& cplSiteName &

Inside CenturyLink's NFV/SDN Strategy

Carol Wilson
4/22/2014
100%
0%

CenturyLink is looking to balance substantial promised benefits against real challenges as it explores its options for SDN and NFV.

The number three US telecom operator is taking an aggressive but practical approach. At least that's the vision put forth by James Feger, VP of network strategy and development. Feger helped launch CenturyLink Inc. (NYSE: CTL)'s dive into virtualization in late 2012 by creating a small team within his staff that worked on SDN and NFV concepts.

"Now we're at the point where any network function we look at adding to the network, our first goal is to find out can we run this as a virtual function," says Feger, who will be a keynote presenter at June's Big Telecom Event, discussing CenturyLink's innovation in this area.

CenturyLink's James Feger

Making the leap in 18 months from initial exploration to actual deployment followed two early successes. CenturyLink first deployed a virtual firewall product. Then the company deployed a virtual content delivery network (CDN) for its internal use, to distribute video for IPTV deployments and video-on-demand services. In each of those cases, the carrier had a fallback position if the virtual approach failed to meet expectations, Feger points out.

"We could always go back to an appliance approach to offering managed firewall services and to a more traditional CDN," he says. "That was why we thought we could take a bit of a risk to be early adopters."

CenturyLink is looking to participate in early demonstrations of virtualization -- such as the European Telecommunications Standards Institute (ETSI) NFV Industry Specification Group's proofs of concept -- based on immediate product-related needs, not theoretical deployments.

"We believe that we as a company, we are going toward more managed services," Feger explains. "So when we were looking for things to demonstrate, we do have a few items to solve internally such as the next generation sets of firewall capabilities, security services, and encryption services. For things such as AAA or DNS infrastructure -- we want those virtualized, but for us that is a different level of priority."

Next page: CenturyLink's transition strategy

(5)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Carol Wilson
50%
50%
Carol Wilson,
User Rank: Blogger
5/5/2014 | 9:55:37 AM
Re: Cloud will envelop the edge
"Google Fiber has already demonstrated it can profitably price at $0.00001 in the MAN" -- I'm curious what this figure is based on. Is this based on what Google is charging in KC or Utah? 

 
Infostack
50%
50%
Infostack,
User Rank: Moderator
5/5/2014 | 9:43:07 AM
Cloud will envelop the edge
This is just the beginning of a fundamental restructuring of the telcos; all of whom are just balkanized islands at the edge of the core dominated by Google, FB, Amazon, et al... The restructuring will mirror what IBM underwent in the early 1990s as the Wintel model disrupted the centralized mainframe processing model held hostage by inefficient connectivity. Ironically a "reverse" situation than what we see at present where the core is significantly scaled and cheaper than the edge.

The edge providers are sitting on business models that still charge $0.001 to terminate the equivalent of a voice minute in the MAN (much, much more for wireless access), whereas the core WAN's economic rate is $0.0000004 and declining 20-40% annually. Bringing WAN-side scale to the edge and a focus on driving marginal cost down at every layer and boundary point (both capex and opex) Google Fiber has already demonstrated it can profitably price at $0.00001 in the MAN, and they have yet to scale the model to wireless offload and backhaul, SMB and the big kahuna, enterprise managed services.  (The latter will actually pay for a lot of edge investment.  A last mile 800 model.) So MAN costs can shift an additional 1-2 decimal places to the right as the scale economies of the cloud are driven to the edge.
Mitch Wagner
50%
50%
Mitch Wagner,
User Rank: Lightning
4/23/2014 | 2:57:39 PM
The final bit
The final bit is the real benefit of SDN and NFV: Allowing carriers to create networks that are so flexible that customers can configure their own virtual networks on the fly, without human intervention. That will result in increased demand and revenue for carriers. Other benefits for SDN/NFV are cost savings, which are terrific, but do't grow the business. 
jabailo
50%
50%
jabailo,
User Rank: Light Sabre
4/23/2014 | 1:29:19 PM
Re: Realistic and intriguing
Sure, I imagine the costs for SDN setup are a tiny fraction of buying and installing hardware.  It makes sense to do it even it fails entirely.

And if it does work, then think of all the instant optimizations you can experiment with which would otherwise require new purchases, equipment updates and so on.

It's hard to even imagine going back to hardware if it at all works.
Ray@LR
50%
50%
Ray@LR,
User Rank: Blogger
4/23/2014 | 8:24:37 AM
Realistic and intriguing
THis all makes a lot of sense and, I imagine, it's in line with what alot of operators are doing -- being cautious but explorative, figuring out what is going to work and having a rewind button/backup plan. 

Great feature.
From The Founder
Cisco's Conrad Clemson, recently promoted to head up the company's Service Provider Apps & Platforms developments, talks to Light Reading's Founder and CEO Steve Saunders about how he's bringing cloud video, mobile and virtualization together to empower network operators.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Custom TV
Huawei's Pre-MWC Analyst Briefing 2017 Highlights

2|22|17   |     |   (0) comments


Huawei shares its vision for this year's MWC.
LRTV Interviews
MWC17: 5G, Cloud RAN & More

2|21|17   |   04:35   |   (0) comments


Ovum Senior Analyst Julian Bright talks to Scott Bicheno from Telecoms.com about all things MWC, including Cloud RAN, Huawei's pitch to the industry and the road to 5G.
LRTV Interviews
MWC 2017's Key 2-Letter Terms

2|20|17   |   08:29   |   (1) comment


5G, AI, VR... these are just some of the two-letter terms that will dominate show-floor chat at MWC 2017 in Barcelona, according to these two blow-hards (a.k.a. Scott Bicheno of Telecoms.com and Light Reading's Ray Le Maistre). And then there's PB...
LRTV Interviews
Key Trends for Mobile Operators in Developing Markets

2|20|17   |   06:37   |   (0) comments


Ovum's Matthew Reed talks to Scott Bicheno from Telecoms.com about the challenges and opportunities facing mobile operators in the developing markets of Africa and the Middle East.
LRTV Documentaries
YouTube Takes on Facebook Live-Streaming

2|17|17   |     |   (0) comments


Popular 'YouTubers' will be the first to get the new service on their smartphones. You have been warned.
LRTV Custom TV
Open Source NFV/SDN Automation

2|17|17   |   05:54   |   (0) comments


AT&T ECOMP (Enhanced Control, Orchestration, Management and Policy) code is transitioning into the Linux Foundation for placement into open source. In this video, Carol Wilson provides an update on the maturation of open source ECOMP and meets with industry leaders from AT&T, Bell Canada, Orange, Linux Foundation and Amdocs to discuss what this means for the ...
LRTV Documentaries
Uber & NASA Collaborate on Flying Car Project

2|16|17   |     |   (0) comments


Is Uber for real? Well, it's hired NASA engineer Mark Moore to lead the project, and he wouldn't come cheap.
LRTV Documentaries
Zuckerberg Tries Out the Oculus Rift VR Glove

2|15|17   |     |   (0) comments


Facebook CEO shows off a new way to interact with the Oculus Rift virtual reality headset: an Oculus glove.
LRTV Custom TV
Huawei Digital Transformation Forum 2017

2|10|17   |     |   (0) comments


Here's a preview of the upcoming Huawei Digital Transformation Forum taking place in Barcelona with trending telecom topics like cloud, IoT, 5G and much more!
Telecom Innovators Video Showcase
Dan Sahar of Qwilt on Open Edge Cloud Platform

2|8|17   |   08:38   |   (0) comments


Dan Sahar, Qwilt's co-founder, sits down with Steve Saunders of Light Reading for a conversation about Qwilt's Open Edge Cloud platform and the new role of service providers in application and content delivery.
LRTV Documentaries
ZeroStack's 'Self-Driving Cloud'

2|7|17   |   01:09   |   (0) comments


Its Z-Brain tech automates day-to-day management and long-term planning for hybrid clouds.
Telecom Innovators Video Showcase
Nominum's Craig Sprosts on DNS & Cybersecurity Trends

2|7|17   |     |   (0) comments


Nominum's Craig Sprosts talks about the fast-changing landscape of cybersecurity with Steve Saunders of Light Reading. Sprosts touches on the trend of the rise of ransomwares, rivals of IoT base attacks, and mobile network security. He also discusses the realization of the importance of IoT security after a recent cyber attack that paralyzed several major ...
Upcoming Live Events
March 21-22, 2017, The Curtis Hotel, Denver, CO
March 22, 2017, The Curtis Hotel, Denver, CO
March 22, 2017, The Curtis Hotel, Denver, CO
May 15-17, 2017, Austin Convention Center, Austin, TX
May 15, 2017, Austin Convention Center - Austin, TX
June 6, 2017, The Joule Hotel, Dallas, TX
All Upcoming Live Events
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
Broadband Has a Problem on the Pole
Mari Silbey, Senior Editor, Cable/Video, 2/21/2017
Is the Time Right for a Cisco/Ericsson Wedding?
Ray Le Maistre, Editor-in-chief, 2/17/2017
Verizon to Start Fixed 5G Customer Trials in April
Dan Jones, Mobile Editor, 2/22/2017
Nice to See at Least One CSP Taking My Advice
Mitch Wagner, Editor, Enterprise Cloud, 2/17/2017
Charter Launches 5G Field Trials
Mari Silbey, Senior Editor, Cable/Video, 2/16/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Light Reading founder and CEO Steve Saunders chats with Sportlogiq CEO Craig Buntin about sports data analysis.
Eyal Waldman, CEO of Mellanox Technologies, speaks to Steve Saunders, CEO of Light Reading, for an exclusive interview about the 100 GB cable challenge, cybersecurity and much more.
Animals with Phones
No One Likes This Click Here
Take a hint!
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.