Not only can SDN and network virtualization help address the explosive capacity demand of mobile traffic, but they can also reduce the CapEx and OpEx burden faced by service providers to handle this demand by diminishing reliance on expensive proprietary hardware platforms. SDN and network virtualization solutions have been widely deployed in data center and enterprise environments, and many service provider deployments are already underway.
Network Functions Virtualization (NFV) is service provider led initiative aimed at virtualizing network components in a service provider network. While NFV is still a developing technology with its first set of specifications published in October 2013, many vendors have already developed commercial-grade solutions that align well with the NFV initiative. Driven by the thriving ecosystem, it estimates that the SDN, NFV and network virtualization market will account for nearly $4 Billion in 2014 alone. Despite barriers relating to standardization and co-existence with legacy networks, it estimates further growth at a CAGR of nearly 60% over the next 6 years.
This report presents an in-depth assessment of the global SDN, NFV and network virtualization market. In addition to covering underlying technology, key market drivers, challenges, future roadmap, value chain analysis, use cases, deployment case studies, expert interviews, company profiles, product strategies and strategic recommendations, the report also presents comprehensive forecasts for the market from 2013 till 2020. Historical revenue figures for 2010- 2012 are also presented. The forecasts and historical revenue figures are individually segmented for 3 individual submarkets, 2 user base categories, 7 use case categories, 6 geographical regions and 34 countries.
The report has the following key findings:
- By 2020 it estimates that SDN and NFV can enable service providers (both wireline and wireless) to save up to $32 Billion in annual CapEx investments.
- The scope and implementation of SDN, NFV and network virtualization across the globe
- SDN, NFV and network virtualization technology
Market drivers and key benefits of SDN, NFV and network virtualization:
- Driven by the thriving ecosystem, it estimates that the SDN, NFV and network virtualization market will account for nearly $4 Billion in 2014 alone. It estimates further growth at a CAGR of nearly 60% over the next 6 years
- Although network virtualization in the enterprise IT and data center domain has received significant attention in the past years, service provider network virtualization is still at a nascent stage
- SDN and NFV empower a multitude of network functions to be implemented cost effectively in software, ranging from standard mobile IP Multimedia System (IMS) services to features such as Deep Packet Inspection (DPI)
- By 2017 we expect to see significant price and gross margin erosion for traditional hardware-based network switching equipment driven by alternative software based solutions
- By 2020 it estimates that SDN and NFV can enable service providers (both wireline and wireless) to save up to $32 Billion in annual CapEx investments
- Challenges and inhibitors to the ecosystem
- Standardization and regulatory initiatives
- Use cases and application case studies of SDN and NFV
- SDN and NFV deployment case studies
- SDN and NFV induced service provider CapEx savings
- Value chain analysis of the ecosystem and the recognition of key players in each segment of the value chain
- Industry roadmap from 2014 till 2020
- Key trends in the ecosystem; SDN and NFV’s impact on the network infrastructure value chain, the stance of incumbent vendors towards SDN and NFV, impact on the proprietary hardware market and co-existence with legacy networks
- Exclusive interview transcripts of 17 players in the ecosystem; Alvarion, Aricent, Arista Networks, Broadcomm, Connectem, ConteXtream, Extreme Networks, GENBAND, Mavenir, Netronome, Open Networking Foundation (ONF), Openwave Mobility, Pica8, Plexxi, Radisys, Spirent Communications and Tellabs
- Profiles and strategies of 122 key players in the ecosystem
- Strategic recommendations for silicon & server OEMs, network & mobile Infrastructure vendors, IT giants, pure-play SDN/NFV specialists, enterprises, data center operators and service providers
- Historical revenue figures and forecasts till 2020
Key Questions Answered:
- The report provides answers to the following key questions:
- What are the key market drivers and challenges for SDN, NFV and the wider network virtualization ecosystem?
- How can SDN and NFV complement each other?
- What are the key applications and use cases of SDN and NFV?
- How is the SDN, NFV and network virtualization value chain structured and how will it evolve overtime?
- What opportunities do SDN and NFV offer to silicon & server OEMs, network & mobile Infrastructure vendors, IT giants, pure-play SDN/NFV specialists, enterprises, data center operators and service providers and other players in the value chain?
- What strategies should these players adopt to capitalize on the SDN and NFV opportunity?
- How are SDN and NFV vendors positioning their product offerings?