Campus Ethernet Switch NaaS Market Grows 100% Y/Y to New All-Time High in 1Q’23; According to 650 Group

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HPE Aruba’s NaaS Offering Takes Early Market Lead Followed by New Vendor Entrants and Incumbent Vendor Offerings

Incline Village, Nev. – August 16, 2023 – A newly released report by 650 Group, a leading Market Intelligence Research firm for communications, campus, data center, and cloud markets, provides unique insight into the NaaS market for campus/enterprise switching. While Managed Service Providers (MSPs) historically took vendor equipment to offer solutions ‘as-a-Service’, vendors offering the solution directly via the channel are a relatively new phenomenon of the past two years. The latest report reflects the idea that the needs of enterprises are different now and will continue to evolve away from pure CAPEX consumption models.

“NaaS is not a new concept for Campus Ethernet Switch networks. However, it has historically been implemented by managed service providers or local resellers,” said Alan Weckel, Founder and Technology Analyst at 650 Group. “The NaaS market for campus switching is still in the early stages of adoption but is showing robust growth. Existing vendors like HPE Aruba and new vendors like NileSecure vie for first mover advantage. During the first half of 2023, we saw several vendors enhance their NaaS offerings and expand solutions toward MSP partners. We continue to see vendors shift revenue away from traditional one-time CAPEX models towards subscription and NaaS to meet customer demand. Customers want options and flexibility as hybrid and remote work are here to stay, and applications reside in a multi-cloud world.”

The Quarterly Ethernet Switch – Campus Switching NaaS report includes segmentation on a regional and worldwide basis and provides market data for the China and non-China markets. It also looks at the adoption rate of NaaS compared to Cloud Managed Solutions and provides additional adoption metrics. The reports will also examine the vendor’s current revenue splits between traditional CAPEX and subscription-related revenue. Future reports will include additional segmentation and vendors.

About the NaaS Reports

The Quarterly Ethernet Switch – Campus NaaS report covers quarterly market shares and forecasts. NaaS reports include segmentation on a regional and worldwide basis and provide market data for the China and non-China markets. In addition, 650 Group publishes additional segment-specific reports in Campus / Enterprise Switching, Industrial Switching, Single Pair Ethernet, other campus networking markets, and WLAN NaaS. For more information about the report, contact the sales department at 650 Group at +1 650 600 7104 or val@650group.com or www.650group.com.

About 650 Group

650 Group is a leading Market Intelligence Research firm for communications, data center, and cloud markets.  ​Our team has decades of research experience, has worked in the technology industry, and is actively involved in standards bodies. Learn more at www.650group.com.

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