The telecom infrastructure developer's market is witnessing a
technical change globally. So far the main thrust of the
communications service providers was on developing advanced
hardware, which would enable them to attain enhanced speed,
scalability and reliability.
However, recent developments suggest that operators are
gradually shifting focus from a hardware centric growth model to an
IT/software centric one. The primary reason behind this shift is
the significant growth of cloud-based virtual networking.
Massive growth of software-defined networking (SDN) and network
function virtualization (NFV) encouraged newly emerging digital
media companies to invest heavily in the communications
infrastructure market. SDN facilitates customers enjoy increased
bandwidth utilization, higher reliability and reduced capital
NFV is designed to consolidate and deliver the networking
components needed to support a fully virtualized infrastructure -
including virtual servers, storage and other networks. It
utilizes standard IT virtualization technologies.
According to a recent research report of IDC, the global SDN
market size is likely to reach $8 billion mark by 2018 compared
with $960 million in 2014. Using SDN, data centers and enterprise
networks can enjoy automated network provisioning, network
virtualization and network programmability to bring efficiency and
agility of the network.
As the internal dynamics of telecom vendor market is shifting
towards software centric approach, the traditional large network
hardware developers are facing severe competitive threat. On the
other hand, IT/software telecom vendors like VMWare Inc. (
), Citrix Systems Inc. (
), Juniper Networks Inc. (
), Ciena Corp. (
) and ConteXtreme are expected to gain from the new trend.
Large business enterprises generally have operations throughout
the world. A strong and robust wireless network is essential for
these companies to maintain connections with remote sites.
Thus, cloud-managed infrastructure has become indispensable for
these large business houses as it offers several advantages like
central manageability, smaller physical footprint and linear
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