Service Providers Drive New Managed SD-WAN Services

When SD-WAN first began capturing the media spotlight in 2015, many carriers initially viewed SD-WAN as a potential threat to their business.

Fast forward two years and it’s become clear that SD-WAN provides a new way for service providers to address the changing connectivity needs of the enterprise. As enterprise applications migrate to the cloud, a new set of opportunities has emerged for advanced managed service offerings.

Recognizing SD-WAN’s Many Benefits

While some of the initial messaging around SD-WAN focused on the potential cost savings of using broadband connectivity, there are in fact many other and more important drivers for SD-WAN that include:

  • Higher availability and better application consistency by combining multiple access technologies with packet-based bonding
  • More flexible and granular internet breakout policies
  • Improved security via edge-to-edge micro-segmentation of traffic

And, of course, most importantly SD-WAN provides the opportunity to rethink the branch and displace decades-old multiservice branch router architectures with a simple, cloud-first SD-WAN edge or universal CPE.

Enabling Service Providers to Leverage SD-WAN

Enterprise IT organizations are continually evaluating what IT initiatives to in-source or out-source and WAN services are no exception. For every enterprise IT organization that implements its own SD-WAN overlay (and we’ve seen more than 400 do that with Unity EdgeConnect since launch), there are other enterprises that prefer to implement a turn-key managed SD-WAN service. They’ve been asking service providers to deliver comprehensive managed SD-WAN services, and, starting approximately a year ago, we’ve seen a surge of interest from service providers looking to integrate our EdgeConnect SD-WAN solution into their managed WAN service offerings.

To enable service providers to leverage Silver Peak technology in managed service offerings, we’ve complemented our EdgeConnect solution with many service provider specific capabilities like web-scale multi-tenant management with Unity OrchestratorSP and comprehensive MPLS-VPN and BGP interoperability. We’re continuing to work with our service provider partners to deliver the features they need to build compelling managed WAN services.

This week we’ve announced the latest in a series of service provider partnerships, this time with China Telecom. Through a new global partnership, China Telecom will deliver fully-managed SD-WAN services based on EdgeConnect and Unity Boost to its multinational enterprise clients. The new managed SD-WAN services enable China Telecom to cost effectively address the international connectivity and performance and security requirements for multinational enterprises based in the PRC seeking to expand out of region. And it will enable China Telecom to attract new multinational clients seeking to expand into and across the PRC.

At Silver Peak, we’re really excited to be on the forefront of a fresh wave of WAN innovation.  We’re excited by the productivity and agility we can deliver to enterprises, whether they choose to implement their own SD-WAN with EdgeConnect or elect to go with a turn-key fully managed SD-WAN service from one of our growing list of service provider partners.

About the author
David Hughes
David Hughes

David Hughes founded Silver Peak Systems in 2004 after serving a year as an Entrepreneur in Residence at Benchmark Capital. Through 2013 Hughes drove innovation serving as CTO, and then more recently as CEO, leading Silver Peak beyond WAN optimization into the emerging SD-WAN market. Prior to Silver Peak, Hughes served as vice president and general manager at BlueLeaf Networks (2000-2002), where his team developed a unique network switching and transmission system. From 1996 to 2000, Hughes held several positions at Cisco Systems, including director of system architecture for the BPX and MGX product lines, and senior director of product management for the Multi-Service Switching Business Unit. Earlier, Hughes was a key engineering contributor at StrataCom, an early pioneer in frame relay and ATM, which was acquired by Cisco in 1996. Before StrataCom, David worked as an engineer for BNR Japan/Northern Telecom Japan Inc.
Hughes has been awarded more than 50 patents in areas including data acceleration, routing and packet switching, control and scheduling algorithms. Hughes earned his PhD in Electrical and Computer Engineering from Wollongong University, Australia, and holds a BE in Electrical Engineering from Auckland University, New Zealand.