoing
  • 2023
  • 2019-2022

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