Content Delivery Network Market Growth & Trends
The global content delivery network market size is expected to reach USD 52.30 billion by 2028, registering a CAGR of 22.1% from 2021 to 2028, according to a new study by Grand View Research, Inc. Reducing data costs and rising accessibility & affordability of mobile & broadband networks are the key factors expected to propel the demand for content delivery networks (CDNs). The rising adoption of advanced technologies, such as Augmented Reality (AR) and Artificial Intelligence (AI), is also offering opportunities to the market players to launch advanced CDN solutions. The introduction of affordable smartphones and data plans combined with high-speed network rollouts also necessitates enhanced content delivery and drives the demand for CDN solutions.
The growing population and the advent of new network technologies are leading to high content consumption thereby increasing the demand for efficient CDN solutions. Furthermore, the digitalization of the media & entertainment industry is also driving the overall market growth. On the other hand, concerns regarding data security and information privacy are likely to hinder the market growth. Various initiatives by the governments in different countries to provide high-speed internet facilities in rural & urban areas and the recent improvement in internet speed have increased the data consumption.
This has led to a rise in internet traffic, which causes congestion and latency issues, which has a direct effect on the enterprises where daily operations and business depend on the delivery speed of the content, webpage performance, and the time taken for a webpage to load. This has impelled organizations to utilize CDN for driving process optimization and delivering better customer experience and service. The Asia Pacific regional market is anticipated to register the highest CAGR of 29.1% over the forecast period. The growth can be attributed to the growing e-commerce and media & entertainment industries and the continued rollout of high-speed networks.
Content Delivery Network Market Report Highlights
- The dynamic CDN segment is anticipated to register a significant CAGR over the forecast period. Media broadcasters and CDN solution & content providers are considering network and delivery optimization as an opportunity to boost their customer base and revenue, thus driving the segment growth
- The web performance optimization segment is expected to register a CAGR of 21.7% over the forecast period due to the growing emphasis on Quality of Service (QoS) and Quality of Experience (QoE)
- The e-commerce segment is expected to register the fastest CAGR over the forecast period. As the online shopping space continues to evolve, companies want to ensure adequate website acceleration and enhanced security
- Hence, solution providers need to deliver a compelling web content experience for e-commerce websites. This is driving the e-commerce segment growth
- The peer-to-peer service provider segment is estimated to register a considerable CAGR from 2021 to 2028 due to the rising demand for these services
- Increasing volumes of online content as a result of extensive usage of various social media platforms necessitate peer-to-peer CDN solutions for network optimization and content delivery