Originally created for military communication in the U.S., the internet has become so important that if it broke down even for a single day, the global economy would crash. In almost all the industries, a major part of the work has shifted from pen and paper to computers and the internet. Where people used to sit for hours in a library for a research project, they can get a lot of the information on the internet now. Similarly, emails have replaced much of the letter writing, while emails are themselves being replaced by instant messaging, all thanks to the internet.

Around the world, China and India are home to the highest number of internet users as they are home to the most people on earth. The increasing disposable income and decreasing internet connection and data rates have allowed people to have the internet at home. Moreover, the region is home to one of the largest corporate sectors around the globe. Since this sector almost exclusively depends on the internet, there are few offices in the region that do not have internet connectivity at all.

Further, the rising rate of digitization and automation in the manufacturing sector is propelling the procurement of networking equipment. Under the industry initiatives of India, China, and many other countries, they are to become manufacturing powerhouses, strengthened by high-tech machines with embedded sensors and advanced controls. For such machines to function, internet connectivity is essential, which is why the Industry 4.0 revolution is driving the installation of networking equipment in factories.

Moreover, several government schemes and services, such as PAN card and voters’ ID card applications and train reservations can be availed of online. Similarly, the trend of online shopping is growing owing to the convenience offered on such platforms, such as home delivery, product comparison, electronic payment, and offers and discounts. Moreover, presently, much of the regional population is working from home due to the pandemic, which has driven the installation of broadband and Wi-Fi connections at homes, in turn, aiding the APAC networking equipment market advance.

Further, with the growing digitization rate, booming smartphone and internet penetration, and rising disposable income, the amount of data being generated, consumed, and transmitted is exploding. This is leading to the construction of data centers, where advanced networking equipment is paramount. As a result, category 6 structured cabling is growing in demand as it supports high bandwidths and data transfer rates and reduces alien crosstalk and signal attenuation. In this regard, the booming popularity of over-the-top (OTT) media content is propelling the installation of networking equipment by leading to the construction of data centers.

China is the largest contributor to the APAC networking equipment market because it is the most-populated country in the world and also the one with the largest number of people with internet access. Moreover, the Made in China 2025 initiative has given advanced technologies, such as artificial intelligence, machine learning, and the internet of things, a key role in the transformation of the country’s manufacturing sector. Since high-speed internet connectivity is essential for such technologies, the demand for networking equipment is growing here.

Therefore, as the internet penetration increases and focus on advanced technology grows, so will the demand for various pieces of networking equipment in APAC.