Network As A Service Statistics By Market Size And Revenue (2026)

Introduction

Network As A Service Statistics: The Network as a Service (NaaS) approach makes it unnecessary to invest in any physical hardware, as the equipment is managed and provisioned by the service provider. All that is needed from the client’s side is to pay a recurring monthly fee to have access to the network. The client is thus able to delegate the responsibility for the maintenance and management of their network and focus on their strengths and expertise.

The NaaS approach disrupts the networking landscape by delivering on-demand access to networking resources without significant investment in the infrastructure. It operates under the subscription model and is therefore scalable and flexible enough to address the varied requirements of different industries. The use of virtualized functions, software-defined networks, and cloud computing forms part of the NaaS offerings.

The NaaS approach incorporates bandwidth management and security protocols to offer clients an easy way around modern networking challenges. NaaS is regarded as a disruptive force within digital transformation processes, making application deployment easier and more effective.

Editor’s Choice

1. The total revenue of the NaaS market hits its highest value of 115.5 billion USD in 2032, which consists of WAN-service revenue, amounting to 76.3 billion USD, and LAN-service revenue of 39.3 billion USD.
2. The network outage is one of the primary factors that determine the need for NaaS solutions, since it was reported as the answer by 29% of the respondents.
3. The market share of Huawei amounted to a rather impressive 26.9%, becoming a major player in the networking sector.
4. The most frequently occurring root cause of IT issues is associated with insufficient configuration/change management and mentioned by 49% of the respondents.
5. The adoption rates of Amazon Web Services (AWS) steadily increased to 80% in 2022 from a 67% rate in 2019.
6. Owing to the pandemic, the rates of cybercrimes have increased sixfold.

NaaS Market Size Statistics

• The revenue trajectory in the NaaS market reveals strong growth rates with a CAGR of 26.7% during the forecast period between 2022 and 2032.
• Starting from an amount of 11.5 billion USD in 2022, the revenue in the NaaS market experiences gradual growth. Growing to an extent of 14.6 billion USD in 2023 and then reaching 18.0 billion USD in 2024.
• The following years reveal remarkable revenue growth as well, growing to 24.0 billion USD in 2025, 31.0 billion USD in 2026, and 38.5 billion USD in 2027.
• The trend continues to maintain strong revenue growth and reaches 44.9 billion USD in 2028. Accompanied by another growth of revenue in the following year, rising to 56.8 billion USD in 2029 and 70.0 billion USD in 2030.
• The next period of years still demonstrates positive dynamics of revenue growth and rises up to 88.8 billion USD in 2031 and 115.5 billion USD in 2032.

(Reference: market.us)

By Type Statistics

• Total revenue of the NaaS market in 2022 is 11.5 billion USD, which includes the revenue from WAN-as-a-service (7.6 billion USD) and LAN-as-a-service (3.9 billion USD).
• The following years saw a steady upward trend, as total market revenues amounted to 14.6 billion USD in 2023, 18.0 billion USD in 2024, and 24.0 billion USD in 2025.
• Similar trends are seen both for WAN and LAN markets, showing steady growth.
• The revenues further increase to 31.0 billion USD in 2026, 38.5 billion USD in 2027, and 44.9 billion USD in 2028.
• The increasing revenues from WAN-as-a-service and LAN-as-a-service follow the same trend.
• The revenue growth leads to the impressive figures seen on the market. Total revenue of the NaaS market grows to 56.8 billion USD in 2029, 70.0 billion USD in 2030, and 88.8 billion USD in 2031.
• Finally, the total revenue of the NaaS market reaches its peak value of 115.5 billion USD in 2032, including WAN-service revenue of 76.3 billion USD and LAN-service revenue of 39.3 billion USD.

Statistical Factors Driving The Demand For NaaS

• The network outage is one of the main reasons for the demand for NaaS, as it accounts for 29% of the answers.
• The next reason, which has an influence on the need for NaaS, is the power outage, making up 25% of the answer.
• It should be noted that the number of respondents who attributed the motivation to use NaaS to the absence of IT service outages during the last three years is 24%.
• IT service outages, such as third-party services like cloud or SaaS, make up 16% of the motivation for using NaaS.
• Other miscellaneous reasons account for 7% of the answer.

Network Infrastructure Providers Statistics

• Leading the pack was Huawei, which held an impressive market share of 26.9%, firmly establishing itself as a major force in the networking environment.
• Coming in second place was Cisco, holding a respectable market share of 15.1%.
• The next two companies on the list were Nokia and Ericsson, which held market shares of 11.4% and 9.6%, respectively.
• Two other companies that played roles in the network provider industry were ZTE, which had a market share of 5.9%, and NEC, which had a market share of 3.2%.
• Completing the list was Motorola Solutions, which held a market share of 2.6%.

(Reference: market.us)

Networking-Related Outages Causes Statistics

• The most common root cause of IT problems, mentioned by 49% of respondents, is the lack of proper configuration/change management.
• Another close runner-up is third-party network providers’ fault, with 39% mentioning it as one of the networking-related outage root causes.
• Firmware or software malfunction is an important root cause, making up 31% of the total number of problems mentioned. This highlights the significance of proper software management.
• Natural disasters like public works or line breakages are cited by 26% of respondents. While the lack of network capacity, or congestion, accounts for 24%.
• Corruption of firewall rules and routing tables is named as the problem root by 17% of respondents.
• The list does not come without malicious cyber-attacks such as DDoS and network partitioning, which comprise 16% of the list.
• Surprisingly, 9% of those surveyed claimed not to experience networking-related IT outages due to hardware faults.
• Only 7% of respondents are uncertain about the root cause, while just 1% cite other reasons.

Adoption Of Public Cloud Services Statistics

• Amazon Web Services (AWS) had a continuous upward trend with an adoption rate of 67% in 2019 and 80% in 2022.
• Similarly, Microsoft’s Azure had considerable growth, with an adoption rate of 69% in 2019 and 80% in 2022.
• Google Cloud showed tremendous growth from an adoption rate of 20% in 2019 to 48% in 2022.
• The Oracle Infrastructure Cloud had a varying trend, achieving an adoption rate of 32% in 2021 and maintaining a stable adoption rate of 25% in 2022.
• Despite starting from 4% in 2019, Alibaba Cloud had considerable growth, attaining an adoption rate of 11% in 2022.

(Reference: market.us)

NaaS Challenges Statistics

• Only 48% admit they maintain contact with their network constantly, while 38% find it hard to keep up with their contacts, mainly because of the lack of time.
• 41% of people would like to network more often.
• However, the difficulties that arise in keeping in contact may also be among the reasons why these people wish to do more networking.
• Due to the pandemic, cybercrime rates have grown dramatically, namely, increased six times.
• Therefore, one must mention that this is a drawback of networking online.
• There are various challenges associated with cybercrime, including hacking and phishing attacks, as well as scams and many other problems.

NaaS Revenue Statistics

• The total revenue generated by the NaaS market in the year 2023 is 14.6 billion dollars.
• In the year 2022, the total revenue earned by the NaaS market is 11.5 billion dollars, which consists of WAN-as-a-service and LAN-as-a-service revenues of 7.6 billion and 3.9 billion.

(Reference: market.us)

Impact Of COVID-19 On NaaS

• There has been an increase in the need for IT agility and effective network purchasing and management in light of the post-COVID-19 period.
• The IT purchasing cycle has accelerated, and there has been an increased investment in comparison to the pre-COVID-19 period.
• According to IDC Infobrief, 71% of businesses report a decrease in their long-term planning cycle because of the effects of COVID-19.
• Moreover, 82% of respondents indicate that their long-term planning cycle is limited to two years or less.

Advantages Of NaaS

• The consumer will be charged depending on the networking resources used, and not buying and maintaining the infrastructure themselves.
• The resource provision through the NaaS will become easier as it is very flexible when adding or removing resources.
• There will be a good protection system for the user’s data and networking resources provided through NaaS because of the NaaS provider.
• There will be no concerns about the infrastructure maintenance because everything is taken care of by the NaaS provider.
• The experience of the NaaS provider in the field will come in handy for the consumers.

NaaS Recent Development Statistics

• The acquisition of Viptela, an industry leader in cloud SD-WAN products, by Cisco was finalized in 2023 at a cost of USD 610 million.
• In 2023, Hewlett Packard Enterprise purchased Silver Peak, another industry leader in SD-WAN technology, for USD 925 million.
• Aryaka Networks, a leading firm in cloud-first WAN and security services, raised USD 50 million in financing in 2023 to develop further NaaS offerings.
• Verizon introduced its NaaS services at the beginning of 2024, aimed at serving all types of businesses.
• AT&T rolled out its NaaS platform in March 2024, based on 5G networks, which is intended to offer ultra-low-latency connections for enterprises’ IoT and edge computing services.
• In 2024, Cato Networks raised USD 77 million to scale its unified NaaS solution, incorporating both networking and security.
• With the proliferation of 5G, an estimated 30% of all NaaS providers will have incorporated 5G technology by 2026, providing ultra-fast connections in the areas of edge computing and IoT.

Conclusion

In conclusion, Network as a Service (NaaS) represents a revolutionary concept within networking, providing a way out of the old ways of hardware-based infrastructure. The promising growth of the market, which is seen through high revenue forecasts, shows the growing significance of NaaS as a technology that helps companies achieve efficiency in terms of infrastructure.

Although some problems, such as concerns about security and difficulties with implementation, remain, the success of NaaS, confirmed by real examples, makes people optimistic regarding its future. As far as future developments are concerned, NaaS will probably be integrated with edge computing and applied to IoT.

FAQ