Network Infrastructure - Hong Kong

Hong Kong

Revenue in the Network Infrastructure market is projected to reach US$0.76bn in 2024.
Service Provider Network Infrastructure dominates the market with a projected market volume of US$0.55bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2028) of 6.56%, resulting in a market volume of US$0.98bn by 2028.
The average Spend per Employee in the Network Infrastructure market is projected to reach US$198.90 in 2024.
In global comparison, most revenue will be generated in China (US$45,690m in 2024).

Key regions: Europe, India, China, Japan, Germany

Definition:

The Network Infrastructure market focuses on hardware resources essential for service provider and enterprise networks. This market specifically focuses on solutions designed for the complex networking requirements of businesses and organizations, setting aside options like consumer-grade networking hardware products such as basic WIFI routers and network switches. These network infrastructure components are crucial in environments where reliable and secure connectivity, as well as efficient network operations, are paramount, establishing them as a fundamental part of the IT infrastructure in various industries.

Structure:

The Network Infrastructure market is structured in two markets based on the services model provided by the companies.

Service Provider Network Infrastructure covers the hardware resources of telecommunication service companies that enable wired and wireless network connectivity and communication to transfer voice and data.
Enterprise Network Infrastructure covers the hardware resources that enable wired and wireless network connectivity, communication, operations, and management of enterprises.

Additional Information:

The Network Infrastructure market includes revenue, revenue change, average spend per employee, and key player market shares as key performance indicators. Only revenues that are generated by primary vendors at the manufacturer price level either directly or through distribution channels (excluding value-added tax) are included, and revenues generated by resellers are excluded. Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players in the Network Infrastructure market include companies such as Huawei, HPE, Cisco, and Ericsson.

For more information on the data displayed, use the info button right next to the boxes.

Market

Region

Region comparison

Currency

Analyst Opinion

The Network Infrastructure market in Hong Kong is experiencing significant growth and development in recent years. Customer preferences in the market are shifting towards high-speed and reliable internet connections. With the increasing reliance on digital technologies and the growing demand for data-intensive applications, such as video streaming and cloud computing, customers are seeking network infrastructure solutions that can support their connectivity needs. Furthermore, businesses in Hong Kong are also prioritizing network infrastructure investments to ensure seamless operations and to meet the evolving demands of their customers. One of the key trends in the market is the adoption of 5G technology. Hong Kong has been at the forefront of 5G deployment, with major telecommunication companies investing heavily in the infrastructure required to support this next-generation network. The implementation of 5G technology will not only provide faster and more reliable internet connections but also enable the development of innovative applications and services, such as smart cities and Internet of Things (IoT) solutions. Another trend in the market is the increasing demand for fiber optic networks. Fiber optic cables offer higher bandwidth and faster data transmission speeds compared to traditional copper cables. As a result, there is a growing demand for fiber optic infrastructure in Hong Kong to support the increasing data traffic and bandwidth requirements. This trend is further fueled by the government's initiatives to promote the adoption of fiber optic networks, such as the Fiber-To-The-Home (FTTH) program. In addition to customer preferences and market trends, there are also local special circumstances that contribute to the development of the Network Infrastructure market in Hong Kong. The city's dense population and high concentration of businesses create a strong demand for robust and reliable network infrastructure. Furthermore, Hong Kong's position as a major international financial hub and its connectivity to mainland China make it a strategic location for businesses and telecommunication companies, driving the need for advanced network infrastructure. Underlying macroeconomic factors also play a role in the development of the Network Infrastructure market in Hong Kong. The city's strong economy and favorable business environment attract investments from both local and international players. This, in turn, drives the demand for network infrastructure to support business operations and facilitate economic growth. Additionally, the government's commitment to digital transformation and the development of smart city initiatives further contribute to the growth of the Network Infrastructure market. Overall, the Network Infrastructure market in Hong Kong is experiencing significant growth and development driven by customer preferences for high-speed and reliable connectivity, the adoption of 5G technology, the demand for fiber optic networks, local special circumstances, and underlying macroeconomic factors. As the city continues to embrace digital technologies and innovation, the Network Infrastructure market is expected to further expand in the coming years.

Methodology

Data coverage:

The data encompasses B2B enterprises. Figures are based on hardware-related expenses of businesses for setting up and maintaining an IT infrastructure.

Modeling approach / Market size:

Market sizes are determined through a top-down approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports and national statistical offices. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of digitization. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques, such as exponential trend smoothing and the S-curve function, is based on the behavior of the relevant market.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.