Software-Defined WAN: Rumors and Truths that CxOs should know Ivano Rondelli Director, Network Services NTT Communications 12 th April, 2016
Case Study SD-WAN for a multinational manufacturer Customer Overview Manufacturing vertical: Metal & Mining 17 billion US$ revenue 14,000+ employees distributed worldwide Operating in 120+ locations in more than 30 countries Challenges Solution Benefits Reduce OPEX and simplify network operation while ensuring end-user experience Application under performance but difficult to diagnose due to limited visibility Limited IT resources Lack of Flexibility, Time to Market Complex change management Total Cost of Ownership Managed Hybrid WAN + SD- WAN overlay Performance based routing Application performance dashboard Cloud-based Network Services Single point of contact Services Continuum, Local SI presence Auditing of current IT estate 1 Keep pace with the business Ad-Hoc access to local expertise and on-site support Full visibility down to applications performance Limited Capex, consumption model More visibility Better end-user experience Lower opex for change management
Internet, public cloud Remote workers, extranets Case Study The legacy WAN BRANCH OFFICE DATA CENTER MPLS VPN zzz.. zzz.. Hairpin routing degrades application performance There is a lot of wasted bandwidth 2
Case Study The Hybrid WAN infrastructure Internet, public cloud Remote workers, extranets BRANCH OFFICE Secure Web Gateway DATA CENTER/ PRIVATE CLOUD MPLS VPN Internet VPN Static, destination based routing Complex routing management 3
Case Study The SD-WAN overlay Internet, public cloud Remote workers, extranets BRANCH OFFICE Secure Web Gateway PRIVATE CLOUD MPLS VPN SD-WAN Internet VPN The client has implemented SD-WAN because they wanted visibility down to the application performance level 4 they wanted to simplify operation and change management (reduce operational cost)
SD-WAN Rumor 1: SD-WAN saves money vs MPLS The Cisco Intelligent WAN (IWAN) solution delivers an uncompromised user experience over any connection while providing operational simplicity and lowering costs. Software-defined WAN is poised to take the wide area network by storm, simplifying operations and reducing costs. 5
SD-WAN Rumor 2: SD-WAN optimizes network performance Software-defined WAN has suddenly become the hottest topic in networking, due to its potential to save money while improving network performance. Companies use SD-WAN to create a software defined overlay network that [ ] is often used to improve network performance and reliability. 6
SD-WAN Rumor 3: SD-WAN enables zero touch deployment The major innovation in Viptela s SD-WAN product is operationally simplicity. Starting with the ability to rollout out zero touch deployments at thousands of sites.. Branch implementation starts with a thin device called an Edge. It's basically a plug-and-play device that can be shipped to a remote location.. 7
SD-WAN advantages Dynamic path selection Visibility to application performance More control, simplified operation Selects the best performing path real-time over multiple transports Performance monitoring with specific details into applications Eliminates complexity and errorprone policy changes = not many manual input 8
SD-WAN side effects Higher Total Cost of Ownership Accountability Infrastructuredependent Requires higher spec equipment and additional circuits depending on site SD-WAN optimizes the use of the available infrastructure, it does not improve it, it does not fixit. Transition management is also a challenge 9 Easy only if the underlay infrastructure is performant and reliable. High standardization = less customization
Rumors answered: SD-WAN reality today SD-WAN saves money vs MPLS True, if WAN is a traditional MPLS. Enterprise can take advantage of the Internet and build a Hybrid WAN to enjoy some cost savings, but if this already achieved within your organization, then, SD-WAN overlay can become an additional cost from infrastructure perspective. 10
Rumors answered: SD-WAN reality today SD-WAN will optimize network performance SD-WAN does not optimize the network itself. SD-WAN can measure latency, packet loss and jitter within the network and switch your traffic to the best performing routes among the paths available. This can avoid degradation of application performance, but does not optimize the network itself. 11
Rumors answered: SD-WAN reality today SD-WAN will optimize network performance Maybe true, unless something goes wrong... As mentioned earlier, SD-WAN requires deployment of underlying WAN infrastructure. So it works well in developed countries where the quality of the Internet is good and infrastructures are stable. 12
Is SD-WAN the right solution to you? Not using enough internet as transport Not utilizing all network resources (passive backup) Need visibility of application performance Need to change much and often You want to manage it yourself 13
CPEs and access-line costs are only the tip of the iceberg to your total cost 15% Access-lines and CPE costs 85% Day-to-day operations & processes Fix/workaround Management application Management tools Rework Data collection Routine operations/ preventive maintenance Capacity Planning Internal diagnostics RMA logistics Tech refresh Configuration status In-house support team Increased pay levels Training Productivity losses User dissatisfaction Spares Inventory 15% of Run costs are for external support providers 85% of Run costs are for internal support resources 14
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