The WAN optimization market in APAC accelerated its growth momentum in 2010, as the market grew by a robust 19.9 per cent on a YoY basis, shaking off the sluggish growth rate which it recorded in 2009. With business expansion back on track, enterprises were also looking to ramp up their existing IT infrastructure, so as to cope with the anticipated business growth coming their way. In 2010, many enterprises were observed to begin reinvesting in the WAN optimization segment.
The growing reliance on IT to drive business processes also meant that enterprises were forced to look at ways to eliminate inefficiencies in their corporate networks, particularly with network lags and application latency becoming more prevalent issues.
New analysis from Frost & Sullivan (networksecurity.frost.com), Asia Pacific WAN Optimization Controller Market 2010, finds that the market earned revenues of US$334.8 million in CY 2010 and estimates this to reach US$967.3 million in 2017.
"The highly disparate levels of bandwidth availability provided across the APAC region meant that many enterprises were looking at WAN acceleration technology to deliver more equitable levels of performance across their networks," says Frost & Sullivan Industry Analyst Cathy Huang. "Deploying the technology had a direct impact on business aspects such as productivity, synergy, and costs."
As adoption of WAN optimization is still in a relatively early stage across markets in APAC, the market is expected to hit a healthy CAGR of 16.4 per cent from 2010 to 2017.
With WAN acceleration having introduced a new lease of life into the WAN optimization arena, the technology segment was undoubtedly riding high in the mindshare of enterprises in APAC. The year 2010 saw WAN acceleration continue to expand their market share in the WAN optimization market, as enterprise demand for WAN management solutions continued to depreciate. Compared to WAN acceleration, WAN management solutions were being viewed as secondary priority among enterprises.
Corporate gravitation toward WAN acceleration was also influenced by the rapid expansion and rising importance of branch offices in the APAC arena, which drove adoption of the symmetrical devices in datacenter-to-branch setups.
Going forward, bandwidth infrastructure is expected to improve rapidly in APAC. This will rev up the importance and relevance of WAN management in optimizing network performance levels.
"The future of WAN optimization is likely to witness a growing shift towards WAN management, with enterprises looking at greater convergence between the two sets of capabilities," says Huang. "The ability to provide visibility into application traffic before accelerating them is also viewed as an approach which balances the need for faster performance with that of security, especially in the face of growing enterprise concerns relating to the integrity of their corporate networks."
If you are interested in more information on this study, please send an email to Donna Jeremiah, Corporate Communications, at: djeremiah[.]frost.com, with your full name, company name, title, telephone number, company e-mail address, company website, city, state and country.
Asia Pacific WAN Optimization Controller Market 2010 is part of the Network Security Growth Partnership Service program, which also includes research in the following markets: APAC Network Security Market CY2010, APAC Application Delivery Controller Market CY2010, APAC Managed WAN Optimization Services Market CY2010, and APAC WAN Optimization Controller Market H1 2010. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.
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