26 June 2018
| Natalie Bannerman
Research and analysis technology company Futuriom has revealed that the SD-WAN market is to top $1.5 billion by 2019 and $2.5 billion by the year 2021.
Both figures are related to SD-WAN tools and
network-as-a-service (NaaS) revenue for non-legacy service
In its latest report 2018 SD-WAN Growth
Outlook, Futuriom spoke to various enterprises,
service providers and technology companies about the trends
driving SD-WAN technologies.
Overall the report found that SD-WAN is accelerating because
of broad market acceptance as enterprises start to see direct
return-on-investment in deploying cloud-managed WAN. Further to
this the report found that the key drivers of this SD-WAN
growth are service agility and operational expenditure cost
savings including bandwidth costs.
Futuriom says that networks are more important than ever
because of their abloty to connect consumers with digital
content and enterprise users with critical business
applications, therefore SD-WAN technology represents a step
forward in building adaptive networks to suit these needs while
lowering operating expenditure.
Other findings include the news that Aryaka,
VMware/Velocloud, and Silver Peak could exceed $100 million in
annual revenue in 2018. It also writes that include Aryaka,
Cato Networks, Cradlepoint, FatPipe, Silver Peak, and Versa
Networks are the top contenders for an initial public offering
(IPO) or major acquisition in the next few years, due to its
Cato Networks and Versa Networks the two biggest players
focusing heavily on security specialisation which in turn has
elevated the need for security integration into SD-WAN
As bandwidth demands soar from both consumer and business
needs, businesses are looking for better ways to manage, route,
and secure the bits. SD-WAN enables network managers to plan
network needs with software-based design and configuration that
can be changed and managed centrally. It also enables IT and
network staff to use growing broadband Internet capabilities to
lower the cost of operational expenditure.
Pure-play SD-WAN tools for DIY and NaaS solutions are more
attractive to customers than services provided by traditional
service providers. The report states that this is because
enterprises are more likely to build their own SD-WAN or
purchase SD-WAN from an independent NaaS.