TECH SUPPLIER Aug 2022 - Market Forecast - Doc # JPE47880822

Japan Enterprise Networks Forecast, 2022–2026

By:

Kenichi Kusano
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Abstract

This IDC study provides market forecasts from 2022 to 2026 as well as an outlook on the Japan enterprise network equipment market, which consists of enterprise Ethernet switches, enterprise routers, and enterprise wireless LAN equipment. In 2021, the Japan enterprise network equipment market is expected to shrink in reaction to the special demand from the GIGA School program in the previous year, but it achieved positive growth because of the renewal of enterprise networks adapted to new workstyles and the growth in demand for wireless LANs, which play a central role in these networks. Regarding the future Japan enterprise network equipment market, the study maintains the view that this market is a mature market, but predicts that it will continue to grow moderately, based on renewed enterprise networks adapted to hybrid workstyles and a renewed appreciation of the potential for new wireless LAN deployments. On the other hand, supply chain issues centered on semiconductor supply shortages continue to affect both product markets with supply not keeping up with demand.

"Vendors should use the current supply chain challenges as an opportunity to reexamine and strengthen risk management across the entire supply chain. They should continue to examine how to minimize lost market opportunities in the event of supply chain problems by restructuring their product lineups to accommodate multiple supply chain partners and optimizing product inventory in collaboration with sales partners," says Kenichi Kusano, group director at IDC Japan.


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