Light Reading
There's an interesting tension between how much SDN can benefit service providers and how it could threaten their established businesses

The SDN Balancing Act

Phil Harvey
The Philter
Phil Harvey
3/21/2013
50%
50%

What balance will service providers find with SDN? As they embrace more flexible networks that offer more control to customers -- as software-defined networking (SDN) suggests is possible -- some interesting questions arise. If service providers are able to deliver more bandwidth on demand, that allows enterprises to be more flexible. The enterprise won't need to spend the time planning for things it can buy easily on demand. But if bandwidth on demand is so easy to turn on and off, will those same enterprises continue to pay for constant connections when they only use some of that always-on access some of the time?

(5)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
dig_deeper
50%
50%
dig_deeper,
User Rank: Light Beer
3/25/2013 | 7:56:50 PM
re: The SDN Balancing Act
myview, Its the example Nick gave to Phil! -áAlthough, agree with your frustration on how Nick and gang's examples are not questioned and examined more objectively.
myview
100%
0%
myview,
User Rank: Lightning
3/25/2013 | 6:32:25 PM
re: The SDN Balancing Act
Seriously? Is bandwidth on demand now an "SDN-like flexibility"? Is bandwidth on demand something new in any sense? Come on, Phil, -áthis, to me, is becoming too embarrassing. I really expect more serious, thoughtful and deeper arguments than this one on Lightreading.
mark-r
50%
50%
mark-r,
User Rank: Light Beer
3/22/2013 | 9:20:04 PM
re: The SDN Balancing Act
Where on-demand resized network connectivity services make financial sense both for the customer and the SP is when the customer organization (as thomaswe seems to indicate) has enough aggregate demand among its internal users/subscribers so that there are stat muxing benefits among them, for more cost-efficient use of the capacity service bought from the SP. In these cases the customer organization's access capacity (fixed by its physical port bit/s rates) to the SP's network forms the bottlenecks, the utilization of which is to be optimized. Eg the SP's network delivering traffic to any given site (or off-net access point) of the customer should dynamically allocate its bandwidth to match the variations of traffic loads to that given access port from the other sites/NAPs of that customer.

The benefit for the customer is maximized utilization of its network access capacity, ie the customer gets more traffic through per unit cost of the service.

The SP can deliver the given level of network on-time throughput service at lower cost base, compared to a case of static bandwidth allocation for the inter-site links for the discussed customer contract. Thus the SP can earn the given revenue level for less cost, thereby improving its profitability.
Phil Harvey
50%
50%
Phil Harvey,
User Rank: Light Beer
3/22/2013 | 3:09:29 PM
re: The SDN Balancing Act
Execs from Level 3 and TDS were the ones who brought the issue up on Wednesday morning's program. So there must be some concern that the business model would be harmed if SPs went too far too fast with SDN-like flexibility.
thomaswe
50%
50%
thomaswe,
User Rank: Light Beer
3/22/2013 | 9:18:51 AM
re: The SDN Balancing Act
On-demand and pay-per-use with TCO savings for the consumer/enterprise
only works out if on the supply side you have a significant demand aggregation
(like Amazon Cloud). If this is not the case the pay-per-use pricing will take
into account the volatility of usage and no TCO savings will be reached. Therefore
there is no balance act, but only some calculations required.
More Blogs from The Philter
Stanford's Nick McKeown says SDN won't take hold until networking equipment vendors give up some control
OneAPI may provide developers a reason to build apps and content for networks, not just mobile operating systems
Ericsson CEO Hans Vestberg defends his company's managed services deals and says he'd rather invest in R&D than make expensive acquisitions
Use our message boards to share photos from your Barcelona experience this week
Flash Poll
LRTV Custom TV
Why SPs Should Consider Cisco's EPN

8|27|14   |   5:40   |   (0) comments


Sultan Dawood from Cisco discusses Cisco's EPN, which enables SPs to build agile and programmable networks delivering new network virtualized services using Cisco's Evolved Services Platform (ESP).
LRTV Huawei Video Resource Center
Huawei’s Showcase @ Big Telecom Event 2014

8|26|14   |   2.56   |   (0) comments


SoftCOM is Huawei's framework for telecom business and network transformation. Haofei Liu, Solution Marketing Manager, Carrier Business Group, Huawei, showcases Huawei's SoftCOM architecture in this video.
LRTV Huawei Video Resource Center
Huawei @ BTE 2014: Director of Integrated Solutions on SoftCOM & NFV Monetization

8|26|14   |   4.43   |   (0) comments


Libin Dai, Director of Integrated Solutions, Carrier Business Group, discusses Huawei's SoftCOM and NFV monetization. Huawei believes that NFV monetization should be service-driven rather than network-driven, and that operators should have network transformation, service transformation and a compatible and collaborative ecosystem in place in order to deploy NFV.
LRTV Huawei Video Resource Center
Huawei @ BTE 2014: Director of US NFV Lab on CloudEdge & the Future of NFV

8|26|14   |   4.06   |   (0) comments


Sean Chen, Director of US NFV Lab at Huawei, discusses Huawei's new approach to NFV in open collaboration. Huawei believes that through Proof of Concept tests, it could help operators learn and communicate with the industry more effectively. Sean believes that successful implementation of NFV should have its values reaching to end users and discusses how Huawei's ...
LRTV Huawei Video Resource Center
Huawei's Highlights @ Big Telecom Event 2014

8|26|14   |   3.34   |   (0) comments


At the Big Telecom Event in Chicago Huawei showcases its high-level strategy, the SoftCOM architecture, which helps operators reduce the cost of ownership of their network infrastructure and generate additional revenue in the ICT service environment. Huawei showcases over 30 pilot programs from across the globe, focusing on the industry-leading commercial ...
LRTV Custom TV
VeEX – Live from the Show

8|21|14   |   5:58   |   (0) comments


An overview of VeEX Test and Measurement solutions including TX300S multi-service test set with VeExpress cloud-based management system, UX400 universal modular platform supporting 100G testing, and the redesigned RXT modular platform.
LRTV Custom TV
Transitioning CE 2.0 Networks Into the SDN & NFV Era With Telco Systems

8|19|14   |   5:19   |   (0) comments


Telco Systems' Ariel Efrati (CEO) and Moshe Shimon (VP of Product Management) discuss virtualization and how the company's new Open Metro Edge solution utilizes the SDN and NFV concepts to accelerate and orchestrate service delivery through its innovative product portfolio and software applications.
LRTV Custom TV
NFV Myths: Is NFV Still Several Years Away?

8|11|14   |   1:13   |   (0) comments


Some say that NFV (network functions virtualization) is still several years away from being implemented on mobile operator networks. This isn't the case. Operators can get started on their paths to NFV now, as this short video from Skyfire shows.
LRTV Custom TV
A New Security Paradigm in SDN/NFV

7|28|14   |   02:54   |   (0) comments


Paul Shaneck, Global Director Network Solutions for Symantec, discusses the evolving virtualized network, explaining how Symantec is leading the security discussion as it relates to SDN and NFV, and helping to ensure the network is protected and compliant.
LRTV Documentaries
Sprint's Network Evolution

7|24|14   |   14:59   |   (0) comments


Sprint's Jay Bluhm gives a keynote speech at the Big Telecom Event (BTE) about Sprint's network and services evolution strategy, including Spark.
LRTV Documentaries
BTE Keynote: The Software-Defined Operator

7|24|14   |   18:43   |   (1) comment


Deutsche Telekom's Axel Clauberg explains the concept of the software-defined operator to the Big Telecom Event (BTE) crowd.
Light Reedy
Numbers Are In: LR's 2014 Salary Survey

7|24|14   |   1:25   |   (7) comments


Our fourth annual Salary Survey paints a picture of who's hiring, firing, earning, and yearning for a change in the telecom industry.
Upcoming Live Events!!
September 16, 2014, Santa Clara, CA
September 16, 2014, Santa Clara, CA
September 23, 2014, Denver, CO
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 9-10, 2014, Reykjavik, Iceland
June 9-10, 2015, Chicago, IL
Infographics
Hot Topics
Comcast Streams Back to School
Mari Silbey, Independent Technology Editor, 8/21/2014
Level 3 Does Big Data Differently
Carol Wilson, Editor-at-large, 8/21/2014
T-Mobile: Small Cells? We're Dense Already
Dan Jones, Mobile Editor, 8/22/2014
Utilities to Pump $11.2B Into Smart Grid – Study
Jason Meyers, Senior Editor, Utility Communications/IoT, 8/26/2014
Rogers, Shaw Take Aim at Netflix
Mari Silbey, Independent Technology Editor, 8/26/2014
Like Us on Facebook
Twitter Feed