The global router market size was estimated at around US $14.80 billion in 2020 and will grow at a compound annual growth rate (CAGR) of 8.2% during the forecast period from 2021 to 2027.
The router is a networked computer system used to control traffic between computer networks.
A router helps companies transfer data between local area networks (LANs) and wide-area networks (WANs) within a specific geographic area.
The router industry experienced a significant growth and is expected to grow at the same pace. Faster internet connectivity technology and rise in adoption in various industries are the key factors contributing to the growth of the industry. The increasing use of routers in education, healthcare, education, and the BFSI industry is expected to fuel the global router market growth across the globe. Moreover, the growing adoption of a bring-your-own-device policy among SMEs will contribute to the growth of the overall market.
High-speed internet connectivity benefits, including quick access to the operational data and trending online banking service, would drive the growth of the market. The router application provides various benefits to businesses to run efficiently. It allows sharing and cross-referencing of data. It also helps in tracking employee’s performance and delivery of the products and services effectively.
Advancement in services will fuel the growth of the global router market. Routers integrated with healthcare devices like remote patient monitoring machines and heart-rate monitoring equipment. These factors would propel the growth of the market across the globe.
Apart from that, digital technology is used by the education system to deliver advanced education services and enhance student performance, which ultimately prompts market growth.
Students throughout U.S. and Canada are using smart phones to improve their knowledge and communicate to parents when needed. The growing use of technology in students, health, and the education department will ultimately grow the market during the forecast period.
However, the high expenses of establishing wireless router solutions are likely to decelerate the growth. Furthermore, disadvantages like overheating and overloading are expected to obstruct the adoption of routers.
Regional Analysis
North America dominated the market by holding the maximum share in the global router market. The region is anticipated to contribute with the maximum share during the forecast period. Increasing adoption of cloud-based technology and digital technology in education, healthcare, and BFSI would propel the growth. Meanwhile, the Asia-Pacific region is anticipated to witness promising growth during the forecast period because of the surge in requirements to track network violations.
COVID-19 impact analysis
The router market has witnessed a positive impact during the COVID-19 pandemic, owing to the trending work from home culture and increasing demand for routers. COVID-19 pandemic is expected to enhance the demand for devices in various automation industries including, fuel, e-commerce, manufacturing, healthcare, and oil and gas.
Key Market Segments
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By End User
By Region
Key Market Players
