Market Overview:

The Global Application Delivery Controller (ADC) Market Size Was Valued At USD 4.09 Billion In 2022, And Is Projected To Reach USD 4.48 Billion By 2030, Growing At A CAGR Of 9.5% From 2023 To 2030.

An Application Delivery Controller (ADC) is a type of network device that helps application servers manage traffic, stay secure, and run well. In other words, an ADC makes sure that applications are delivered quickly, securely, and with high availability. In the past few years, ADCs have become more important as the number of applications and users who access them has grown by leaps and bounds. With the rise of the cloud and mobile devices, it has become even more important to have an ADC that can handle traffic across hybrid and multi-cloud environments.

ADC helps organizations provide high availability of applications to their employees by balancing workloads. Load balancing ensures enhanced responsiveness, increased availability, and optimized server utilization. Hence, market players are offering their customers ADC solutions with advanced features. For example, in June 2020, A10 Networks launched a turnkey OEM application security and delivery solution. The new solution provides application availability, security and reliability for hybrid cloud infrastructures through SSL delivery and advanced load balancing.

Market Dynamics:

Market Trends:

The BFSI sector is quickly embracing digital transformation and updating its legacy infrastructure, which is driving up the demand for ADCs. With the rise of technology and digital channels like Internet banking, mobile banking, digital wallets, and real-time payments, digital banking is becoming the most popular way to get banking services. Advanced authentication and access control processes are more important than ever for banks to use.

The digital ecosystem that a bank is a part of is growing quickly. Because consumer needs change all the time, banks have been under pressure to tailor their products to meet their needs. Also, people who live on the go and socialize on digital platforms expect banks to reach out to them in the same way. In the BFSI sector, this is making more people want application delivery controllers.

Driving Factors:

• Increasing Demand for Advanced Application Delivery Solution

The growth can be explained by the need for more advanced application delivery solutions and better network security. ADCs are used to make applications run faster and be available more of the time. They are also used to keep networks safe and make the best use of their resources. ADCs have many features, such as load balancing, application acceleration, compression, SSL offloading, and content switching.

• Rising Demand for Cloud-Based Services

One of the main things that makes the ADC market grow is the rising demand for cloud-based services. Cloud-based services have a lot of benefits, such as being scalable, flexible, and cheap. Small and medium-sized businesses are taking them up in large numbers (SMEs). Another big reason for the growth of the ADC market is the need to make networks safer. ADCs are being used more and more by businesses to protect their networks from threats like DDoS attacks, malware, and viruses.

Restraints/Challenges:

• Lack Of Awareness

Some things are stopping the market from growing. Small and medium-sized businesses don't know about the benefits of ADC, ADC solutions are expensive, and there aren't enough people with the right skills. One of the main things holding back the growth of the application delivery controller market is that people don't know what ADC can do for them. ADC solutions have many benefits, including better application performance, less downtime for the network, and better security. But many small and medium-sized businesses don't know about these benefits, so they are hesitant to invest in ADC solutions.

• High Cost of ADC Solution

The growth of the market is also being held back by the high cost of ADC solutions. ADC solutions are expensive and require a significant upfront investment. This is a big problem for small and medium-sized businesses, which often have limited funds. The application delivery controller market can't grow as fast as it could because there aren't enough skilled workers. ADC solutions are complicated and need to be set up and managed by people who have been trained to do so. But the ADC market isn't growing as fast as it could because there aren't enough skilled workers.

Opportunities:

ADC is used to spread traffic across multiple servers to make applications run faster and be more available. It can also provide security and make sure that application traffic is running as smoothly as possible. ADC can be set up as a physical appliance, a virtual appliance, or a service in the cloud. It comes in different shapes and sizes to meet different deployment needs. ADC can be used with firewalls, application switches, and routers, among other networking devices.

ADC has many benefits that can be used to make applications run faster and be more available. It can also provide security and make sure that application traffic is running as smoothly as possible. Some of ADC's most important benefits are:

• Load balancing: ADC spreads traffic across multiple servers to make applications run faster and be more available.
• Security: ADC can protect applications from attacks by giving them security features like SSL encryption and a web application firewall.
• Optimization: ADC can improve the performance of application traffic by optimizing it.
• Availability: ADC can make applications more available by giving them features like failover and redundancy. The ADC market is growing because more and more people want solutions for delivering applications and spreading out the load.

The following things are making the need for ADC grow: Increasing demand for application delivery: The need to improve application performance and availability is driving up the demand for application delivery. Application delivery controllers are used to improve the performance of applications by sending traffic to different servers.

Strategic Development:

• In May 2021- Kemp announced the launch of its Zero Trust Access Gateway architecture to make it easier to use a zero-trust model to secure workloads and services that are already online. The ZTAG solution is a set of proxy, authentication, access logic, and automation tools that help customers use zero trust logic in load-balanced web applications.
• In May 2021 - Array network announced that its APV Series application performance controllers now have a new software version (version 10.2.x) and a new hardware platform (the x800 Series). The physical appliances in the APV x800 Series (APV1800, 2800, 5800, etc.) offer production in multiple metrics, 40 Gig-E interfaces, and better SSL performance.
• In May 2022 - Advanced Energy Industries Inc., a global leader in highly engineered, precise power conversion, measurement, and control solutions, announced a complete RF power delivery solution that combines advanced digitally-controlled power supplies with an accurate digital impedance matching network. The ALTA platform was made for thin-film industrial applications. It offers flexible, precise, and repeatable control that improves process stability and gives the best yield in its class.
• In January 2022 - NGINX released new versions of its NGINX Controller Application Delivery Module, which is a control plane solution for NGINX Plus load balancers. Among the new features are better workload health checks, changes to how caching is set up, and many more. The main thing that NGINX Controller does is provide a centralized platform for managing fleets of NGINX Plus instances through orchestration and analytics. NGINX Plus is a load balancer, server, and content cache that all work together. The Application Delivery Module gives NGINX Plus instances a way to handle the control plane. This gives the applications a way to set up, secure, monitor, and fix problems with their load balancing.

Key Vendors:

Top market players includes

• A10 Networks Inc.

A10 Networks helps service providers, cloud providers, and enterprises make sure their 5G networks and multi-cloud applications are safe. With advanced analytics, machine learning, and smart automation, business-critical applications are safe, reliable, and always available. A10 Networks was started in 2004 and is based in San Jose, California.

• Citrix Systems Inc.

Citrix Systems, Inc. designs, develops, and sells solutions for information technology. It gives you a digital workspace that brings together all of your apps, data, and services. It sells its products directly to customers and gives them licenses to use them through the web, systems integrators, value-added resellers, and service providers.

• F5 Networks Inc.

F5 is an application services and security company that wants to make the digital world a better place. F5 works with the biggest and most advanced companies in the world to optimize and protect every app and API, no matter where they are—on-premises, in the cloud, or at the edge. F5 helps companies give their customers great digital experiences that are safe and stay one step ahead of threats.

• Array Networks, Inc.

Array has a full set of application delivery and security solutions that are meant to increase employee productivity, make sure that applications are always available, improve the end-user experience, and protect business infrastructure from attacks and data leaks.

• Barracuda Networks Inc.

Barracuda Networks Inc, which is a division of KKR & Co Inc and goes by the name "Barracuda," makes solutions for networking, storage, and security. The company offers a wide range of products and services, such as networking, content security, application delivery, data storage, protection, and disaster recovery. It makes and sells solutions for security and storage. Barracuda has solutions that connect to the cloud and help its customers deal with security threats, protect and store their data, and improve the performance of their networks.

• Brocade Communications Systems, Inc.

Brocade Communications Systems, Inc. sells networking equipment, such as Storage Area Networking solutions and Internet Protocol networking solutions, to businesses and organizations of all shapes and sizes, including global enterprises and service providers like telecommunications, cable operators, and mobile carriers.

• Cisco Systems Inc.

Cisco (NASDAQ: CSCO) helps people make strong connections in business, education, philanthropy, and creativity. Cisco's hardware, software, and services are used to make the Internet solutions that make networks possible and make it easy to get information from anywhere, at any time. In 1984, a small group of computer scientists from Stanford University got together to start Cisco.

• Dell Inc.

Dell Technologies Inc. (Dell) is a company that sells desktop PCs, software, and other hardware. The company designs, develops, makes, markets, sells, and supports IT infrastructure like laptops, desktops, mobiles, workstations, storage devices, software, cloud solutions, and notebooks. It sells goods under the brand names Dell, Pivotal, Dell EMC, SecureWorks, Alienware, and Virtustream.

• Fortinet Inc.

Fortinet Inc. (Fortinet) makes next-generation firewalls and network security solutions for large businesses. The company protects against threats to security and makes the IT infrastructure easier to use. It sells products to carriers and MSSPs for network security, data centers, enterprises, distributed offices, network access, application security, and security management.

• KEMP Technologies Inc.

Kemp, which used to be called KEMP Technologies, is a company that makes and sells software. Small and medium-sized businesses can use its solutions for load balancing, monitoring network performance, and network detection and response.

Segmentation Analysis:

The market is segmented on the basis of deployment, organization size and region

By Deployment Outlook:

The Application Delivery Controllers (ADC) market is split into Software/Virtual and Hardware based on how they are used. In 2021, 9.65% of the market was made up of the Software/Virtual segment. It offers an alternative to standard application delivery controllers that is cheaper and easier to manage. Because of software-defined networking and virtualization, application delivery controllers can now be set up in more ways. At the same time, containers and other microservices are changing the way enterprise data centers work. Virtual application delivery controllers also offer new ways to improve networks and apps, such as clustering, intelligent design, and deep packet inspection.

• Software/Virtual
• Hardware

By Organization Size:

The Application Delivery Controllers (ADC) market is split into Small and Medium Enterprises and Large organization based on the size of the business. In 2021, 21% of the market was made up of small and medium-sized businesses (SME). ADCs help applications adapt to today's networks and protocols, which are widely used as key parts of the business. They also make sure that apps work well, are available, and don't put the user or the company's security at risk. Most SMEs run their businesses using web-based software and services that can be used on the web. Also, these apps are open to attacks like hacking, malware, and denial-of-service. ADCs help reduce the risks that come with IT security and make sure that privacy and data security laws are followed.

• SMEs
• Large Enterprise

By Industry Vertical:

The industries that serve end users are moving toward cloud networking. During the application delivery controllers market forecast, it is expected that the IT and telecom sector will grow at a very fast rate. Due to high Internet use, there is a lot of demand for ADCs from developing countries. This, in turn, is likely to give the app delivery controller some good chances to grow. During the time frame of the forecast, the government segment is expected to grow.

• Government and Public Sector
• Healthcare and Life Sciences
• IT and Telecom
• Others

Regional Outlook:

The global Application Delivery Controller (ADC) market has been looked at in different parts of the world, like North America, South America, the Middle East, Asia-Pacific, Africa, Europe, and India. In the near future, this market will be led by the global Application Delivery Controller (ADC) region.

Due to more people using the internet and more people adopting new technologies, North America has the largest market for application delivery controllers. For example, Statista said in August 2021 that the United States had 313 million active internet users and that 90% of Americans had access to the internet. So, the growth of the market is caused by more people using the internet in the area.

During the predicted time period, Europe is likely to grow a lot. In the UK, government programs like the Local Digital Declaration, the Technology Code of Practice, the Cloud First Policy, and the Digital Marketplace are making it easier for people to use the cloud. Small and medium-sized businesses are using the cloud more and more, which is likely to increase the need for application-based controller solutions across the region.

Application delivery controller could be sold in the Asia-Pacific region. The growth of the market is likely to be helped by the increased number of networks and internet users in the region. For example, the Statista report says that China had 939.8 million internet users in January 2021, which was the most of any country. India had 624 million Internet users, which was second only to China. Indonesia had 202.6 million Internet users.

The use of smartphones and better network bandwidth are likely to lead to moderate growth in the Middle East and Africa. The growth of the market is likely to be driven by government programs like the Digital Economy Initiative for Africa that help countries change to a digital economy. With more cyberattacks, less IT infrastructure and internet connectivity, and more people using the internet, Latin America will have steady growth.

• North America
• US
• Canada
• Mexico
• Rest of North America
• Europe
• Germany
• France
• Italy
• Spain
• UK
• Nordic Countries
• Denmark
• Finland
• Iceland
• Sweden
• Norway
• Benelux Union
• Belgium
• The Netherlands
• Luxembourg
• Rest of Europe
• Asia-Pacific
• Japan
• China
• India
• Australia
• South Korea
• Southeast Asia
• Indonesia
• Thailand
• Malaysia
• Singapore
• Rest of Southeast Asia
• Rest of Asia-Pacific
• The Middle East & Africa
• Saudi Arabia
• UAE
• Egypt
• South Africa
• Rest of the Middle East & Africa
• Latin America
• Brazil
• Argentina
• Rest of Latin America

Scope of Report:

Conclusion:

• The report is mostly about the ADC market analysis's growth prospects, barriers to growth, and trends.
• The study uses Porter's five forces analysis to figure out how different things affect the ADC market.
• These factors include the bargaining power of suppliers, the competitive intensity of competitors, the threat of new entrants, the threat of substitutes, and the bargaining power of buyers.