Ecosystems Are Critical to NFV/SDN Success, Heavy Reading Finds
NEW YORK -- As network functions virtualization (NFV) and software-defined networking (SDN) take root in telecom networks, technology suppliers that establish strong partnerships and ecosystems will be in the best position to emerge as NFV/SDN market leaders, according to the latest report from Heavy Reading Service Provider IT Insider (www.heavyreading.com/servsoftware), a subscription research service from Heavy Reading (www.heavyreading.com).
NFV Partnerships Underscore Importance of Collaboration examines the current state of NFV partnerships and ecosystems, analyzing features of top ecosystems and partnerships, as well as areas of growth expected in the market over the next two years. It discusses drivers and challenges in the industry and includes a comparative analysis of solutions available. Finally, it examines the geographic landscape of the market and details trends that are likely to occur in the industry over the next 18-24 months.
For a list of companies covered in this report, please click here. "NFV and SDN solutions are deployable, scalable and available, and they meet or exceed the performance requirements of numerous markets," says Denise Culver, research analyst with Heavy Reading Service Provider IT Insider and author of the report. "Because they are developed using an open infrastructure that requires no vendor lock-in, service providers can deliver new services to their customers more quickly, while significantly reducing both operating and capital expenditures."
The industry faces a large learning curve over the next five years, Culver says. "Given the number of new technology components involved in enabling network functions to run in the cloud, this is not an area any single vendor or service provider can tackle on its own," she continues. "To be successful in this new environment, companies that want to be leaders in SDN or NFV must not only transform products, services, form factors and business models, they also must develop a new class of partner ecosystems."
Key findings of NFV Partnerships Underscore Importance of Collaboration include the following:
- One major driver behind NFV partnerships and ecosystems is the ability of end users to choose a best-of-breed solution and avoid vendor lock-in, thereby increasing customer satisfaction and lowering price
- Operators are used to paying for hardware and getting the software for free; this mentality needs to change as the value moves from hardware to software
- There is a possibility that future NFV partnerships and ecosystems will be started by vendors – and possibly even service providers – looking to differentiate themselves in the market
- As standards mature and interfaces are solidified, NFV partnerships will become less about technical collaboration and more about integrated business offerings that provide attractive price points
NFV Partnerships Underscore Importance of Collaboration is available as part of an annual single-user subscription (six issues) to Heavy Reading Service Provider IT Insider, priced at $1,499. Individual reports are available for $595 (single-user license).