By 2024, to increase agility and enhance support for cloud applications, 60% of enterprises will have implemented SD-WAN — up from less than 20% today.
- Gaspar Valdivia, Sr Director Analyst, To Chee Eng VP Analyst, Gartner
Gartner - Market Trends—SD-WAN and NFV for Enterprise Network Services
This Gartner Market Trends report emphasizes the correlation between the increasing growth of software-defined wide-area network (SD-WAN) and internet in enterprise WAN, and competition in service management. “Network service providers must rethink their longtime settled go-to-market and service delivery practices to ensure success meeting new enterprise demands,” Gartner analysts say.
SD-WAN is becoming the de facto option chosen by enterprises in WAN edge renewals in parallel to Multiprotocol Label Switching (MPLS) steadily being displaced by internet for incremental WAN bandwidth.
Network service providers are increasingly challenged by established and new competition in the overlay SD-WAN management as well as in the underlay WAN transport.
The market remains hesitant to network function virtualization (NFV)-based WAN edge adoption as enterprises continue to perceive the technology as being immature, complex and not cost-effective.
Enterprises need to rearchitect their network security for cloud, internet and SD-WAN which is creating opportunities for convergence of WAN edge and network security services.