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F&S ON ETHERNET
Making the move to Ethernet
A DECISION GUIDE
1). Ethernet-based networks have been deployed in enterprise Local Area Networks (LAN) because of their simplicity. Reliability.g. MEF was formed to accelerate the worldwide adoption of carrier-class Ethernet networks and services. performance. in the past few years. Chart 1. which is now standard-based and multi-vendor interoperable. point-to-multipoint (P2MP) and multipoint-to-multipoint (MP2MP) networks.2: Network Architecture of ELAN Ethernet Services CE Multipoint-to-multipoint EVC CE UNI UNI UNI CE UNI CE MetroEthernet Network (MEN) Source: Frost & Sullivan . is gaining strong adoption with growth rates of over 20% in most markets. Ethernet is gaining adoption as a Wide Area Network (WAN) technology due to the following technical reasons: • WAN traffic explosion that is doubling every four years • Unlike other WAN technologies (e. Standardized Services. Ethernet Penetrates the WAN Traditionally. consolidation and convergence. The mass adoption and simplicity of Ethernet has lowered costs dramatically and consequently helped it expand into places where Synchronous Digital Hierarchy (SDH). Quality of Service (QoS) and Service Management. high speed and multi-vendor interoperability. It also offers the flexibility of using either Layer 2 or Layer 3 services to create a networking solution. simplicity and control at lower incremental costs. Ethernet automatically detects and forms routing links • Widespread availability of Ethernet interfaces in networking equipment • Application-Specific Integrated Circuit (ASIC) level economies of scale enables lower cost of components and hence lower cost per Mbps • Rapid standardization of Ethernet Services by the Metro Ethernet Forum (MEF) . The switches examine the destination addresses of the frames and send them to respective destination ports which are attached to destination devices. has a destination address. organizational dynamics necessitates solutions that can provide scalability. standardized. As a P2P service.a non-profit international industry consortium To clarify and standardize the various services that can be offered by Carrier Ethernet. The MEF has defined Carrier Ethernet as a ubiquitous. ATM and frame relay) that are complex to configure and maintain as new sites are added. carrier-class network with five major attributes that distinguish it from familiar LAN based Ethernet: Scalability. between two cities or even across a WAN. low equipment cost. However. Thus carrier-grade Ethernet services offer a strong value proposition to enterprises to manage point-to–point (P2P). P2MP or MP2MP service. ELANs can be used to provide MP2MP support for LAN connectivity and as an effective solution for extending the bandwidth of existing Ethernets. Ethernet Private Line (EPL) can provide a dedicated Ethernet Virtual Connection (EVC) within a metropolitan area (see chart 1. Ethernet can connect to either Layer 2 or Layer 3 services to create a networking solution. The technology can be implemented either as an access method to a Layer 3 technology. At the same time. In comparison. This white paper aims to do the following: • Evaluate the value proposition of Ethernet services based on the requirements of enterprises • Enable decision making and evaluation of the right Ethernet solution • Highlight the salient features of SingTel‘s Ethernet portfolio 1. Individual ports are provided in the connection. The technology. In this way. Asynchronous Transfer Mode (ATM) and Multi-Protocol Label Switching (MPLS) were dominant. providing high-bandwidth connectivity between locations within a metropolitan area.2). Ethernet LANs (ELANs) are MP2MP service that uses switches to connect individual hosts or User Network Interfaces (UNIs) (see chart 1. or as a Layer 2 P2P.F&S on Ethernet Executive Summary Enterprises today need higher bandwidth for site-to-site connectivity and data center connectivity to cope up with new requirements involving collaboration. and each frame that arrives at a port.1: Network Architecture of EPL Ethernet Services CE CE MetroEthernet Network (MEN) CE Chart 1.
b). secure and greater bandwidth which is necessary to support specific . Moreover. A switching technology that organizes digital data into 53-byte cell units and transmits them over a physical medium. thus enabling greater application level control compared to traditional deployments. Thus. Ethernet services help in extending the familiar LAN environment to the WAN. low-latency connections for such requirements through an EPL or EVPL. Increased virtualization also necessitates faster replication to provide access to real-time data. Telepresence). enterprises will benefit from the availability of scalable. This necessitates a change in the core network architecture. Enterprises Embrace Ethernet’s Value Proposition With the rapid proliferation of carrier-grade Ethernet services from various service providers. its technological advantages over SDH make it a compelling business case for MP2MP switched data and site specific requirements. Data-carrying mechanism that belongs to the family of packet-switched networks. This is where an ELAN service is useful.F&S on Ethernet Chart 1. Since the technology is now mature. However today’s branch offices. with a mix of 1 Gbps links between data centers and beyond 10 Mbps from key offices. Since other WAN technologies does not support granular increase in bandwidth. A cost-efficient data transmission technology for intermittent traffic between LANs and end points in a WAN. Ethernet offers these speeds at a much lower cost compared to other technologies. a 2 Mbps link for a branch would suffice. standard-based and multi-vendor interoperable.1: Applications Driving Demand Source: MEF. when branch offices need speeds greater than 10 Mbps. the traffic is also driven by various Data Recovery (DR) sites that require a fast Storage Area Networking (SAN) synchronization. Frost & Sullivan Chart 1. the technology is gaining traction amongst enterprises who value its ability to provide higher bandwidth in a granular manner. Drivers of Ethernet Adoption The reasons for adopting Ethernet in the WAN can be segmented around the following usage drivers. Chart 2. data center traffic is rapidly expanding due to a mixture of access and storage related requirements and greater virtualization of sites. The network solution appears as a single LAN service across cities and centers and also allows enterprises to scale bandwidth in all these locations quickly. Data center related high-speed connectivity requirements: In an information centric world. Data center interconnection speeds between regional hubs are now above 1 Gbps in many leading enterprises. 3. especially those of service centric firms.g. c). Re-organization of core networks and rationalization of network costs: This requirement is a resultant combination of the above two points especially for large enterprises. Ethernet offers high-speed. Protocol for transferring multiple digital bit streams using lasers or light-emitting diodes (LEDs) over an optical fiber. Even for MP2MP type large networks. depending on the traffic and applications. Real-time transactions processing in brokerage firms or specific vertical applications such as medical imaging for healthcare are among other applications that require missioncritical networks. it helps enterprises gain scalability across diverse corporate environments with significant reduction in provisioning costs. are rapidly exceeding that speed due to increased usage of unified collaboration or two-way video transmission applications (e. as it can manage multiple connections over a unified Ethernet network. Collaborative Tools Virtualisation Real-time Transactions Business Continuity FR SDH 2. which have a mix of high-end data center connectivity to their regional hubs and branches. a).4: Technology Terminologies Technology Virtual Private LAN Service (VPLS) MPLS ATM Definition Provide Ethernet based MP2MP virtual communication over Multi Protocol Label Switching (MPLS). New applications and programs that are driving branch office traffic and hence larger bandwidth: A few years ago.2: Network Architecture of ELAN Ethernet Services P2P Shared Ethernet Virtual Private Line (EVPL) Ethernet Private Line (EPL) MP2PMP Ethernet LAN (ELAN) P2MP Ethernet Virtual Private Tree (EVP-Tree) Ethernet Private Tree (EP-Tree) Dedicated Ethernet Private LAN (EPLAN) Traditional FR technologies are not designed to carry video and voice traffic efficiently since their inherent architecture increases the network delay. In some cases.
35 billion in 2007. The typical thumb rules that govern network decision making are: • As the number of sites increases.13 4. deploying Internet Protocol Virtual Private Network (IP VPN) could be a better choice.19 billion in revenues in 2007.08 7.1: Key drivers of Ethernet The Asia Pacific Carrier Ethernet services market is slightly behind that of North America and garnered US$2.46 6.58 Reliability Business Continuity Lower cost for high bandwidth Higher Access Simplicity for Speed operational staff 3. In this section. in such cases where security is crucial. Business expansion of SMEs. the migration from traditional ATM/FR to Ethernet services would begin to accelerate. The following chart (chart 5.51 2009 3. and will witness a considerable increase between 2008 and 2012.19 2. However. bandwidth requirements. Frost & Sullivan believes that the size of the market. Over 40% of the enterprise spoken to in the above survey indicated that they were either evaluating or planning to deploy an Ethernet based WAN in the next 12-24 months and 17% of them had already deployed it. Chart 4.1: Carrier Ethernet Services Revenues (Global).1 based on a survey that Frost and Sullivan conducted in a key ASEAN country involving 80 enterprises. the ability to control IP routing in the case of an Ethernet service makes it more attractive for enterprises. virtualization and business continuity. With US$3. if the bandwidth requirement per site is lower than 4 Mbps. For a typical 4.59 4.67 2012 5.1) shows the feasibility of various network solutions possible for different corporate requirements. which was US$8. core network or the data center network). as long as the organization can operate sufficiently with best-effort connections. reaching US$8. 2007 Europe North America Asia Pacific 25 20 15 10 5 0 Rating of drivers for Ethernet adoption 9. Ethernet Adoption and Market Growth Based on the increasing adoption of Carrier Ethernet.59 2010 4.68 2011 5. As service coverage improves through greater deployments of fiber close to the commercial sites.88 3. Chart 3.F&S on Ethernet application needs such as collaborative tools. . real-time transactions.85 billion. The market will be leveling off after 2011. the North American Carrier Ethernet services market. is expected to take over the European market by 2012. which was US$2. • Till the standardization of VPLS.17 5.85 8. 2008 to 2012. Moreover. the European market had contributed more than 43% of the total Carrier Ethernet services revenue in 2007. degree of control.35 2008 2. the key drivers of Ethernet adoption by enterprises are clearly demonstrated from Chart 3.7% over the forecast period.7 2007 2. The market is forecasted to grow at a CAGR of 23. and the higher demand for capacity and scalability from large enterprises to support their bandwidth intensive applications are among major drivers that are expected to drive demand for Carrier Ethernet services in the APAC markets.02 7. the availability of Ethernet option in each of the site becomes significantly lesser.48 billion in revenues.9 8. costs and level of scalability that the enterprise desires.6 8 7.81 8. The key decision drivers include type of network (the branch network. is in the growth stage.2 8. As private line and other legacy services are continually updated with Ethernet.0 billion in 2007. MPLS was the predominant solution for MP2MP type of connectivity.48 Source: Frost & Sullivan Survey of 80 Enterprises in an ASEAN country Notes: Revenues are in USD and include retail and wholesale revenues from EPL and ELAN services Source: Frost & Sullivan Thus the Ethernet value proposition is clear: • Scalable bandwidth up to 10 Gbps for both P2P and MP2MP • Reduced complexity due to familiarity of interfaces • Cost effectiveness due to lower price per Mbps and lower CPE costs • Greater control over security and flexibility over network architecture design 5. we will provide a detailed planning checklist to help enterprises decide on the right Ethernet solution for the business needs. when it will be approaching the maturity stage and reach US$8.58 billion in 2012.32 5. Choosing the Right Network Solution Organizations with existing technologies need to carefully evaluate their network requirements and priorities before deciding on their network architecture. Thus.
• For large branch connectivity to data centers. VPLS approach is applicable at best when multicast traffic is expected to be a small proportion of overall traffic needs.F&S on Ethernet corporate MP2MP network. • EPL or its variant EVPL can be commonly used for P2P links like data center interconnection or as a conduit to Internet. Access speeds of 4 Mbps and below. Hence. what might be the best choice for a given customer does not necessarily have to be the best choice for another. number of sites. it may prove attractive to enterprises who want to keep control of routing and manage their own networks and connectivity. or stay simply with MPLS. EVPL the most suitable solution as a point to multipoint solution where bandwidth requirement may exceed 10 Mbps. Identify the key migration issues and any impact on business. Step 3: Map out the future expansion of the network and the robustness of the network options on future scalability. in a lot of other cases it is not very obvious. and MP2MP connectivity. simplified WAN management. It emulates the functionality of a LAN across the WAN by forwarding Ethernet frames. we see the decision making to be largely straightforward in the case of an EPL and large metro / hub / key branches moving to a VPLS type solution. businesses are able to take advantage of their existing local Ethernet interfaces and extend their network into the WAN. it is not suitable for supporting multicast traffic. The service uses a packet-switched network to create multipoint Ethernet connectivity across a WAN. availability of Ethernet or other technologies in each of the sites. resiliency. VPLS vs MPLS: A crucial analysis VPLS can be deployed over an MPLS platform to achieve a best-of-breed approach. bandwidth performance required per site and the security requirements of each site. Moreover. high performance. since each approach has advantages and disadvantages from different angles.1: Feasibility of Various Network solutions mapped to corporate requirements networks. Hence. by forwarding information to all ports on the VLAN as well as by dynamically learning Media Access Control (MAC) addresses. In case for multicast traffic. VPLS is a good solution if an enterprise requires meshed connectivity and the ability to scale the network. which are unique addresses associated with LAN adaptors for the destination devices. VPLS are much easier to implement and manage. Hence. However. As IP routes are not shared with a provider. This decision is a function of the number of sites. this replication will be expensive and lead to wastage of bandwidth. largely P2MP type of traffic High speed specific applications in branch offices like video conferencing and real-time processing like stock broking Low speed branch networks like tier-2 distribution sites or connection to extranets Inter-office / hub core networks with data centers Complete corporate network including core and branches Internet Access Circuits VPLS (wherever it is available) or MPLS Largely MPLS. there are basically two options: either choose a hybrid of MPLS in tier 2 locations and Ethernet in tier 1 locations with security and routing control. and the competence of the IT and network staff. while VPLS services offer more IP routing control. Key Challenges for Enterprises to Migrate to Ethernet Right framework for decision making: No one size fits all. Typical example of such a network would be a broking firm with multiple trading centers in various cities. it cannot be quite claimed that VPLS approach is better than the MPLS. criticality to business and performance parameters for key applications and sites including security and reliability. Usage Driver Data center interconnection Feasiblie Network Solution Largely EPL or EVPL Network Characteristics High speed with low latency which is P2P and enterprises prefer to control the network routing Bandwidth per branch of 10 Mbps and beyond. For instance. Chart 5. reduced cost and bandwidth scalability. VPLS requires the replication of data packets in order for them to reach the entire provider edge (PE) routers in the Virtual LAN (VLAN). VPLS makes use of MP2MP connectivity via a network having virtual connections in a switched environment. sporadic traffic or batch processing type traffic Largely 10 Mbps+ type speeds. The greatest dilemma is to choose between VPLS and MPLS in the case for larger WAN network. Step 2: Evaluate the costs. organizations should assess their needs such as following: Step 1: Decide on the network strategy. Overall. Ethernet services that use VPLS provide all of the benefits of an MPLS-based network such as prioritization. before deciding on an Ethernet solution. Unlike MPLS services. Apart from the cases where the Ethernet choice is straightforward for data center connectivity or high speed branch . with MP2MP type connectivity Combination of above VPLS Hybrid options with Ethernet in core and MPLS in branches EPL Provide high bandwidth access to the internet in metro areas Source: Frost & Sullivan 6.
Relatively more expensive to deploy than VPLS VPLS Rests with enterprises More suitable for small number of sites Attractive solution if bandwidth requirement per branch is beyond 10 Mbps Enterprises are able to take advantage of the low cost and ubiquity of Ethernet Offers more security management option as network management and control rests with enterprises Offers simplified WAN management. multiple VPLS can be supported to Simplify WAN Management Not suitable if the enterprise requires a simplified WAN management. reassembles the protocol and processes the frames.3: Illustration of Network Migration from legacy to VPLS Chart 6. especially for MP2MP connectivity . Chart 6. PE 1 or PE 2. with ATM uplinks. Each customer’s edge (CE) device connects to a PE router that examines the destination address and adds a virtual channel label to each Ethernet packet. i. a number of ATM Virtual Connections (VCs) are configured at the boundary between the two networks.e. Each VC connects user ports on the Ethernet switch in the ATM network to a dedicated VPLS gateway provider edge (PE) router. CE 1 and CE 2. User sites. CE 1 and CE 2. neither FR nor ATM seems suited for today's business needs and enterprises have thus begun considering other WAN alternatives such as Ethernet VPNS. connection oriented legacy technologies such as FR and ATM are falling short.e. thus extending the network beyond the metropolitan area. Since a virtual circuit needs to be configured manually between each site. VPLS enables all connections to appear as one Ethernet network. In the initial phase. Hence.1 illustrates the architecture of a VPLS WAN service. BR 1 and BR 2. The packets are then directed via the MPLS switched routers to the PE router at the other end.1: Illustration of an Ethernet WAN solution via VPLS In-house Expertise In-house network expertise requirement is low as businesses are able to outsource the management of their networks to service providers Suitable for enterprises that have in-house network expertise for management Source: Frost & Sullivan CE Customer Site PE Migration from Legacy to Ethernet Alternatives: Technical Checklist PE CE Customer Site MPLS Core CE Customer Site PE Source: Frost & Sullivan To cater to the increasing demand for flexibility. The Ethernet frames are sent and received on an ATM VC using bridged encapsulation. will be connected to the new VPLS network. Chart 6.2: Comparison of MPLS and VPLS Key Requirements Maintain Routing Control Number of Sites MPLS Rests with the service provider Suitable for higher number of sites aSuitable if bandwidth requirement per branch is lower than 10 MbpsMPLS. CE 3 and CE 4. or IP-VPN. The solution appears as a single LAN that may span across cities and even countries. The ATM uplinks are connected to ATM switches forming a full or partial mesh over the ATM network. In order to provide connectivity between the ATM network and the VPLS network. Business are able to take advantage of their existing local Ethernet interfaces and extend their network into the WAN CE1 BR 1 ATM 1 VPLS PES3 Ethernet PW CE3 Bandwidth Scalability VPLS PES3 BR 2 CE2 ATM 2 VPLS PES3 Ethernet PW CE4 ATM Old Site VPLS New Site Cost Management Source: Alcatel. will have existing connection to the ATM network. Frost & Sullivan Security Meshed connection allows improved security The migration of customers from the ATM based network onto the new VPLS network takes place over a few phases. are attached to Ethernet bridges. i. performance and bandwidth requirements of customers. supporting MP2MP connectivity for greater number of sites can be very complex and expensive. while new sites. and either of the gateways. In this manner. Chart 6.F&S on Ethernet Chart 6. a number of customer sites. In this way.3 illustrates a LAN service initially based on an ATM network.
SAN replication services. backup. etc. for enterprises having regional or global offices. In both cases. Latency and jitter control. voice or video). Hence. Ability of service providers to segment multicast and unicast traffic is also very critical with high video based applications. enterprise should at least consider the following buying criteria when opting for an Ethernet solution. While there can be no specific guideline on what should be the ideal solution.3. video. recovery. 3: Robust SLA Based on the type of service required (data. and the competition for bandwidth can result in poor and unpredictable application response time. Hence. Interactive traffic and latency sensitive traffic are particularly susceptible to problems caused by such bursty traffic. The result is an inefficient and cost-ineffective use of valuable IT resources. However. critical real-time traffic could be delayed or disrupted as much of the resources would be consumed by less critical applications. This is usually dependent on the length of the migration. To address this problem. One option is to migrate directly by moving to an Ethernet switched architecture with node-level reconfigurations or the second option is to choose on a node by node depending on the criticality of the node.F&S on Ethernet provide isolation between multiple users. requiring bandwidth that could exceed the available bandwidth of the network. 2: Physical infrastructure and on-net coverage In a lot of cases. which could effectively starve other applications of bandwidth. since the service does not have direct control over the partner circuit. The technical checklist for migration would consist of the following steps: • Decide on the time frame for migration by mapping out the network performance metrics before and after the migration • Decide on the interoperable mechanism for the migration. 1: Solution with multiple access and bandwidth options and not just a service Today. providing enterprise customers with same QoS in all the locations would be an issue. If coverage is not present in an area. especially if they have strict latency and jitter control requirements. Although most implementations are limited to EPL. packet delivery and end-to-end service availability are some basic SLA parameters that enterprises should certainly consider. Hence. a lot of network metrics depend on Layer 1 connectivity • Check at an application level : VoIP. and mismatches in frame sizes to ensure smoother migration • Check the Layer 2 setup in terms of VLANs on the right trunks. if any. the ability of the service provider depends on the quality of the physical infrastructure irrespective of whether it is Ethernet or MPLS services. global access to a MPLS platform. Choosing the Right Service Provider for the Ethernet Solution The key considerations for the enterprise before choosing a service provider are: • Bandwidth – Ability to add. 5: Differentiated CoS Today's enterprises are much reliant upon multiple business critical applications. At the end of the day. delete and change sites without service interruption • Service Level Agreements (SLAs) – Topology level SLAs over standard performance SLAs • Protection – Self-healing protection against cable cuts • Priority or Class of Service (CoS) – Frames sizes (impacts efficiency of bandwidth) • Experience – In providing Carrier Ethernet Services When choosing a service offering. enterprises. In some cases a topology level diverse SLAs which provide an end-to-end guarantee or application level SLAs would be needed for mission critical networks. it is imperative that enterprise ensures that it gets a service best suited for its own business needs. it is important that they choose a service provider which offers wide on-net coverage. should demand CoS feature that would enable them to prioritize multiple competing traffic classes in order to ensure high service levels for performance-sensitive applications. businesses use Ethernet services for a variety of connectivity options including dedicated access to the Internet. PVCs. market trends indicate a growing demand for ETree (P2MP) and ELAN (MP2MP) . multimedia content and graphic content may result in spikes in bandwidth consumption. it is necessary to have the highspeed backbone in place to bridge the ATM and VPLS network • Eliminate the non-routable protocols. 6: End-to-end management Many enterprises are out-tasking their Ethernet service 7. 4: Ensure bandwidth scaling and segmenting for ‘seasonal’ needs Month end closing transactions or large file downloads such as FTP. having bandwidth scalability options is very necessary for enterprises as the demand for bandwidth may constantly vary. Check Layer 3 wherever applicable in terms of routing tables. Enterprises must understand the extent of the service provider’s coverage at the Layer 1 level. private line access to a managed area network or WAN. performance pings and trace routes • Check the underlying physical infrastructure of the service provider especially in cases where there is Layer 2 emulation. It is imperative that an enterprise choose a carrierclass service which is able to offer a diversified portfolio of products and services to fit specific business needs and hence create a solution for them. as highlighted in chart 6. and switched access to a virtual private network (VPN). the service provider may have business arrangements with other service providers. the enterprise must demand a strong SLA to meets its expectation.
add security services such as encryption of sensitive data. secured and scalable WAN solution such as router management services. and adjust QoS. • • • • • • Diversified Portfolio Service Features Quality of Service (QoS) Managed Services Geographic Availability Industry Standards and Certifications Geographic Availability Industry Standards and Certifications SingTel’s Ethernet diversified portfolio of services includes ConnectPlus E-VPN A2A (ELAN). with the strongest foothold within Asia Pacific. EPL and ELAN) services. certification can provide the required confidence in their Ethernet services' reliability and consistency. secured and scalable WAN solution. ensuring global equipment/services compliance and interoperability. with the strongest foothold within Asia Pacific • In-country reach via NNI with strategic partners • • • • MEF Member since August 2007 MEF-9 certified in Jan 2008 Aims to be MEF-14 certified by 2009 Winner of the ‘Best in Business’ category at the 2008 Carrier Ethernet Service Provider of the Year Awards for Asia Pacific (organized by MEF) Source: SingTel. Based on the customer buying criteria discussed in the above section. businesses. E-VPN P2P/P2MP (EVPL).F&S on Ethernet management to a managed services provider in a bid to save money and to achieve better network performance. is designed to verify the quality and performance of Ethernet services by providing specific guidelines for QoS parameters. managed. The extensive cable investments in consortium and private cables in highly-regulated and hard-to-reach countries such as Indonesia. The service provider provides traffic reporting. online provisioning and management and monitors the service constantly to ensure high availability and dependable performance. Middle East.1: Critical Success Factors for service providers and SingTel’s Initiatives Critical Success Factors Diversified Portfolio Initiative by SingTel • ConnectPlus E-VPN A2A (ELAN) • ConnectPlus E-Line (EPL) • ConnectPlus E-VPN P2P/P2MP (EVPL) • Metro Ethernet (E-tree. Frost & Sullivan Managed Services 8. SingTel has the best coverage that serves island-wide in Singapore and has global reach to 37 major cities in US. which was launched in mid 2007. supported by its 24x7 network operations centers (NOCs). traffic utilization reports etc • Island-wide in Singapore • Global reach to 37 major cities in US. It is imperative for the service provider to have a customized network transformation strategy rather than a “one size fits all” approach. EVPL and ELAN services. following is a set of critical success factors which can be used to differentiate one service provider’s offerings from another. E-Line (EPL) and MetroEthernet (EVPL. MEF 9 and MEF 14 are service-oriented test specifications defined by MEF: • MEF 9 Certification is to verify that services delivered to the end users conform to MEF technical specification. The certification defines tests that can be applied to Ethernet service types EPL. 7: Industry standards and certification From the end user’s perspective. Secondly. Service Provider Critical Success Factors and SingTel’s Ethernet Portfolio To help enterprises migrate to Ethernet solutions. by outsourcing routine tasks. Using VPLS technology coupled with SingTel’s own private MPLS backbone. India and China. enterprises can benefit from a cost-effective. • MEF 14 Certification. Chart 8. offers enterprises access to key growth economies. Business. managed services enable reduced hardware costs. Europe. Firstly. service providers require in-depth understanding of the customers’ business processes as well as other business needs. . Value-added services include: • • • • • • Bandwidth-on-Demand Disaster Recovery (DR) Exchange Diversity Standby Scheme Router Management Service Backup Port Service Features Quality of Service (QoS) • 4 classes of service – Standard. Managed Ethernet service offers some distinct advantages to enterprises. Europe. With these reports the customer can add or scale back bandwidth. EPL and ELAN) Granular bandwidth of up to 1 Gbps and beyond. would be able to free IT staff resources in order to focus on the core business. Premium non-real time and Premium Real time • Provide burstible and Bandwidth-on-Demand service • The service offers the customers an end-to-end managed. Middle East.
the company is able to provide customers with an ideal platform for converged real-time. the institution is now able to connect new locations. The service provider’s strong relationship and robust network-to-network interfaces (NNI) with its partners in the region was apparent throughout the deployment. SingTel reportedly took less than four months to implement the solutions covering more than 17 sites in the region. MP2MP access topology. video-conferencing. FR could not provide the necessary bandwidth granularity. According to the institution. With its strong portfolio of services. Moreover. . which is likely to enable enterprises to quickly identify the optimal solution from diverse choices between best-effort and carrier-grade Ethernet services. the institution experienced a surge in data traffic between its headquarters in Europe and offices in Asia. SingTel was chosen as the service provider. SingTel was also the winner of the ‘Best in Business’ category at the 2008 Carrier Ethernet Service Provider of the Year Awards for Asia Pacific that was organized by MEF. The existing FR network could no longer scale up cost effectively to meet its expansion needs. SingTel was able to demonstrate its extensive experience by rolling out the deployment across Asia quickly enough and with minimum disruption to its business. CRM. given the mission-critical nature of the data. the network also had to be robust enough to withstand disruptive events and there were about 10 different SLAs that the service provider had to meet. Moreover. such as a VoIP. the institution expects its payback target to be achieved in less than two years time. ERP. from the cost savings that it is experiencing. Due to its extensive footprint in Asia Pacific and its wide portfolio of solutions. a recognition which reaffirms the service provider’s position as the technology front runner among Asian carriers. By migrating from its old ‘hub and spoke’ frame relay network to a full P2P.F&S on Ethernet SingTel received the MEF 9 certification. it was observed that the service provider is well-positioned to offer a strong value proposition to enterprises. users and applications much faster and with greater ease. From Frost and Sullivan’s assessment of SingTel’s Ethernet services offering on the critical success factors. in January 2008. Achieving Scalability and Cost-Efficiency – A Case Study As a certain investment banking business grew in Asia Pacific. mission-critical and latency-sensitive applications. Scalability and cost were two main concerns as the key business driver for the institution was to enable direct communications between multiple sites. At higher bandwidths.
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