Faster, Better, and Cheaper? Building the SD-WAN Business Case

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1 Faster, Better, and Cheaper? Building the SD-WAN Business Case John Burke CIO & Principal Research Analyst Nemertes #FutureWAN

2 Agenda ±About Nemertes ±The Current WAN and How It Falls Short ±SD-WAN to Change the Paradigm ±SD-WAN Adoption ±Business Case for SD-WAN: More than Savings ±Business Case for SD-WAN: But Yeah, Savings ±Recommendations Nemertes Research 2017

3 About Nemertes Research & strategic consulting firm analyzing the business impact of emerging technologies Founded in 2002 Women-Owned Business Topics we cover Research we conduct Services we provide Emerging Technologies Benchmarks: Live discussions with IT leaders Research advisory service Surveys: Industry-leading data integrity methodology Vendor & technology assessment Focus on communications, cloud, security Trusted Advisor criteria, challenges, benefits for both vendors and IT leaders Strategy & roadmap consulting Cost Modeling Vendor discussions: Product, technology analysis Nemertes Research 2017 Annual conference

4 The Typical Branch Today Internet Data Center RTR Encrypted tunnel FW EMERGENCY ONLY Internet Branch MPLS Carrier Core ± Use either MPLS link or Internet VPN as primary ± Most branches with multiple links use only one at a time ± Failover is not fast, sessions all die ± Internet traffic backhauled through data centers ± but SaaS, PaaS, IaaS, IoT, mobile devices, etc. Branch

5 What s Wrong With This Picture ± Paying for bandwidth you re not using ± Depends on costliest connectivity (MPLS) ± which also has the longest lead times ± Primary link problems equal outages for end users and so do service restorations! ± Routers treated like roses, should be corn so it is challenging to make changes ± Optimizing and prioritizing = more appliances ± SaaS/IaaS-bound traffic goes through your DC

6 Beginning to Relieve the Pain with SD-WAN Internet Branch SD-WAN DC SD-WAN MPLS Carrier Core ± Why not make use of it all? ± SD-WAN starts with making use all links to carry traffic with mutual fail-over ± Can bolster or replace MPLS Encrypted tunnels with Internet SD-WAN Branch Optionally encrypted tunnels

7 More Than Using All Links: Using Them Flexibly ± Abstract how you use WAN (topology) from how you connect (links) ± Many links look like one pool of bandwidth ± Many virtual WANs overlaid on available bandwidth ± Mix and match topologies based on traffic needs!

8 Changing Direction Easier If One Wheel To Steer With ± Policy controls everything ± Not node-by-node configuration configure the WAN as a whole ± Performance can apply anything from forward error correction and prioritization to compression ± Security where the packets will be allowed to or forced to flow, and with what security layered on ± Topology what paths packets will follow, for cost, performance or security

9 SD-WAN In The Enterprise SD-WAN State of Deployment No Plans 36.4% Using Now 18.2% Planning % Evaluating 36.4% ± Early adopters report ± 95% reductions in WAN trouble tickets ± 92% reduction in outages ± 40% of the most successful companies in Nemertes 2016 Cloud and Data Center benchmark have begun to deploy or will within 2016

10 Building the SD-WAN Business Case Cost Substitute lower cost links or devices for higher cost Lower cost of management, troubleshooting Agility Speed has value! Focus Reduce troubleshooting time Performance Security Reduce number of outages affecting users Improve application performance Consistent and current systems Partitioned virtual WANs and security service chains

11 A Typical (i.e. Cautious) Scenario Viptela Nemertes Research 2017 ± Activate IPVPN failover links ± Shift smallest branches only off MPLS ± Allow direct to Internet in many branches

12 More Capacity, Less Money, Better Performance ± Double the available capacity ± Save more than 10% over current arrangement Nemertes Research 2017

13 Savings are a Good Base: A Nemertes Client Example $6,000, ± 200+ sites ± Keeping MPLS ± Shifting growth to Internet ± Avoiding close to $4.6M/year of planned MPLS spend by 2019 $5,000, $4,000, Current $3,000, Expand with Carrier Ethernet Expand with Cable $4.6M $2,000, Avoided by 2019 $1,000, $JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

14 Recommendations ± Explore SD-WAN for both savings and service improvements ± Look at broad array of options ± Plan for a couple proofs of concept ± Shape strategy based on ± Business goals and requirements driving WAN use, keeping in mind UC and Cloud ± Benefits of ability to expand, shrink, and modify WAN more easily, quickly, safely ± Options for and cost of connectivity in actual locations not forgetting the cost of managing additional connectivity providers ± Current costs of WAN management and troubleshooting ± Impact of downtime and poor app performance

15 Download the Research Nemertes Research DN5687

16 Recommended FutureWAN 17 Sessions u Voice of the Enterprise: First American s SD-WAN Transformation u Zscaler: Cloud Security with SD-WAN, Case Studies and Best Practices u Enabling AWS and Azure Migration Using Viptela SD-WAN u LiveAction: Gaining Deep Visibility Into The WAN Overlay Access All Summit Sessions

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