Amplify Hybrid WAN ROI with SD-WAN

Sree Kannan, Director of Product Marketing

Michael Wood, VP of Marketing

Agenda

Complexity and cost with legacy WAN solutions

SD-WAN simplicity to reduce cost

Total cost of ownership savings with SD-WAN

250 branch analysis

Customer quotes and proofpoints

Cost and Complexity with Legacy

WAN

Multiple Levels of Complexity in Legacy WAN

MPLS

Branch

Cloud

Datacenter

Datacenter

Branch

Internet

Backup

WAN Link Complexity

• Static MPLS-based architecture

for all branch traffic including

consumer internet backhaul

• Active-backup configuration

leads to wasted bandwidth

• Longer lead time to provision

additional MPLS bandwidth

Install & Mgmt. Complexity

• Hub-spoke design needs

complex datacenter & branch

deployment

• Complex to manage with silo

network management

• Numerous IT visits to deploy,

monitor, troubleshoot and

manage

Infrastructure Complexity

• Datacenter network to support

branches is complex

• Datacenter scaling and

availability challenge

• Multiple single-function boxes per

branch • leads to device sprawl

• multiple points of failure

• multiple s/w upgrades and

patching

Cost Components in Legacy WAN

MPLS

Branch

Cloud

Datacenter

Datacenter

Branch

Internet

Backup

WAN Link Costs

• Primary MPLS cost

• MPLS connector cost*

• Backup link cost

• Upgrade costs

Install & Mgmt. Costs

• Silo management cost per

device from each vendor

• Multiple IT visit cost to deploy,

monitor, troubleshoot and

manage

Infrastructure Costs

• Device equipment cost in

datacenter and branches

• Software license cost with all

individual devices

• High availability costs for

additional devices

• Software upgrade and support

cost for each device

SD-WAN Simplicity to Reduce Cost

Key Capabilities of SD-WAN to Reduce Complexity

1. Lightweight WAN Edge replacement that is

transport agnostic

Source: http://blogs.gartner.com/andrew-lerner/2015/07/07/sdwan/

2. Allow for dynamic load sharing across multiple

WAN links

3. Provide secure VPN and ability to integrate additional network services and offload Internet traffic closer to the edge of the network

4. Dramatically simplify the complexity associated with management, configuration & orchestration of the WAN

Cloud-Delivered Software Defined WAN

Internet

Private

MPLS

VeloCloud

Edge

Velocloud

Gateways

VeloCloud

Orchestrator

Branch

Datacenter

• Use MPLS and Internet broadband as active-active with Dynamic Multi-path Optimization

• Direct and Optimized access to Cloud Services with VeloCloud Gateways

• Deliver physical appliances as Virtual Services from the Cloud

• Simplify deployment and management with automation and orchestration

Datacenter

Edge

Reduce Complexity with Software Defined Automation

• Thin branch edge device

• Remote cloud provisioning

• Business-policy based

orchestration

• One-click VPN to DC and cloud

• Eliminate NxN manual tunnels

• Dynamic branch-to-branch

• Cloud services insertion

• No complex per node routing

• Backhaul to on-premise services

Simplified Configurations Zero Touch Branches Easy Services Insertion

Simplify Branch WAN with Cloud delivered SD-WAN

BranchDatacenter

MPLS

DSL Cable LTE

Cloud

VNF

VNF

VNF

Internet

Edge as VNF

VNFs in Edge

Velocloud

Gateway

Security Service Chain

Provider Edge

Hybrid WAN Benefit Ease of Installation & MgmtInfrastructure Simplicity

• Assure application performance

over MPLS, Internet broadband

& LTE

• Active-active configuration with

app-aware per-packet steering

• 99%+ predictable app

performance with dual links

• True zero IT touch deployment

• Rapid branch activation where

MPLS is not available

• Cloud management with no

patches, upgrades..overhead

• Deep application visibility for

proactive app performance

issues

• Remote diagnostics and tools to

reduce IT visits to branches

• Gateways as SD-WAN headend.

No datacenter deployment

• Unlimited scale and availability

• Deliver Network services on-

demand from cloud (FW, VPN)

• Ease of integration with service

and solution provider network

• Service chain partner solution

like secure web gateway

(Zscaler)

Total Cost of Ownership with SD-WAN

Retail Customer Case study – 3 year TCO Analysis

• 250 branches install base,

1000’s more

• Small, mid and large

branches in North America

• MPLS as primary link with

cable as backup

• Minimum 15 users in each

branch

• 3 hardware vendors in each branch

• MPLS router, Firewall, VPN in each

branch

• VOIP is a critical traffic in all branches

• Minimum 3Mbps MPLS link is all

branches

• Additional 30Mbps bandwidth desired

in all branches for Cloud apps

Customer Profile Network Challenges & Requirements

Hybrid WAN Savings Analysis

Stage MPLS Link

Cost

Broadband Cost VeloCloud

Subscription

Total Cost Cost per Mbps

MPLS Only

Existing Network

$600 for 3Mbps N/A N/A $600 $200

Hybrid WAN

MPLS + Broadband

$600 $60* for 20Mbps

Business broadband

$90* $750 for 23Mbps

99%+ reliability

$32.60

* Cost varies by region and SLA requirements

0

50

100

150

200

250

Cost per Mbps

MPLS

Hybrid WAN

Infrastructure and Ease of Installation, Mgmt Savings

Infrastructure (average cost per branch)

Legacy VeloCloud Notes

Headend cost per

branch*

$160 0 Datacenter Headend with

high availability

Branch devices cost $900 0 Router, router module,

Firewall, VPN, WPC, Mgmt

OperationalPer branch

Legacy VeloCloud Notes

Network Management

license and support

$1080 0

Support cost $300 0

MPLS connector cost* $120 0

*does not include branch IT visits and associated savings

Total Cost of Ownership Savings

$0

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

Current With VeloCloud

Costs for a 250 branch deployment

Bandwidth Operating Expenses (ICOM) Network Infrastructure

3x Total Cost of Ownership Savings with SD-WAN

3x

Demonstrating SD-WAN Business Value Whitepaper

http://www.velocloud.com/sd-wan-resources/white-papers/sd-wan-business-value-dan-conde

www.velocloud.com

Resources

White papers

Customer Testimonials

Service Provider Case Study

Challenges• Simplify orchestration to deploy advanced

architectures supporting next generation

industrial networking for robotic applications

• Connect locations in Berlin, Germany and

Mountain View, California

• Minimize cost, management requirements, and

impact to the existing MPLS network

Results• Deployed and activated SD-WAN infrastructure

in less than one week

• Established SLAs over secure VPN connections

between Berlin and Mountain View with the

ability to insert network services anywhere

“Within the first week we had the

VeloCloud SD-WAN set up in all

global locations. We were very

satisfied with how the product worked,

the ease at which it could be

integrated into an existing network

and the visibility and manageability it

provided”

Enterprise Case Study

• Customer Profile– Enterprise with many branches, remote

locations or mobile sites

– Revenue in excess of $1B

• Problem/Requirement– Eliminate cost of expensive truck rolls

– Rapid set up of branch or remote site

• Solution– Simple, zero touch branch installation

process

– No IT person needed on site for

deployment

– Support of multiple wired & wireless

WAN links

“Devcon reduced its WAN

bandwidth costs by 75%

per month. Reduced

OPEX by 50% by

dramatically reducing

onsite IT visits”

Gartner

Thank You.