Rising Clouds, Falling Networks: The Cloud Integrated Network

Rising Clouds, Falling Networks: The Cloud Integrated Network

Recent advances in Software Defined Network (“SDN”) and Network Virtualization drive migration to a Cloud Integrated Network (“CIN”)

Corporate Finance & Restructuring

September 22, 2016

Technology Data

Technology advances and business case validation in Software Defined Networks and Network Function Virtualization (“NFV”), coupled with the ever-growing demand for secure computing, big data analytics, low latency and high bandwidth will continue to alter the network ecosystem.

Value is shifting within the network ecosystem. The new architecture separating the control plane from the data plane allows new entrants to design and provide functionality that was previously possible only from network service providers.

As SDN and NFV open standards are finalized, established cloud operators and other software vendors will be positioned to offer network service functionality to the enterprise. A shift in value will occur as enterprises move away from spending on hardware and network to data center and cloud services.

Cloud operators like Amazon Web Services, Microsoft (Azure), IBM and Google potentially will cannibalize services that once were the exclusive domain of telecommunications service providers.


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