South Korea Software-Defined Networking Market Overview
As per MRFR analysis, the South Korea Software-Defined Networking Market Size was estimated at 270.08 (USD Million) in 2023.The South Korea Software-Defined Networking Market Industry is expected to grow from 350(USD Million) in 2024 to 1,200 (USD Million) by 2035. The South Korea Software-Defined Networking Market CAGR (growth rate) is expected to be around 11.853% during the forecast period (2025 - 2035)
Key South Korea Software-Defined Networking Market Trends Highlighted
The South Korea Software-Defined Networking Market is undergoing substantial growth as a result of the growing demand for IT infrastructure that is both flexible and efficient in its network management. South Korean businesses are implementing SDN to optimize their operations and minimize expenses as they pursue digital transformation. The government has also acknowledged the significance of advanced technologies, incorporating SDN into its Smart Nation initiative to improve services and improve connectivity. This fosters an environment that is conducive to the development of SDN solutions, which in turn motivates both established enterprises and local entrepreneurs to innovate. The trend of collaborating with telecommunications providers to construct more comprehensive SDN frameworks has gained momentum in recent years.Â
These alliances facilitate the acquisition of sophisticated networking capabilities, thereby improving the operational efficiency of organizations. The demand for SDN is further fueled by the emergence of 5G technology in South Korea, which necessitates scalable and agile networking solutions to accommodate an increasing number of connected devices. SDN is becoming increasingly necessary for the maintenance of the high-performance networks required in various sectors, as organizations concentrate more on automation and virtualization. Furthermore, there are opportunities to be investigated in sectors such as healthcare and education, where SDN can improve data administration and communicate securely.Â
The growing necessity for SDN solutions that can provide enhanced security features is also indicated by the increasing significance of cybersecurity in network management. The future networking capabilities of South Korean enterprises will be significantly influenced by the evolution of SDN as they continue to prioritize digital infrastructure. In general, the South Korean Software-Defined Networking Market is on the brink of significant growth, which is being fueled by these critical market dynamics and opportunities.

Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review
South Korea Software-Defined Networking Market Drivers
Rapid Digital Transformation in South Korea
The South Korea Software-Defined Networking Market Industry is experiencing significant growth due to the rapid digital transformation across various sectors in the region. The South Korean government has implemented policies to promote Information and Communication Technology (ICT) by investing over 15 billion USD into the Digital New Deal initiative, which aims to enhance the nation's digital economy and infrastructure by 2025. As more businesses shift towards digital operations and automation, the demand for Software-Defined Networking (SDN) solutions is expected to rise sharply.
This transition is supported by notable organizations such as Samsung and KT Corporation, who are at the forefront of this digital revolution. Their investments in cloud services and data centers are creating a favorable environment for SDN technologies, which facilitate more agile, efficient, and scalable network management. This rapid adoption of digital processes and the ongoing government support are key drivers behind the growth of the South Korea Software-Defined Networking Market.
Growing Need for Network Flexibility and Scalability
As businesses in South Korea continue to expand their operations, the need for flexible and scalable network solutions has become more critical than ever. Software-Defined Networking allows for dynamic configuration and management of network resources, which is essential for companies experiencing growth or operating in fluctuating market conditions. According to the Ministry of Science and ICT in South Korea, the number of small and medium-sized enterprises utilizing cloud-based solutions has increased by approximately 25% in the last three years.
Companies like LG CNS have been at the forefront of offering innovative SDN solutions that enable organizations to respond to changing demands effectively and efficiently. This growing need for adaptability is a significant factor contributing to the South Korea Software-Defined Networking Market's expansion.
Increasing Cybersecurity Concerns
The rise in cyber threats and data breaches has heightened the importance of robust networking solutions in South Korea. The South Korean government reports that cyberattacks have increased by nearly 30% year-on-year, prompting businesses to seek advanced security solutions. Software-Defined Networking provides enhanced security features, such as segmentation and automated responses to potential threats, making it an attractive choice for organizations looking to safeguard their data.
Prominent players like SK Telecom are investing heavily in SDN technologies that integrate advanced security measures, which is further driving the demand in the South Korea Software-Defined Networking Market. The increasing focus on cybersecurity is creating a strong impetus for the growth of SDN solutions in the region.
Supportive Government Policies and Investments in Telecommunication Infrastructure
The South Korean government is taking proactive steps to enhance the telecommunication infrastructure of the country, which significantly boosts the South Korea Software-Defined Networking Market Industry. Initiatives such as the '5G+ Strategy' aim to establish South Korea as a global leader in 5G technology and related areas. The government is allocating substantial funds to improve network connectivity and reliability, thereby creating a favorable landscape for adopting SDN technologies.
State-owned enterprises like Korea Telecom are spearheading investments into SDN-compatible infrastructure that aligns with government goals. This supportive government environment is expected to catalyze the growth of the South Korea Software-Defined Networking Market, making it essential for organizations to stay competitive.
South Korea Software-Defined Networking Market Segment Insights
Software-Defined Networking Market Component Insights
The Component segment of the South Korea Software-Defined Networking Market is a crucial part of the overall market structure, combining Hardware Components, Services, and Software to create a robust ecosystem. The growing emphasis on network efficiency across various sectors in South Korea is driving the need for advanced Software-Defined Networking solutions. Hardware components such as switches, routers, and physical transmission units play an essential role in establishing flexible networking frameworks, allowing organizations to meet increasing bandwidth demands.
As for Services, the integration of network management, installation, and consulting services fosters a more seamless implementation of Software-Defined Networking technologies, thereby enhancing operational efficiencies. The Software aspect provides the necessary interfaces for control and management of the network, ensuring adaptability to changing business requirements. This balanced integration of these components not only supports scalable architectures but also helps in reducing operational costs. The South Korean government has been actively promoting initiatives aimed at digital transformation, which further accelerates the demand for innovative SDN solutions.
With a growing number of enterprises adopting SDN to improve their agility and responsiveness to market conditions, the significance of the Component segment is highlighted, as organizations seek integrated solutions that offer both flexibility and reliability in managing their networks. The market's push towards automation and the rising trend of cloud computing also underscore the importance of this Component segment, particularly in how it contributes to the overall agility of business operations in South Korea. As technology continues to evolve, so too does the need for these components to facilitate seamless interactions across multiple platforms, ensuring that South Korea remains at the forefront of the digital networking landscape.

Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review
Software-Defined Networking Market Application Insights
The South Korea Software-Defined Networking Market is experiencing significant growth, primarily driven by advancements in technology and increasing demand for flexible networking solutions. In this context, the Application segment has emerged as a critical area, encompassing various approaches such as Open SDN, SDN via API, and SDN via Overlay. Open SDN represents a shift towards more open frameworks, enabling interoperability and collaboration among different vendors, which is crucial given South Korea's highly connected tech-savvy population and robust infrastructure development.On the other hand, SDN via API facilitates seamless integration and automation, allowing businesses to enhance operational efficiency and streamline network management.Â
This is particularly significant as more organizations in South Korea adopt digital transformation strategies. Furthermore, SDN via Overlay addresses the growing complexity of managing diverse network environments by providing virtualized layers that enhance scalability and resource allocation. This adaptability is essential for enterprises looking to meet the demands of evolving digital landscapes.Overall, the diversification within the Application segment is crucial for capturing market opportunities and addressing the varying needs of South Korean enterprises, underscoring the importance of innovative networking solutions in driving the country's digital economy.
Software-Defined Networking Market Solution Insights
The Solution segment of the South Korea Software-Defined Networking Market encompasses crucial components such as Physical Network Infrastructure Solution, Network Virtualization, and Automation Solution, each playing a vital role in shaping the networking landscape of the region. With increasing digital transformation initiatives across industries in South Korea, the demand for robust Physical Network Infrastructure Solutions has surged, underpinning the creation of efficient and scalable networks. Network Virtualization promotes agile, efficient, and flexible networking, enabling businesses to manage resources effectively, an essential capability as organizations pivot towards more cloud-centric operations.
Additionally, Automation Solutions are increasingly pivotal, as companies aim to streamline operations, enhance network management, and reduce human error, thus fostering greater efficiency and responsiveness in network deployment. The synergy of these elements contributes significantly to the overall performance and agility of the South Korea Software-Defined Networking ecosystem, as firms leverage these solutions to innovate and remain competitive in the rapidly evolving tech landscape. Overall, the profound developments in these areas underscore their importance for businesses aiming to adapt to the complexities and demands of modern networking environments.
Software-Defined Networking Market End-User Insights
The End-User segment of the South Korea Software-Defined Networking Market is characterized by diverse applications across various industries, including Retail, I.T. and Telecommunication, Healthcare, Banking, Financial Services, and Insurance (BFSI), Industrial, and Government sectors. Retail has been leveraging software-defined networking to enhance customer experiences and streamline operations, especially with the rise of e-commerce, making it a vital player in the market. The I.T. and Telecommunication sector is significant as it drives technology adoption, showcasing continuous innovation and a robust demand for flexible networking solutions.In the Healthcare sector, the integration of software-defined networking solutions enhances data management and security, addressing the challenges posed by increased digital health applications.Â
The BFSI segment relies heavily on secure and efficient network infrastructures to manage financial transactions and client data, ensuring compliance with regulations. Meanwhile, both Industrial and Government sectors are experiencing significant transformations due to the digitalization of processes, optimizing operational efficiencies and data-driven decision-making.This growing adoption across these sectors indicates the crucial role of software-defined networking in transforming traditional networking paradigms, with each industry contributing uniquely to the overall growth of the South Korea Software-Defined Networking Market.
South Korea Software-Defined Networking Market Key Players and Competitive Insights
The South Korea Software-Defined Networking Market has been steadily evolving, driven by the increasing demand for more responsive and programmable network infrastructures. As organizations across various sectors seek to enhance their operational efficiency, the adoption of SDN technologies has become crucial. The competitive landscape in this sector features a mix of established players and emerging companies that are innovating to meet the growing needs for flexibility, scalability, and cost-effectiveness in networking solutions. These companies are leveraging advancements in cloud computing, data analytics, and automation to provide cutting-edge solutions that support the transformation of traditional networking paradigms into more agile software-driven models.Â
This transition is not only reshaping the way networks are managed but is also creating opportunities for businesses to explore new revenue streams and improve their overall service delivery.POSCO ICT is a key player in the South Korea Software-Defined Networking Market, recognized for its comprehensive suite of networking solutions tailored to meet the specific needs of diverse industries. The company's strengths lie in its robust technological capabilities and a deep understanding of the local market dynamics. With a focus on delivering integrated and optimized networking solutions, POSCO ICT has established a solid presence in both the public and private sectors. Their investments in research and development, along with strategic partnerships, enable them to stay at the forefront of SDN innovations. The company's strong reputation and commitment to leveraging emerging technologies have positioned it as a trusted partner for organizations looking to enhance their networking capabilities and improve operational efficiencies.
Arista Networks, while globally recognized, also holds a significant position in the South Korea Software-Defined Networking Market. The company is known for its high-performance cloud networking solutions, which include products that support automation and programmability in large-scale data center environments. Arista Networks' strengths in this region stem from its ability to rapidly adapt to changing market needs and its continuous investment in technology upgrades. Their comprehensive portfolio covers high-density switches, advanced network monitoring tools, and security features aimed at optimizing network management. Additionally, Arista has engaged in strategic mergers and acquisitions to bolster its offerings and extend its market reach. The company's commitment to delivering innovative SDN solutions has made it a preferred choice among various enterprises in South Korea, enabling them to harness the power of software-defined technologies for enhanced operational outcomes.
Key Companies in the South Korea Software-Defined Networking Market Include
- POSCO ICT
- Arista Networks
- Samsung Electronics
- SK Telecom
- Hewlett Packard Enterprise
- Juniper Networks
- Naver Cloud
- Huawei
- LG Electronics
- Cisco Systems
- KT Corporation
- Microsoft
- Oracle
- IBM
- VMware
South Korea Software-Defined Networking Market Industry Developments
In May 2023, SK Telecom announced a partnership with Hewlett Packard Enterprise (HPE) to implement advanced networking solutions that are designed to enhance service efficacy. The primary objective of this collaboration is to improve the automation and virtualization capabilities of the network.Arista Networks has been bolstering its presence in South Korea by emphasizing the provision of cloud-based network solutions. In its Software-Defined Cloud Networking (SDCN) offerings, the organization prioritizes operational efficiency, application mobility, and scalability.
Samsung Electronics introduced new networking products in August 2023 that are specifically designed to facilitate high-capacity data transmission, in response to the growing demand for efficient cloud services. The objective of these products is to improve the reliability and efficacy of the network.
South Korea Software-Defined Networking Market Segmentation Insights
Software-Defined Networking Market Component Outlook
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- Hardware Component
- Services
- Software
Software-Defined Networking Market Application Outlook
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- Open SDN
- SDN via API
- SDN via Overlay
Software-Defined Networking Market Solution Outlook
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- Physical Network Infrastructure Solution
- Network Virtualization
- Automation Solution
Software-Defined Networking Market End-User Outlook
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- Retail
- I.T. & Telecommunication
- Healthcare
- BFSI
- Industrial
- Government
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Report Attribute/Metric Source: |
Details |
MARKET SIZE 2023 |
270.08(USD Million) |
MARKET SIZE 2024 |
350.0(USD Million) |
MARKET SIZE 2035 |
1200.0(USD Million) |
COMPOUND ANNUAL GROWTH RATE (CAGR) |
11.853% (2025 - 2035) |
REPORT COVERAGE |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
BASE YEAR |
2024 |
MARKET FORECAST PERIOD |
2025 - 2035 |
HISTORICAL DATA |
2019 - 2024 |
MARKET FORECAST UNITS |
USD Million |
KEY COMPANIES PROFILED |
POSCO ICT, Arista Networks, Samsung Electronics, SK Telecom, Hewlett Packard Enterprise, Juniper Networks, Naver Cloud, Huawei, LG Electronics, Cisco Systems, KT Corporation, Microsoft, Oracle, IBM, VMware |
SEGMENTS COVERED |
Component, Application, Solution, End-User |
KEY MARKET OPPORTUNITIES |
5G network infrastructure expansion, Increased demand for cloud services, Growing adoption of IoT solutions, Enhanced security and compliance needs, Rising focus on network automation |
KEY MARKET DYNAMICS |
growing cloud adoption, increasing demand for automation, rising network security concerns, efficient bandwidth utilization, government support for digital transformation |
COUNTRIES COVERED |
South Korea |
Frequently Asked Questions (FAQ):
The South Korea Software-Defined Networking Market is expected to be valued at 350.0 million USD in 2024.
By 2035, the South Korea Software-Defined Networking Market is projected to reach a value of 1200.0 million USD.
The market is expected to grow at a CAGR of 11.853% from 2025 to 2035.
Key players include POSCO ICT, Arista Networks, Samsung Electronics, SK Telecom, and Cisco Systems among others.
In 2024, the South Korea Software-Defined Networking Market is segmented into Hardware Components valued at 120.0 million USD, Services at 100.0 million USD, and Software at 130.0 million USD.
The market size for Hardware Components in the South Korea Software-Defined Networking Market is expected to reach 450.0 million USD by 2035.
The Services segment is expected to grow to 350.0 million USD by 2035.
The Software segment is projected to contribute 400.0 million USD to the market by 2035.
Major growth drivers include increased demand for efficient networking solutions and enhanced network management capabilities.
Global technological advancements are expected to positively influence the growth and innovation within the South Korea Software-Defined Networking Market.