Europe Local Area Network Market Size, Share, and COVID-19 Impact Analysis, By Component (Hardware, Software, and Services), By Deployment Type (Wired LAN, Wireless LAN, Hybrid LAN), By End User (IT & Telecom, BFSI, Retail & E-Commerce, Healthcare, Education and Others), and Europe Local Area Network Market Insights, Industry Trends, Forecast to 2035

Europe Local Area Network Market Insights Forecasts To 2035

• The Europe Local Area Network Market Size Was Estimated At USD 22.83 Billion In 2024
• The Market Size Is Expected To Grow At A CAGR Of Around 4.51% From 2025 To 2035
• The Europe Local Area Network Market Size Is Expected To Reach USD 37.1 Billion By 2035

According To A Research Report Published By Spherical Insights & Consulting, The Europe Local Area Network Market Size Is Anticipated To Reach USD 37.1 Billion By 2035, Growing At A CAGR Of 4.51% From 2025 To 2035. The market is driven by higher enterprise spending on network infrastructure, increasing demand for scalable networking solutions, greater emphasis on seamless network management, a rising need for centralized network control, and a stronger focus on reducing IT operational costs.

Market Overview

A Local Area Network (LAN) Is A Networking Setup Comprising Computers And Various Devices That Are All Connected Together Electronically Over A Small Area Like A House, Office, Or School Campus. The use of the network mainly allows several users at the same time to use the same printers, scanners, and files and have access to the server, while the costs of hardware are lowered and also the operation is made more efficient. Moreover, the network's internal communication is made so fast through instant messaging, email, and video conferencing that it fosters teamwork and productivity in corporate offices.

In December 2025, at the HPE Discover Barcelona 2025 event, HPE made a remarkable AI infrastructure leadership move by broadening its secure AI-native networking portfolio that integrates HPE Aruba Networking and HPE Juniper Networking for automated operations to enhance performance and scale for AI workloads.

The Commission Is Investing 865 Million In The Connecting Europe Facility (CEF) In October 2024 To Boost Fast And Secure Digital Connectivity Networks. It is essential to make the connectivity infrastructure of Europe meet the 2030 Digital Decade project of Europe, which aims to provide the entire population and enterprises with 5G and gigabit connectivity. The digital changes in Germany's public administration have come a long way: The country's cloud for government was ceremonially inaugurated today at the 13th expert conference of the IT Planning Council after 18 months of construction.

Report Coverage

This Research Report Categorizes The Market Size For The Europe Local Area Network Market Based On Various Segments And Regions, And Forecasts Revenue Growth And Analyses Trends In Each Submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Europe local area network market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Europe local area network market.

Driving Factors

The Local Area Network Market Size In Europe Is Driven By Companies That Are Getting Their IT Infrastructures Ready To Support Cloud Computing, Big Data Analytics, And AI Workloads That Need Powerful And Fast Networks. The increasing usage of Internet of Things (IoT) devices in smart living and working environments is posing a major challenge for the need for LAN connectivity to be very resilient. The combination of working from home and in the office necessitates the need for secure and scalable LAN solutions that will link the on-premises system with the remote endpoints.

Restraining Factors

The Local Area Network Market Size In Europe Is Restrained By The Difficulty Of Adherence To Strict Data Privacy Rules, Such As The General Data Protection Regulation (GDPR). The increasing skilfulness and occurrence of cyber-attacks, specifically ransomware and data breaches, are major security concerns.

Market Segmentation

The Europe local area network market share is categorised into component, deployment type, and end user.

• The hardware segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The Europe Local Area Network Market Size Is Segmented By Component Into Hardware, Software, And Services. Among these, the hardware segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. The growth of the segment is driven by the accelerated demand for network infrastructure components such as switches, routers, access points, network interface cards (NICs), and cables. The IT infrastructure modernisation projects in companies are focused on getting more bandwidth and better connectivity; thus, they need reliable and efficient hardware solutions.  The rapid growth of data centres, together with cloud services and smart gadgets, drives additional market demand.

• The wired LAN segment dominated the market in 2024 and is projected to grow at a substantial CAGR during the forecast period.  

Based On Deployment Type, The Europe Local Area Network Market Size Is Segmented Into Wired LAN, Wireless LAN, hybrid LAN. Among these, the wired LAN segment dominated the market in 2024 and is projected to grow at a substantial CAGR during the forecast period. The segmental growth is driven by the wired local area networks (LANs), which stand as the preferred option for data centers, corporate offices, educational institutions, and healthcare facilities that require dependable performance along with secure data transfer capabilities. The growing demand for high-bandwidth applications, including ERP systems and video conferencing, and large-scale data transfers, drives further adoption of wired infrastructure.

• The IT & telecom segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The Europe Local Area Network Market Size Is Segmented By End User Into IT & Telecom, BFSI, Retail & E-Commerce, Healthcare, Education And Others. Among these, the IT & telecom segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. The growth of the segment is driven by the sector’s high reliance on robust, high-speed, and scalable network infrastructure to support data centers, cloud services, software development, and continuous digital operations. The IT & telecom industry typically operates in bandwidth-intensive environments, requiring advanced LAN setups to ensure low latency, minimal downtime, and secure data transmission.

Competitive Analysis:

The Report Offers The Appropriate Analysis Of The Key Organizations/Companies Involved Within The Europe Local Area Network Market Size, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborate analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies                                                                                                                            

• Cisco Systems Inc
• HPE
• Extreme Networks
• Fortinet
• Huawei
• Juniper Networks
• Dell Technologies
• Vodafone Group PLC
• Orange Business Services
• BT Group PLC
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Development

In November 2025, the EU launched the Gigabit Infrastructure Act to fast-track fibre and 5G rollout, aiming to speed up the deployment of high-speed fibre and 5G networks across Member States.

Market Segment

This study forecasts revenue at the Europe, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the Europe local area network market based on the below-mentioned segments:

Europe Local Area Network Market, By Component

• Hardware
• Software
• Services

Europe Local Area Network Market, By Deployment Type

• Wired LAN
• Wireless LAN
• Hybrid LAN

Europe Local Area Network Market, By End User

• IT & Telecom
• BFSI
• Retail & E-Commerce
• Healthcare
• Education
• Others