The move to cloud technology is fueling a second major advance in the form of solving problems associated with wide area network (WAN) coverage. The new alternative, software-defined wide area networking (SD-WAN), promises improvements over cumbersome WAN management, and providers are rushing to obtain this technology.
Big Market for SD-WAN
While the market will need time to settle out, it’s clear that providers expect there to be major demand for SD-WAN — and they want to be the ones to supply it. In recent months, for instance, Comcast has joined an array of other providers announcing a merger to gain SD-WAN capabilities. Sprint, Vonage, Earthlink, and Verizon are just a few other providers that have obtained SD-WAN technology to offer customers.
Their purchases are likely to pay off in big ways. By 2020, the SD-WAN market is expected to reach $6 billion, according to market research firm IDC. In just two years, 75 percent of companies are expected to have implemented SD-WAN.
Enterprises prefer to obtain SD-WAN through a provider. Based on the results of a survey conducted by IDC earlier in the year, 42 percent of 722 enterprises said they plan to implement SD-WAN through a traditional communications service provider to leverage the value of working with proven experts.
SD-WAN Beats WAN
Many service providers see the opportunity to offer SD-WAN as a way to augment their traditional service options, such as multiprotocol label switching (MPLS). Doing so creates a seamless process as enterprises seek to upgrade to SD-WAN from their current providers.
There are several drawbacks to traditional WAN structures that are making SD-WAN look attractive to enterprises. They are cumbersome to manage and often have latency issues with their hub-and-spoke connection to the internet. SD-WAN offers improved agility, the ability to access hybrid networks through broadband and MPLS, and a high level of visibility for network and application monitoring. It also provides a fast turnaround for enterprises in a growth pattern, allowing them to get a new branch location up and running quickly.
It’s still early in the process for the acquisition of SD-WAN technology by providers. As the market quickly takes shape with the demand for SD-WAN and providers’ efforts to meet that demand, providers that are able to maximize the benefit of obtaining this technology will rise to the top.
Truth Comm has access to the technology you need to take your enterprise into the SD-WAN era. As your enterprise embraces cloud technology, your network needs will change. Talk with us to discuss your specific business needs and the options that will best support your network demand.