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Router market: Who’s growing

The global router market faced significant declines in 2024, with the service provider segment, which accounts for 73.2 percent of the total market, dropping 7.3 percent in 4Q24 and 22.8 percent for the full year.

TeamViewer user on a laptop
TeamViewer user on a laptop

The enterprise segment of router market showed a more stable performance, growing 4.2 percent in the fourth quarter but still declining 7.0 percent for the year.

Regional trends followed a similar downward trajectory. The Americas saw a 4.0 percent drop in 4Q24 and a 24.6 percent decline for the full year.

The Asia Pacific market fell 5.9 percent in the fourth quarter and 18.0 percent for the year.

Europe, the Middle East, and Africa declined 3.1 percent in 4Q24 and 11.9 percent annually, Brandon Butler, senior research manager, Enterprise Networks, IDC, said in its latest report.

Router market vendors

Among vendors, Cisco remained the dominant player in the router market, despite its revenue declining 10.9 percent in 4Q24 and 28.2 percent for the full year. The company ended the year with a 35.9 percent market share.

Huawei followed with a 29.22 percent market share but experienced an 8.9 percent decline in 4Q24 and a 19.1 percent drop for the year.

H3C held a smaller market share of 2.3 percent, with revenues decreasing 7.5 percent in 4Q24 and 5.3 percent for the year.

The overall router market contraction reflects the challenges faced by service providers amid shifting demand and economic pressures. While enterprise routing showed signs of resilience, it was not enough to offset the broader decline. Looking ahead, investments in AI-driven network optimization, cloud-based routing solutions, and next-generation network infrastructure could help stabilize and drive growth in the router market.

Baburajan K

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