Router market seen hitting $35.47 billion by 2031

Mordor Intelligence says the global router market will rise from $24.05 billion in 2026 to $35.47 billion by 2031, driven by 5G buildouts, AI infrastructure, cloud adoption and faster Wi‑Fi. North America remains the biggest market, while Asia-Pacific is expected to grow the fastest.

Why it matters: - The router market is becoming a core piece of AI, cloud and 5G infrastructure. - Faster routing gear is now tied to enterprise modernization, data center upgrades, industrial automation and consumer broadband demand. - The market’s projected growth signals continued spending on secure, high-capacity networking across telecom, cloud and industrial sectors.

What happened: - Mordor Intelligence valued the global router market at $24.05 billion in 2026. - The market is projected to reach $35.47 billion by 2031. - Mordor Intelligence expects the market to grow at a 8.07% compound annual growth rate from 2026 to 2031. - North America holds the largest market share. - The report ties demand to enterprises, telecom operators, cloud service providers and consumers investing in high-performance routing infrastructure.

The details: - Rising fiber broadband and gigabit internet adoption is boosting demand for advanced residential routers. - Wi‑Fi 6E and Wi‑Fi 7 are expanding bandwidth, coverage and support for connected devices. - Enterprises are upgrading networks for hybrid cloud, SD-WAN and secure remote access. - Routers with AI-driven traffic optimization, deep packet inspection and integrated cybersecurity are becoming important for business networks. - 5G rollout and multi-access edge computing are driving demand for routers that can support ultra-low-latency applications. - Cellular routers and edge-enabled routing platforms are expected to see strong adoption. - The report breaks the market down by router type, performance tier, end user, sales channel and geography. - Router types include wired, wireless and cellular routers. - Performance tiers include low throughput below 1 Gbps, mid throughput from 1–10 Gbps, high throughput from 10–100 Gbps and ultra-high throughput above 100 Gbps. - End users include residential consumers, IT and telecom, BFSI, government and defense, manufacturing, transportation and logistics, and other users. - Sales channels include online marketplaces, direct sales and distributors or value-added resellers. - Geography coverage includes North America, South America, Europe, Asia-Pacific, the Middle East and Africa.

Between the lines: - The report points to a shift from basic connectivity toward more intelligent, automated and energy-efficient networking. - North America’s lead reflects cloud networking adoption, AI-ready data centers, broadband expansion and enterprise investment in secure infrastructure. - Asia-Pacific is positioned for the fastest growth because of 5G, smart city projects, industrial automation, cloud adoption and AI-enabled networking investment. - Europe’s growth is being supported by sustainability rules, digital transformation and demand for energy-efficient routers. - The competitive field is moderately concentrated, with vendors competing on AI-powered network management, cloud-native routing, cybersecurity, software-defined networking and power efficiency. - The report says leading vendors are investing in AI-enabled automation, Wi‑Fi 7, edge computing and high-capacity routing platforms. - Ashish Gautam, senior research manager at Mordor Intelligence, said the firm uses transparent sourcing, rigorous validation and balanced analysis to assess the market.

What's next: - Cisco Systems launched its Silicon One G300 AI networking chip and an AI-optimized router in February 2026. - Hewlett Packard Enterprise introduced new Juniper Networks PTX series routers in February 2026, including the PTX12000 platform. - HPE said the platform delivers up to 49% greater power efficiency and supports 800G and 1.6T networking for AI-ready infrastructure. - Mordor Intelligence also published related outlooks for the network router market, the 4G/5G cellular router market and the service provider router market. - The broader market will likely keep tracking spending on AI data centers, 5G networks, broadband upgrades and edge computing.

The bottom line: - Router demand is shifting toward higher-speed, AI-aware and more energy-efficient infrastructure, with North America leading and Asia-Pacific gaining momentum.