& cplSiteName &

Ethernet Operators See Future in 100GE, NFV

Sterling Perrin
10/14/2015
50%
50%

Trends in video, cloud and Internet content are driving network operator Ethernet decisions and bringing particular attention to 100 Gbit/s transport, 100 Gigabit Ethernet (GE) interfaces and services, and to SDN and NFV. These are some of the key findings in Heavy Reading's newly published 2015 Carrier Ethernet Survey, which analyzed responses from 68 qualified network operator employees from around the world.

The 100G transport trend has been in play for some time. Heavy Reading supplier data shows that 100G line-side interfaces already dominate the long-haul market, and are now starting to grow quickly in metros as well. In our Carrier Ethernet survey, operators overwhelmingly selected 100G transport as the top technology innovation of the past two years, delivering the greatest value today for Ethernet services. Interestingly, 100GE interfaces on switches/routers ranked third on the list this year, jumping up five places in the ranking from our 2013 version of the same survey (a greater jump than any other innovation on the list).

The distinction between 100G transport and 100GE interfaces needs some explanation. Initial interest around 100G transport was in "muxponder" applications. This means that 100G-equipped DWDM equipment transmitted at 100G rates, but the client-side inputs were from lower rates, primarily at 10G. The growing interest in 100GE interfaces means that 100GE services are on the rise -- with services both coming in and going out at 100G data rates.

What's driving the move to 100GE UNIs? In our survey, we asked a free-response question allowing survey takers to write in their main reasons for deploying 100GE. Tallying the various responses, video- and content-related write-ins topped the list by far. (Note that content can also include video streaming content.) Cloud, enterprise, data center interconnection and mobile capacity demands also rated as important, albeit secondary to the video/content drivers.

SDN and NFV are also beginning to have a significant impact on operators' Ethernet and IP services, according to our 2015 survey. This is a big change from our 2013 version of the survey, in which NFV and SDN registered nearly at the bottom of the near-term priorities list -- despite the significant industry hype that existed even then.

In our 2015 survey, 14 percent of operators expect a significant impact from SDN and NFV by end of the year, and an additional 55 percent of operators expect a major impact in the 2016-2017 timeframe. Also, while just 10 percent of operators surveyed expect 20 percent or more of their revenue to come from SDN/NFV architectures this year, 48 percent expect 20 percent or more of revenue to come from SDN/NFV architectures in 2018.

Consistent with other Heavy Reading surveys, the most important area of SDN development is NFV. Our research shows that while SDN certainly has applications beyond COTS hardware and function virtualization, NFV applications are of immediate interest and are tied tightly to operator priorities of adaptability and network/service agility. Within the realm of NFV, our survey data shows particular near-term interest in virtual CPE applications. By the end of 2016, more than half of respondents expect to have deployed vCPE in their networks.

Time will tell how precisely these operator projections map to their deployments, but the macro messages of greater network scale, flexibility and adaptability to drive New IP networks are clear and unmistakable.

— Sterling Perrin, Senior Analyst, Heavy Reading


For more information on the Heavy Reading 2015 Carrier Ethernet Survey, please contact:

(0)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
More Blogs from Heavy Lifting Analyst Notes
While there is little debate that fiber-based fronthaul is the future, there is concern that the CPRI protocol, as it stands, does not scale to the demands of 5G.
Around 1,000 delegates gathered in Munich this week to listen, discuss and clap at random at Deutsche Telekom's two-day cybersecurity event. But was there something missing?
Although the access market is quickly turning to wireless connections, fiber still has its place and is a growing commodity for vendors.
To offer high-level fiber quality assurance to the clients they are leasing to, network operators need to start looking into more comprehensive automated OTDR systems.
Heavy Reading's eight key takeaways from the TM Forum's annual jamboree in Nice.
From The Founder
Kicking off BCE 2017, Light Reading founder Steve Saunders lays blame for NFV's slow ramp-up and urges telecom to return to old-fashioned standards building and interoperability.
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 Interviews
CenturyLink: Let's Get Past SD-WAN Hype

6|23|17   |   04:02   |   (0) comments


Technology becomes a "shiny object" unless it's properly focused on solving business needs for enterprise customers, says Bill Grubbs, network solutions architect for CenturyLink. He explains to Light Reading why SD-WAN deployments have to be tailored to specific needs – and more.
Women in Comms Introduction Videos
Infinera's Sales Director Paints Tech's Big Picture

6|21|17   |   4:14   |   (1) comment


Shannon Williams, Infinera's director of sales, shares how she achieves work's many balancing acts -- between her role and the broader company, today and tomorrow's tech and more.
LRTV Custom TV
SD-WAN Innovation & Trends

6|20|17   |     |   (0) comments


Versa CEO Kelly Ahuja discusses with Carol Wilson the current status and trends in the SD-WAN market, Versa's innovation around building a software platform with broad contextualization, and the advantages that startups can bring to the SD-WAN market.
LRTV Interviews
Ovum's Dario Talmesio on 5G in Europe

6|20|17   |   02:16   |   (0) comments


At 5G World 2017, Dario Talmesio, principal analyst and practice leader on Ovum's fixed and mobile telecoms European team, explains the emerging trends amongst European operators as they prepare for 5G.
LRTV Custom TV
Putting Power on a Pedestal

6|19|17   |     |   (0) comments


ARRIS's John Ulm says a major accomplishment of SCTE•ISBE's Energy 2020 program is increased focus on power cost and consumption, including inclusion of energy requirements in operators' RFPs and RFIs.
LRTV Custom TV
Gigabit Access: The Last-Mile Pipe for All Future Services

6|19|17   |     |   (0) comments


A Gigabit access platform being deployed today must be able to deliver all types of services to an increasing number of devices. A non-blocking architecture is necessary to support the ever-increasing growth in bandwidth demand. The Huawei Gigabit access solution is based on a distributed design that is fully scalable to deliver a unprecedented performance.
LRTV Custom TV
Key Factors to Successfully Deploy an SD-WAN Service

6|19|17   |     |   (0) comments


As service providers transition their SD-WAN solution from trials and limited deployments into production at large scale, there are important considerations to successfully operationalize these solutions and realize their full potential, without adding complexity, introducing uncertainty or disrupting current business operations. Sunil Khandekar, CEO and Founder ...
LRTV Custom TV
IoT Solutions: Rational Exuberance

6|19|17   |     |   (0) comments


IoT solutions are morphing from hype into viable business opportunities. Huawei has the platform and ecosystem support to help carriers successfully address new business opportunities in the IoT space.
LRTV Custom TV
Realizing ICN as a Network Slice for Mobile Data Distribution

6|19|17   |     |   (1) comment


Network slicing in 5G allows the potential introduction of new network architectures such as Information-centric Networks (ICN) as a slice, managed over a shared pool of compute, storage and bandwidth resource. Services over an ICN slice can benefit from many architectural features such as Name Based Networking, Security, Multicasting, Multi-homing, Mobility, ...
LRTV Interviews
Ovum's Mike Roberts on 5G Uptake

6|19|17   |   04:08   |   (0) comments


Mike Roberts, research director for Ovum's service provider markets group, explains why he has boosted his 5G subscriptions forecast.
LRTV Interviews
AT&T's Hubbard on Intersection of SD-WAN & MPLS

6|15|17   |     |   (0) comments


Rick Hubbard, SVP of Network Product Management for AT&T Business Solutions, discusses how AT&T's approach to SD-WAN fits in with its overall virtualization strategy, explains how SD-WAN can improve enterprise customers' use of the cloud and addresses the intersection of SD-WAN and MPLS.
Telecom Innovators Video Showcase
Keep Connected IoT Devices Under Control With Allot

6|15|17   |     |   (0) comments


Allot AVP of International Pre-Sales, Daniel Keidar, explains how communications service providers can protect infrastructure and service availability from flooding attacks caused by malfunctioning or bot-infected devices connected to their network.
Upcoming Live Events
October 18, 2017, Colorado Convention Center - Denver, CO
November 1, 2017, The Montcalm Marble Arch
November 1, 2017, The Montcalm Marble Arch
November 30, 2017, The Westin Times Square
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
Netflix's Lesson in Culture Expectation Settings
Sarah Thomas, Director, Women in Comms, 6/21/2017
No Imagination: UK Chip Biz Goes Up for Sale
Iain Morris, News Editor, 6/22/2017
Kalanick Steps Down as Uber CEO
Sarah Thomas, Director, Women in Comms, 6/21/2017
Buy American: Will It Affect the Telecom Sector?
Dan Jones, Mobile Editor, 6/21/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Following a recent board meeting, the New IP Agency (NIA) has a new strategy to help accelerate the adoption of NFV capabilities, explains the Agency's Founder and Secretary, Steve Saunders.
One of the nice bits of my job (other than the teeny tiny salary, obviously) is that I get to pick and choose who I interview for this slot on the Light Reading home ...
Animals with Phones
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.