The SDN, NFV & Network Virtualization Ecosystem: 2017 – 2030 – Opportunities, Challenges, Strategies & Forecasts

"While the advantages of SDN (Software Defined Networking) and network virtualization are well known in the enterprise IT and data center world, both technologies also bring a host of benefits to the telecommunications service provider community. Not only can these technologies 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. The recognition of these benefits has led to the emergence of the NFV (Network Functions Virtualization) concept that seeks to virtualize and effectively consolidate many service provider network elements onto multi-tenant industry-standard servers, switches and storage.

Service providers u2013 both mobile and fixed-line u2013 have already begun making significant investments in SDN and NFV across a number of use cases including but not limited to uCPE/vCPE, SD-WAN, vEPC, vIMS, Cloud RAN and vCDN. SNS Research estimates that service provider SDN and NFV investments will grow at a CAGR of approximately 45% between 2017 and 2020, eventually accounting for nearly $22 Billion in revenue by the end of 2020.

The “SDN, NFV & Network Virtualization Ecosystem: 2017 u2013 2030 u2013 Opportunities, Challenges, Strategies & Forecasts” report presents an in-depth assessment of the SDN, NFV and network virtualization ecosystem including enabling technologies, key trends, market drivers, challenges, use cases, deployment case studies, regulatory landscape, standardization, opportunities, future roadmap, value chain, ecosystem player profiles and strategies. The report also presents market size forecasts from 2017 till 2030. The forecasts are segmented for 10 submarkets, 2 user base categories, 9 functional areas, 6 regions and 34 countries.

The report comes with an associated Excel datasheet suite covering quantitative data from all numeric forecasts presented in the report."

"Topics Covered
The report covers the following topics:
- SDN, NFV and network virtualization ecosystem
- Market drivers and barriers
- Enabling technologies, protocols, architecture and key trends
- SDN and NFV use cases across service provider, data center and enterprise networks
- Commercial SDN and NFV deployments \u2013 including 10 comprehensive case studies
- Review of key functional areas including uCPE\/vCPE, SD-WAN, data center SDN, vEPC, vIMS, Cloud RAN and vCDN
- Assessment of CapEx savings potential of service provider SDN and NFV investments
- Management and orchestration platforms for software-centric networks
- Standardization, regulatory and collaborative initiatives
- Industry roadmap and value chain
- Profiles and strategies of over 270 ecosystem players including SDN\/NFV specialists
- Strategic recommendations for enabling technology providers, network infrastructure vendors, IT giants, pure-play SDN\/NFV specialists, enterprises, data center operators and service providers
- Market analysis and forecasts from 2017 till 2030

Forecast Segmentation
Market forecasts are provided for each of the following submarkets, user base and functional area categories:
Submarkets
- SDN\/SD-WAN Hardware & Software
- NFV Hardware & Software
- Other Network Virtualization Software

User Base Categories
- Service Providers
- Enterprises & Data Centers

SDN\/SD-WAN Submarkets
- SDN-Enabled Switches, Routers & Other Appliances
- SDN Controller Software
- SDN Orchestration Software
- SDN Network Applications
- SD-WAN Appliances
- SD-WAN Control & Overlay Software

NFV Submarkets
- NFVI (NFV Infrastructure)
- NFV MANO (Management & Orchestration) Software
- VNF (Virtualized Network Function) Software

Service Provider Functional Area Categories
- CDN (Content Delivery Network)
- CPE (Customer Premises Equipment)
- Data Center
- Fixed Access Network
- IMS & VoLTE
- Mobile Core
- Policy Control
- RAN (Radio Access Network)
- Transport Network
- Other Areas

The following regional and country markets are also covered:
Regional Markets
- Asia Pacific
- Eastern Europe
- Latin & Central America
- Middle East & Africa
- North America
- Western Europe

Country Markets
- Argentina, Australia, Brazil, Canada, China, Czech Republic, Denmark, Finland, France, Germany, India, Indonesia, Israel, Italy, Japan, Malaysia, Mexico, Norway, Pakistan, Philippines, Poland, Qatar, Russia, Saudi Arabia, Singapore, South Africa, South Korea, Spain, Sweden, Taiwan, Thailand, UAE, UK, USA

Key Questions Answered
The report provides answers to the following key questions:
- How big is the SDN, NFV and network virtualization opportunity?
- What trends, challenges and barriers are influencing its growth?
- How is the ecosystem evolving by segment and region?
- What will the market size be in 2020 and at what rate will it grow?
- Which regions, submarkets and countries will see the highest percentage of growth?
- What is the status of SDN and NFV deployments across service provider, data center and enterprise networks?
- How big is the opportunity for service provider and cloud managed SD-WAN services?
- How are service provider-led initiatives driving SDN and NFV investments?
- How does regulation impact the adoption of software-centric networks?
- What level of CapEx savings can SDN and NFV facilitate for service providers?
- Do SDN and NFV pose a threat to traditional network infrastructure vendors?
- Who are the key market players and what are their strategies?
- What strategies should enabling technology providers, network infrastructure vendors, SDN\/NFV specialists, service providers and other ecosystem players adopt to remain competitive?

Key Findings
The report has the following key findings:
- SNS Research estimates that service provider SDN and NFV investments will grow at a CAGR of approximately 45% between 2017 and 2020, eventually accounting for nearly $22 Billion in revenue by the end of 2020.
- Spearheaded by internet giants, data center operators and large enterprises, the adoption of software-centric networking is also continuing to grow in the enterprise and data center segment. SNS Research estimates that SDN and network virtualization investments in this segment accounted for $12 Billion in 2017 alone.
- New market players are beginning to emerge as service providers accelerate their transition to software-centric networks. For example, with their early wins in NFV-compliant mobile core and IMS platforms, companies such as Mavenir Systems and Affirmed Networks have emerged as direct competitors to established wireless network infrastructure giants.
- With the emergence of initiatives such as the Linux Foundation's ONAP (Open Network Automation Platform), ETSI's OSM (Open-Source MANO) and SK Telecom's T-MANO, solutions are beginning to be commercialized that can perform integrated management and orchestration of VNFs from multiple vendors."

The SDN, NFV & Network Virtualization Ecosystem: 2017 – 2030 – Opportunities, Challenges, Strategies & Forecasts

Chapter 1: Introduction

Executive Summary

Topics Covered

Forecast Segmentation

Key Questions Answered

Key Findings

Methodology

Target Audience

Companies & Organizations Mentioned

 

Chapter 2: An Overview of SDN, NFV & Network Virtualization

What is Network Virtualization?

What is SDN (Software Defined Networking)?

SDN Protocols

OpenFlow

BGP-TE (Border Gateway Protocol – Traffic Engineering)

PCEP (Path Computation Element Protocol)

I2RS (Interface to the Routing System)

VxLAN (Virtual Extensible LAN)

ALTO (Application Layer Traffic Optimization)

IETF Software Driven Networks

SDN Implementation Approaches

Network Virtualization Approach

Evolutionary Approach

The “Central Control” Approach

What is NFV (Network Functions Virtualization)?

NFV Enabling Technologies

Cloud Computing and Network Virtualization

Open Management and Control Protocols

Industry Standard High-Volume Servers

NFV Implementation Architecture

NFVI (NFV Infrastructure)

Hardware Resources

Virtualized Resources

VNFs (Virtualized Network Functions)

NFV-MANO (NFV-Management and Orchestration)

VIM (Virtualized Infrastructure Manager)

NFVO (NFV Orchestrator)

VNF Manager

How SDN and NFV Differ from Each Other?

Similarities and Differences

Can Both Technologies Complement Each Other?

How Are Vendors Positioning their Solutions?

Market Drivers

Leveraging Generic Low-Cost Hardware

Multi-Tenancy on Same Hardware

Reduced Power Consumption

Faster TTM (Time-to-Market)

Improved Operational Efficiency & Performance

Centralized Provisioning and Network Control

Ability to Launch New Services & Virtual Networks Quickly

Dynamic Scaling of Services

Opening the Door to Multi-vendor Interoperability

CapEx and OpEx Reduction

Fast Troubleshooting and Improved Diagnostics

Vendor Support

Market Barriers

Lack of Standardization & Technology Maturity

Uncertain Cost-Benefits Tradeoffs

NFV May Slow/Delay Traffic

Will Multi-vendor Interoperability Really Work?

Co-Existence with Legacy Networks: Integration Challenges

 

Chapter 3: SDN & NFV Use Case Scenarios

Enterprise, Data Center & Generic Use Cases

Network Virtualization

Data Center Optimization

SD-WAN (Software Defined WAN)

Tap Aggregation

Dynamic WAN Re-Routing

Network Exchange: Interconnecting Physical Networks

Improved Traffic Engineering

Converged Storage

Service Provider Centric Use Cases

vRAN (Virtualized RAN) & Cloud RAN

Wireline Fixed Access Network Virtualization

vCPE/uCPE (Virtualized & Universal Customer Premises Equipment)

Mobile Backhaul Virtualization

Mobile Core & Gi-LAN Virtualization

IMS & VoLTE Virtualization

DPI Virtualization

Policy Control Virtualization

OSS/BSS Virtualization

Virtual Routers

Virtualization & Control of Security Functions

Virtualization of CDNs (Content Delivery Networks)

MEC (Multi-Access Edge Computing)

Network Slicing

Service Chaining

Bandwidth-on-Demand

Packet-Optical Integration

SDN/NFV Iaas (Infrastructure-as-a-Service)

VNFaas (VNF-as-a-Service)

VNPaaS (Virtual Network-Platform-as-a-Service)

 

Chapter 4: SDN & NFV Deployment Case Studies & Commitments

Case Studies

AT&T

Overview

Key Vendors

SDN/NFV Deployment Review

Baidu

Overview

Key Vendors

SDN/NFV Deployment Review

CenturyLink

Overview

Key Vendors

SDN/NFV Deployment Review

Equinix

Overview

Key Vendors

SDN/NFV Deployment Review

Google

Overview

Key Vendors

SDN/NFV Deployment Review

NTT Group

Overview

Key Vendors

SDN/NFV Deployment Review

SK Telecom

Overview

Key Vendors

SDN/NFV Deployment Review

Telefónica Group

Overview

Key Vendors

SDN/NFV Deployment Review

Verizon Communications

Overview

Key Vendors

SDN/NFV Deployment Review

Vodafone Group

Overview

Key Vendors

SDN/NFV Deployment Review

Review of Other SDN & NFV Commitments

Service Providers

A1 Telekom Austria Group

Altice Group

ASPIDER-NGI

Axiata Group

BCE (Bell Canada)

BT Group

China Mobile

China Telecom

China Unicom

Colt Technology Services Group

Comcast

Digicel

DT (Deutsche Telekom)

Etisalat

IIJ (Internet Initiative Japan)

KDDI Corporation

KPN

KT Corporation

LG Uplus

NAKA Mobile

Ngena

Ooredoo

Orange

PCCW Global

Singtel

SoftBank Group

Sprint Corporation

STC (Saudi Telecom Company)

Swisscom

Telecom Italia

Telenor Group

Telstra

Turk Telekom

Windstream Communications

Enterprises & Data Centers

Internet Giants

Data Center Operators

Large Enterprises

SMEs (Small and Medium-Sized Enterprises)

 

Chapter 5: Industry Roadmap and Value Chain

Industry Roadmap

Pre-2020: Moving Towards Network-Wide Orchestration

2020 – 2025: Large-Scale Service Provider Rollouts

2025 – 2030: Continued Investments with 5G & Next Generation Network Rollouts

Value Chain

Enabling Technology Providers

Pure-Play SDN & NFV Specialists

Network Infrastructure Vendors

IT Industry Giants

Mobile Infrastructure Vendors

Policy, OSS, BSS & Other Software Vendors

Enterprises

Service Providers

Data Center Operators

 

Chapter 6: Standardization, Regulatory & Collaborative Initiatives

3GPP (3rd Generation Partnership Project)

End-to-End Management for Virtualized 3GPP Networks

5G PPP (5G Infrastructure Public Private Partnership)

SDN / NFV WG (Working Group)

Key Projects Focusing on the Use of SDN & NFV

ASF (Apache Software Foundation)

Mesos

ARIA TOSCA

CloudStack

ATIS (Alliance for Telecommunications Industry Solutions)

NFV-F (NFV Forum)

Broadband Forum

TR-317 & TR-328: vCPE Implementation

SDN and NFV Work Area

CloudCO (Cloud Central Office)

Migration to SDN-Enabled Management and Control

FANS (Fixed Access Network Sharing)

Support for SDN in Access Network Nodes

YANG Models for SDN in Access Nodes

Other Work

CableLabs

SNAPS (SDN/NFV Application development Platform and Stack)

CAICT (China Academy of Information and Communications Technology)

SDNFVIA (SDN/NFV Industry Alliance)

CloudNFV & ExperiaSphere

Open Platform for NFV

Service-Layer Based MANO

Django Software Foundation

Django Web Framework

ETSI (European Telecommunications Standards Institute)

NFV ISG (Industry Specification Group)

Release 1

Release 2

Release 3

OSM (Open Source MANO) Group

ZSM (Zero touch network and Service Management) ISG

FreeBSD Foundation

FreeBSD Operating System

IEEE (Institute of Electrical and Electronics Engineers)

IEEE SDN Initiative

IEEE 1903: NGSON (Next Generation Service Overlay Networks)

IEEE 1913: SDQC (Software-Defined Quantum Communication)

IEEE 1915.1, 1916.1 & 1917.1: Standards for SDN/NFV Security, Performance & Reliability

IEEE 1921.1: SDN Bootstrapping Procedures

IEEE 1930.1: SDN based Middleware for Control and Management

Other Standards & Recommended Practices

IETF (Internet Engineering Task Force) & IRTF (Internet Research Task Force)

SDN Protocols, Working Groups, & Research Programs

NFV Working Groups & Research Programs

ITU (International Telecommunications Union)

Standardization Activities for SDN & Network Virtualization

JCA-SDN (Joint Coordination Activity on Software-Defined Networking)

SG (Study Group) 13 on Future Networks

SG (Study Group) 11: Signaling Requirements, Protocols & Test Specifications

Other Study Groups: Transport, Multimedia & Security

Linux Foundation

ODL (OpenDayLight)

OpenContrail

OPNFV (Open Platform for NFV)

ONAP (Open Network Automation Platform)

CNCF (Cloud Native Computing Foundation)

Kubernetes

Cloud Foundry Foundation

CF (Cloud Foundry) Application Runtime

CF Container Runtime

CF BOSH & Other Projects

ONOS (Open Network Operating System)

OCI (Open Container Initiative)

CORD (Central Office Re-architected as a Datacenter)

Open Switch

Open vSwitch

DPDK (Data Plane Development Kit)

FD.io (Fast Data Project)

Xen Project

Xen Hypervisor

Xen Cloud Platform

XAPI

Mirage OS

Unikraft

Xen ARM

Node.js

Other Relevant Projects & Specifications

MEF (Metro Ethernet Forum)

Third Network Vision

Third Network Orchestration Services

LSO (Lifecycle Services Orchestration) Framework, APIs & SDKs

Inter-Provider LSO Sonata APIs & SDK

Intra-Provider LSO Presto APIs & SDK

Software-Driven Reference Implementations and MEFnet

NetBSD Foundation

NetBSD Operating System

OASIS (Organization for the Advancement of Structured Information Standards)

TOSCA (Topology and Orchestration Specification for Cloud Applications)

OCP (Open Compute Project) Foundation

Telco Project

Networking Project

OMG (Object Management Group)

SDN Working Group

ONF (Open Networking Foundation)

Software Defined Standards

OpenFlow

Other Recommendations & Publications

Platforms

CORD (Central Office Re-Architected as a Datacenter)

CORD-XOS

CORD-Trellis

ONOS (Open Network Operating System)

MININET

Solutions

R-CORD, M-CORD & E-CORD

ODTN (Open Disaggregated Transport Network)

Incubator Projects

Delta

Information Modeling

iSDX

Open Datapath

Open Transport Configuration & Control

ONUG (Open Networking User Group)

ONUG Working Groups

OSE (Open SD-WAN Exchange)

M&A (Monitoring & Analytics)

S-DSS (Software-Defined Security Services)

HMC (Hybrid Multi-Cloud)

Container

OpenStack Foundation

OpenStack Operating System

Compute

Storage, Backup & Recovery

Networking & Content Delivery

Data & Analytics

Security, Identity & Compliance

Management Tools

Deployment Tools

Application Services

Monitoring & Metering

P4 Language Consortium

P4 Programming Language for Network Switches

SDN/NFV Forum, South Korea

Committees & Working Groups

TIP (Telecom Infra Project)

Use of SDN & NFV in Access, Transport & Core Networks

TM Forum

ZOOM (Zero-touch Orchestration, Operations and Management) Project

Core Frameworx

Virtualization Proof-of-Concept Catalysts

TTA (Telecommunications Technology Association of Korea)

PG220 (Future Internet Project Group)

Vendor Led Initiatives & Ecosystem Programs

ADTRAN's Mosaic Open Network Alliance

ADVA's Ensemble Harmony Ecosystem

Amdocs' NFV Partner Program

Big Switch Networks' Open Source Projects

ONL (Open Network Linux)

Project Floodlight & Others

Canonical's Open Source Projects

Ubuntu

Juju

Linux Containers

Ciena Blue Orbit Ecosystem

Cloudify's Open-Source NFV Orchestration Platform

Docker's Partner Program & Moby Project

HPE's OpenNFV Partner Program & SDN Ecosystem Alliance

OpenNFV Partner Program

SDN Ecosystem Alliance

Intel's Network, Cloud, Fabric & Storage Builders Programs

Juniper's Data Center, Cloud, and NFV Partner Program

Midokura's MidoNet

NEC/NetCracker's Ecosystem 2.0 & SDN Partner Space

Ecosystem 2.0

SDN Partner Space

Nokia's CloudBand Ecosystem & VSP Integration Partner Program

CloudBand Ecosystem

VSP Integration Partner Program

Red Hat's NFV Ecosystem & Open-Source Projects

NFV Ecosystem

OpenShift

Fedora

Wind River's Titanium Cloud Ecosystem

 

Chapter 7: Company Profiles

6WIND

A10 Networks

Accedian Networks

Accelleran

Accton Technology Corporation/Edgecore Networks

Actus Networks

ADARA Networks

Adax

ADLINK Technology

ADTRAN

ADVA Optical Networking

Advantech

Affirmed Networks

Airspan Networks

Akamai Technologies

ALAXALA Networks Corporation

Albis Technologies

Alepo

Alianza

Allied Telesis

Allot Communications

Alpha Networks

ALTEN Calsoft Labs

Altiostar Networks

Alvarion Technologies

AMD (Advanced Micro Devices)

Amdocs

ANEVIA

Argela

Aricent

Arista Networks

ARM Holdings

ARRIS International

Artesyn Embedded Technologies

ASOCS

Astellia

Athonet

AttoCore

AudioCodes

Avaya

Avi Networks

AWS (Amazon Web Services)

Baicells Technologies

Barefoot Networks

Barracuda Networks

Benu Networks

Big Switch Networks

Brain4Net

Broadcom

Broadpeak

CA Technologies

Canoga Perkins Corporation

Canonical

Casa Systems

CCN (Cirrus Core Networks)

Cedexis

Centec Networks

CENX

Ceragon Networks

Certes Networks

CertusNet

Check Point Software Technologies

Ciena Corporation

Cisco Systems

Citrix Systems

Clavister

ClearPath Networks

CloudGenix

Cloudify

CND (Core Network Dynamics)

Cobham Group

Cohesive Networks

Colt Technology Services Group

Comodo

Concurrent

Contela

Coriant

Corsa Technology

Cradlepoint

Creanord

Cumulus Networks

Cyxtera Technologies

DASAN Zhone Solutions

Datavision

Dell Technologies

Delta

Dialogic

Dimetis

Docker

Dorado Software

Druid Software

DXC Technology

ECI Telecom

Edgeware

Ekinops

ELUON Corporation

Enea

ENENSYS Technologies

EnterpriseWeb

Ericsson

Ethernity Networks

Exaware

EXFO

Expeto Wireless

Expway

Extreme Networks

F5 Networks

FibroLAN

Flash Networks

Flex

Fortinet

FRAFOS

Fraunhofer FOKUS

Fujitsu

Gigamon

Global Wavenet

Guangzhou Iplook Technologies

Harmonic

Hitachi

HPE (Hewlett Packard Enterprise)

Huawei

HUBER+SUHNER

HyTrust

IBM Corporation

Illumio

Imagine Communications Corporation

Infinera

Infoblox

Inocybe Technologies

Intel Corporation

Interface Masters Technologies

Intracom Telecom

IP Infusion

ip.access

IPgallery

iPhotonix

IPITEK

Italtel

iwNetworks

Juniper Networks

KEMP Technologies

Keysight Technologies

Kleos

Lanner Electronics

Lemko Corporation

Lenovo

Linker Networks

Lumeta Corporation

Lumina Networks

Luminate Wireless

Luxoft Holding

Maipu Communication Technology

Marvell Technology Group

MatrixStream Technologies

Mavenir Systems

MediaTek

Megaport

Mellanox Technologies

Mesosphere

Metaswitch Networks

Microsoft Corporation

Midokura

Mirantis

Mojatatu Networks

MRV Communications

Mushroom Networks

Napatech

.