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MordyK
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MordyK,
User Rank: Light Sabre
10/27/2015 | 6:42:52 AM
Re: Time to lay this argument to rest
And yet while calling bull on savings element, Orange is still fully commited to migrating their networks to a new IP architecture. This tells me that the implemetors and decision makers are tired of getting pressured from the executive suite about the efects on their P&L statements.
kq4ym
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kq4ym,
User Rank: Light Sabre
10/26/2015 | 9:29:11 PM
Re: Time to lay this argument to rest
But interesting that Orange is taking the argument over savings head on. With the pitch that sales folks are leading ciients to " believe SDN and NFV can generate much bigger cost savings than are feasible," Orange is certainly going to put some caution in the minds to those ready to join the SDN caravan.
MordyK
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MordyK,
User Rank: Light Sabre
10/14/2015 | 11:16:29 AM
Re: Time to lay this argument to rest
Glad I managed to clarify my point!
brooks7
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brooks7,
User Rank: Light Sabre
10/14/2015 | 10:10:18 AM
Re: Time to lay this argument to rest
Sheesh, took me all that to get you to post your actual view!

I didn't think you were flip flopping, just wanted you to say what you mean!

seven

 
MordyK
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MordyK,
User Rank: Light Sabre
10/14/2015 | 12:41:12 AM
Re: Time to lay this argument to rest
Seven,

There are 2 forms of efficiencies: 1. you get more from the same cost which creates growth. or 2. you reduce overhead and retain the status quo. A struggling enterprise looks for savings to reduce the burn rate, while successfull companies see freed up resources as a license and budget to tackle new opportunities.

Telco's are pretty rich, so I would believe they would go for growth, especilly as we approach the convergence of 4.5-5G and IoT which present new opportunities along with new complexities. If you don't move to a new IP platform, the cost of IoT and 5G becomes extremely prohibitive.

Therefore, if you're gonna be spending the money anyways, you may as well go early - if its fully baked - and get some more of those efficiencies.

I believes this explains my thinking and prevents me from being labelled a flip-flop. :)

Mordy
brooks7
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brooks7,
User Rank: Light Sabre
10/14/2015 | 12:30:39 AM
Re: Time to lay this argument to rest
mordyk,

But that is what you are saying.  They get to lay people off.  That is what opex savings are.  So, either they get to save money or they don't.  Fewer people is what opex savings are.  That is what you have said and then denied.  Make up your mind.

seven

 
MordyK
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MordyK,
User Rank: Light Sabre
10/13/2015 | 11:56:26 PM
Re: Time to lay this argument to rest
I'm not saying that the operational efficiencies are not there, but in the short-term the costs involved in the migration are also pretty high. So if there are savings I would think they are miniscule.

That said every time you need to provision something that required weeks to process that can now be done on the fly is an opportunity to save cost or generate new revenue. 

In the long term however, the new IP route which includes SDN and NFV gives free reign for departments to innovate on the cheap and rapidly and leverage opportunities that were ignored because they were simply to painful to pursue.

A few weeks ago there was a post on carrier's excitement over the container concept. The convergence of software replacing dedicated hardware in the network is all part of the new IP revolution that can theoretically unleash the telco's from their old culture to one of serious product innovation.
brooks7
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brooks7,
User Rank: Light Sabre
10/13/2015 | 10:45:17 PM
Re: Time to lay this argument to rest
"The savings derived from SDN and NVF have always been secondary to the flexibility they brought on the operational side, be they existing KPI's or the relative ease of deploying new products and services. The ROI pitch began as a sales and marketing tool to get the board and executive level buy-in."

 

So, it is simpler to deploy things but costs the same?  No reduction in headcount?  If that is true, then there is no point.

seven

 
Mitch Wagner
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Mitch Wagner,
User Rank: Lightning
10/13/2015 | 5:55:06 PM
Underpromise and overdeliver
Underpromise and overdeliver is a good motto to live by. 

You just know that when Mr. Scott said he needed 16 hours to calibrate the warp drive, and Captain Kirk said they had 12 hours, Scotty knew that they could do it in 10. Then he did it in 11 hours and looked like a big damn hero. 
MordyK
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MordyK,
User Rank: Light Sabre
10/13/2015 | 2:57:18 PM
Re: Time to lay this argument to rest
The savings derived from SDN and NVF have always been secondary to the flexibility they brought on the operational side, be they existing KPI's or the relative ease of deploying new products and services. The ROI pitch began as a sales and marketing tool to get the board and executive level buy-in.
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