While we are well into 2025, businesses of all sizes and across all industries continue to face challenges in enhancing efficiency, strengthening security, and maintaining competitiveness.

According to KPMG’s Keeping Us Up at Night 2025 report, digital transformation has risen to the number one concern for business leaders, with 53% identifying it as their primary challenge. Organisations across retail, manufacturing, and healthcare are accelerating technology adoption but struggling with IT infrastructure, cost controls, and regulatory compliance.

A resilient and scalable network is crucial to overcoming these challenges. It provides the essential infrastructure for modern business operations, and enables digital transformation, robust cybersecurity,  and faster adoption of emerging technologies, as well as efficient cost control,and regulatory compliance. It also enhances  data flow, connectivity, and security, supporting cloud-based applications, AI, IoT, and hybrid work environments. Yet, many businesses still rely on outdated networking solutions that hinder growth, increase security risks, and strain resources.

This is where Networking-as-a-Service (NaaS) comes in — an agile, cost-effective solution that enables businesses to scale, secure, and optimise their networks without heavy capital investment.

Let’s explore the top five business challenges for 2025 and how NaaS can help organisations navigate them successfully.

1

Digital transformation: Keeping pace with rapid change

The challenge:

With digital transformation topping the list of business concerns for the next 1 – 5 years, organisations are under pressure to modernise operations, enhance customer experiences, and support hybrid workforces. However, legacy network infrastructure often struggles to support cloud-based applications, AI, and IoT-driven automation, leading to performance bottlenecks.

How NaaS helps:

  • Provides cloud-based, AI-driven networking that adapts to changing business needs.
  • Eliminates the need for costly hardware upgrades by shifting from CapEx to an OpEx model.
  • Enables real-time analytics and automation, reducing IT workload while improving network performance.

Imagine a manufacturing company integrating IoT-driven predictive maintenance. Without a reliable, high-speed network, its sensors and automation tools can’t function efficiently. NaaS services such as HPE GreenLake for Networking provide the necessary scalability and automation, reducing downtime and boosting productivity — turning network reliability into a competitive advantage.

2

Cybersecurity and risk management: Staying ahead of threats

The challenge:

Cyber threats remain a top concern, with 64% of executives reporting increased cyber risks due to accelerated digital transformation according to PwC’s 2025 Global Digital Trust Insights report. Companies must protect sensitive data, prevent breaches, and comply with evolving regulations while managing complex IT environments.

How NaaS helps:

  • Provides built-in security with Zero Trust architecture, AI-driven threat detection, and advanced firewalls.
  • Ensures compliance with industry regulations through proactive security monitoring and reporting.
  • Reduces reliance on VPNs, which often create security vulnerabilities in hybrid work environments.
  • Reduces IT burden while enhancing environmental responsibility.

For example, a healthcare provider managing patient records across multiple locations needs airtight security and seamless remote access. NaaS enforces strict access controls and real-time threat detection, ensuring compliance while maintaining smooth, secure operations.

3

Cost controls: Shifting from capex to opex

The challenge:

Controlling costs in an inflationary environment is a growing priority, with 39% of business leaders identifying it as a top concern. Large upfront investments in network infrastructure can strain financial resources and limit agility.

How NaaS helps:

  • Shifts networking costs from CapEx to a flexible OpEx model, aligning expenses with actual usage.
  • Reduces operational overhead by outsourcing network management and maintenance to experts.
  • Minimises unnecessary infrastructure spending, ensuring businesses only pay for what they need.
  • Flexible pricing models align with business needs without hidden costs.

Take a retail chain planning rapid expansion. Traditionally, setting up secure, high-speed networking at each new location would require significant capital investment. With a NaaS service such as HPE GreenLake for Networking, retailers can scale operations without hefty upfront costs, ensuring reliable connectivity wherever they grow.

4

Emerging technologies: Enabling scalability and innovation

The challenge:

AI, automation, and emerging technologies are transforming industries, yet many organisations struggle to integrate these advancements effectively. Legacy networks often lack the agility and capacity to support innovation at scale.

How NaaS helps:

  • Provides scalable, high-speed connectivity for AI, IoT, and automation-driven applications.
  • Leverages AI-powered insights to optimise network performance and automate troubleshooting.
  • Supports adaptive mesh networking, eliminating coverage gaps in large industrial or retail spaces.
  • Ensures businesses can adopt cutting-edge tech without networking constraints.

Consider a logistics company implementing AI-powered inventory tracking. Delayed data processing due to poor network performance can lead to stock discrepancies and inefficiencies. With NaaS, they get reliable, low-latency connectivity, ensuring real-time data flow and optimised supply chain operations. Working with a managed service provider like Blue Connections IT also gives them access to networking experts if they need it, freeing up IT teams to focus on new technology projects.

5

Regulatory compliance: Adapting to new standards

The challenge:

Regulatory complexity continues to rise, with 38% of business leaders citing compliance as a looming challenge. Manual compliance tracking is time-consuming and prone to errors. It also relies on manual updates, slowing down businesses ability to keep up with changes.

How NaaS helps:

  • Provides automated compliance tracking and reporting, reducing administrative overhead.
  • Ensures adherence to cybersecurity and environmental regulations through real-time monitoring.
  • Supports sustainability initiatives by optimising energy consumption and reducing e-waste.
  • Simplifies environmental reporting with built-in sustainability metrics.

For instance, a financial services company facing increasing ESG reporting requirements needs precise tracking of its IT energy consumption. NaaS in-built monitoring platforms such as HPE Aruba Networking Central can enable real-time monitoring of power usage and carbon emissions, making compliance straightforward while improving sustainability efforts.

Is your network up for the challenge?

The ability to align your IT and network strategy with broader business objectives will be a key success factor in 2025. Businesses need agile, secure, and cost-effective networking solutions that support digital transformation, mitigate security risks, and drive operational efficiency.

Here, thinking ahead is key to creating a strategically-aligned network. While you might not have all the answers, collaborating with networking and IT experts such as HPE Aruba Networking and Blue Connections IT can give you the insights and advice you need. As well as help you create a network blueprint for the future, they can help you assess what NaaS structure is right for you.

If you’re ready to transform your network, chat with our team to explore how NaaS can drive your business forward.

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