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WAN Optimization Preferred Over Additional Bandwidth Finds Frost & Sullivan - WAN optimization solutions have rapidly moved from 'hype' to 'hero' in the past year as these tools have become the preferred choice for companies in optimizing bandwidth utilisation to support their regional expansion needs
WAN Optimization Preferred Over Additional Bandwidth Finds Frost & Sullivan

 

NewswireToday - /newswire/ - Singapore, Singapore, 2009/07/14 - WAN optimization solutions have rapidly moved from 'hype' to 'hero' in the past year as these tools have become the preferred choice for companies in optimizing bandwidth utilisation to support their regional expansion needs.

   
 
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The explosion of corporate WANs (wide area networks) across Asia-Pacific, as the region continues to be the growth hub for many, has left corporations reeling from often inadequate and costly bandwidth, particularly in developing economies, while needing to ensure reliable IT connectivity.

Frost & Sullivan industry manager Arun Chandrasekaran notes that network and application optimization is an inherent issue even in more advanced Asian nations. "Even in countries where high bandwidth is cheaply and readily available, WAN optimization technologies are able to solve the issue of application latency that adding more bandwidth will simply not do," he says.

New analysis from Frost & Sullivan (networksecurity.frost.com), Asia-Pacific WAN Optimization Controller Market, finds that the market - covering 14 Asia-Pacific countries, including Japan - grossed an estimated US$246.8 million in 2008, growing 21 percent year-on-year. Growth is expected to decline to 13.3 percent in 2009 to close the year at revenues of US$279.6 million, before picking-up again to grow 22.2 percent in 2010.

Overall, a healthy CAGR (compound annual growth rate) of 19 percent is expected from 2009 to 2015, to reach a market size of US$831.6 million by end-2015.

If you are interested in a virtual brochure, which provides a brief synopsis and a table of content of the research on the Asia-Pacific WAN optimization controller market, then send an email to Sarah Lourdes at sarah.lourdes[.]frost.com, with your full name, company name, title, telephone number, company email address, company website and country. Upon receipt of the above information, a brochure will be sent to you by email.

Deployments have largely been limited to larger businesses with greater financial muscle given the perceived high cost of WAN optimization technologies to budget-conscious SMEs (small and medium enterprises), more so in a recession-hit economy. Large enterprises accounted for 61.6 percent (US$152 million) of the revenues in 2008 - a majority of these investments being at data centres and branch offices.

Chandrasekaran reasons that WAN optimization is the ideal technology for [large] businesses with wide regional presence and multiple office locations, running a host of business applications that support a mobile workforce. "As businesses expand beyond their home borders, corporate WANs are no longer limited to bandwidth issues at country-level, but at regional level as well. WAN acceleration solutions enable companies to efficiently cope with varying bandwidth speeds, providing equitable access across the entire corporate WAN, regardless of branch office location," he explains.

"The need to support enterprise applications, ensure delivery to remote endpoints and drive business synergies across the entire regional operations of an organisation have also led to the growing interest in WAN optimization solutions, to reduce the dependency on costly bandwidth acquisitions," adds Chandrasekaran.

In 2008, Australia led as the biggest spender on WAN optimization solutions accounting for 24 percent (US$59.2 million) of the revenues, followed by Japan at 22.8 percent (US$56.3 million), China at about 10.1 percent (US$24.8 million), and India at 7.2 percent (US$17.9 million).

Chandrasekaran believes that uptake among SMEs can be expected to rise as WAN optimization solutions mature in scalability, functionality and affordability, especially if the drive towards its integration with other security and networking solutions becomes a reality. The idea of managed WAN optimization services, which are said to be on the cards, will also drive SME adoption, as well as speed-up the use of the technology in the fast-growing and geographically dispersed Southeast Asian nations, India and China.

The Asia-Pacific WAN Optimization Controller Market study is part of the Network Security Growth Partnership Service program, which also includes research in the following markets: network access control, managed security services, data security, network security and content security. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 35 offices on six continents.

 
 
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WAN Optimization Preferred Over Additional Bandwidth Finds Frost & Sullivan

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Frost & Sullivan |
Publisher Contact: Sarah Lourdes 
+603.6207.1030 sarah.lourdes[.]frost.com
 
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