Network as a Service Market Size

Network as a Service Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

The NaaS market is expected to grow at a compound annual growth rate of 16.26% from $ 8.67 billion in 2025 to $ 39.15 billion in 2034. This growth reflects the need for flexible and scalable solutions to meet the evolving business needs in a digital-first world. The shift from traditional network models to NaaS is gaining momentum with the growing need for cost efficiency and greater operational agility. 5G technology, the proliferation of IoT, and the growing importance of cybersecurity are expected to drive the market. These factors are pushing enterprises to adopt NaaS solutions that offer improved bandwidth, lower latency, and greater security. In the coming years, the NaaS market will see a number of strategic initiatives, such as product launches and partnership agreements, to capture market share and meet the growing demand for advanced network solutions. Cisco, for instance, has forged several strategic alliances with cloud service providers to integrate NaaS offerings into existing cloud platforms.

Regional Market Size

Regional Deep Dive

In various regions of the world, the market for network as a service is growing strongly. It is a result of the growing demand for flexible and scalable network solutions. North America is characterized by a high degree of acceptance of cloud services and advanced network technology. In Europe, on the other hand, a trend towards digitalization and new regulatory frameworks is gaining momentum. In Asia-Pacific, the digital economy is developing rapidly and the network infrastructure is being expanded. In the Middle East and Africa, businesses are increasingly looking for network as a service solutions to improve their connectivity and efficiency. Latin America is also becoming increasingly important with increasing investment in IT and the expansion of the Internet.

North America

• The FCC is pushing for more reliable broadband access. That is expected to drive demand for NaaS from businesses looking for a reliable connection.
• The major vendors such as Cisco and VMware are heavily investing in the NaaS technology and focusing on the development of SD-WAN and automation of the network to meet the needs of cloud-based business operations.
• The rise of remote working has accelerated the use of NaaS, as organizations seek flexible, cloud-based networking solutions to support their distributed workforce and provide them with secure access to cloud applications.

Europe

• In the health and financial sector, where the secure and efficient use of networks is crucial, NaaS is gaining ground.
• BT and Deutsche Telekom are leading the way in the field of NaaS, with an emphasis on integrating advanced security features to meet the growing concerns about cyber security.
• In Europe, the focus on green technology and the concept of sustainable development has led companies to seek NaaS solutions that optimize the use of resources and reduce the carbon footprint.

Asia-Pacific

• China and India are investing heavily in 5G, and the demand for NaaS will grow considerably as businesses take advantage of the fast connection to accelerate their digital transformation.
• There are some local companies such as Alibaba Cloud and Huawei that have developed their own NaaS, which are tailored to the needs of the region, and they also support the development of smart cities and the Internet of Things.
• In this country, the government is undertaking various measures to increase the Internet’s penetration and digital literacy. These initiatives are creating a favorable environment for NaaS, especially in the small and medium-sized enterprise segment.

MEA

• In the UAE, the Vision 2021 program is promoting the digital economy and the digital environment, which has led to an increase in the interest of NaaS solutions in companies that are looking for greater efficiency in their operations.
• Etisalat and MTN are concentrating on expanding their NaaS capabilities, providing solutions that are scalable to the needs of a wide variety of industries, including oil and gas and finance.
• The unique challenges in the region, such as the geopolitical situation and the difference in the degree of penetration of the Internet, are pushing the demand for flexible and reliable network solutions.

Latin America

• Brazil's National Broadband Plan aims to improve Internet access throughout the country, which will boost the demand for NaaS solutions among companies looking for reliable Internet access.
• The national operators Oi and Claro are investing in NaaS to strengthen their offerings and compete with the global players.
• Latin America is undergoing digital transformation, which is causing a shift in the network solutions market to the cloud, which in turn is creating new opportunities for NaaS suppliers.

Did You Know?

“By 2023, more than two-thirds of all enterprises worldwide are expected to adopt some form of NaaS, indicating a significant shift toward cloud-based network solutions.” — Gartner Research

Segmental Market Size

The NaaS segment plays a key role in the overall market by providing flexible, on-demand network services that meet the evolving needs of businesses. This segment is currently growing at a fast pace, fueled by the growing demand for scalable network solutions and the increasing migration to cloud-based architectures. This trend is also driven by the growing trend towards remote work, which requires robust and scalable network solutions, and the growing emphasis on digital transformation in all industries.

The current stage of NaaS development is scaled deployment. At the forefront are Cisco and VMware. In North America and Europe, NaaS is already being used in such applications as secure connection, on-demand connection, and network management. It is noteworthy that NaaS is used by some companies to connect IoT devices and to optimize network performance. IT security and the need for sustainable development are driving the market. SD-WAN and AI-based network management tools are determining the development of the market.

Future Outlook

The NaaS market is expected to grow from $8.67 billion in 2025 to $39.15 billion by 2034, at a CAGR of 16.26%. This growth is driven by the growing demand for flexible and scalable network solutions, especially as the digital transformation in the enterprise sector continues. By 2034, NaaS is expected to account for about 30% of the enterprise network market, as organizations seek to optimize their network and reduce capital expenditure.

It will be a question of the development of the 5G network, the development of edge computing and the integration of artificial intelligence into network management. These innovations will increase the speed of service, improve the performance of the network and allow real-time analysis, thus attracting more customers. Also, the development of digital economy and cyber security will be encouraged by government policies. Also, the hybrid cloud environment and the importance of network security will play an important role in driving the adoption of NaaS solutions. The NaaS market will continue to grow steadily over the next decade.