The global network-as-a-service market size was valued at USD 33.06 billion in 2025 and is projected to grow from USD 44.04 billion in 2026 to USD 436.36 billion by 2034, registering a CAGR of 33.2% during the forecast period from 2026 to 2034. North America dominated the network-as-a-service market with a market share of 39.4% in 2025.
Network-as-a-Service (NaaS) is a cloud-based networking model in which network infrastructure and services are delivered to organizations on demand rather than requiring them to own and manage all the underlying hardware. NaaS can provide services such as connectivity, routing, network security, software-defined networking, and wide-area networking through a subscription or usage-based model. It allows organizations to scale network resources according to their needs while reducing the burden of maintaining physical infrastructure. NaaS can also support centralized management, automation, remote access, and flexible connectivity across offices, data centers, cloud environments, and distributed users. It is increasingly used to simplify network operations and adapt infrastructure to changing business and technology requirements.
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Flexible Subscription Models Simplify Enterprise Network Management
The Network-as-a-Service market is gaining momentum as businesses move away from traditional network ownership toward flexible, subscription-based services. NaaS allows organisations to combine networking hardware, software, management, and support into a more adaptable service model. This approach can make network upgrades easier, reduce the burden of day-to-day management, and help companies respond more quickly when their connectivity requirements change. HPE describes NaaS as a flexible consumption model that can cover the deployment, management, maintenance, and lifecycle of network infrastructure.
In May 2026, Verizon highlighted the growing use of Network-as-a-Service as a way for businesses to simplify network transformation and make their infrastructure more scalable, secure, and cloud-oriented. The company emphasised flexible network services, simplified operations, and easier technology upgrades as key reasons businesses are considering the NaaS model.
AI and Automation Make Network Services More Intelligent
The Network-as-a-Service market is also moving toward AI-powered automation as organisations look for simpler ways to monitor, manage, and optimise increasingly complex networks. Intelligent networking tools can provide greater visibility into network performance, automate routine management tasks, and help identify issues before they affect users. This is making AI and automation increasingly important to NaaS offerings as enterprises adopt hybrid cloud, edge computing, and distributed work environments. HPE's NaaS offering integrates AI tools, automation, and centralised network management to improve network visibility and user experiences.
In April 2026, HPE highlighted AI-powered networking capabilities within its NaaS portfolio, focusing on intelligent network management, improved visibility, automation, and faster access to AI-enabled tools. The development reflects the growing integration of AI into network services as businesses seek more automated and responsive infrastructure.
Growing Demand for Flexible and Cloud-Based Network Infrastructure
The Network-As-A-Service market is being driven by the increasing shift from hardware-intensive networking toward flexible, cloud-based, and subscription-oriented network consumption models. NaaS allows organizations to access connectivity, security, network management, and other capabilities without having to own and maintain all underlying infrastructure. The ability to scale network resources according to business requirements is strengthening Network-As-A-Service market demand and influencing Network-As-A-Service market trends toward more agile, programmable, and consumption-based networking. Cisco describes NaaS as a cloud model that enables organizations to operate networks without owning, building, or maintaining the infrastructure themselves.
In February 2025, BT announced that customer traffic had gone live on its Global Fabric Network-as-a-Service platform. The platform initially introduced Global Fabric Internet and provided multinational customers with digital visibility into connectivity, network health, events, and alerts through an online portal, demonstrating the growing adoption of flexible NaaS platforms for enterprise connectivity.
Complexity of Integrating NaaS With Legacy Network Infrastructure
The market faces restraints because organizations often operate a mixture of legacy hardware, private networks, cloud environments, and applications that must be integrated with newer NaaS platforms. Migrating existing infrastructure to service-based networking can require changes to network architecture, security policies, APIs, management processes, and internal IT operations. These requirements can increase implementation complexity and create Network-As-a-Service industry challenges, particularly for enterprises with highly customized or legacy infrastructure. Integration requirements can also influence Network-As-a-Service market development by extending deployment timelines.
In September 2025, a Cisco federal IT decision-maker survey identified legacy-system integration among the barriers considered when adopting NaaS, alongside security and compliance concerns, leadership resistance, procurement challenges, and lack of internal expertise. The findings illustrate the organizational and technical complexity that can affect adoption of service-based networking models.
Expansion of Multi-Cloud and Programmable Network Services
The market presents significant opportunities through increasing adoption of multi-cloud environments, software-defined networking, API-driven connectivity, and programmable network services. Enterprises increasingly require seamless connectivity between corporate locations, cloud platforms, data centers, applications, and remote users. NaaS can provide centralized management and on-demand connectivity across these environments, creating new Network-As-a-Service market opportunities and supporting Network-As-a-Service market growth. The development of standardized APIs and automated service provisioning is also expanding the ability of organizations to manage network resources dynamically.
In February 2025, BT and Equinix announced an expansion of their partnership to deploy BT's Global Fabric NaaS platform across more Equinix data centers. The platform was already deployed in more than 30 data centers and was planned to expand to more than 40, extending programmable connectivity across major business and cloud locations.
Balancing Network Security, Reliability, and Service Flexibility
The Network-As-a-Service market continues to face challenges in providing flexible and scalable networking while maintaining strong security, reliability, performance, and service availability. As network functions become increasingly software-defined and cloud-delivered, providers must protect distributed infrastructure, integrate security capabilities, maintain consistent service levels, and provide visibility across multiple environments. These requirements are shaping the Network-As-a-Service market outlook and influencing Network-As-a-Service industry trends toward integrated security, automation, observability, and resilient network architectures. Cisco notes that modern NaaS offerings increasingly incorporate security, monitoring, and AI-driven remediation capabilities to support these requirements.
In June 2025, Cisco introduced new networking and security innovations designed to support AI-ready data centers, emphasizing the need for high-bandwidth, low-latency, secure, and resilient networking as AI workloads expand. The developments demonstrate the increasing technical requirements placed on network infrastructure providers as enterprises adopt more demanding cloud and AI applications.
WAN-as-a-Service Segment Dominated the Network-As-A-Service Market with 58.3% Share in 2025
The WAN-as-a-Service segment dominated the global Network-As-A-Service market with a 58.3% share in 2025, driven by the growing need for flexible, scalable, and cost-efficient wide area network infrastructure. WAN-as-a-Service enables organizations to simplify network management, improve connectivity across distributed locations, and support cloud-based applications without requiring extensive physical infrastructure. Increasing adoption of distributed work environments, cloud computing, and software-defined networking is further supporting demand for managed WAN services.
LAN-as-a-Service continues to gain adoption among organizations seeking flexible management of local area networks and simplified network operations. Its ability to support centralized management, scalability, and efficient connectivity makes it suitable for enterprises transitioning toward software-defined and cloud-enabled network environments.
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Bandwidth on Demand (BoD) Segment is Projected to Register the Fastest Growth in the Network-As-A-Service Market at a CAGR of 34.1%
The Bandwidth on Demand (BoD) segment is projected to register the fastest growth in the global Network-As-A-Service market at a CAGR of 34.1% during 2026–2034, driven by the increasing need for flexible network capacity that can be adjusted according to changing traffic requirements. Bandwidth on Demand allows organizations to dynamically scale network resources, helping them manage traffic peaks, support data-intensive applications, and optimize network costs. Growing cloud adoption, digital transformation, and demand for high-speed connectivity are accelerating the adoption of flexible bandwidth solutions.
Cloud-based services and virtual customer premises equipment continue to support organizations seeking centralized and software-driven network management. Integrated Network Security-as-a-Service is gaining importance as businesses strengthen network protection while adopting cloud and distributed infrastructure. Wide Area Network services remain essential for connecting geographically distributed operations, while Virtual Private Networks continue to provide secure remote connectivity for employees, applications, and enterprise resources.
IT & Telecom Segment Dominated the Network-As-A-Service Market with 24.6% Share in 2025
The IT and Telecom segment dominated the global Network-As-A-Service market with a 24.6% share in 2025, driven by the sector's extensive reliance on high-performance connectivity, cloud infrastructure, distributed networks, and digital services. Network service providers and technology companies increasingly adopt flexible network solutions to manage growing data traffic, support cloud applications, and improve network scalability. The expansion of 5G, edge computing, cloud platforms, and software-defined networking is further strengthening demand for Network-As-A-Service solutions.
Healthcare organizations are increasingly adopting Network-As-A-Service to connect facilities, support digital healthcare applications, and improve secure data access. BFSI institutions rely on flexible network infrastructure to support secure financial transactions, cloud services, and geographically distributed operations. Retail and e-commerce companies are adopting managed network services to support digital commerce and connected stores, while manufacturing organizations are increasingly using network solutions to support automation and connected production environments. Transportation and logistics companies benefit from reliable connectivity across distributed operations, while the public sector continues to adopt Network-As-A-Service for modernizing digital infrastructure and improving connectivity across government operations.
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North America accounted for the largest share of the global Network-As-A-Service market, representing 39.4% of total revenue and reaching USD 13.03 billion in 2025. The region is projected to grow at a CAGR of 30.8% during 2026–2034. Strong cloud adoption, enterprise digital transformation, expanding software-defined networking, and increasing demand for flexible network infrastructure are supporting regional growth. Businesses are increasingly shifting toward consumption-based networking models to improve scalability, simplify network management, and reduce the need for extensive in-house infrastructure.
The US market was valued at approximately USD 10.90 billion in 2025, making it the largest contributor in North America. Strong adoption of cloud computing, software-defined networking, edge computing, and enterprise connectivity solutions continues to drive demand. Growing investments in secure, scalable, and managed network infrastructure are also supporting the adoption of Network-As-A-Service solutions.
Canada's market reached approximately USD 2.13 billion in 2025. Increasing cloud adoption, enterprise digitalisation, managed connectivity, and demand for flexible IT infrastructure are supporting market development. Businesses are increasingly looking for network solutions that can scale with changing workloads while reducing infrastructure management requirements.
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Asia Pacific accounted for 22.8% of the global Network-As-A-Service market, valued at USD 7.54 billion in 2025, and is projected to register the fastest CAGR of 34.9% during 2026–2034. Rapid digitalisation, expanding cloud infrastructure, increasing enterprise connectivity requirements, and growing adoption of software-defined networking are driving regional growth. The expansion of data centres, 5G networks, edge computing, and digital businesses is further increasing demand for flexible network services.
Japan's market generated approximately USD 1.20 billion in 2025. Strong enterprise digitalisation, cloud adoption, advanced telecommunications infrastructure, and growing use of software-defined networking are supporting market development. Increasing demand for reliable and scalable connectivity across large enterprises is also contributing to adoption.
China accounted for a major share of the Asia-Pacific market, reaching approximately USD 3.80 billion in 2025. Rapid cloud adoption, expanding data-centre infrastructure, 5G deployment, enterprise digital transformation, and growing demand for flexible network connectivity are driving market growth. Increasing adoption of software-defined and managed networking technologies is further strengthening market opportunities.
Europe accounted for 26.1% of the global Network-As-A-Service market, reaching USD 8.63 billion in 2025, and is projected to grow at a CAGR of 29.7% during 2026–2034. Growing cloud adoption, enterprise digital transformation, cybersecurity requirements, and increasing demand for flexible network infrastructure are supporting regional expansion. Businesses across the region are increasingly adopting managed and software-defined network services to simplify connectivity and improve operational efficiency.
The UK market was valued at approximately USD 1.40 billion in 2025. Strong cloud adoption, enterprise digital transformation, managed connectivity, and increasing demand for flexible IT infrastructure are supporting market growth. The expansion of hybrid work environments and cloud-based business applications is also increasing demand for scalable networking solutions.
Germany's market accounted for approximately USD 2.00 billion in 2025. Strong manufacturing, enterprise technology, cloud computing, and industrial digitalisation sectors are supporting demand for advanced network services. Increasing adoption of software-defined networking, edge connectivity, and managed infrastructure is further contributing to market expansion.
Latin America accounted for 6.7% of the global Network-As-A-Service market, reaching USD 2.22 billion in 2025, and is projected to grow at a CAGR of 31.2% during 2026–2034. Increasing cloud adoption, digital transformation, expansion of telecommunications infrastructure, and growing demand for managed connectivity are supporting regional growth. Businesses are increasingly moving toward flexible networking models to improve connectivity while controlling infrastructure costs.
Brazil's market was valued at approximately USD 1.05 billion in 2025. Growing cloud adoption, enterprise digitalisation, telecommunications investment, and demand for managed network services are supporting market development. Increasing use of software-defined networking and flexible connectivity solutions is also contributing to adoption.
Mexico's market reached approximately USD 0.60 billion in 2025. Expanding cloud infrastructure, manufacturing digitalisation, enterprise connectivity, and telecommunications development are supporting demand for Network-As-A-Service solutions. Increasing adoption of managed and software-defined network technologies is expected to create further opportunities.
Middle East and Africa accounted for 5% of the global Network-As-A-Service market, totalling USD 1.65 billion in 2025, and is projected to grow at a CAGR of 30.1% during 2026–2034. Growing digital transformation, cloud adoption, data-centre development, telecommunications investment, and enterprise connectivity requirements are supporting regional growth. Increasing demand for scalable network infrastructure is further encouraging adoption of managed networking services.
The UAE market was valued at approximately USD 0.35 billion in 2025. Strong investment in cloud infrastructure, smart-city initiatives, telecommunications, data centres, and digital transformation is supporting demand for Network-As-A-Service solutions. Increasing adoption of managed and software-defined connectivity is also contributing to market development.
Africa's market reached approximately USD 1.30 billion in 2025. Expanding telecommunications infrastructure, increasing cloud adoption, digitalisation, data-centre development, and growing enterprise connectivity needs are supporting market growth. Network-as-a-Service solutions can help organisations access scalable connectivity without making extensive investments in traditional network infrastructure.
The global Network-as-a-Service market is highly competitive, with telecommunications providers, networking companies, cloud technology firms, and managed service providers offering flexible connectivity and software-defined networking solutions. The top players in the industry include AT&T Inc., Verizon Communications Inc., DXC Technology Company, Synnex Corporation, Cisco Systems Inc., NEC Corporation, Hewlett Packard Enterprise Co., IBM Corporation, Oracle Corporation, GTT Communications Inc., VMware Inc., Telstra Corporation Limited, CenturyLink Inc., Meta Networks Ltd., Masergy Communications, Juniper Networks Inc., Nokia Corporation, Akamai Technologies, Brocade Communication Systems Inc., and others.
Industry participants are focusing on making enterprise networks more flexible, scalable, automated, and easier to manage. Companies are increasingly combining connectivity, SD-WAN, network security, virtualization, cloud access, and monitoring into subscription-based services. AT&T, for example, provides NaaS solutions that include network virtualization, on-demand connectivity, SD-WAN, security, and web-based service management. Cisco similarly describes NaaS as a cloud-based model that allows businesses to scale networking services without owning and maintaining all of the underlying infrastructure.
Verizon Communications Inc.: An Emerging Market Player
Verizon is a prominent participant in the Network-as-a-Service market, offering virtualized networking solutions designed to help enterprises improve network agility, simplify operations, and respond more quickly to changing business requirements. Its NaaS portfolio combines connectivity, managed SD-WAN, virtual network services, business internet, IoT, and managed network capabilities.
In 2026, Verizon continued expanding its NaaS and managed networking capabilities around flexible, programmable infrastructure. Its current NaaS offering emphasizes centralized network control, automation, scalability, and the ability to add or modify network resources without extensive hardware deployment. Verizon also highlights applications across cloud connectivity, remote locations, IoT, and enterprise infrastructure, reflecting the industry's shift toward on-demand and software-driven networking.
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Author's Details
Research Analyst
Tejas Zamde is a market research professional with over 2 years of experience in the technology, semiconductor, electronics, and automotive sectors. He specializes in market assessment, competitive intelligence, industry analysis, market sizing, demand analysis, and strategic research.
His experience includes analyzing technology trends, market dynamics, regulatory developments, supply-demand patterns, value chains, and competitive landscapes across global and regional markets. He has supported clients with opportunity assessment, customer segmentation, competitive benchmarking, and growth strategy development.
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