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New report examines the SD-WAN market

New report examines the SD-WAN market

SD-WAN is a substitute for traditional router and supports multiple types of network connections including broadband, MPLS, 3G and LTE by incorporating a centralized software. This feature reduces dependency on MPLS links which are expensive and also reduces the complexity of configuration of WANs, therefore making SD-WAN a primary choice.

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The WAN market is witnessing a radical shift as SD-WANs or software-defined WANs are gradually taking over the router market.The market sees immense opportunities in future and is expected to grow at a very high growth rate during the next five years.

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SD-WANs can be deployed in any business which uses SaaS applications such as Office 365 or Unified Communication (UC) services.

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These can also be used for businesses where the company has a large number of branch office locations or substantial number of remote users.

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 One of the most important drivers for SD-WAN is its cost savings feature. More number of businesses are deploying SD-WAN as it works on pay-as-you-grow and subscription models.

Its average subscription fee is between US$ 100 to US$ 150 per month, which is very cheap as compared to thousands of dollars spent on a WAN router.

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 SD-WAN when implemented on a large scale might face security challenges. At a large scale, SD-WAN would consist of heterogeneous networks ranging from legacy networks to next generation IoT-enabled networks which might lack standardized security protocols.The SD-WAN market landscape has three categories of vendors which includes traditional routing or networking companies, companies with specialized WAN optimization & virtualization offerings and start-ups providing point solutions for SD-WAN.

The main differentiating factors for SD-WAN vendors would be the ease of configuration and monitoring provided by controllers.

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