Software-Defined Anything (SDx) Market Size, Share, Trends, Industry Analysis Report: By Offering, End User (Service Providers and Enterprises), and Region (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa) – Market Forecast, 2025–2034
- Published Date:Oct-2024
- Pages: 115
- Format: PDF
- Report ID: PM5150
- Base Year: 2024
- Historical Data: 2020-2023
Software-Defined Anything (SDx) Market Overview
The global software-defined anything market size was valued at USD 44.46 billion in 2024. The market is projected to grow from USD 55.11 billion in 2025 to USD 383.65 billion by 2034, exhibiting a CAGR of 24.0% during 2025–2034.
Software defined anything (SDx) is a broad technological concept that encompasses the virtualization and management of various IT infrastructure components through software. This approach enhances flexibility, scalability, and efficiency in managing computing resources, networking, storage, and security layers.
The growing adoption of cloud computing in enterprises propels the need for advanced technologies such as SDx to effectively manage complex cloud environments. SDx facilitates agile resource allocation and streamlines infrastructure management, playing a pivotal role in supporting cloud-centric operations, which is contributing to the market growth.
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Furthermore, the increasing implementation of software-defined networking (SDN), software-defined storage (SDS), and software-defined data centers (SDDC) is enabling organizations to minimize reliance on physical hardware, leading to enhanced operational efficiency and cost reductions. This momentum is gaining traction as a growing number of enterprises embrace virtualized IT infrastructures, driving the software-defined anything market growth.
The proliferation of the Internet of Things (IoT) and edge computing technologies has led to a significant increase in the number of IoT devices and edge computing capabilities. SDx solutions play a crucial role in efficiently managing these distributed resources. Moreover, the deployment of 5G technology is driving demand for SDx, particularly in network management. SDx technologies are essential for handling the complexity and demands of next-generation 5G networks, further fueling market growth.
Software-Defined Anything (SDx) Market Trends
Increasing Requirement for Network Security to Drive Market Growth
The rising need for network security would lead to increased interest in SDx solutions, particularly software-defined networking (SDN). SDx offers advanced network security capabilities such as improved visibility, control, and automation. Owing to the growing concerns over cybersecurity, organizations adopt SDx for enhanced protection. For example, the 2023 annual data breach report published by Identity Theft Resource Center, revealed a staggering 78% increase in data compromises in 2023 (3,205) compared to 2022 (1,801), marking a new record for the ITRC and representing a 72% increase from the previous high in 2021 (1,860). Thus, the rising number of data breaches is expected to fuel the demand for SDx solutions in the coming years.
Growing Reliance on 5G Networks to Propel Market Growth
The deployment of 5G technology is significantly driving demand for software-defined anything (SDx) solutions, particularly in network management. The 5G networks are characterized by their higher speed, ultra-low latency, and massive connectivity capabilities. The networks require advanced and flexible infrastructure to meet these demands. SDx technologies, especially software-defined networking (SDN), play a crucial role in managing the complexities of 5G networks by allowing centralized control, automation, and programmability of network functions. Furthermore, 5G networks introduce new challenges such as handling a vast number of connected devices; managing different types of network slices for varied applications such as IoT, smart cities, and autonomous vehicles; and ensuring consistent quality of service across distributed environments. SDx enables network operators to dynamically allocate resources, prioritize traffic, and efficiently manage bandwidth in real time. This adaptability is essential to manage the ever-changing requirements of 5G, where network conditions fluctuate and demand immediate responses. The expansion of 5G infrastructure will lead to an increase in cybersecurity threats. SDx technologies enable more robust security management, including automated threat detection and response. Therefore, the rising reliance on 5G networks is projected to boost the software-defined anything market growth during the forecast period.
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Software-Defined Anything (SDx) Market Segment Insights
Software-Defined Anything (SDx) Breakdown by End User Insights
The global software-defined anything (SDx) market, based on end user, is bifurcated into service providers and enterprises. In 2024, the enterprises segment accounted for a larger market share during the forecast period. This is due to the rapid adoption of cloud services among enterprises that propelled the need for SDx technologies for enhanced management and optimization of cloud resources. Enterprises require greater flexibility and control over their network infrastructures to support their expansive operations, and SDx provides the necessary tools for centralized management and automation. Additionally, the push for cost efficiency has led enterprises to embrace SDx, as it reduces reliance on costly hardware and streamlines infrastructure management. The rising focus on digital transformation and the surging need for robust security and compliance also contribute to the segment growth, as SDx technologies facilitate modernization, enhance security, and support remote and hybrid work environments. Furthermore, enterprises are integrating SDx with advanced technologies such as artificial intelligence (AI) and machine learning (ML), leveraging its capabilities to drive innovation and operational efficiency.
Software-Defined Anything (SDx) Breakdown by Offering Insights
Based on offering, the global software-defined anything (SDx) market is segmented into solution and service. The service segment is expected to grow significantly during the forecast period due to the increasing adoption of SDx technologies among organizations. The complexity of SDx environments often requires specialized expertise to manage and optimize. Professional services such as consulting, implementation, and support are crucial for the successful deployment and integration of SDx solutions, ensuring that businesses fully leverage their capabilities and achieve desired outcomes. In addition, system integration, customization, maintenance, and other services are essential for addressing the needs of each organization and ensuring the smooth operation of SDx solutions.
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Regional Insights
By region, the study provides market insights into North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. North America accounted for the largest share of the global software-defined anything market in 2024 due to the region’s early adoption of advanced technologies, including cloud computing, virtualization, and 5G. Enterprises in North America are heavily investing in digital transformation initiatives, which require flexible, scalable, and cost-efficient IT infrastructures that SDx provides. Additionally, the presence of major technology companies and cloud service providers in the region such as Google, Microsoft, Nvidia, and others has accelerated the development and deployment of SDx technologies, particularly in industries such as IT, telecommunications, and financial services.
The US software-defined anything market held a larger market share in 2024. The increasing need for enhanced network security and automation in the country, particularly in response to growing cybersecurity threats, has made SDx solutions attractive for enterprises seeking better control, visibility, and protection over their networks.
The Asia Pacific software-defined anything (SDx) market is expected to register the highest CAGR during the forecast period due to the rapid digital transformation and increasing adoption of advanced technologies across key industries such as telecommunications, IT, manufacturing, and healthcare. Countries such as China, India, Japan, and South Korea are investing heavily in next-generation technologies, including cloud computing, 5G, and the Internet of Things (IoT). Adoption of these technologies requires scalable, flexible, and software-driven infrastructures that SDx solutions offer. ITA announced in January 2024 that Singapore is anticipating an estimated investment of USD 7.5 billion to USD 9 billion in new data center infrastructure over the next decade. Therefore, the growing IT sector and data centers propels the growth of the SDx market in Asia Pacific.
The China software-defined anything (SDx) market is expected to record the highest CAGR during the forecast period due to its commitment to becoming a global leader in technology innovation, supported by government policies such as the "Made in China 2025" initiative. Such government initiatives are accelerating the adoption of advanced technologies, including SDx, to modernize the industrial base in China. The increasing use of automation, artificial intelligence (AI), and Internet of Things (IoT) applications is further driving the need for flexible and software-driven infrastructure solutions, making SDx essential for managing these interconnected environments.
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SDx Market – Key Players and Competitive Insights
The competitive landscape of the software-defined anything (SDx) market is characterized by the presence of several key players that offer a wide range of solutions spanning software-defined networking (SDN), software-defined storage (SDS), and software-defined data centers (SDDC). Major technology companies, including Cisco Systems, VMware, IBM, Hewlett Packard Enterprise (HPE), and Juniper Networks, dominate the market, leveraging their extensive expertise in networking, cloud, and virtualization technologies. These companies are focused on continuous innovation, integrating advanced capabilities such as automation, artificial intelligence (AI), and machine learning (ML) into their SDx offerings to differentiate themselves and meet the evolving demands of enterprises. Emerging players and startups are also making their mark by offering specialized and niche solutions, particularly in areas such as SD-WAN (Software-defined Wide Area Networking) and network security. These companies are disrupting the market by delivering cost-effective, agile, and scalable solutions tailored to specific industries or use cases.
Strategic partnerships, collaborations, and acquisitions are common strategies within the competitive landscape as key players seek to enhance their portfolios and expand their market reach. The growing adoption of cloud-based services, 5G networks, and IoT applications is intensifying competition, with companies focusing on delivering comprehensive SDx solutions that address the complex demands of modern IT infrastructures. Major players include Arista Networks; Broadcom; Cisco Systems; Ericsson; Extreme Networks, Inc.; Fortinet; Hewlett Packard Enterprise; Huawei; IBM; Juniper Networks; Nokia Corporation; Oracle; Palo Alto Networks; Riverbed Technology; and TIBCO Software.
International Business Machines Corporation (IBM) is an American multinational technology company operating in over 75 countries. The company mainly sells software that generates 29% of its revenue. Infrastructure services hold 37%, the hardware segment holds 8%, and IT services hold 23%. The organization has an extensive network of 80,000 business associates who help it handle 5,200 clients, including 95% of the Fortune 500. Although IBM is a B2B firm, it has a significant external influence. For instance, the company is responsible for 50% of all wireless and 90% of all credit card transactions. In February 2024, IBM is expanding its enterprise networking portfolio with new offerings for Cisco networking, including IBM Support and Implementation Services for Software Defined Networking and IBM Network Health Check. These aim to help clients create a more integrated networking environment for today’s IT challenges.
Juniper Networks, Inc. develops and sells advanced routing and switching products globally. This includes MX series Ethernet routers, ACX series universal access routers, wide-area network SDN controllers, PTX series packet transport routers, EX series Ethernet switches, QFX series data center switches, and Juniper access points for Wi-Fi access. In February 2024, Juniper Networks announced that it is providing KK Networks, a fast-growing ISP in Pakistan, with a scalable and resilient Cloud Metro network. This network will offer affordable internet access and improved user experience for residential users while also serving as a sustainable services delivery platform for KK Networks.
Key Companies in Software-Defined Anything (SDx) Market
- Arista Networks
- Broadcom
- Cisco Systems
- Ericsson
- Extreme Networks, Inc.
- Fortinet
- Hewlett Packard Enterprise
- Huawei
- IBM
- Juniper Networks
- Nokia Corporation
- Oracle
- Palo Alto Networks
- Riverbed Technology
- TIBCO Software
Software-Defined Anything (SDx) Industry Developments
In April 2024, Fortinet launched a FortiOS 7.6, featuring major enhancements to its Fortinet Security Fabric platform. The update offers improved risk mitigation, reduced network complexity, and a superior user experience with advanced threat detection and integrated protection, further strengthening enterprise cybersecurity.
In January 2024, Kyndryl, a technology infrastructure services provider, launched two new security edge services created in collaboration with Cisco to enhance customers' security measures and effectively manage and mitigate cyber incidents.
In January 2024, Extreme Networks, Inc. launched two new solutions aimed at enhancing network connectivity, security, and application performance for highly distributed enterprise organizations. These offerings consist of the 4000 Series cloud-managed switches and a new Wi-Fi 7 Universal access point (AP) referred to as AP5020.
Software-Defined Anything Market Segmentation
By Offering Outlook (Revenue – USD billion, 2020–2034)
- Solution
- Software-Defined Networking (SDN)
- Software-Defined WAN (SD-WAN)
- Software-Defined Data Center (SDDC)
- Other Solutions
- Service
- Professional Services
- Managed Services
By End User Outlook (Revenue – USD billion, 2020–2034)
- Service Providers
- Enterprises
- IT & ITeS
- BFSI
- Retail and E-commerce
- Health and Life Science
- Manufacturing
- Telecom
- Transportation & Logistics
- Government
- Other Enterprises
By Regional Outlook (Revenue – USD billion, 2020–2034)
- North America
- US
- Canada
- Europe
- Germany
- France
- UK
- Italy
- Spain
- Netherlands
- Russia
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- Malaysia
- South Korea
- Indonesia
- Australia
- Vietnam
- Rest of Asia Pacific
- Middle East & Africa
- Saudi Arabia
- UAE
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Mexico
- Brazil
- Argentina
- Rest of Latin America
Software-Defined Anything (SDx) Report Scope
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Report Attributes |
Details |
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Market Size Value in 2024 |
USD 44.46 billion |
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Market Size Value in 2025 |
USD 55.11 billion |
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Revenue Forecast by 2034 |
USD 383.65 billion |
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CAGR |
24.0% from 2025 to 2034 |
|
Base Year |
2024 |
|
Historical Data |
2020–2023 |
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Forecast Period |
2025–2034 |
|
Quantitative Units |
Revenue in USD billion and CAGR from 2025 to 2034 |
|
Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
|
Segments Covered |
|
|
Regional Scope |
|
|
Competitive Landscape |
|
|
Report Format |
|
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Customization |
Report customization as per your requirements with respect to countries, regions, and segmentation. |
FAQ's
The global software-defined anything market size was valued at USD 44.46 billion in 2024 and is projected to grow to USD 383.65 billion by 2034.
The global market is projected to register a CAGR of 24.0% during the forecast period.
North America accounted for the largest share of the global market due to the region’s early adoption of advanced technologies, including cloud computing, virtualization, and 5G.
A few key players in the market are Arista Networks; Broadcom; Cisco Systems; Ericsson; Extreme Networks, Inc.; Fortinet; Hewlett Packard Enterprise; Huawei; IBM; Juniper Networks; Nokia Corporation; Oracle; Palo Alto Networks; Riverbed Technology; and TIBCO Software.
The enterprises segment dominated the market in 2024 due to the rapid adoption of cloud services among enterprises.
The service segment held a significant share in 2024 due to the increasing adoption of SDx technologies in organizations.
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