Opportunities and challenges coexist, telecom operators SD-WAN will face new thinking

With the advent of the cloud era, the demand for bandwidth for enterprise data interaction has soared. Many telecom operators have begun to realize that the development of an SD-WAN line and a traditional enterprise line that is suitable for the needs of enterprise customers and has unique value can be combined to meet the needs of enterprise customers. The dedicated line service can attract those who have traditionally used the Internet connection or the Internet company SD-WAN solution to solve the high cost, slow response and difficult operation of the enterprise traditional line. The problem is to provide enterprise-specific services that are ready-to-use, cost-effective, cloud-visual operation and maintenance, and reshape the business experience of the entire process of the enterprise line.

All along, due to the high requirements of the network transmission quality and security, enterprises inevitably have to bear the higher price of the enterprise line than the home broadband. Typically, corporate line prices for the same bandwidth are 8-10 times the price of home broadband. And today, when new business is emerging, it is time to be more expensive than money. In the past, the opening of enterprise private lines required multiple levels of communication network resources to cooperate, resulting in the success of the business from application to opening from one month to several months. High prices and long business opening times have become the biggest obstacles for modern enterprises in the digital transformation. Because of this, in today's enterprise business, cloud demand is becoming more and more urgent. Enterprise line users are looking for more convenient and cost-effective line plans.

In today's demand market, many Internet companies have launched the Software Defined Wide Area Network (SD-WAN) on-demand line, which is popular among small and medium-sized enterprises. By encrypting the traffic during data transmission and fragmenting the network to improve network security, the enterprise data is transmitted on the ordinary Internet line without being attacked and stolen. At the same time, because its line is based on ordinary Internet lines, it can reduce the price by up to 50% compared to the average line. In addition to the lower price, the SD-WAN line has more practical functions such as flexible scheduling based on services and bandwidth selection, which makes more and more large multinational companies adopt SD-WAN line between their headquarters and branches. For data transmission. It is estimated that by 2022, 30% of the global green market will be the SD-WAN line.

In today's digital transformation and enterprise business, the cloud has become a big trend. Today, the demand for bandwidth for enterprise data interaction has surged. However, due to the high cost and long opening time of traditional enterprise lines, a large amount of data interaction is carried on ordinary Internet lines and the Internet. The company's low-cost Internet dedicated line including SD-WAN has caused telecom operators' traditional line revenues to not only not grow, but even shrink slightly. Many telecom operators have begun to realize that the development of an SD-WAN line that is suitable for the needs of enterprise customers and has unique value combined with the traditional enterprise line business provides a dedicated service that meets the needs of enterprise customers, in order to ensure that their traditional line customers do not lose. At the same time attract those who originally used ordinary Internet connections or Internet companies. The enterprises of the SD-WAN line will be transferred to the network to increase the market size and increase the overall revenue. Avoiding the Internet private line will become a new impact on telecom operators after the strong impact of social APP software such as WeChat on traditional services such as SMS and voice.

Combine the advantages of its own network resources to create a differentiated SD-WAN line: Traditional telecom operators have already had ubiquitous telecommunication network resources, which have inherent advantages for the integration and scheduling of dedicated line resources. For SD-WAN leased lines within a single carrier network, operators can combine with IP network slicing and data center optical network directly according to different service requirements, while making full use of existing network redundant resources. It can guarantee delay and bandwidth, and introduce differentiated high-quality SD-WAN dedicated line service. For long-distance SD-WAN lines across multiple carrier networks, it can quickly coordinate cost-effective network resources that Internet companies cannot obtain, and quickly open multinational and intercontinental SD-WAN services for enterprise users.

Discover the traditional high-quality customer resources, SD-WAN line and MPLS line complement each other to create a new business model for hybrid lines: As traditional line services such as MPLS still dominate the dedicated line market, most of the dedicated line market share is still in telecom operations. The hands of the business. Therefore, we will explore the needs of existing high-value private line customers, provide customized hybrid line services based on business routing, and retain existing dedicated customers.

Attack is the best defense, to promote the cloud and fully share the digital dividend of the enterprise business cloud: the cloud platform is one of the most important growth poles of the enterprise business of the Internet of Things, and the telecom operators can take advantage of the high cost performance of the SD-WAN line. Inspire the enterprise business to comprehensively meet the demand for the dedicated line and the cloud platform. While providing enterprises with cost-effective line services, they will quickly expand and strengthen their public and private clouds, and cloud network will maximize the value of enterprise customers.

Due to the SD-WAN dedicated line bandwidth on demand, service-based line selection, and network resources to achieve the fast-opening of the dedicated line, the business needs of the enterprise customers where they can be laid. More and more operators and enterprise users around the world are focusing on the deployment and use of SD-WAN dedicated lines. According to statistics, more than 20 operators including Japan's Softbank are planning or have launched relevant line-oriented services for enterprises. Thousands of companies are using or will soon use SD-WAN lines.

The development of the SD-WAN line by telecom operators seems to be a market-breaking survival of the traditional enterprise line. In fact, the SD-WAN line has been developed to protect the existing private line market from the impact of the Internet company's Internet line. Operators use SD-WAN to fully stimulate the enterprise business cloud, re-create a new private line market, and help operators to glory based on the cloud service and cloud services of enterprise business.

SD-WAN Definition: The full name of SD-WAN is “software-defined WAN”, which mainly uses software advantages to improve network performance, reduce costs, ensure security and stability, and is easy to deploy. The software has functions such as intelligent routing, data optimization, and TCP/IP optimization. SD-WAN is mainly used for enterprise wide area network services to transmit key business data of enterprises. From the perspective of enterprise use, SD-WAN is actually a high-performance VPN. VPN is intended to be a virtual private network, which was originally used by enterprises.

The Huawei SD-WAN solution is a sub-solution of Huawei CloudEPN (Cloud Enterprise Private Network) solution.