MPLS IP VPN Services Market To Reach $101.32 Billion By 2030

Multi-protocol Labelled Switching, Internet Protocol, Virtual Private Network Services Market Growth & Trends

The global multi-protocol labelled switching, internet protocol, virtual private network services market size is expected to reach USD 101.32 billion by 2030, growing at a CAGR of 6.6% from 2024 to 2030, according to a new report by Grand View Research, Inc. The market growth is be primarily driven by increasing demand for secure, efficient, and scalable networking solutions across various industries. As businesses embrace digital transformation, these technologies play a key role in enabling efficient communication, collaboration, and data management across geographically dispersed locations. MPLS IP VPN services offer enterprise customers several key benefits, including any-to-any connectivity, QoS guarantees, and stringent service level agreements (SLAs). These features enable enterprises to prioritize mission-critical applications, ensure consistent performance, and minimize downtime, ultimately enhancing their overall business operations. For instance, Cisco Systems, Inc. provides the Cisco IOS XR software, which supports features such as MPLS label switching, traffic engineering, and QoS management.

The rollout of 5G networks promises higher speeds, lower latency, and increased connectivity, which will drive the proliferation of IoT devices. As IoT devices become prevalent in various industries, the need for robust and secure network solutions to manage and protect these devices will rise. MPLS IP VPN services can provide the high-performance and secure connectivity required for IoT applications, creating new market opportunities. Businesses are placing greater emphasis on cybersecurity, considering the growing frequency and sophistication of cyberattacks. Advanced security features in MPLS IP VPN services, such as encryption, secure tunneling, and threat detection, are becoming more critical. Providers that can offer cutting-edge security solutions integrated with their networking services will be well-positioned to attract customers looking to enhance their cybersecurity.

Due to decreasing bandwidth costs and rising concerns about IT expenses and network security, organizations are increasingly adopting a cloud-based approach. This shift requires adding more locations to their network and ensuring inter-network connectivity. MPLS, with its ability to support multipoint full-mesh connectivity, is particularly well-suited to meeting these requirements. Additionally, MPLS IP VPN services are well-equipped to address security issues as more enterprises move data to the cloud. Cloud-based services accessed via IP VPNs are expected to be crucial in driving market growth throughout the forecast period.

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Multi-protocol Labelled Switching, Internet Protocol, Virtual Private Network Services Market Report Highlights

• Based on service, the layer 3 segment led the market in 2023, accounting for over 60.0% share of the global revenue. Compared to layer 2 VPNs, layer 3 VPNs are widely available and offered by most service providers, allowing enterprises to plan and implement global networks with relative ease.

• Based on application, the audio conferencing segment accounted for the largest market revenue share in 2023. As organizations continue to prioritize effective communication and collaboration, the audio conferencing application segment is poised for continued growth over the forecast period.

• Based on deployment model, the managed services segment accounted for the largest market revenue share in 2023. MSPs often integrate advanced security measures such as threat detection, encryption, and compliance management, addressing the stringent security requirements of modern businesses.

• North America dominated with a revenue share of over 34.0% in 2023. The region has a thriving tech industry that emphasizes innovation. This can lead to the development of new technologies that integrate with MPLS IP VPNs, further enhancing their capabilities.

Multi-Protocol Labelled Switching, Internet Protocol, Virtual Private Network Services Market Segmentation

Grand View Research has segmented the global Multi-Protocol Labelled Switching, Internet Protocol, Virtual Private Network (MPLS IP VPN) services market based on service, application, deployment model, industry, and region:

MPLS IP VPN Service Outlook (Revenue, USD Million, 2017 - 2030)

• Layer 2

• Layer 3

MPLS IP VPN Services Application Outlook (Revenue, USD Million, 2017 - 2030)

• Automated Machines

• Video Conferencing

• Audio Conferencing

• Others

MPLS IP VPN Services Deployment ModelOutlook (Revenue, USD Million, 2017 - 2030)

• Managed Services

• Self-Services

MPLS IP VPN Services IndustryOutlook (Revenue, USD Million, 2017 - 2030)

• BFSI

• Healthcare

• IT & Telecom

• Government

• Education

• Retail & Consumer Goods

• Others

MPLS IP VPN Services Regional Outlook (Revenue, USD Million, 2017 - 2030)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • UK

  • Germany

  • France

• Asia Pacific

  • China

  • India

  • Japan

  • Australia

  • South Korea

• Latin America

  • Brazil

• Middle East and Africa (MEA)

  • UAE

  • South Africa

  • KSA

List of Key Players in the Multi-Protocol Labelled Switching, Internet Protocol, Virtual Private Network (MPLS IP VPN) Services Market

• AT&T INC.

• British Group plc

• Lumen Technologies.

• Cisco Systems, Inc.

• GCX

• Reliance Globalcom Services Inc.

• Telefonica Group

• Telstra Corporation

• T?Mobile USA, Inc.

• Verizon Communications Inc.