While the advantages of SDN and network virtualization are well known in the enterprise IT and data center world, both technologies also bring a host of benefits to the telecommunications service provider community. Not only can these technologies help address the explosive capacity demand of mobile traffic, but they can also reduce the CapEx and OpEx burden faced by service providers to handle this demand by diminishing reliance on expensive proprietary hardware platforms. The recognition of these benefits has led to the emergence of the NFV concept that seeks to virtualize and effectively consolidate many service provider network elements onto multi-tenant industry-standard servers, switches and storage.
Due to the software-oriented nature of mobile core functions, the EPC has emerged as one of the most feasible examples for demonstrating the benefits of NFV in a mobile operator network. Several operators, including NTT DoCoMo, SK Telecom and AT&T, are already running live traffic and services over vEPC platforms.
Additional trials and commercial deployments are also underway, as operators seek to move towards more agile and flexible virtualized architectures. vEPC investments are expected to grow from $450 Million in 2016 to over $2 Billion by the end of 2020, following a CAGR of 45%. By 2020, SNS Research estimates that nearly 80% of all new EPC investments will be virtualized.
The “SDN, NFV & Network Virtualization Ecosystem: 2016 – 2030 – Opportunities, Challenges, Strategies & Forecasts” report presents an in-depth assessment of the SDN, NFV and network virtualization ecosystem including enabling technologies, key trends, market drivers, challenges, use cases, deployment case studies, regulatory landscape, standardization, opportunities, future roadmap, value chain, ecosystem player profiles and strategies. The report also presents market size forecasts from 2016 till 2030. The forecasts are segmented for 10 submarkets, 2 user base categories, 9 use cases, 6 regions and 34 countries.
The report will be of value to current and future potential investors into the SDN, NFV and network virtualization ecosystem, as well as enabling technology providers, network infrastructure vendors, mobile operators and other ecosystem players who wish to broaden their knowledge of the ecosystem.
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The researcher estimates that service provider SDN and NFV investments will grow at a CAGR of 46% between 2016 and 2020, eventually accounting for over $18 Billion in revenue by the end of 2020. At present, virtualized CPE, EPC/mobile core, IMS and policy control platforms represent nearly 70% of all VNF (Virtual Network Function) software investments. The researcher estimates that by 2020, nearly 80% of all new EPC investments will be virtualized. Although the use of SDN is widespread in the enterprise and data center domain, service providers are only beginning to adopt the technology to programmatically manage their networks. Investments on orchestration platforms will account for over $1.6 Billion in revenue by the end of 2020, representing nearly 10% of all service provider SDN and NFV spending. The growing adoption of SDN and NFV has created a natural opportunity for silicon and server OEMs to combine their server platforms with a networking business stream.
The report presents an in-depth assessment of the SDN, NFV and network virtualization ecosystem including enabling technologies, key trends, market drivers, challenges, use cases, deployment case studies, regulatory landscape, standardization, opportunities, future roadmap, value chain, ecosystem player profiles and strategies. The report also presents market size forecasts from 2016 till 2030. The forecasts are segmented for 10 submarkets, 2 user base categories, 9 use cases, 6 regions and 34 countries.
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Market forecasts are provided for each of the following submarkets, user base and use case categories:
Submarkets: SDN Hardware & Software, NFV Hardware & Software and Other Network Virtualization Software
User Base Categories: Service Providers and Enterprises & Data Centers
NFV Submarkets: Hardware Appliances, Orchestration & Management Software and VNF Software
Service Provider SDN Submarkets: SDN-Enabled Hardware Appliances, Orchestration & Management Software, SDN Controller Software and Network Applications Software
Enterprise & Data Center SDN Submarkets: SDN-Enabled Hardware Appliances, SDN-Enabled Virtual Switches and SDN Controller Software
Service Provider Use Case Categories: CDN, CPE, Data Center, EPC/Mobile Core, Fixed Access Networks, IMS & VoLTE, Policy, OSS & BSS, RAN (Radio Access Network) and Transport & Backhaul
Regional Markets: Asia Pacific, Eastern Europe, Latin & Central America, Middle East & Africa, North America and Western Europe
Country Markets: Argentina, Australia, Brazil, Canada, China, Czech Republic, Denmark, Finland, France, Germany, India, Indonesia, Israel, Italy, Japan, Malaysia, Mexico, Norway, Pakistan, Philippines, Poland, Qatar, Russia, Saudi Arabia, Singapore, South Africa, South Korea, Spain, Sweden, Taiwan, Thailand, UAE, UK and USA
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