You are on page 1of 114

SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

MarketsandMarkets is a global market research and consulting company. It is World’s No. 1 in terms of
premium market research studies published annually. Serving as a business intelligence partner to Fortune
500 companies across the world, it provides multi-client reports, company profiles, databases, and custom
research services.

MarketsandMarkets covers seventeen industry verticals, including advanced materials, aerospace and
defense, agriculture, automotive and transportation, biotechnology, building and construction, chemicals,
energy and power, food and beverages, industrial automation, medical devices, mining, minerals and metals,
packaging, pharmaceuticals, semiconductor and electronics, and telecommunications and IT.

Copyright © 2017 MarketsandMarkets


All Rights Reserved. This document contains highly confidential information and is the sole property of
MarketsandMarkets. No part of it shall be circulated, copied, quoted, or otherwise reproduced without the
prior written approval of MarketsandMarkets.

1
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

TABLE OF CONTENTS

1 INTRODUCTION ........................................................................................................ 13
1.1 OBJECTIVES OF THE STUDY ...........................................................................................................13
1.2 MARKET DEFINITION .....................................................................................................................13
1.3 MARKET SCOPE............................................................................................................................14
1.3.1 MARKET SEGMENTATION................................................................................................ 14
1.4 YEARS CONSIDERED FOR THE STUDY ............................................................................................15
1.5 CURRENCY ...................................................................................................................................15
1.6 STAKEHOLDERS ...........................................................................................................................15

2 RESEARCH METHODOLOGY ...................................................................................... 16


2.1 RESEARCH DATA ..........................................................................................................................16
2.1.1 SECONDARY DATA.......................................................................................................... 17
2.1.2 PRIMARY DATA ............................................................................................................... 17
2.1.2.1 Breakdown of primaries ..................................................................................... 17
2.1.2.2 Key industry insights .......................................................................................... 18
2.2 MARKET SIZE ESTIMATION ............................................................................................................20
2.3 RESEARCH ASSUMPTIONS ...........................................................................................................21
2.4 LIMITATIONS ................................................................................................................................21

3 EXECUTIVE SUMMARY .............................................................................................. 22

4 PREMIUM INSIGHTS ................................................................................................ 26


4.1 ATTRACTIVE MARKET OPPORTUNITIES IN THE SDN ORCHESTRATION MARKET ................................26
4.2 NORTH AMERICA: SDN ORCHESTRATION MARKET, BY COMPONENT ..............................................26
4.3 EUROPE: SDN ORCHESTRATION MARKET, BY SERVICES ................................................................27
4.4 ASIA PACIFIC: SDN ORCHESTRATION MARKET, BY ORGANIZATION SIZE .........................................27
4.5 SDN ORCHESTRATION MARKET, BY REGION ..................................................................................28

5 MARKET OVERVIEW.................................................................................................. 29
5.1 MARKET DYNAMICS......................................................................................................................29
5.1.1 DRIVERS ........................................................................................................................ 30
5.1.1.1 Increasing demand for cloud services, data center consolidation,
and server virtualization ..................................................................................... 30
5.1.1.2 Automation of networks ..................................................................................... 30
5.1.1.3 Increased network infrastructure ........................................................................ 30
5.1.2 RESTRAINTS................................................................................................................... 31
5.1.2.1 Security concerns .............................................................................................. 31

2
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

5.1.3 OPPORTUNITIES ............................................................................................................. 31


5.1.3.1 Innovative service offerings from telecom operators............................................ 31
5.1.3.2 Role of Value-Added Resellers (VARs), integrators, and infrastructure
vendors in the implementation of SDN orchestration .......................................... 31
5.1.3.3 Increasing development and deployment of analytics applications ..................... 31
5.1.4 CHALLENGES ................................................................................................................. 32
5.1.4.1 Lack of knowledge among end users and enterprises.......................................... 32
5.1.4.2 Strict governance and security standards across the globe ................................. 32
5.2 SDN ORCHESTRATION: USE CASES ...............................................................................................32
5.2.1 USE CASE 1: BLUE PLANET ORCHESTRATION TO FACILITATE FLEXIBLE
SERVICE DELIVERY ......................................................................................................... 32
5.2.2 USE CASE 2: CENX’S SERVICE ORCHESTRATION BOOSTS ERICSSON’S
MANAGED SERVICES ..................................................................................................... 33
5.2.3 USE CASE 3: CISCO’S TAIL-F FOR NETWORK SERVICES ORCHESTRATION ........................ 33
5.3 STANDARDS .................................................................................................................................34
5.3.1 NETCONF/YANG ............................................................................................................. 34
5.3.2 TOPOLOGY AND ORCHESTRATION SPECIFICATION FOR CLOUD APPLICATIONS
(TOSCA) ......................................................................................................................... 34
5.3.3 NETWORK FUNCTIONS VIRTUALIZATION AND ORCHESTRATION (NFV MANO) .................... 34

6 SDN ORCHESTRATION MARKET, BY COMPONENT ..................................................... 35


6.1 INTRODUCTION ............................................................................................................................36
6.2 SOLUTIONS ..................................................................................................................................37
6.3 SERVICES ....................................................................................................................................37

7 SDN ORCHESTRATION MARKET, BY ORGANIZATION SIZE .......................................... 39


7.1 INTRODUCTION ............................................................................................................................40
7.2 LARGE ENTERPRISES....................................................................................................................41
7.3 SMALL & MEDIUM-SIZED ENTERPRISES (SMES) ...........................................................................42

8 SDN ORCHESTRATION MARKET, BY END USER.......................................................... 43


8.1 INTRODUCTION ............................................................................................................................44
8.2 CLOUD SERVICE PROVIDERS ........................................................................................................45
8.3 TELECOM SERVICE PROVIDERS ....................................................................................................46
8.4 OTHERS .......................................................................................................................................46

9 REGIONAL ANALYSIS................................................................................................ 48
9.1 INTRODUCTION ............................................................................................................................49
9.2 NORTH AMERICA ..........................................................................................................................50
9.3 EUROPE .......................................................................................................................................53
9.4 ASIA PACIFIC (APAC) ....................................................................................................................55
9.5 MIDDLE EAST & AFRICA (MEA) ......................................................................................................58
9.6 LATIN AMERICA ............................................................................................................................59

3
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

10 COMPETITIVE LANDSCAPE ....................................................................................... 62


10.1 OVERVIEW ....................................................................................................................................62
10.2 COMPETITIVE SITUATIONS AND TRENDS........................................................................................63
10.2.1 NEW PRODUCT LAUNCHES/ENHANCEMENTS ................................................................. 64
10.2.2 EXPANSIONS.................................................................................................................. 66
10.2.3 MERGERS & ACQUISITIONS ........................................................................................... 66
10.2.4 AGREEMENTS, PARTNERSHIPS, CONTRACTS, COLLABORATIONS .................................... 67
10.3 MARKET RANKING, BY KEY PLAYER ...............................................................................................71

11 COMPANY PROFILES ................................................................................................ 72


11.1 JUNIPER NETWORKS.....................................................................................................................72
11.1.1 BUSINESS OVERVIEW..................................................................................................... 72
11.1.2 PRODUCTS OFFERED...................................................................................................... 73
11.1.3 RECENT DEVELOPMENTS................................................................................................ 73
11.1.4 SWOT ANALYSIS ............................................................................................................. 74
11.1.5 MNM VIEW ..................................................................................................................... 75
11.2 HEWLETT PACKARD ENTERPRISE ..................................................................................................76
11.2.1 BUSINESS OVERVIEW..................................................................................................... 76
11.2.2 PRODUCTS OFFERED...................................................................................................... 77
11.2.3 RECENT DEVELOPMENTS................................................................................................ 77
11.2.4 SWOT ANALYSIS ............................................................................................................. 78
11.2.5 MNM VIEW ..................................................................................................................... 79
11.3 CIENA CORPORATION ...................................................................................................................80
11.3.1 BUSINESS OVERVIEW..................................................................................................... 80
11.3.2 PRODUCTS OFFERED...................................................................................................... 81
11.3.3 RECENT DEVELOPMENTS................................................................................................ 81
11.3.4 SWOT ANALYSIS ............................................................................................................. 83
11.3.5 MNM VIEW ..................................................................................................................... 83
11.4 NOKIA ..........................................................................................................................................84
11.4.1 BUSINESS OVERVIEW..................................................................................................... 84
11.4.2 PRODUCTS OFFERED...................................................................................................... 84
11.4.3 RECENT DEVELOPMENTS................................................................................................ 85
11.4.4 SWOT ANALYSIS ............................................................................................................. 85
11.4.5 MNM VIEW ..................................................................................................................... 86
11.5 ANUTA NETWORKS .......................................................................................................................87
11.5.1 BUSINESS OVERVIEW..................................................................................................... 87
11.5.2 PRODUCTS OFFERED...................................................................................................... 87
11.5.3 RECENT DEVELOPMENTS................................................................................................ 87
11.5.4 MNM VIEW ..................................................................................................................... 88

4
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.6 QUALISYSTEMS ............................................................................................................................89


11.6.1 BUSINESS OVERVIEW..................................................................................................... 89
11.6.2 PRODUCTS OFFERED...................................................................................................... 89
11.6.3 RECENT DEVELOPMENTS................................................................................................ 89
11.6.4 MNM VIEW ..................................................................................................................... 90
11.7 HUAWEI .......................................................................................................................................91
11.7.1 BUSINESS OVERVIEW..................................................................................................... 91
11.7.2 PRODUCTS OFFERED...................................................................................................... 92
11.7.3 RECENT DEVELOPMENTS................................................................................................ 92
11.7.4 SWOT ANALYSIS ............................................................................................................. 93
11.7.5 MNM VIEW ..................................................................................................................... 93
11.8 CISCO SYSTEMS ...........................................................................................................................94
11.8.1 BUSINESS OVERVIEW..................................................................................................... 94
11.8.2 PRODUCTS OFFERED...................................................................................................... 95
11.8.3 RECENT DEVELOPMENTS................................................................................................ 95
11.8.4 MNM VIEW ..................................................................................................................... 96
11.9 NETCRACKER ...............................................................................................................................97
11.9.1 BUSINESS OVERVIEW..................................................................................................... 97
11.9.2 PRODUCTS OFFERED...................................................................................................... 97
11.9.3 RECENT DEVELOPMENTS................................................................................................ 97
11.9.4 MNM VIEW ..................................................................................................................... 98
11.10 CENX............................................................................................................................................99
11.10.1 BUSINESS OVERVIEW..................................................................................................... 99
11.10.2 PRODUCTS OFFERED...................................................................................................... 99
11.10.3 RECENT DEVELOPMENTS................................................................................................ 99
11.10.4 MNM VIEW ...................................................................................................................100
11.11 VIRTELA......................................................................................................................................101
11.11.1 BUSINESS OVERVIEW...................................................................................................101
11.11.2 PRODUCTS OFFERED....................................................................................................101
11.11.3 RECENT DEVELOPMENTS..............................................................................................101
11.11.4 MNM VIEW ...................................................................................................................101
11.12 ZYMR .........................................................................................................................................102
11.12.1 BUSINESS OVERVIEW...................................................................................................102
11.12.2 PRODUCTS OFFERED....................................................................................................102
11.12.3 RECENT DEVELOPMENTS..............................................................................................102
11.12.4 MNM VIEW ...................................................................................................................103

5
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

12 APPENDIX .............................................................................................................. 104


12.1 INDUSTRY EXPERTS ....................................................................................................................104
12.2 DISCUSSION GUIDE ...................................................................................................................105
12.3 KNOWLEDGE STORE: MARKETSANDMARKETS’ SUBSCRIPTION PORTAL.......................................108
12.4 INTRODUCING RT: REAL-TIME MARKET INTELLIGENCE .................................................................110
12.5 AVAILABLE CUSTOMIZATIONS .....................................................................................................111
12.6 RELATED REPORTS .....................................................................................................................111
12.7 AUTHOR DETAILS ........................................................................................................................112

6
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

LIST OF TABLES

TABLE 1 USD EXCHANGE RATE, 2014-2016 15


TABLE 2 SDN ORCHESTRATION MARKET SIZE, BY COMPONENT, 2015-2022 (USD MILLION) 36
TABLE 3 SOLUTIONS: SDN ORCHESTRATION MARKET SIZE, BY REGION,
2015-2022 (USD MILLION) 37
TABLE 4 SERVICES: SDN ORCHESTRATION MARKET SIZE, BY REGION,
2015-2022 (USD MILLION) 38
TABLE 5 SERVICES: SDN ORCHESTRATION SIZE, BY TYPE, 2015–2022 (USD MILLION) 38
TABLE 6 SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,
2015-2022 (USD MILLION) 40
TABLE 7 LARGE ENTERPRISES: SDN ORCHESTRATION MARKET SIZE, BY REGION,
2015-2022 (USD MILLION) 41
TABLE 8 SMALL & MEDIUM-SIZED ENTERPRISES: SDN ORCHESTRATION MARKET SIZE,
BY REGION, 2015-2022 (USD MILLION) 42
TABLE 9 SDN ORCHESTRATION MARKET SIZE, BY END USER, 2015-2022 (USD MILLION) 44
TABLE 10 CLOUD SERVICE PROVIDERS: SDN ORCHESTRATION MARKET SIZE, BY REGION,
2015–2022 (USD MILLION) 45
TABLE 11 TELECOM SERVICE PROVIDERS: SDN ORCHESTRATION MARKET SIZE, BY REGION,
2015–2022 (USD MILLION) 46
TABLE 12 OTHERS: SDN ORCHESTRATION MARKET SIZE, BY REGION,
2015–2022 (USD MILLION) 47
TABLE 13 SDN ORCHESTRATION MARKET SIZE, BY REGION, 2015-2022 (USD MILLION) 49
TABLE 14 NORTH AMERICA SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,
2015-2022 (USD MILLION) 51
TABLE 15 NORTH AMERICA SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,
2015-2022 (USD MILLION) 52
TABLE 16 NORTH AMERICA SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,
2015-2022 (USD MILLION) 52
TABLE 17 NORTH AMERICA SDN ORCHESTRATION MARKET SIZE, BY END USER,
2015-2022 (USD MILLION) 53
TABLE 18 EUROPE SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,
2015-2022 (USD MILLION) 53
TABLE 19 EUROPE SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,
2015-2022 (USD MILLION) 54
TABLE 20 EUROPE SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,
2015-2022 (USD MILLION) 54
TABLE 21 EUROPE SDN ORCHESTRATION MARKET SIZE, BY END USER,
2015-2022 (USD MILLION) 54
TABLE 22 ASIA PACIFIC SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,
2015-2022 (USD MILLION) 56
TABLE 23 ASIA PACIFIC SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,
2015-2022 (USD MILLION) 57
TABLE 24 ASIA PACIFIC SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,
2015-2022 (USD MILLION) 57
TABLE 25 ASIA PACIFIC SDN ORCHESTRATION MARKET SIZE, BY END USER,
2015-2022 (USD MILLION) 57
TABLE 26 MIDDLE EAST & AFRICA SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,
2015-2022 (USD MILLION) 58

7
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

TABLE 27 MIDDLE EAST & AFRICA SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,
2015-2022 (USD MILLION) 58
TABLE 28 MIDDLE EAST & AFRICA SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION
SIZE, 2015-2022 (USD MILLION) 59
TABLE 29 MIDDLE EAST & AFRICA SDN ORCHESTRATION MARKET SIZE, BY END USER,
2015-2022 (USD MILLION) 59
TABLE 30 LATIN AMERICA SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,
2015-2022 (USD MILLION) 59
TABLE 31 LATIN AMERICA SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,
2015-2022 (USD MILLION) 60
TABLE 32 LATIN AMERICA SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,
2015-2022 (USD MILLION) 60
TABLE 33 LATIN AMERICA SDN ORCHESTRATION MARKET SIZE, BY END USER,
2015-2022 (USD MILLION) 61
TABLE 34 NEW PRODUCT LAUNCHES/ENHANCEMENTS, 2014–2017 64
TABLE 35 EXPANSIONS, 2015–2017 66
TABLE 36 MERGERS & ACQUISITIONS, 2015–2017 66
TABLE 37 AGREEMENTS, PARTNERSHIPS, CONTRACTS, COLLABORATIONS, 2014–2017 67
TABLE 38 MARKET RANKING FOR SDN ORCHESTRATION MARKET, 2017 71

8
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

LIST OF FIGURES

FIGURE 1 SDN ORCHESTRATION MARKET: RESEARCH DESIGN 16


FIGURE 2 DATA TRIANGULATION 19
FIGURE 3 MARKET SIZE ESTIMATION METHODOLOGY: BOTTOM-UP APPROACH 20
FIGURE 4 MARKET SIZE ESTIMATION METHODOLOGY: TOP-DOWN APPROACH 20
FIGURE 5 ASSUMPTIONS 21
FIGURE 6 SDN ORCHESTRATION MARKET, BY COMPONENT 23
FIGURE 7 SDN ORCHESTRATION MARKET, BY ORGANIZATION SIZE 23
FIGURE 8 SDN ORCHESTRATION MARKET, BY END USER 24
FIGURE 9 SDN ORCHESTRATION MARKET, BY REGION 24
FIGURE 10 INCREASING DEMAND FOR CLOUD SERVICES, DATA CENTER CONSOLIDATION,
AND SERVER VIRTUALIZATION IS EXPECTED TO DRIVE THE GROWTH OF
THE SDN ORCHESTRATION MARKET 26
FIGURE 11 THE SOLUTIONS SEGMENT OF THE SDN ORCHESTRATION MARKET IN NORTH
AMERICA IS PROJECTED TO GROW AT A HIGHER CAGR FROM 2017 TO 2022 26
FIGURE 12 THE INTEGRATION & IMPLEMENTATION SEGMENT OF THE SDN ORCHESTRATION
MARKET IN EUROPE IS PROJECTED TO GROW AT THE HIGHEST CAGR FROM
2017 TO 2022 27
FIGURE 13 THE SMALL & MEDIUM-SIZED ENTERPRISES SEGMENT OF THE SDN
ORCHESTRATION MARKET IN ASIA PACIFIC IS PROJECTED TO GROW AT A HIGHER
CAGR FROM 2017 TO 2022 27
FIGURE 14 THE SDN ORCHESTRATION MARKET IN ASIA PACIFIC IS PROJECTED TO GROW
AT THE HIGHEST CAGR FROM 2017 TO 2022 28
FIGURE 15 SDN ORCHESTRATION MARKET: DRIVERS, RESTRAINTS, OPPORTUNITIES &
CHALLENGES 29
FIGURE 16 THE SERVICES SEGMENT IS EXPECTED TO LEAD THE SDN ORCHESTRATION
MARKET FROM 2017 TO 2022 36
FIGURE 17 THE SMALL & MEDIUM-SIZED ENTERPRISES SEGMENT IS EXPECTED TO GROW
AT THE HIGHEST CAGR DURING THE FORECAST PERIOD 40
FIGURE 18 THE TELECOM SERVICE PROVIDERS SEGMENT OF THE SDN ORCHESTRATION
MARKET IS EXPECTED TO GROW AT THE HIGHEST CAGR DURING THE FORECAST
PERIOD 44
FIGURE 19 NORTH AMERICA IS PROJECTED TO LEAD THE SDN ORCHESTRATION MARKET
FROM 2017 TO 2022 49
FIGURE 20 REGIONAL SNAPSHOT: THE SDN ORCHESTRATION MARKET IN ASIA PACIFIC IS
PROJECTED TO GROW AT THE HIGHEST CAGR DURING THE FORECAST PERIOD 50
FIGURE 21 NORTH AMERICA SDN ORCHESTRATION MARKET SNAPSHOT 51
FIGURE 22 ASIA PACIFIC SDN ORCHESTRATION MARKET SNAPSHOT 56
FIGURE 23 KEY DEVELOPMENTS BY LEADING PLAYERS IN THE SDN ORCHESTRATION
MARKET, 2015–2017 62
FIGURE 24 MARKET EVALUATION FRAMEWORK 63
FIGURE 25 JUNIPER NETWORKS: COMPANY SNAPSHOT 72
FIGURE 26 JUNIPER NETWORKS: SWOT ANALYSIS 74
FIGURE 27 HEWLETT PACKARD ENTERPRISE: COMPANY SNAPSHOT 76
FIGURE 28 HEWLETT PACKARD ENTERPRISE: SWOT ANALYSIS 78
FIGURE 29 CIENA CORPORATION: COMPANY SNAPSHOT 80

9
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

FIGURE 30 CIENA CORPORATION: SWOT ANALYSIS 83


FIGURE 31 NOKIA: COMPANY SNAPSHOT 84
FIGURE 32 NOKIA: SWOT ANALYSIS 85
FIGURE 33 HUAWEI: COMPANY SNAPSHOT 91
FIGURE 34 HUAWEI: SWOT ANALYSIS 93
FIGURE 35 CISCO SYSTEMS: COMPANY SNAPSHOT 94
FIGURE 36 CISCO SYSTEMS: SWOT ANALYSIS 96
FIGURE 37 NETCRACKER: SWOT ANALYSIS 98

10
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

LIST OF ABBREVIATIONS

ABBREVIATION FULL FORM

APAC Asia Pacific

APIs Application Programming Interfaces

BFSI Banking, Financial Services and Insurance

BPA Blue Planet Analytics

BYOD Bring Your Own Device

CAGR Compound Annual Growth Rate

CEOs Chief Executive Officers

CSPs Communications Service Providers

DROCs Drivers, Restraints, Opportunities, and Challenges

EMEA Europe, the Middle East and Africa

EMSs Element Management Systems

ESP Evolved Services Platform

ETSI European Telecommunications Standards Institute

ICT Information and Communications technology

IETF Internet Engineering Task Force

Inc. Incorporated

IoHT Internet of Health Things

IoT Internet of Things

ISG Industry Specification Group

IT Information & Technology

ITES IT Enabled Services


LA Latin America

LSA Layered Services Architecture

MDSO Multi-Domain Service Orchestration

MEA Middle East & Africa

NA North America

NaaS Network-as-a-Service

NAC Network Access Control

NETCONF Network Configuration Protocol

NFV Network Functions Virtualization

NFV MANO Network Functions Virtualization Management and Orchestration

NOS Network Operating System

NSO Network Services Orchestrator


NSO Network Services Orchestrator

NTT Nippon Telegraph and Telephone

OEMs Original Equipment Manufacturers

11
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

OF OpenFlow

OPEN-O OPEN-Orchestrator

OSS Operation Support Systems

PoC Proof-of-Concept

R&D Research & Development

R&D Research & Development

RA Resource Adapter

RT Revenue Tree

SaaS Software-as-a-Service

SDN Software-defined Networking

SD-WAN Software-Defined Wide-Area Network

SMEs Small & Medium-sized Enterprises

SWOT Strengths, Weaknesses, Opportunities, and Threats

TOSCA Topology and Orchestration Specification for Cloud Applications

UK United Kingdom

US United States

USD United States Dollars

VARs Value-Added Resellers

VNFs Virtual Network Functions

VPs Vice Presidents

VSP Virtualized Service Platform

WANs Wide Area Networks

WDM Wavelength-Division Multiplexing

WG Working Group

Y-o-Y Year-on-Year

12
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

1 INTRODUCTION

1.1 OBJECTIVES OF THE STUDY


 To define, describe, segment, and forecast the SDN orchestration market on the basis of
component, organization size, end user, and region
 To provide detailed information regarding major factors, such as drivers, restraints,
opportunities, and industry-specific challenges, influencing the growth of the SDN orchestration
market
 To analyze micromarkets1 with respect to individual growth trends and contribution made
towards the overall market
 To analyze opportunities in the market for stakeholders and offer details of a competitive
landscape for market leaders
 To forecast the market size of segments with respect to 5 main regions, namely, North America,
Europe, Asia Pacific, the Middle East & Africa, and Latin America
 To track and analyze competitive developments such as mergers & acquisitions, agreements &
contracts, joint ventures, partnerships, and strategic alliances in the SDN orchestration market
 To profile key players and comprehensively analyze their core competencies 2 that include
innovation, quality, and customer experience

1.2 MARKET DEFINITION


Software-Defined Networking (SDN) and Network Functions Virtualization (NFV) are related technologies
that focus on network virtualization and automation. SDN is a network architecture approach that enables
networks to be centrally programmed with the help of software applications. It revolutionizes the existing
networking and data center infrastructure. SDN and NFV orchestration, also known as Multi-Domain
Service Orchestration (MDSO), helps network operators configure, automate, and enable the flow of end-to-
end delivery of data across multiple networks.

--------------------------
1. Micromarkets are defined as further segments and subsegments of the SDN orchestration market included in the report.
2. Core competencies of companies are captured in terms of their key developments and key strategies adopted by them to sustain their position in the
market.

13
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

1.3 MARKET SCOPE

1.3.1 MARKET SEGMENTATION


This research report categorizes the SDN orchestration market into the following segments:

SDN ORCHESTRATION MARKET

BY COMPONENT BY ORGANIZATION SIZE BY END USER BY REGION

 Solutions  Large Enterprises  Cloud Service Providers  North America


 Services  Small & Medium-sized  Telecom Service Providers  Europe
 Integration & Enterprises  Others**  Asia Pacific
Implementation  Middle East & Africa
 Training & Consulting  Latin America
 Others*

Others* include support & maintenance and data center services.


Others** include BFSI, Healthcare, Manufacturing, Government, and IT Enabled Services (ITES).
Source: Expert Interviews, Secondary Research, and MarketsandMarkets Analysis

14
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

1.4 YEARS CONSIDERED FOR THE STUDY


2022-p

2017-e

2016

2015

HISTORICAL YEAR BASE YEAR ESTIMATED YEAR PROJECTED YEAR

Note: Forecast period considered for this study is from 2017 to 2022.

1.5 CURRENCY
 The currency used in the report is the United States Dollar, with the market size indicated in
USD million.
 For companies reporting their revenue in USD, the revenue figures were taken from their annual
report.
 For companies reporting their revenue in currencies other than USD, the average annual
currency conversion rate was used for that particular year to convert the value to USD.

TABLE 1 USD EXCHANGE RATE, 2014-2016

Currency 2014 2015 2016


6.1958 6.4927 6.9448
Yuan
(December 31, 2014) (December 31, 2015) (December 31, 2016)
Source: www.oanda.com

1.6 STAKEHOLDERS
 Telecommunication Providers
 Mobile Network Operators
 IT Equipment Suppliers
 Cloud Service Providers
 Enterprise Data Center Professionals
 Networking and Telecommunication Companies
 Data Center Software Vendors
 Infrastructure Architects
 Standardization Bodies

15
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

2 RESEARCH METHODOLOGY

2.1 RESEARCH DATA


This research study involved the extensive use of secondary sources, directories, and open source
databases, to identify and collect information useful for this technical and market-oriented study on the
SDN orchestration market. In-depth interviews were conducted with various primary respondents, including
key opinion leaders, subject matter experts, high-level executives of various companies offering SDN
orchestration solutions, and industry consultants, to obtain and verify critical qualitative and quantitative
information as well as to assess industry trends and growth prospects of the market.

FIGURE 1 SDN ORCHESTRATION MARKET: RESEARCH DESIGN

CURRENT DATA AND


USE CASES COMPETITIVE LANDSCAPE
INFORMATION FOR
THE SDN
ORCHESTRATION GEOGRAPHIC USAGE PATTERN INDUSTRY STANDARDS
MARKET

INFLUENCING MARKET DRIVERS: MARKET RESTRAINTS:


FACTORS • Increasing demand for cloud services, data center • Security concerns
consolidation, and server virtualization
(Market Trends and
• Automation of networks
Dynamics)
• Increased network infrastructure

MARKET OPPORTUNITIES: MARKET CHALLENGES:


• Innovative service offering from telecom operators • Lack of knowledge among the
• Role of Value-Added Resellers (VARs), Integrators and end-users and enterprises
SDN infrastructure vendors in the implementation of • Strict governance and security
SDN orchestration market standards across the globe
• Accelerated development and deployment of analytics
applications

• AGREEMENTS, COLLABORATIONS & PARTNERSHIPS:


More than 29 deals in the past 3 years GEOGRAPHIC
• NEW PRODUCT LAUNCHES: More than 17 new product ANALYSIS
launches in the past 3 years

IMPACT ANALYSIS OF MARKET SIZE & FORECAST:


MARKET TRENDS • By Component
ARRIVE AT THE MARKET SIZE
• By Organization Size
FORECAST AND CAGR FOR THE SDN
• By End User
(2017-2022) ORCHESTRATION MARKET
HIGH GROWTH SEGMENTS • By Region

Source: Secondary Research and MarketsandMarkets Analysis

16
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

2.1.1 SECONDARY DATA


In the secondary research process, various secondary sources were referred to identify and collect
information for this study on the SDN orchestration market. These sources included annual reports, white
papers, certified publications, press releases, and investor presentations of vendors providing SDN
Orchestration Solutions, as well as articles from recognized industry associations, statistics bureaus, and
government publishing sources.

Secondary research was conducted to obtain key information about the industry’s value chain, the total
pool of key players, market classification, and segmentation from both market- and technology-oriented
perspectives.

2.1.2 PRIMARY DATA


In the primary research process, various primary sources from both, demand- and supply-sides were
interviewed to obtain qualitative and quantitative information for this report. Primary sources from the
supply-side included industry experts, such as CEOs, vice presidents, marketing directors, technology and
innovation directors, and key vendors providing SDN orchestration solutions in targeted regions. All
possible parameters that affect the markets covered in this research study were accounted for, viewed in
extensive detail, verified through primary research, and analyzed to acquire the final quantitative and
qualitative data.

After the complete market engineering process that includes calculations for market statistics, market
breakdown, market size estimation, market forecast, and data triangulation, extensive primary research
was conducted to gather information and verify as well as validate the critical numbers arrived at. Primary
research was also conducted to identify and validate segmentation types; industry trends; key players; the
competitive landscape of industry players offering SDN orchestration solutions; key market dynamics, such
as drivers, restraints, opportunities, and challenges; and key growth strategies.

In the complete market engineering process, both top-down and bottom-up approaches were extensively
used, in addition to several data triangulation methods to perform market estimation and market
forecasting for the overall market and its segments and subsegments listed in this report. Extensive
qualitative and quantitative analyses were performed on the complete market engineering process to list
key information/insights throughout the report.

2.1.2.1 Breakdown of primaries


BY COMPANY TYPE BY DESIGNATION BY REGION

7%
17% 17%
23%
38% 38%

25%
55%
45% 35%

Tier 1 Tier 2 Tier 3 C Level Director Level Others North America Europe
Asia Pacific RoW

Note: *Others include sales managers, marketing managers, and product managers.
Revenue of tier 1 companies is more than USD 10 billion, tier 2 companies range between USD 1 billion and USD 10 billion, and tier
3 companies range between USD 500 million and USD 1 billion.

17
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

2.1.2.2 Key industry insights

“ Multi-Domain SDN and NFV


Orchestration, coupled with Big Data analytics, helps
communication service providers intelligently automate
their services and operations to reduce costs, increase
revenues, and become more agile. Ciena’s Blue Planet

platform plays a major in this evolution, as it offers
software-centric services and
more adaptive networks.

Kevin Wade
Senior Director and Product Marketing
Team Leader, Ciena Blue Planet

“ Increasing demand for


cloud services, data center consolidation, and server

virtualization is driving the growth of the SDN
orchestration market.
“ North America
accounted for a significant share
of the SDN orchestration market.

Senior Manager, Senior Director of Business Development,


Leading Company in the SDN Orchestration Market Leading Developer of SDN Orchestration Solutions

Source: Expert Interviews

18
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

FIGURE 2 DATA TRIANGULATION

PRIMARY SOURCES SECONDARY SOURCES

INTERVIEWS WITH:
• Chief Technology Officers
DEMAND SIDE

• Chief Marketing Officers


• Purchase Managers

MnM KNOW*

Annual Reports, Presentations,


INTERVIEWS WITH: Websites, Press Releases, Journals,
DATA White Papers, Paid Databases, and
• Chief Executive Officers SEC Fillings
PRIMARY TRIANGULATION
• Vice Presidents and SOURCE
SUPPLY SIDE

Managing Directors
SECONDARY
• Technology and Innovation SOURCE
Directors and Related Key
Executives from Companies
and Organizations
Operating in the SDN
Orchestration Market
INFORMATION SOURCED

Opportunities/
Key Players Competitive Landscape Market Size (2017)
Challenges

Geographical
Influencing Factors Market Estimates
Analysis

*MnM KNOW stands for MarketsandMarkets’ “Knowledge Asset Management” framework. In this context, it stands for existing market
research knowledge repository of over 5,000 granular markets, our flagship competitive intelligence and market research platform "RT",
subject matter experts, and independent consultants. MnM KNOW acts as an independent source that helps us validate information
gathered from primary and secondary sources.

19
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

2.2 MARKET SIZE ESTIMATION


Top-down and bottom-up approaches were used to estimate and validate the size of the SDN orchestration
market and estimate the sizes of various other dependent submarkets. The bottom-up procedure was used
to arrive at the overall size of the SDN orchestration market by taking into consideration the revenue of key
companies and their offerings. With data triangulation and validation of data through primaries, the
estimated values of the overall parent market size and each individual submarket size were determined
and confirmed for this study. The estimated market size was then used in the top-down procedure to
determine the size of other individual markets via percentage splits of market segments.

The following figure showcases an illustrative representation of the market size estimation process
employed for this study on the SDN orchestration market.

FIGURE 3 MARKET SIZE ESTIMATION METHODOLOGY: BOTTOM-UP APPROACH

GLOBAL MARKET SIZE (USD MILLION) =


Global North America + Europe + Asia Pacific + Middle East & Africa
market size + Latin America

Arrive at the overall


market size

PRIMARY SOURCES:
Demand and Supply Side Experts
Regional split

SECONDARY SOURCES:
Annual Reports, Presentations,
Market segmentation on the basis of
component, organization size, end Press Release, Journals, Paid Databases,
user, and region Company Websites, News Articles
and MarketsandMarkets Repository

Percentage split of market segments

FIGURE 4 MARKET SIZE ESTIMATION METHODOLOGY: TOP-DOWN APPROACH

SDN orchestration market size GLOBAL MARKET SIZE IS VALIDATED THROUGH


(USD million) PRIMARIES
(Demand- and Supply-Side Experts)

Percentage split for all segments of


the SDN orchestration market

PRIMARY SOURCES:
Demand- and Supply-Side Experts
Regional split

SECONDARY SOURCES:
Regional market for Annual Reports, Presentations,
each Press Releases, Journals,
subsegment Paid Databases, and
MarketsandMarkets Repository

20
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

 The bottom-up procedure was used to arrive at the overall size of the SDN orchestration market.
 The overall market size was used in the top-down procedure to estimate the sizes of other
individual markets via percentage splits.
 Individual markets in the study are segments (based on component, organization size, end user,
and region) of the main market.
 For the calculation of each type of specific market segment, the most appropriate, immediate
parent market size was used to implement the top-down procedure.
 The bottom-up procedure was also implemented for data extracted from secondary research to
validate the market segment revenues obtained.
 With the data triangulation procedure and validation of data through primaries, the estimated
values of the overall parent market size and each individual market size were determined and
confirmed in this study.

2.3 RESEARCH ASSUMPTIONS


The following assumptions were taken into consideration for this study on the SDN orchestration market:

FIGURE 5 ASSUMPTIONS

PARAMETER ASSUMPTION

Dollar fluctuations will not be serious enough to affect the market


forecast to a significant extent. Fall in the value of Dollar will enhance
EXCHANGE RATE
revenue growth opportunities for US multinationals, whereas, stability
in Dollar will stabilize the price of imports and exports.

Most regions covered are politically stable. However, political tensions


POLITICAL STABILITY prevailing in a few regions will not hamper the economic growth
significantly.

The world economy is assumed to remain stable, exhibiting a strong


GLOBAL ECONOMIC
positive growth. This is also expected to pertain to countries with
CONDITION
increased IT expenditure.

All company revenues and financial insights are extracted from


FINANCIAL STATISTICS company websites or annual reports, which is true to the best of
MarketsandMarkets’ knowledge.

2.4 LIMITATIONS
 The market analysis is specific to 5 regions, namely, North America, Europe, Asia Pacific, the
Middle East & Africa, and Latin America. Country-wise market share analysis is not provided in
this report.
 The market size for end users covered in this study is limited to cloud service providers, telecom
service providers, and others that include BFSI, healthcare, manufacturing, government, and IT
Enabled Services (ITES).

21
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

3 EXECUTIVE SUMMARY

SDN is a network architecture that enables networks to be centrally programmed with the help of software
applications. It revolutionizes existing network and data center infrastructure. SDN orchestration helps
network operators configure, automate, and enable the flow of end-to-end delivery of data across multiple
networks.

SDN orchestration service providers focus on handling high network traffic, providing real-time view of
infrastructure elements, and avoiding system failure. Besides their ability to observe network traffic, SDN
orchestration service providers can also manage systems such as routers, switches, modems, servers, and
other network equipment to ensure proper management of network traffic. SDN orchestration service
providers use Application Programming Interfaces (APIs), SDN controllers, and proprietary or open source
software to build the SDN orchestration platform.

SDN orchestration functions in a virtualized environment with standardized high-volume servers. The
virtualization technology is rapidly increasing and is used to deploy Software-defined Networking (SDN)
solutions. Industries opt for public, private, or hybrid cloud services for virtualization technology. The
primary function of virtualization is to improve the ability to deliver new services and reduce the operational
and capital expenditure for telecom operators and cloud service providers.

Telecom operators and cloud service providers are looking for open, unified and agile SDN orchestration
solutions that will work with any virtualization service provider in the market. These service providers and
cloud service providers believe that the new SDN orchestration tools will require an update of Operation
Support Systems (OSS) to be compatible with more open and interoperable SDN technologies. SDN
orchestration streamlines data collection, analysis, and business decision-making processes, and in turn,
automates network operations, charging, and billing to offload and simplify OSS/BSS systems.

The SDN orchestration market is expected to grow from USD 214.7 million in 2017 to USD 4,458.5 million
by 2022 at a CAGR of 83.4% from 2017 to 2022. The primary drivers of the SDN orchestration market
include increasing demand for cloud services, data center consolidation, and server virtualization, and
automation of networks. However, growing security concerns related to SDN orchestration solutions act as
a major restraint to the market. The major challenge faced by SDN orchestration service providers is the
lack of knowledge among end users and enterprises and strict governance and security standards across
the globe.

North America is estimated to be the largest market for SDN orchestration in 2017. This growth can be
attributed to the emergence of innovative technologies, such as cloud computing, mobility solutions,
network virtualization, and Bring Your Own Device (BYOD). Furthermore, the advent of Big Data analytics
and complex network traffic patterns, and the need to build networks to provide improved support for
various business functions are additional factors contributing to the growth of the SDN orchestration
market in North America.

The SDN orchestration market in Asia Pacific is expected to grow at the highest CAGR of 95.5% from 2017
to 2022. The growth of the SDN orchestration market in the Asia Pacific region can be attributed to the
increased adoption of SDN orchestration tools by enterprises in this region to enhance agility and
operational efficiency. In addition, an increase in the number of data centers in the Asia Pacific region is
projected to drive the growth of the SDN orchestration market in this region.

22
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

FIGURE 6 SDN ORCHESTRATION MARKET, BY COMPONENT


3,000.0

Market size (USD Million)


2,500.0

2,000.0

1,500.0

1,000.0

500.0

0.0
Services Solutions
2017 124.1 90.6
2022 2,521.2 1,937.3
CAGR (2017-2022) 82.6% 84.5%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on component, the solutions segment is projected to grow at a higher CAGR during the forecast
period. The rapid adoption of SDN orchestration solutions to track the health of networks and maintain
network resources is driving the growth of this segment.

FIGURE 7 SDN ORCHESTRATION MARKET, BY ORGANIZATION SIZE

6,000.0
Market Size (USD Million)

5,000.0
4,000.0
3,000.0
2,000.0
1,000.0
0.0
Small & Medium-sized
Large Enterprises
Enterprises
2017 168.6 46.1
2022 3,384.7 1,073.8
CAGR (2017-2022) 82.2% 87.7%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Among organization size, the Small & Medium-sized Enterprises (SMEs) segment is projected to lead the
SDN orchestration market during the forecast period. The adoption of SDN orchestration solutions by SMEs
helps reduce the expenditure associated with network management.

23
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

FIGURE 8 SDN ORCHESTRATION MARKET, BY END USER


3,500.0

Market size (USD Million)


3,000.0
2,500.0
2,000.0
1,500.0
1,000.0
500.0
0.0
Telecom Service Cloud Service
Others
Providers Providers
2017 132.1 60.6 22.0
2022 3,052.8 1,068.1 337.7
CAGR (2017-2022) 87.4% 77.5% 72.6%

Others include BFSI, healthcare, manufacturing, government, and IT Enabled Services (ITES)
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

By end user, the telecom service providers segment is projected to lead the SDN orchestration market
during the forecast period. The growth of this segment can be attributed to the increasing demand for SDN
orchestration solutions from telecom service providers.

FIGURE 9 SDN ORCHESTRATION MARKET, BY REGION


1,800.0
Market Size (USD Million)

1,500.0

1,200.0

900.0

600.0

300.0

0.0
North Middle East Latin
Europe Asia Pacific
America & Africa America
2017 92.8 60.0 37.6 13.9 10.5
2022 1,674.5 1,159.7 1,074.3 323.4 226.7
CAGR (2017-2022) 78.3% 80.8% 95.5% 87.6% 85.0%

Source: Investor Presentations, Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

North America is estimated to lead the SDN orchestration market in 2017. The SDN orchestration industry
is in a growing stage and organizations are adopting SDN orchestration solutions in this region.

Cisco Systems (US), Nokia Networks (Nokia) (Finland), Ciena Corporation (Ciena) (US), Juniper Networks,
Inc.(Juniper Networks) (US), Huawei Investment & Holding Co., Ltd. (Huawei) (China), Netcracker
Technology Corporation (Netcracker) (US), Hewlett Packard Enterprise Development LP (Hewlett Packard
Enterprise) (US), CENX (US), Virtela Technology Services (Virtela) (US), QualiSystems LTD (US), Anuta
Networks (US), and ZYMR, Inc. (Zymr) (US) are some of the well-established players operating in the SDN
orchestration market.

24
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Big players in the SDN orchestration market are focusing on mergers & acquisitions, collaborations, and
partnerships to strengthen their existing product portfolio and position in this market, while small players
are focusing on innovation and development of niche products that address specific industry requirements.

25
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

4 PREMIUM INSIGHTS

4.1 ATTRACTIVE MARKET OPPORTUNITIES IN THE SDN


ORCHESTRATION MARKET
FIGURE 10 INCREASING DEMAND FOR CLOUD SERVICES, DATA CENTER CONSOLIDATION,
AND SERVER VIRTUALIZATION IS EXPECTED TO DRIVE THE GROWTH OF THE SDN
ORCHESTRATION MARKET
USD 4,458.5
Million

ATTRACTIVE MARKET OPPORTUNITIES


 The SDN orchestration market is projected to grow from USD
214.7 million in 2017 to USD 4,458.5 million by 2022, at a
CAGR of 83.4% during the forecast period.

 The growth of the SDN orchestration market can be


attributed to the increasing demand for cloud services, data
center consolidation, and server virtualization.

 The SDN orchestration market in Asia Pacific is expected to


USD 214.7 grow at the highest CAGR during the forecast period, owing
Million
to the increased adoption of SDN orchestration tools by
enterprises to enhance agility and operational efficiency.
2017 2022

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

4.2 NORTH AMERICA: SDN ORCHESTRATION MARKET,


BY COMPONENT
FIGURE 11 THE SOLUTIONS SEGMENT OF THE SDN ORCHESTRATION MARKET IN NORTH
AMERICA IS PROJECTED TO GROW AT A HIGHER CAGR FROM 2017 TO 2022

990.0
Services
55.6

684.4
CAGR
Solutions
79.0%
37.2

Market Size (USD Million) 2022 2017

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

26
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

4.3 EUROPE: SDN ORCHESTRATION MARKET, BY SERVICES


FIGURE 12 THE INTEGRATION & IMPLEMENTATION SEGMENT OF THE SDN ORCHESTRATION
MARKET IN EUROPE IS PROJECTED TO GROW AT THE HIGHEST CAGR FROM 2017
TO 2022

Integration & 367.8 CAGR


Implementation 18.0 82.8%

94.1
Training & Consulting
6.4

189.2
Others
10.1

Market Size (USD Million) 2022 2017

Others include support & maintenance and data center services


Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

4.4 ASIA PACIFIC: SDN ORCHESTRATION MARKET,


BY ORGANIZATION SIZE
FIGURE 13 THE SMALL & MEDIUM-SIZED ENTERPRISES SEGMENT OF THE SDN
ORCHESTRATION MARKET IN ASIA PACIFIC IS PROJECTED TO GROW AT A HIGHER
CAGR FROM 2017 TO 2022

791.2
Large Enterprises
28.5

283.1
Small & Medium- CAGR
sized Enterprises 98.8%
9.1

Market Size (USD Million) 2022 2017

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

27
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

4.5 SDN ORCHESTRATION MARKET, BY REGION


FIGURE 14 THE SDN ORCHESTRATION MARKET IN ASIA PACIFIC IS PROJECTED TO GROW AT
THE HIGHEST CAGR FROM 2017 TO 2022
SDN ORCHESTRATION MARKET SIZE,
2017 = USD 214.7 MILLION
ASIA PACIFIC NORTH AMERICA

MIDDLE EAST & AFRICA EUROPE

LATIN AMERICA ASIA PACIFIC

85.0% 87.6% 95.5% 43.2% 27.9% 17.5%

CAGRs of the Top 3 Regions of Market Shares of Top 3


the SDN Orchestration Market Regions of the SDN
from 2017 to 2022 Orchestration Market in 2017

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

28
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

5 MARKET OVERVIEW

5.1 MARKET DYNAMICS


The SDN orchestration market plays a crucial role in automating behaviors in a network to coordinate
networking hardware and software elements thereby supporting applications and services. The SDN
orchestration market is witnessing growth due to the increasing demand for cloud services, data center
consolidation, server virtualization, automation of networks, and increased network infrastructure.
However, security concerns and vulnerability of data is restraining the SDN orchestration market.

There are a few lucrative opportunities for telecom and cloud service providers in the SDN orchestration
market. Innovative service offerings from telecom operators, the role of Value-Added Resellers (VARs),
integrators, and infrastructure vendors in the implementation of SDN orchestration, and accelerated
development and deployment of analytics applications are some of the opportunities covered in this
market report.

The following figure illustrates the drivers, restraints, opportunities, and challenges in the SDN
orchestration market.

FIGURE 15 SDN ORCHESTRATION MARKET: DRIVERS, RESTRAINTS, OPPORTUNITIES


& CHALLENGES

• Increasing demand for cloud services, data center consolidation, and server

D
DRIVERS

virtualization
• Automation of networks
• Increased network infrastructure
RESTRAINTS

R • Security concerns
OPPORTUNITIES

• Innovative service offerings from telecom operators

O • Role of Value-Added Resellers (VARs), integrators, and infrastructure vendors


in the implementation of SDN orchestration
• Accelerated development and deployment of analytics applications
CHALLENGES

C • Lack of knowledge among the end users and enterprises


• Strict governance and security standards across the globe

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

29
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

5.1.1 DRIVERS
5.1.1.1 Increasing demand for cloud services, data center consolidation,
and server virtualization
Due to the increasing virtualization of networks, enterprises are adopting both private and public cloud
services. This, in turn, is fueling the demand for network resource sharing. Currently, enterprises want the
ability to access infrastructure, applications, and other IT resources on demand, fundamentally paving the
path for a virtual resource-sharing environment. SDN orchestration makes it possible to convert such
physical networking elements into sharable virtual resources, thereby, making it an apparent solution for
data centers. With the increase in specific requirements such as increased security, business
reorganizations, mergers, and consolidations, cloud providers help meet stringent scalability specifications
for storing, computing, and network resource sharing. This further encourages the addition of services to
the software, which, in turn, will drive growth in the SDN orchestration market.

Most enterprises are working towards providing data center consolidation to a centralized location in a
multi-tenant facility. This centralized location helps provide SDN orchestration solutions to counter
network-related problems in data center consolidation.

Server virtualization is another burning issue among enterprises to control their IT expenditure. SDN
orchestration is a prerequisite for virtual networks and complete integration of virtual networks into
physical networks. SDN orchestration solutions offer an accelerated and cost-effective path to network
virtualization.

5.1.1.2 Automation of networks


The rising need for automation helps SDN orchestration provide a holistic approach to network automation
and orchestration. The orchestration of SDN provides an approach to networking professionals with tools
and technologies to reduce the operational burden of managing a network. The implementation of SDN
orchestration entails simplified SDN architecture that is easy to manage, with a reduced number of
managed devices and an abstract complexity of the network topology. Automation of networks allows
services to be provisioned quickly and helps reduce the chances of human error.

Several organizations such as Ciena (US), Juniper Networks (US), CENX (US), Cisco (US), Virtela (US), and
QualiSystems (US) provide automated SDN orchestration software. Ciena Liquid Spectrum, an advanced
SDN software application provides automation, network capacity, and service availability from any given
Wavelength-Division Multiplexing (WDM) investment. QualiSystems offers orchestration and automation
solutions that provide agility, productivity, and cost savings to data centers, converged infrastructure,
software-defined networks, and test labs.

5.1.1.3 Increased network infrastructure


The increase in the size and complexity of network infrastructures in the past decade has created a need
for solutions to simplify and efficiently manage entire networks. SDN orchestration is capable of dealing
with these problems by dividing the entire network infrastructure into layers and assisting in simplifying
networks, avoiding bottlenecks, increasing the speed of data delivery across the network, and improving
the efficiency of the network. The size and complexity of network infrastructure are bound to increase with
the rise in the number of geographically spread assets, thereby increasing the demand for SDN
orchestration solutions.

30
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

5.1.2 RESTRAINTS
5.1.2.1 Security concerns
SDN orchestration technology is at a nascent stage and currently is in the process of securing vulnerable
data. SDN orchestration is used for network virtualization, thus creating hundreds or thousands of
networks together. Several vendors and service providers have included security platforms and services,
along with their solution suites and service offerings to enhance SDN orchestration offerings in the market.
However, security is a major concern in the usage of SDN orchestration technology as data and networks
can be hacked due to the presence of security loopholes in the software.

5.1.3 OPPORTUNITIES
5.1.3.1 Innovative service offerings from telecom operators
The telecom sector is a major vertical of the SDN orchestration market and is expected to grow at a
significant rate in terms of requirements related to SDN orchestration hardware, software, and solutions.
Telecom operators are focusing on gaining a competitive edge in the SDN orchestration market by
providing innovative services at increased data transfer rates. Wide Area Networks (WANs) of these
operators are working at high speed with a number of heterogeneous devices on the same network to
provide new services. SDN orchestration provides a simplified network, increased speed, and reduced
downtime with control on expenditure for network management to telecom operators.

5.1.3.2 Role of Value-Added Resellers (VARs), integrators, and


infrastructure vendors in the implementation of SDN
orchestration
The implementation of SDN software act as a major challenge across network providers. There are various
networks operators that do not allow administrators to implement network-wide policies or add devices.
However, there are Value-Added Resellers (VARs), integrators, and SDN infrastructure vendors who play a
crucial role in the implementation of SDN software. The technological advancements in Big Data, cloud
computing, mobile technology, and the Internet of Things (IoT) of cloud and telecom service providers
demand the implementation of SDN software. The implementation of this software helps integrators in
reducing the complexities of network management by managing the IT infrastructure. SDN software is also
designed to make networks centrally programmable, easy to administer, and faster to configure.

5.1.3.3 Increasing development and deployment of analytics


applications
The increasing integration of analytics with SDN orchestration helps accelerate the development and
deployment of analytics applications to address different business goals and operational requirements,
and fulfill the need of customers. With the help of advanced Big Data analytics, machine learning
innovations, and an open SDN architecture, analytics help deploy automation into the network. This, in
turn, helps make data-driven decisions to further monetize the network and simplify operations.

Ciena (US), a network strategy and technology company provide Ciena’s Blue Planet Analytics (BPA) that
integrates orchestration with analytics to simplify data collection across multiple data sources using the
Blue Planet Resource Adapter (RA) technology. It also provides automated, data-driven network control
through integration with Blue Planet Multi-Domain Service Orchestrator (MDSO), OneControl Unified
Management System, or other third-party systems.

Hence, a combination of orchestration with analytics provides intelligent automation and operations for
today’s increasingly dynamic and virtualized networks.

31
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

5.1.4 CHALLENGES
5.1.4.1 Lack of knowledge among end users and enterprises
A major obstacle faced by most SDN orchestration solution providers is the lack of proper clarity among the
target user base across industries to put these technologies to best use. In addition, inadequate
awareness and inexperienced personnel hinder the adoption of proper SDN orchestration solutions. Thus,
even though there is a requirement for the deployment of SDN orchestration, the absence of adequate
information and resources in the form of skilled staff restrain end users from adopting these solutions.

5.1.4.2 Strict governance and security standards across the globe


The lack of robust standards related to SDN orchestration leads to the inability to compare products and
services offered by different players in the market. The few industry standards that do need to be followed
by SDN orchestration platform providers include the Network Configuration Protocol (NETCONF) and YANG
within the Internet Engineering Task Force (IETF) as well as standard initiatives set by the MEF, TMForum,
and Open SAF. If these industry standards are not followed by players in the SDN orchestration market,
they will not be able to take advantage of the main features provided by SDN orchestration. SDN
orchestration provides openness to programmability to suit the needs of clients. The absence of
standardization leads to various definitions of openness of the hardware and software being offered in the
market.

Telecom, being the major vertical of the SDN orchestration market, is highly focused on following these
industry standards to sustain its position in the market. Telecom companies spend a large amount of
money to innovate solutions offered by them, but the formulation and implementation of new government
regulations limit the spending of telecom operators over new software and technologies.

Thus, the formulation and implementation of highly regulated telecom norms are expected to discourage
telecom operators to expand their businesses, thereby restraining the growth of SDN orchestration in the
telecom industry.

5.2 SDN ORCHESTRATION: USE CASES


This section highlights case studies of various vendors operating in the SDN Orchestration market. These
case studies include various deployment scenarios, wherein SDN orchestration solutions (with their
underlying benefits) have been used to enhance customer experience for cloud and telecom service
providers..

5.2.1 USE CASE 1: BLUE PLANET ORCHESTRATION TO FACILITATE


FLEXIBLE SERVICE DELIVERY
Project Objective To enable flexible service delivery

CenturyLink, a telecommunications giant, uses Ciena’s Blue Planet in its Programmable


Services Backbone (PSB), a software-enabled network based on Network Functions
Description Virtualization (NFV) technology, which provides connectivity and virtualized services to its
clients and internal audiences. NFV helps CenturyLink to become more efficient and
provide the best customer experience.
Ciena’s Blue Planet’s Multi-Domain Service Orchestration (MDSO) provides an open
abstraction layer to eliminate management silos and enables CenturyLink to automate
end-to-end service provisioning and orchestration. Furthermore, the company capability to
Benefits
provide more applications and offer better service flexibility is expected to bring huge
benefits to CenturyLink and its clients. Thus, CenturyLink’s SDN and NFV migration effort
allows and enhances the experience for its customers.

Source: Ciena Company Website

32
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

5.2.2 USE CASE 2: CENX’S SERVICE ORCHESTRA TION BOOSTS


ERICSSON’S MANAGED S ERVICES
Project Objective To boost Ericsson’s managed services

CENX, a global leader in service orchestration solutions for software-defined and


virtualized networks, partnered with Ericsson to integrate CENX’s Cortx Service
Description
Orchestrator as a significant element of Ericsson’s global Managed Services
Delivery Platform.
The Cortx Service Orchestrator solution enabled Ericsson’s managed service
professionals to monitor clients’ data connectivity services to provide real-time
visibility of end-to-end circuit availability and performance, spanning multiple
Benefits
technologies. Moreover, CENX’s Cortx Service Orchestrator simplified the faults,
reduced mean time to repair, increased network availability and enhanced
customer experience.

Source: CENX Company Website

5.2.3 USE CASE 3: CISCO’S TAIL-F FOR NETWORK SERVICES


ORCHESTRATION
Project Objective Level 3’s use of Tail-f NSO to power its on-demand Network-as-a-Service (NaaS).

Level 3 Communications delivers innovative, on-demand NaaS solutions in the


Description
market using Cisco’s Network Services Orchestrator (NSO), enabled by Tail-f.
Using Cisco’s NSO helped Level 3 offer its customers accelerated time-to-market
for new applications, and end-to-end visibility through Level 3’s Enhanced
Benefits Management. Cisco’s NSO also allowed Level 3 to offer Agile Hybrid Cloud
Connectivity, Level 3’s Dynamic Capacity, and Optimized Data Backup and
Recovery to its customers.

Source: Cisco Company Website

33
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

5.3 STANDARDS
The following section analyzes a few key standards that impact the SDN Orchestration market presently.

5.3.1 NETCONF/YANG
Network Configuration Protocol (NETCONF) is an Internet Engineering Task Force (IETF) network
management protocol designed to support and manage the configuration of network devices. NETCONF as
a protocol operates on data modeled with YANG. NETCONF offers a runtime API for Virtual Network
Functions (VNFs) and communications directly with the Element Management Systems (EMSs) of physical
networking hardware. Hence, NETCONF and YANG are usually used together to configure physical
networking hardware.

5.3.2 TOPOLOGY AND ORCHESTRATION SPECIFICATION FOR CLOUD


APPLICATIONS (TOSCA)
Topology and Orchestration Specification for Cloud Applications (TOSCA) are standards for setting up virtual
networks and/or physical networks using data models to help operators configure and move applications
in the cloud with the orchestration of network-based services.

5.3.3 NETWORK FUNCTIONS VIRTUALIZATION AND ORCHESTRATION (NFV


MANO)
Network Functions Virtualization Management and Orchestration (NFV MANO) is the Working Group (WG)
of the European Telecommunications Standards Institute (ETSI) Industry Specification Group (ISG). NFV
MANO (Network Functions Virtualization Management and Orchestration), also called MANO, is an
architectural framework used to manage and orchestrate Virtualized Network Functions (VNFs) and other
software components.

34
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

6 SDN ORCHESTRATION MARKET, BY COMPONENT

KEY FINDINGS

 Based on component, the solutions segment of the SDN orchestration market is estimated to
be USD 90.6 million in 2017 and is projected to reach USD 1,937.3 million by 2022, at a CAGR
of 84.5% during the forecast period.
 The services segment of this market is expected to grow from USD 124.1 million in 2017 to
USD 2,521.2 million by 2022, at a CAGR of 82.6% during the forecast period.
 The integration & implementation subsegment is estimated to account for the largest share of
51.1% of the North America SDN orchestration services market in 2017.
 The solutions segment in the Asia Pacific region is expected to grow at the highest CAGR of
96.2% during the forecast period.
 SDN orchestration solutions are increasingly adopted by cloud service providers and telecom
service providers.

35
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

6.1 INTRODUCTION
The SDN orchestration market has been segmented on the basis of component into solutions and services.
The solutions segment of this market includes SDN controllers, software licensing, software upgrade, and
application software. The services segment of this market has been further classified into implementation
& integration, training & consulting, and others (that include support & maintenance and data center
services).

The implementation of SDN orchestration solutions and services can be exercised by integrating various
components, both on the customer’s premises (enterprises) and the service provider’s premises (cloud
and telecom service providers).

FIGURE 16 THE SERVICES SEGMENT IS EXPECTED TO LEAD THE SDN ORCHESTRATION


MARKET FROM 2017 TO 2022
3,000.0
Market Size (USD Million)

2,500.0

2,000.0

1,500.0

1,000.0

500.0

0.0
Services Solutions
2017 124.1 90.6
2022 2,521.2 1,937.3
CAGR (2017-2022) 82.6% 84.5%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

TABLE 2 SDN ORCHESTRATION MARKET SIZE, BY COMPONENT, 2015-2022 (USD MILLION)

Component 2015 2016 2017 2022 CAGR (2017-2022)

Services 60.4 85.2 124.1 2,521.2 82.6%

Solutions 45.4 63.6 90.6 1,937.3 84.5%

Total 105.8 148.8 214.7 4,458.5 83.4%

Sources: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on component, the services segment of the SDN orchestration market is projected to grow from
USD 124.1 million in 2017 to USD 2,521.2 million by 2022, at a CAGR of 82.6% during the forecast
period. The solutions segment of this market is projected to grow at a CAGR of 84.5% from 2017 to 2022.

36
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

6.2 SOLUTIONS
The solutions segment of the Software-Defined Networking (SDN) orchestration market includes SDN
controllers, software upgrade, software licensing, and application software. SDN orchestration enables
effective coordination between IT software and SDN controllers, which are built using an open source
technology known as OpenDaylight. This technology helps in the customization and automation of
networks of any size and scale. SDN orchestration platforms include several proprietary or open source
software, developed using common Application Programming Interfaces (APIs). OpenFlow (OF) is one of the
first SDN standards that enable SDN controllers to directly interact with the forwarding plane of network
devices, such as switches and routers.

SDN orchestration solutions decouple the control plane from the entire networking framework and provide
a virtualized control over the entire network. This decoupled layer enables the implementation of
centralized network security technologies within the control plane. SDN orchestration solutions offer
several advantages to service providers and enterprises with respect to efficient management and
orchestration of virtual network functions.

TABLE 3 SOLUTIONS: SDN ORCHESTRATION MARKET SIZE, BY REGION, 2015-2022 (USD MILLION)

Region 2015 2016 2017 2022 CAGR (2017-2022)

North America 19.9 26.8 37.2 684.4 79.0%

Europe 13.2 18.1 25.4 508.6 82.1%

Asia Pacific 7.4 11.1 16.9 492.1 96.2%

Middle East & Africa 3.0 4.3 6.3 148.6 88.0%

Latin America 1.8 3.3 4.7 103.5 85.6%

Total 45.4 63.6 90.6 1,937.3 84.5%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

The solutions segment of the SDN orchestration market is estimated to be USD 90.6 million in 2017 and is
projected to reach USD 1,937.3 million by 2022, at a CAGR of 84.5% from 2017 to 2022. This segment in
the Asia Pacific region is expected to grow at the highest CAGR of 96.2% during the forecast period.

6.3 SERVICES
The services segment of the SDN orchestration market has been further classified into implementation &
integration, training & consulting, and others (support & maintenance and data center services). SDN
orchestration plays a vital role in ensuring centralized management of network services. Integration &
implementation services of SDN orchestration are customized as per specific requirements of end users
with the purpose to mitigate network traffic risks. Furthermore, the success of SDN orchestration lies in the
capabilities of firms to provide training to network operators and develop required skills with the aim to
leverage the latest technological advancements in the field of SDN.

In addition, support & maintenance services of SDN orchestration need to align with the existing network
infrastructure of enterprises to ensure smooth functioning of business operations. The increasing demand
for SDN orchestration services among enterprises worldwide is projected to drive the growth of the SDN
orchestration market.

37
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

TABLE 4 SERVICES: SDN ORCHESTRATION MARKET SIZE, BY REGION, 2015-2022 (USD MILLION)

Region 2015 2016 2017 2022 CAGR (2017-2022)

North America 29.0 39.3 55.6 990.0 77.9%

Europe 17.0 23.5 34.5 651.1 79.9%

Asia Pacific 8.8 13.3 20.7 582.2 94.9%

Middle East & Africa 3.6 5.1 7.6 174.8 87.3%

Latin America 2.1 3.9 5.7 123.2 84.6%

Total 60.4 85.2 124.1 2,521.2 82.6%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

The services segment of the SDN orchestration market is estimated to be USD 124.1 million in 2017 and
is projected to reach USD 2,521.2 million by 2022, at a CAGR of 82.6% during the forecast period. This
segment in the Asia Pacific region is expected to grow at the highest CAGR of 94.9% from 2017 to 2022.

TABLE 5 SERVICES: SDN ORCHESTRATION SIZE, BY TYPE, 2015–2022 (USD MILLION)

Type 2015 2016 2017 2022 CAGR (2017–2022)

Integration & Implementation 29.9 42.9 63.6 1,391.2 85.3%

Training & Consulting 12.4 16.7 23.2 376.0 74.5%

Others 18.1 25.6 37.3 754.1 82.4%

Total 60.4 85.2 124.1 2,521.2 82.6%

Note: Others support & maintenance and data center services


Source: Press Releases, Investor Presentations, Expert Interviews, and MarketsandMarkets Analysis

The integration & implementation subsegment of the services segment is estimated to be USD 63.6 million
in 2017 and is projected to reach USD 1,391.2 million by 2022, at the highest CAGR of 85.3% from 2017
to 2022.

38
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

7 SDN ORCHESTRATION MARKET, BY ORGANIZATION SIZE

KEY FINDINGS

 Based on organization size, the Small & Medium-sized Enterprises (SMEs) segment of the SDN
orchestration market is projected to grow at the highest CAGR of 87.7% from 2017 to 2022.
 The large enterprises segment of the SDN orchestration market is expected to grow from USD
168.6 million in 2017 to USD 3,384.7 million by 2022, at a CAGR of 82.2% during the forecast
period.
 The adoption rate of SDN orchestration solutions in large enterprises is relatively higher as
compared to small & medium-sized enterprises.
 The small & medium-sized enterprises segment in the Asia Pacific region is projected to grow at
the highest CAGR of 98.8% during the forecast period.
 The large enterprises segment in North America is estimated to be USD 75.3 million in 2017
and is projected to reach USD 1,314.6 million by 2022, at a CAGR of 77.2% during the forecast
period.

39
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

7.1 INTRODUCTION
Based on organization size, the SDN orchestration market has been segmented into large enterprises and
small & medium-sized enterprises. SDN orchestration solutions are adopted by various enterprises across
diverse verticals. Both, large and small & medium-sized enterprises are focused on the adoption of SDN
orchestration solutions to manage their complex network infrastructures and reduce operational costs.

FIGURE 17 THE SMALL & MEDIUM-SIZED ENTERPRISES SEGMENT IS EXPECTED TO GROW AT


THE HIGHEST CAGR DURING THE FORECAST PERIOD

6,000
Market Size (USD Million)

5,000
4,000
3,000
2,000
1,000
0
Small & Medium-sized
Large Enterprises
Enterprises
2017 168.6 46.1
2022 3,384.7 1,073.8
CAGR (2017-2022) 82.2% 87.7%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

TABLE 6 SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE, 2015-2022 (USD MILLION)

Organization Size 2015 2016 2017 2022 CAGR (2017-2022)

Large Enterprises 84.3 117.7 168.6 3,384.7 82.2%

Small & Medium-sized Enterprises 21.5 31.2 46.1 1,073.8 87.7%

Total 105.8 148.8 214.7 4,458.5 83.4%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on organization size, the large enterprises segment of the SDN orchestration market is estimated to
be USD 168.6 million in 2017 and is projected to reach USD 3,384.7 million by 2022, at a CAGR of 82.2%
from 2017 to 2022. The small & medium-sized enterprises segment of this market is expected to grow at
the highest CAGR of 87.7% during the forecast period.

40
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

7.2 LARGE ENTERPRISES


Organizations with an employee strength of 1,000 people are considered as large enterprises. These
enterprises have massive network infrastructures. Large enterprises rely on networks to carry out their
operational processes and coordinate with their geographically distributed development teams. An
immense expenditure on IT resources is required to keep their networks operational under all
circumstances. SDN orchestration solutions provide an economical way to manage the entire network from
a centralized location as well as provide real-time bandwidth management of the network.

Level 3 Communications, a telecommunications company that is headquartered in the US, implemented


the Cisco Network Services Orchestrator that provides end-to-end automation to design and deliver
services as well as accelerate revenue growth.

TABLE 7 LARGE ENTERPRISES: SDN ORCHESTRATION MARKET SIZE, BY REGION,


2015-2022 (USD MILLION)

Region 2015 2016 2017 2022 CAGR (2017-2022)

North America 40.2 54.0 75.3 1,314.6 77.2%

Europe 24.0 32.9 47.2 889.5 79.9%

Asia Pacific 12.5 18.6 28.5 791.2 94.4%

Middle East & Africa 4.8 7.0 10.2 234.5 87.1%

Latin America 2.8 5.1 7.4 154.9 83.6%

Total 84.3 117.7 168.6 3,384.7 82.2%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

The large enterprises segment of the SDN orchestration market is projected to grow from USD 168.6
million in 2017 to USD 3,384.7 million by 2022, at a CAGR of 82.2% during the forecast period. This
segment in the Asia Pacific region is expected to grow at the highest CAGR of 94.4% from 2017 to 2022.

41
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

7.3 SMALL & MEDIUM-SIZED ENTERPRISES (SMEs)


Organizations with an employee strength between 1 and 1,000 are considered as small & medium-sized
enterprises. Currently, enterprises are undergoing digital transformations, thereby automating business
processes to improve operational efficiency and enhance customer experience. The adoption of SDN
orchestration solutions by SMEs helps reduce the expenditure associated with network management.
Presently, there is limited awareness regarding the significance of SDN orchestration among SMEs.
However, benefits associated with the implementation of SDN orchestration solutions are projected to
drive the adoption of these solutions by SMEs in the near future.

TABLE 8 SMALL & MEDIUM-SIZED ENTERPRISES: SDN ORCHESTRATION MARKET SIZE,


BY REGION, 2015-2022 (USD MILLION)

Region 2015 2016 2017 2022 CAGR (2017-2022)

North America 8.7 12.1 17.5 359.9 83.1%

Europe 6.2 8.7 12.8 270.1 84.0%

Asia Pacific 3.8 5.8 9.1 283.1 98.8%

Middle East & Africa 1.7 2.5 3.7 88.9 89.1%

Latin America 1.1 2.0 3.0 71.8 88.4%

Total 21.5 31.2 46.1 1,073.8 87.7%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

The small & medium-sized enterprises segment of the SDN orchestration market is estimated to be USD
46.1 million in 2017 and is projected to reach USD 1,073.8 million by 2022, at a CAGR of 87.7% during
the forecast period. This segment in the Asia Pacific region is expected to grow at the highest CAGR of
98.8% from 2017 to 2022.

42
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

8 SDN ORCHESTRATION MARKET, BY END USER

KEY FINDINGS

 Based on end user, the telecom service providers segment is estimated to account for the
largest share of 61.5% of the SDN orchestration market in 2017.
 The cloud service providers segment of the SDN orchestration market is expected to grow from
USD 60.6 million in 2017 to USD 1,068.1 million by 2022, at a CAGR of 77.5% during the
forecast period.
 The need to set up an orchestrator-based architecture using network monitoring and SDN
control features is contributing to the increased adoption of SDN orchestration solutions in
various end-use industries.
 SDN orchestration solutions help increase the speed and agility of complex networks, which, in
turn, have enabled cloud service providers to deliver services and other content at high transfer
rates.
 The telecom service providers segment of the SDN orchestration market is projected to grow at
the highest CAGR of 87.4% during the forecast period.

43
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

8.1 INTRODUCTION
The SDN orchestration market is projected to witness significant growth in the near future, owing to the
ability of SDN orchestration to manage and control networks centrally. Based on end user, the SDN
orchestration market has been segmented into telecom service providers, cloud service providers, and
others (that include BFSI, healthcare, manufacturing, government, and IT enabled services). SDN
orchestration technologies encompass various functionalities, such as network automation, network
security, network orchestration, centralized monitoring, and virtualization. The adoption of SDN
orchestration technologies helps enterprises improve the speed of data transfer using real-time bandwidth
allocation.

FIGURE 18 THE TELECOM SERVICE PROVIDERS SEGMENT OF THE SDN ORCHESTRATION


MARKET IS EXPECTED TO GROW AT THE HIGHEST CAGR DURING THE FORECAST
PERIOD
3,500.0
Market size (USD Million)

3,000.0
2,500.0
2,000.0
1,500.0
1,000.0
500.0
0.0
Telecom Service Cloud Service
Others
Providers Providers
2017 132.1 60.6 22.0
2022 3,052.8 1,068.1 337.7
CAGR (2017-2022) 87.4% 77.5% 72.6%

Note: Others includes BFSI, healthcare, manufacturing, government, and IT enabled services
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

TABLE 9 SDN ORCHESTRATION MARKET SIZE, BY END USER, 2015-2022 (USD MILLION)

End User 2015 2016 2017 2022 CAGR (2017-2022)

Telecom Service Providers 62.3 89.6 132.1 3,052.8 87.4%

Cloud Service Providers 32.0 43.5 60.6 1,068.1 77.5%

Others 11.6 15.8 22.0 337.7 72.6%

Total 105.8 148.8 214.7 4,458.5 83.4%

Note: Others includes BFSI, healthcare, manufacturing, government, and IT enabled services
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on end user, the telecom service providers segment of the SDN orchestration market is estimated
to be USD 132.1 million in 2017 and is projected to reach USD 3,052.8 million by 2022, at a CAGR of
87.4% from 2017 to 2022.

44
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

8.2 CLOUD SERVICE PROVIDERS


An increase in the number of data centers worldwide has contributed to the need to develop integrated
network solutions. Presently, data centers are facing various challenges with respect to capacity and
infrastructure complexity due to an exponential volume of data being generated on a regular basis and the
need to improve scalability. Cloud service providers offer integrated network solutions, such as SDN
orchestration solutions, which help manage data and improve the speed and agility of complex networks.
This, in turn, helps enterprises deliver services and other content at high-speed rates.

The emergence of cloud computing has led to enterprises recognizing the benefits associated with public
cloud services in terms of maintaining their IT resources. This has further led to the introduction of new
cloud enablement solutions that facilitate the adoption of digital transformation trends in the SDN
orchestration market. The proliferation of connected smart technologies has amplified the demand for new
cloud enablement solutions, which extend the services offered by public clouds. Cloud service providers
offer various solutions that enhance the existing cloud architectures through innovations in cloud
infrastructure, cloud security, cloud orchestration, and other cloud enablement services.

SDN orchestration enables cloud service providers to gather information related to network infrastructure
and assist in gaining knowledge regarding the priorities of hosted services. The combination of software-
defined networking and network functions virtualization has enabled cloud service providers to simplify
their networks, reduce the complexities of topology, and accelerate the process of new service creation
and delivery. Thus, cloud service providers are focused on the adoption of SDN orchestration solutions to
automate and control various network functions.

Moreover, cloud service providers are also investing in the maintenance of their network infrastructure to
eliminate any potential bottleneck in their networks. The increasing adoption of SDN orchestration
solutions among cloud service providers has not only reduced capital expenditure but also increased the
speed of networks with minimal addition of physical appliances, such as switches, servers, and routers.

TABLE 10 CLOUD SERVICE PROVIDERS: SDN ORCHESTRATION MARKET SIZE, BY REGION,


2015–2022 (USD MILLION)

Region 2015 2016 2017 2022 CAGR (2017-2022)

North America 14.8 19.3 26.2 397.1 72.3%

Europe 9.1 12.2 16.9 275.0 74.7%

Asia Pacific 4.9 7.2 10.7 265.5 90.0%

Middle East & Africa 2.0 2.7 3.9 76.7 81.3%

Latin America 1.2 2.1 2.9 53.8 78.8%

Total 32.0 43.5 60.6 1,068.1 77.5%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

The cloud service providers segment in North America is projected to grow from USD 26.2 million in 2017
to USD 397.1 million by 2022, at a CAGR of 72.3% during the forecast period. This segment in the Asia
Pacific region is projected to grow at the highest CAGR of 90.0% from 2017 to 2022.

45
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

8.3 TELECOM SERVICE PROVIDERS


Telecom service providers are focused on the adoption of technologies, such as SDN orchestration and
virtualization, to boost the overall network capacity and deliver flexibility in bandwidth. SDN transforms
networks to an open and programmable framework by implementing a decoupled centralized control layer,
which, in turn, enables the implementation of NFV that helps optimize network resources. Thus, the
adoption of SDN orchestration solutions reduces network congestions, enhances network user capacity
(bandwidth requirement), and minimizes costs associated with hardware requirement for network user
expansions.

Telecom service providers are continually striving to offer new and innovative services to their potential
customers. Benefits associated with the implementation of an SDN orchestration architecture include
improved data transfer rates, low operational costs, and access to new revenue streams for network
operators and Communications Service Providers (CSPs). The need to effectively manage networks,
optimize routers and switches for the peak hour traffic, and enable data center networking equipment to
handle exponential volumes of data during peak hours are contributing to the increased adoption of SDN
orchestration solutions by telecom companies worldwide.

TABLE 11 TELECOM SERVICE PROVIDERS: SDN ORCHESTRATION MARKET SIZE, BY REGION,


2015–2022 (USD MILLION)

Region 2015 2016 2017 2022 CAGR (2017-2022)

North America 28.5 39.5 56.6 1,143.6 82.4%

Europe 17.6 24.9 36.6 792.0 85.0%

Asia Pacific 9.8 15.0 23.5 731.6 98.9%

Middle East & Africa 4.0 5.8 8.8 226.7 91.7%

Latin America 2.4 4.4 6.6 158.9 89.0%

Total 62.3 89.6 132.1 3,052.8 87.4%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

The telecom service providers in North America is projected to grow from USD 56.6 million in 2017 to USD
1,143.6 million by 2022, at a CAGR of 82.4% during the forecast period. This segment in the Asia Pacific
region is projected to grow at the highest CAGR of 98.9% from 2017 to 2022.

8.4 OTHERS
Other end users include BFSI, healthcare, manufacturing, government, and IT Enabled Services (ITES).
Modern enterprises require a robust networking framework to ensure smooth business operations. SDN
orchestration technologies improve network performance, ensure optimal utilization of network resources,
and reduce operational expenditure.

BFSI organizations generate an exponential volume of data, which needs to be stored, transferred, and
analyzed on a regular basis. The need for interconnectivity to perform various banking tasks in real-time
has propelled the adoption of SDN orchestration solutions in BFSI organizations, as these solutions help
reduce the complexity in network connectivity.

Healthcare IT professionals are focused on modernizing data centers within hospitals and pharmaceutical
institutions to secure crucial data related to patients and drug discovery. SDN orchestration provides a
centralized hub to monitor and automate networks, thereby simplifying the healthcare network
infrastructure. Moreover, the emergence of SDN controller software enables the creation of virtual
networks for Internet of Health Things (IoHT) technologies.

46
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Government bodies are increasingly adopting SDN orchestration solutions to improve operational
efficiency, enhance work culture, and provide improved public services. Furthermore, manufacturing
industries worldwide are also adopting SDN orchestration solutions to optimize networks and help
industries streamline various manufacturing processes.

SDN has significantly transformed the working methodology in IT Enabled Services (ITES) companies.
Increasing data traffic and mobility has catapulted the need for efficient solutions to manage and control
complex networks as well as reduce capital expenditure incurred on expanding the existing data centers
and IT infrastructure. Thus, ITES companies are focused on the adoption of SDN orchestration solutions to
help automate various network operations.

TABLE 12 OTHERS: SDN ORCHESTRATION MARKET SIZE, BY REGION, 2015–2022 (USD MILLION)

Region 2015 2016 2017 2022 CAGR (2017-2022)

North America 5.6 7.4 10.0 133.8 68.0%

Europe 3.5 4.6 6.5 92.6 70.3%

Asia Pacific 1.5 2.3 3.4 77.2 86.9%

Middle East & Africa 0.6 0.9 1.2 20.0 74.8%

Latin America 0.4 0.7 0.9 14.0 72.3%

Total 11.6 15.8 22.0 337.7 72.6%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

The others segment in North America is projected to grow from USD 10.0 million in 2017 to USD 133.8
million by 2022, at a CAGR of 68.0% during the forecast period. This segment in the Asia Pacific region is
projected to grow at the highest CAGR of 86.9% from 2017 to 2022.

47
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

9 REGIONAL ANALYSIS

KEY FINDINGS

 North America is estimated to account for the largest share of 43.2% of the SDN orchestration
market in 2017.
 The SDN orchestration market in North America is projected to grow at a CAGR of 78.3% from
2017 to 2022.
 Europe is estimated to account for a share of 27.9% of the SDN orchestration market in 2017.
 The SDN orchestration market in the Asia Pacific region is expected to grow from USD 37.6
million in 2017 to USD 1,074.3 million by 2022, at a CAGR of 95.5% during the forecast period.
 The increasing demand for SDN orchestration solutions in Japan, China, and South Korea is one
of the most significant factors driving the growth of the SDN orchestration market in the Asia
Pacific region.
 The SDN orchestration market in Latin America is projected to grow at a CAGR of 85.0% from
2017 to 2022.

48
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

9.1 INTRODUCTION
Based on region, the SDN orchestration market has been segmented into North America, Europe, Asia
Pacific, the Middle East & Africa, and Latin America. Key factors projected to drive the growth of the SDN
orchestration market include increased demand for cloud services, the need to automate networks, and
increased adoption of SDN orchestration solutions by organizations worldwide.

SDN orchestration is the process of automating behaviors in a network so that the network coordinates
with hardware and software elements to support applications and services. The SDN orchestration market
is projected to grow at a significant pace during the forecast period. Region-specific market analysis,
industry trends, market potential, and forecast of various segments and subsegments have been
discussed below.

FIGURE 19 NORTH AMERICA IS PROJECTED TO LEAD THE SDN ORCHESTRATION MARKET


FROM 2017 TO 2022
3,200.0
Market Size (USD Million)

2,800.0
2,400.0
2,000.0
1,600.0
1,200.0
800.0
400.0
0.0
North Middle East Latin
Europe Asia Pacific
America & Africa America
2017 92.8 60.0 37.6 13.9 10.5
2022 1,674.5 1,159.7 1,074.3 323.4 226.7
CAGR (2017-2022) 78.3% 80.8% 95.5% 87.6% 85.0%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

TABLE 13 SDN ORCHESTRATION MARKET SIZE, BY REGION, 2015-2022 (USD MILLION)

Region 2015 2016 2017 2022 CAGR (2017-2022)

North America 48.9 66.2 92.8 1,674.5 78.3%

Europe 30.2 41.7 60.0 1,159.7 80.8%

Asia Pacific 16.3 24.4 37.6 1,074.3 95.5%

Middle East & Africa 6.5 9.4 13.9 323.4 87.6%

Latin America 3.9 7.2 10.5 226.7 85.0%

Total 105.8 148.8 214.7 4,458.5 83.4%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

The SDN orchestration market is estimated to be USD 214.7 million in 2017 and is projected to reach USD
4,458.5 million by 2022, at a CAGR of 83.4% from 2017 to 2022. This market in North America is
estimated to be USD 92.8 million in 2017 and is projected to reach USD 1,674.5 million by 2022, at a
CAGR of 78.3% during the forecast period. The SDN orchestration market in the Asia Pacific region is
projected to grow at the highest CAGR of 95.5% during the forecast period.

49
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

FIGURE 20 REGIONAL SNAPSHOT: THE SDN ORCHESTRATION MARKET IN ASIA PACIFIC IS


PROJECTED TO GROW AT THE HIGHEST CAGR DURING THE FORECAST PERIOD

Europe
80.8%

North America
78.3% Asia Pacific
95.5%

Middle East & Africa


87.6%

Latin America
85.0%

CAGR
<80% 80%-90% >90%
(2017-2022)

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

9.2 NORTH AMERICA


North America is estimated to account for a share of 43.2% of the SDN orchestration market in 2017.
Various organizations in North America are focused on the adoption of SDN orchestration solutions. The
growth of the SDN orchestration market in North America is primarily driven by the emergence of
innovative technologies, such as cloud computing, mobility solutions, network virtualization, and Bring Your
Own Device (BYOD). Furthermore, the advent of Big Data analytics and complex network traffic patterns,
and the need to build networks to provide improved support for various business functions are additional
factors contributing to the growth of the SDN orchestration market in North America.

Key countries in North America, such as the US and Canada, are witnessing an increased adoption of SDN
orchestration solutions among large enterprises and SMEs to control complex network operations as well
as ensure effective management of data traffic. For instance, Equinix (US) deployed Cisco’s Network
Services Orchestrator (NSO) enabled by Tail-f to augment the orchestration of its cloud exchange service.

50
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

FIGURE 21 NORTH AMERICA SDN ORCHESTRATION MARKET SNAPSHOT

NORTH AMERICA
NORTH AMERICA SDN ORCHESTRATION
North America is estimated to The North America SDN SERVICES MARKET SIZE, BY TYPE,
account for a share of 43.2% of orchestration market is expected 2017 & 2022 (USD MILLION)
the SDN orchestration market in to grow at a CAGR of 78.3% from
2017. 2017 to 2022. 549.4

297.5
143.1
The advent of Big Data analytics 28.4 10.3 16.8
The US and Canada are
and complex network traffic
witnessing an increased Integration & Training & Others
patterns is expected to drive the
adoption of SDN orchestration Implementation Consulting
growth of the SDN orchestration
solutions.
market in this region. 2017 2022

NORTH AMERICA SDN ORCHESTRATION MARKET SIZE,


BY COMPONENT, 2017 NORTH AMERICA SDN ORCHESTRATION MARKET
SIZE, BY END USER,
MARKET SIZE CAGR 2017 & 2022 (USD MILLION)
COMPONENT
(USD MILLION) (2017-2022)
1,143.6
SOLUTIONS 37.2 79.0%

SERVICES 55.6 77.9%


397.1
NORTH AMERICA SDN ORCHESTRATION MARKET SIZE, 133.8
56.6 26.2 10.0
BY ORGANIZATION SIZE, 2017 (USD MILLION)

Large Enterprises: USD 75.3 Million Telecom Service Cloud Service Others
Providers Providers
Small & Medium-sized Enterprises: USD 17.5 Million 2017 2022

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

TABLE 14 NORTH AMERICA SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,


2015-2022 (USD MILLION)

Component 2015 2016 2017 2022 CAGR (2017-2022)

Services 29.0 39.3 55.6 990.0 77.9%

Solutions 19.9 26.8 37.2 684.4 79.0%

Total 48.9 66.2 92.8 1,674.5 78.3%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on component, the solutions segment of the North America SDN orchestration market is estimated
to be USD 37.2 million in 2017 and is projected to reach USD 684.4 million by 2022, at a CAGR of 79.0%

51
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

from 2017 to 2022. The services segment of this market is expected to grow from USD 55.6 million in
2017 to USD 990.0 million by 2022, at a CAGR of 77.9% during the forecast period.

TABLE 15 NORTH AMERICA SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,


2015-2022 (USD MILLION)

Type 2015 2016 2017 2022 CAGR (2017-2022)

Integration & Implementation 14.3 19.8 28.4 549.4 80.8%

Training & Consulting 6.0 7.7 10.3 143.1 69.1%

Others 8.7 11.9 16.8 297.5 77.6%

Total 29.0 39.3 55.6 990.0 77.9%

Note: Others include support & maintenance and data center services.
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on type, the integration & implementation subsegment of the North America SDN orchestration
services market is estimated to be USD 28.4 million in 2017 and is projected to reach USD 549.4 million
by 2022, at a CAGR of 80.8% from 2017 to 2022. The training & consulting subsegment is expected to
grow from USD 10.3 million in 2017 to USD 143.1 million by 2022, at a CAGR of 69.1% during the forecast
period.

TABLE 16 NORTH AMERICA SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,


2015-2022 (USD MILLION)

Organization Size 2015 2016 2017 2022 CAGR (2017-2022)

Large Enterprises 40.2 54.0 75.3 1,314.6 77.2%

Small & Medium-sized Enterprises 8.7 12.1 17.5 359.9 83.1%

Total 48.9 66.2 92.8 1,674.5 78.3%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on organization size, the large enterprises segment of the North America SDN orchestration market
is estimated to be USD 75.3 million in 2017 and is projected to reach USD 1,314.6 million by 2022, at a
CAGR of 77.2% from 2017 to 2022. The small & medium-sized enterprises segment is expected to grow
from USD 17.5 million in 2017 to USD 359.9 million by 2022, at a CAGR of 83.1% during the forecast
period.

52
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

TABLE 17 NORTH AMERICA SDN ORCHESTRATION MARKET SIZE, BY END USER,


2015-2022 (USD MILLION)

End User 2015 2016 2017 2022 CAGR (2017-2022)

Telecom Service Providers 28.5 39.5 56.6 1,143.6 82.4%

Cloud Service Providers 14.8 19.3 26.2 397.1 72.3%

Others 5.6 7.4 10.0 133.8 68.0%

Total 48.9 66.2 92.8 1,674.5 78.3%

Note: Others include BFSI, healthcare, manufacturing, government, and IT Enabled Services (ITES).
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on end user, the telecom service providers segment of the North America SDN orchestration market
is estimated to be USD 56.6 million in 2017 and is projected to reach USD 1,143.6 million by 2022, at the
highest CAGR of 82.4% during the forecast period.

9.3 EUROPE
Organizations in the European region are gradually transitioning towards the adoption of SDN orchestration
solutions. These organizations are focused on improving operational excellence and developing a robust
network infrastructure. The adoption of SDN orchestration solutions enables organizations to successfully
fulfill these goals. SDN orchestration solutions also help organizations reduce operational costs and ensure
prompt response to consumer needs. The SDN orchestration market in Europe is primarily driven by the
exponential growth of cloud computing and rise in mobility services.

TABLE 18 EUROPE SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,


2015-2022 (USD MILLION)

Component 2015 2016 2017 2022 CAGR (2017-2022)

Services 17.0 23.5 34.5 651.1 79.9%

Solutions 13.2 18.1 25.4 508.6 82.1%

Total 30.2 41.7 60.0 1,159.7 80.8%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on component, the solutions segment of the Europe SDN orchestration market is estimated to be
USD 25.4 million in 2017 and is projected to reach USD 508.6 million by 2022, at a CAGR of 82.1% from
2017 to 2022. The services segment of this market is expected to grow from USD 34.5 million in 2017 to
USD 651.1 million by 2022, at a CAGR of 79.9% during the forecast period.

53
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

TABLE 19 EUROPE SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,


2015-2022 (USD MILLION)

Type 2015 2016 2017 2022 CAGR (2017-2022)

Integration & Implementation 8.5 12.1 18.0 367.8 82.8%

Training & Consulting 3.5 4.6 6.4 94.1 71.1%

Others 4.9 6.9 10.1 189.2 79.6%

Total 17.0 23.5 34.5 651.1 79.9%

Note: Others include support & maintenance and data center services.
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on type, the integration & implementation subsegment of the Europe SDN orchestration services
market is estimated to be USD 18.0 million in 2017 and is projected to reach USD 367.8 million by 2022,
at a CAGR of 82.8% from 2017 to 2022. The training & consulting subsegment is expected to grow from
USD 6.4 million in 2017 to USD 94.1 million by 2022, at a CAGR of 71.1% during the forecast period.

TABLE 20 EUROPE SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,


2015-2022 (USD MILLION)

Organization Size 2015 2016 2017 2022 CAGR (2017-2022)

Large Enterprises 24.0 32.9 47.2 889.5 79.9%

Small & Medium-sized Enterprises 6.2 8.7 12.8 270.1 84.0%

Total 30.2 41.7 60.0 1,159.7 80.8%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on organization size, the large enterprises segment of the Europe SDN orchestration market is
estimated to be USD 47.2 million in 2017 and is projected to reach USD 889.5 million by 2022, at a CAGR
of 79.9% from 2017 to 2022. The small & medium-sized enterprises segment of this market is expected to
grow from USD 12.8 million in 2017 to USD 270.1 million by 2022, at a CAGR of 84.0% during the forecast
period.

TABLE 21 EUROPE SDN ORCHESTRATION MARKET SIZE, BY END USER, 2015-2022 (USD MILLION)

End User 2015 2016 2017 2022 CAGR (2017-2022)

Telecom Service Providers 17.6 24.9 36.6 792.0 85.0%

Cloud Service Providers 9.1 12.2 16.9 275.0 74.7%

Others 3.5 4.6 6.5 92.6 70.3%

Total 30.2 41.7 60.0 1,159.7 80.8%

Note: Others include BFSI, healthcare, manufacturing, government, and IT Enabled Services (ITES).
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on end user, the telecom service providers segment of the Europe SDN orchestration market is
expected to grow from USD 36.6 million in 2017 to USD 792.0 million by 2022, at the highest CAGR of
85.0% during the forecast period.

54
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

9.4 ASIA PACIFIC (APAC)


Asia Pacific is estimated to account for a share of 17.5% of the SDN orchestration market in 2017. The
growth of the SDN orchestration market in the Asia Pacific region can be attributed to the increased
adoption of SDN orchestration tools by enterprises in this region to enhance agility and operational
efficiency. In addition, an increase in the number of data centers in the Asia Pacific region is projected to
drive the growth of the SDN orchestration market in this region. The SDN orchestration market in China,
Japan, and Korea is projected to witness significant growth, owing to increased R&D investments made by
companies to develop innovative SDN technologies and the expansion of telecom operations in these
countries.

Key players operating in the Asia Pacific SDN orchestration market are undertaking initiatives to enhance
their presence and widen their customer base. For instance, SoftBank, a tier 1 telecommunications
company headquartered in Japan, is using Cisco Evolved Services Platform (ESP) orchestration, Software-
Defined Networking (SDN), and Network Functions Virtualization (NFV) technologies to offer highly
responsive customer service.

55
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

FIGURE 22 ASIA PACIFIC SDN ORCHESTRATION MARKET SNAPSHOT

ASIA PACIFIC
NORTH AMERICA SDN ORCHESTRATION
Asia Pacific is estimated to The Asia Pacific SDN SERVICES MARKET SIZE, BY TYPE,
account for a share of 17.5% of orchestration market is expected 2017 & 2022 (USD MILLION)
the SDN orchestration market in to grow at the highest CAGR of
2017. 95.5% from 2017 to 2022.
305.6
180.8
The increase in the number of 95.8
The SDN orchestration market is 10.2 4.0 6.5
data centers in Asia Pacific is
expected to witness high growth Integration & Training & Others
projected to drive the growth of
in countries, such as Japan, Implementation Consulting
the SDN orchestration market in
China, and South Korea. 2017 2022
this region.

ASIA PACIFIC SDN ORCHESTRATION MARKET SIZE,


BY COMPONENT, 2017 NORTH AMERICA SDN ORCHESTRATION MARKET
SIZE, BY END USER,
MARKET SIZE CAGR 2017 & 2022 (USD MILLION)
COMPONENT
(USD MILLION) (2017-2022)
731.6
SOLUTIONS 16.9 96.2%

SERVICES 20.7 94.9%

ASIA PACIFIC SDN ORCHESTRATION MARKET SIZE, 265.5


BY ORGANIZATION SIZE, 2017 (USD MILLION)
77.2
23.5 10.7 3.4
Large Enterprises: USD 28.5 Million
Telecom Service Cloud Service Others
Providers Providers
Small & Medium-sized Enterprises: USD 9.1 Million
2017 2022

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

TABLE 22 ASIA PACIFIC SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,


2015-2022 (USD MILLION)

Component 2015 2016 2017 2022 CAGR (2017-2022)

Services 8.8 13.3 20.7 582.2 94.9%

Solutions 7.4 11.1 16.9 492.1 96.2%

Total 16.3 24.4 37.6 1,074.3 95.5%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

56
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Based on component, the solutions segment of the Asia Pacific SDN orchestration market is estimated to
be USD 16.9 million in 2017 and is projected to reach USD 492.1 million by 2022, at a CAGR of 96.2%
from 2017 to 2022. The services segment of this market is expected to grow from USD 20.7 million in
2017 to USD 582.2 million by 2022, at a CAGR of 94.9% during the forecast period.

TABLE 23 ASIA PACIFIC SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,


2015-2022 (USD MILLION)

Type 2015 2016 2017 2022 CAGR (2017-2022)

Integration & Implementation 4.3 6.5 10.2 305.6 97.3%

Training & Consulting 1.8 2.6 4.0 95.8 88.8%

Others 2.7 4.1 6.5 180.8 94.7%

Total 8.8 13.3 20.7 582.2 94.9%

Note: Others include support & maintenance and data center services.
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on type, the integration & implementation subsegment of the Asia Pacific SDN orchestration
services market is estimated to be USD 10.2 million in 2017 and is projected to reach USD 305.6 million
by 2022, at a CAGR of 97.3% from 2017 to 2022. The training & consulting subsegment of this market is
expected to grow from USD 4.0 million in 2017 to USD 95.8 million by 2022, at a CAGR of 88.8% during
the forecast period.

TABLE 24 ASIA PACIFIC SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,


2015-2022 (USD MILLION)

Organization Size 2015 2016 2017 2022 CAGR (2017-2022)

Large Enterprises 12.5 18.6 28.5 791.2 94.4%

Small & Medium-sized Enterprises 3.8 5.8 9.1 283.1 98.8%

Total 16.3 24.4 37.6 1,074.3 95.5%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on organization size, the large enterprises segment of the Asia Pacific SDN orchestration market is
estimated to be USD 28.5 million in 2017 and is projected to reach USD 791.2 million by 2022, at a CAGR
of 94.4% from 2017 to 2022. The small & medium-sized enterprises segment is expected to grow from
USD 9.1 million in 2017 to USD 283.1 million by 2022, at a CAGR of 98.8% during the forecast period.

TABLE 25 ASIA PACIFIC SDN ORCHESTRATION MARKET SIZE, BY END USER,


2015-2022 (USD MILLION)

End User 2015 2016 2017 2022 CAGR (2017-2022)

Telecom Service Providers 9.8 15.0 23.5 731.6 98.9%

Cloud Service Providers 4.9 7.2 10.7 265.5 90.0%

Others 1.5 2.3 3.4 77.2 86.9%

Total 16.3 24.4 37.6 1,074.3 95.5%

Note: Others include BFSI, healthcare, manufacturing, government, and IT Enabled Services (ITES).
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

57
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Based on end user, the telecom service providers segment of the Asia Pacific SDN orchestration market is
expected to grow from USD 23.7 million in 2017 to USD 753.1 million by 2022, at the highest CAGR of
98.9% during the forecast period.

9.5 MIDDLE EAST & AFRICA (MEA)


The Middle East & Africa is estimated to account for a share of 6.5% of the SDN orchestration market in
2017. The growth of the SDN orchestration market in the Middle East & Africa can be attributed to
technological advancements in the field of networking and increased adoption of mobile devices.
Moreover, enterprises in this region are focused on upgrading their existing network infrastructure and
enhancing operational efficiency by adopting innovative SDN orchestration solutions. Thus, the need for
SDN orchestration solutions to manage and automate networks is another key factor contributing to the
growth of the SDN orchestration market in this region.

TABLE 26 MIDDLE EAST & AFRICA SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,
2015-2022 (USD MILLION)

Component 2015 2016 2017 2022 CAGR (2017-2022)

Services 3.6 5.1 7.6 174.8 87.3%

Solutions 3.0 4.3 6.3 148.6 88.0%

Total 6.5 9.4 13.9 323.4 87.6%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on component, the solutions segment of the Middle East & Africa SDN orchestration market is
estimated to be USD 6.3 million in 2017 and is projected to reach USD 148.6 million by 2022, at a CAGR
of 88.0% from 2017 to 2022. The services segment of this market is expected to grow from USD 7.6
million in 2017 to USD 174.8 million by 2022, at a CAGR of 87.3% during the forecast period.

TABLE 27 MIDDLE EAST & AFRICA SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,
2015-2022 (USD MILLION)

Type 2015 2016 2017 2022 CAGR (2017-2022)

Integration & Implementation 1.8 2.6 3.9 98.7 90.4%

Training & Consulting 0.7 1.0 1.4 25.3 78.1%

Others 1.0 1.5 2.2 50.8 87.1%

Total 3.6 5.1 7.6 174.8 87.3%

Note: Others include support & maintenance and data center services.
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on type, the integration & implementation subsegment of the Middle East & Africa SDN
orchestration services market is estimated to be USD 3.9 million in 2017 and is projected to reach USD
98.7 million by 2022, at a CAGR of 90.4% from 2017 to 2022. The training & consulting subsegment is
expected to grow from USD 1.4 million in 2017 to USD 25.3 million by 2022, at a CAGR of 78.1% during
the forecast period.

58
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

TABLE 28 MIDDLE EAST & AFRICA SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,
2015-2022 (USD MILLION)

Organization Size 2015 2016 2017 2022 CAGR (2017-2022)


Large Enterprises 4.8 7.0 10.2 234.5 87.1%
Small & Medium-sized Enterprises 1.7 2.5 3.7 88.9 89.1%
Total 6.5 9.4 13.9 323.4 87.6%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on organization size, the large enterprises segment of the Middle East & Africa SDN orchestration
market is estimated to be USD 10.2 million in 2017 and is projected to reach USD 234.5 million by 2022,
at a CAGR of 87.1% from 2017 to 2022. The small & medium-sized enterprises segment of this market is
expected to grow from USD 3.7 million in 2017 to USD 88.9 million by 2022, at a CAGR of 89.1% during
the forecast period.

TABLE 29 MIDDLE EAST & AFRICA SDN ORCHESTRATION MARKET SIZE, BY END USER,
2015-2022 (USD MILLION)

End User 2015 2016 2017 2022 CAGR (2017-2022)


Telecom Service Providers 4.0 5.8 8.8 226.7 91.7%
Cloud Service Providers 2.0 2.7 3.9 76.7 81.3%
Others 0.6 0.9 1.2 20.0 74.8%
Total 6.5 9.4 13.9 323.4 87.6%

Note: Others include BFSI, healthcare, manufacturing, government, and IT Enabled Services (ITES).
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on end user, the telecom service providers segment of the Middle East & Africa SDN orchestration
market is estimated to be USD 8.8 million in 2017 and is projected to reach USD 226.7 million by 2022, at
the highest CAGR of 91.7% during the forecast period.

9.6 LATIN AMERICA


Latin America is estimated to account for a share of 4.9% of the SDN orchestration market in 2017. This
market in Latin America is progressing at a slower pace as compared to other regions. Organizations in
Latin America have been hesitant to adopt SDN orchestration solutions, owing to the gap in networking
skills. However, the increasing adoption of mobile devices and the growing awareness regarding data
management are factors expected to drive the adoption of SDN orchestration solutions in Latin America, in
the near future.

TABLE 30 LATIN AMERICA SDN ORCHESTRATION MARKET SIZE, BY COMPONENT,


2015-2022 (USD MILLION)

Component 2015 2016 2017 2022 CAGR (2017-2022)

Services 2.1 3.9 5.7 123.2 84.6%

Solutions 1.8 3.3 4.7 103.5 85.6%

Total 3.9 7.2 10.5 226.7 85.0%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

59
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Based on component, the solutions segment of the Latin America SDN orchestration market is estimated
to be USD 4.7 million in 2017 and is projected to reach USD 103.5 million by 2022, at a CAGR of 85.6%
from 2017 to 2022. The services segment of this market is expected to grow from USD 5.7 million in 2017
to USD 123.2 million by 2022, at a CAGR of 84.6% during the forecast period.

TABLE 31 LATIN AMERICA SDN ORCHESTRATION SERVICES MARKET SIZE, BY TYPE,


2015-2022 (USD MILLION)

Type 2015 2016 2017 2022 CAGR (2017-2022)

Integration & Implementation 1.1 2.0 3.0 69.6 87.6%

Training & Consulting 0.4 0.8 1.1 17.8 75.5%

Others 0.6 1.1 1.7 35.8 84.3%

Total 2.1 3.9 5.7 123.2 84.6%

Note: Others include support & maintenance and data center services.
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on type, the integration & implementation subsegment of the Latin America SDN orchestration
services market is estimated to be USD 3.0 million in 2017 and is projected to reach USD 69.6 million by
2022, at a CAGR of 87.6% from 2017 to 2022. The training & consulting subsegment is expected to grow
from USD 1.1 million in 2017 to USD 17.8 million by 2022, at a CAGR of 75.5% during the forecast period.

TABLE 32 LATIN AMERICA SDN ORCHESTRATION MARKET SIZE, BY ORGANIZATION SIZE,


2015-2022 (USD MILLION)

Organization Size 2015 2016 2017 2022 CAGR (2017-2022)

Large Enterprises 2.8 5.1 7.4 154.9 83.6%

Small & Medium-sized Enterprises 1.1 2.0 3.0 71.8 88.4%

Total 3.9 7.2 10.5 226.7 85.0%

Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on organization size, the large enterprises segment of the Latin America SDN orchestration market
is estimated to be USD 7.4 million in 2017 and is projected to reach USD 154.9 million by 2022, at a
CAGR of 83.6% from 2017 to 2022. The small & medium-sized enterprises segment of this market is
expected to grow from USD 3.0 million in 2017 to USD 71.8 million by 2022, at a CAGR of 88.4% during
the forecast period.

60
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

TABLE 33 LATIN AMERICA SDN ORCHESTRATION MARKET SIZE, BY END USER,


2015-2022 (USD MILLION)

End User 2015 2016 2017 2022 CAGR (2017-2022)

Telecom Service Providers 2.4 4.4 6.6 158.9 89.0%

Cloud Service Providers 1.2 2.1 2.9 53.8 78.8%

Others 0.4 0.7 0.9 14.0 72.3%

Total 3.9 7.2 10.5 226.7 85.0%

Note: Others include BFSI, healthcare, manufacturing, government, and IT Enabled Services (ITES).
Source: Secondary Research, Expert Interviews, and MarketsandMarkets Analysis

Based on end user, the telecom service providers segment of the Latin America SDN orchestration market
is estimated to be USD 6.6 million in 2017 and is projected to reach USD 158.9 million by 2022, at the
highest CAGR of 89.0% during the forecast period.

61
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

10 COMPETITIVE LANDSCAPE
10.1 OVERVIEW
The competitive landscape delineates the market share analysis of the key players in the SDN
orchestration market. It also explains the key growth strategies implemented by the top market players
during the period 2014–2017 to expand their market shares and increase their solution offerings in the
SDN orchestration market.

FIGURE 23 KEY DEVELOPMENTS BY LEADING PLAYERS IN THE SDN ORCHESTRATION


MARKET, 2015–2017
ORGANIC GROWTH STRATEGIES INORGANIC GROWTH STRATEGIES
COMPANY
NAME New Product Launches Expansions MERGERS & ACQUISITIONS
PARTNERSHIPS/AGREEMENTS/
CONTRACTS/COLLABORATIONS

In March 2017, Cisco Systems In August 2017, Cisco In November 2017, Cisco
introduced the Layered Systems acquired Viptela Inc., Systems entered into a
Services Architecture (LSA), a privately held software- partnership with BT Group to
which is an innovation to the defined wide area network integrate its Network Services
Cisco Network Services (SD-WAN) company based in Orchestrator (NSO) software
CISCO SYSTEMS Orchestrator (NSO). Cisco NSO San Jose. This acquisition will platform for network
with LSA will enable service help Cisco Systems expand its automation into BT's
providers the capability to SD-WAN portfolio. networking offerings.
manage more than one
million devices in their
networks.

In February 2017, Nokia In October 2017, Nuage


acquired Comptel Corporation, Networks, a Nokia venture
a telecommunication software focused on software-defined
company, to adopt the networking (SDN) solutions,
software strategy of Comptel entered into a partnership
and provide service providers with China Pacific Insurance
NOKIA a comprehensive solution to Company (CPIC). This
design, deliver, orchestrate, partnership allows CPIC to use
and assure communications Nuage Networks’ Virtualized
and digital services across the Service Platform (VSP) in two
physical, virtual, and hybrid of its data centers.
networks.

In March 2017 Ciena In January 2016, Ciena In June 2017, Ciena


launched the Liquid Spectrum, acquired TeraXion Inc. to add entered into a partnership
which helps to provide TeraXion’s high-speed indium with Bouygues, an integrator
phosphide and silicon of multivendor networking
CIENA advanced software
applications, such as photonics technologies into solutions, to improve the
CORPORATION Ciena’s WaveLogic coherent efficiency, scalability, and
performance meter,
bandwidth optimizer, liquid optical chipsets. reliability of 4G and 5G
restoration, and wave-line networks using software-
synchronizer. defined solutions.

In August 2017, Juniper In December 2016, Juniper In September 2017,


Networks launched a new Networks acquired AppFormix, Juniper Networks partnered
solution named Juniper an innovator in cloud with Telefonica, a service
Contrail Security, a security operations management. provider with more than 329
and micro-segmentation million customers worldwide.
JUNIPER solution specifically designed Telefonica selected Juniper
NETWORKS to allow enterprises and Networks’ MX Series 3D
Software-as-a-Service (SaaS) Universal Edge Router
cloud providers to protect portfolio to consolidate its
applications running in residential and business
multiple cloud environments. services onto a single end-to-
end IP infrastructure.

In November 2016, Huawei In January 2015, Huawei In July 2015, Huawei acquired In February 2016, Huawei
launched OPEN-O Sun, an announced the launch of its Amartus, a Dublin-based collaborated with Linux
open source SDN and NFV Network Functions software developer and Foundation to launch an
orchestrator. This launch Virtualization (NFV) Open Lab leading provider of SDN OPEN-Orchestrator (OPEN-O)
helped the company enhance in Xi’an (China). This lab is service solutions. This project. This collaborative
its customer base. dedicated to developing multi- acquisition helped Huawei project focuses on integrating
HUAWEI vendor integration verification enhance its competitiveness network functions
capabilities and accelerating in SDN solutions and services. virtualization (NFV) and SDN
development of the open eco- technologies through
system for NFV infrastructure, orchestration software.
platforms, and services.

Note - indicates an event that will have a significant impact on the market.
Source: Press Releases, Expert Interviews, and MarketsandMarkets Analysis

62
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

10.2 COMPETITIVE SITUATIONS AND TRENDS


The SDN orchestration market is highly competitive, with a large number of global and local market
players. This segment studies the growth strategies adopted by market players between 2014 and 2017.
Players in this market have adopted various strategies to expand their global presence and increase their
market shares. New product launches, expansions, acquisitions, partnerships, and collaborations are
some of the major strategies adopted by market players to achieve growth in the SDN orchestration
market.

FIGURE 24 MARKET EVALUATION FRAMEWORK

Number of New Product


Launches
3 5 9

Number of Partnerships, Agreements,


Contracts, & Collaborations
4 14 11

Number of Acquisitions 3 2 2

250.0
Market Size (USD Million)

200.0

150.0

100.0

50.0

0.0
2015 2016 2017

Source: Press Releases, Investor Presentations, Expert Interviews, and MarketsandMarkets Analysis

Key market players, such as Cisco Systems (US), Nokia (Finland), Ciena Corporation (US), Juniper Networks
(US), Huawei (China), Hewlett Packard Enterprise (US), Netcracker (US), CENX (US), Virtela (US),
QualiSystems (US), Anuta Networks (US), and Zymr (US) have majorly adopted partnerships, agreements,
contracts, and collaborations to expand their client base and enter new markets. These strategies
accounted for the largest share of the total developmental strategies in the SDN orchestration market.

63
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

10.2.1 NEW PRODUCT LAUNCHES/ENHANCEMENTS


Companies adopted the strategy of new product launches to improve their product portfolios and meet the
demand for security. Juniper Networks (US), Hewlett Packard Enterprise (US), Ciena Corporation (US),
Anuta Networks (US), QualiSystems (US), Huawei (China), Cisco Systems (US), Netcracker (US), CENX (US),
Virtela (US), and Zymr (US) are some of the leading companies who have adopted this strategy.

TABLE 34 NEW PRODUCT LAUNCHES/ENHANCEMENTS, 2014–2017

Date Company Name Development

Juniper Networks launched a new solution named Juniper


Contrail Security, a security and micro-segmentation solution
August 2017 Juniper Networks (US) specifically designed to allow enterprises and Software-as-a-
Service (SaaS) cloud providers to protect applications running
in multiple cloud environments.
Netcracker introduced the 2-Speed OSS/Orchestration, to
May 2017 Netcracker (US)
support the SDN and NFV deployment.
Virtela’s SDN expertise and product capabilities have helped
Nippon Telegraph and Telephone (NTT) Corporation to launch
May 2017 Virtela (US) the SD-WAN platform. The platform includes Virtela monitoring
services that enable industry users to visualize network
performance and end-user experience.
CENX launched the Cortx service orchestration suite for
software-defined networks, which brings service agility to
May 2017 CENX (US) networks migrating to Software-Defined Networking (SDN) and
Network Functions Virtualization (NFV) while improving
operations.
QualiSystems launched the latest version of CloudShell, named
April 2017 QualiSystems (US) CloudShell 8.0, with the support of Microsoft Azure and
OpenStack based cloud platforms.
Cisco Systems introduced the Layered Services Architecture
(LSA), which is an innovation to the Cisco Network Services
March 2017 Cisco Systems (US) Orchestrator (NSO). Cisco NSO with LSA will enable service
providers the capability to manage more than one million
devices in their networks.
Ciena launched the Liquid Spectrum, which helps to provide
advanced software applications, such as performance meter,
March 2017 Ciena Corporation (US)
bandwidth optimizer, liquid restoration, and wave-line
synchronizer.
Ciena launched the Blue Planet Manage, Control and Plan
(MCP), a new software that provides increased service agility
February 2017 Ciena Corporation (US) and unified lifecycle operations. Blue Planet MCP provides open
and extensible architecture by unifying network, service
management, and planning.
Ciena launched the Blue Planet Analytics, which combines
January 2017 Ciena Corporation (US) orchestration with analytics to generate deep network insights
through big data.
Huawei launched OPEN-O Sun, an open source SDN and NFV
November 2016 Huawei (China) orchestrator. This launch helped the company enhance its
customer base.

64
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

QualiSystems launched the latest version of CloudShell, named


October 2016 QualiSystems (US) CloudShell 7.1, which introduces application deployment for
hybrid clouds with support for Amazon Web Services (AWS).
Huawei introduced the Agile Controller 3.0, a commercial
software-defined networking (SDN) controller based on open
September 2016 Huawei (China)
source components. This launch helped the company enhance
its portfolio of SDN technology.
Ciena enhanced it’s the Blue Planet network and service
orchestration platform with a Blue Planet DevOps Toolkit which
May 2016 Ciena Corporation (US)
consists of a set of software development tools and community
resources that allow operators to integrate network resources.
Hewlett Packard Enterprise enhanced two of its products,
namely, HPE Network Visualizer 1.1.18 and HPE Network
Hewlett Packard Optimizer 1.4.6. The enhanced HPE Network Optimizer 1.4.6
March 2016
Enterprise (US) offers enhanced Policy-based traffic selection and API that
enable the creation of tap sessions dynamically for
troubleshooting.
Juniper enhanced its NFV portfolio with Cloud CPE. This solution
provides Contrail Service Orchestration, which is a
November 2015 Juniper Networks (US)
comprehensive management and orchestration platform that
delivers and manages virtualized network services.
Ciena’s Blue Planet provides a new set of innovative building
October 2015 Ciena Corporation (US) blocks that bring SDN, NFV, and service orchestration into a
unified, open platform.
Anuta Networks enhanced its NCX platform with the release of
January 2015 Anuta Networks (US) NCX 4.0 with significant enhancements for OpenStack support,
NFV support, and YANG modeling support.
Ciena Corporation launched an end-to-end WAN-LAN data
networking solution based on Software-Defined principles, in
partnership with Avaya Inc., which is a networking solution
November 2014 Ciena Corporation (US)
provider company. The solution enables the increased control
of network operation for enterprises along with increased
control while delivering the on-demand services.

Source: Press Releases

65
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

10.2.2 EXPANSIONS
Companies adopted the expansion strategy to enhance their operations internationally and domestically,
and to ensure their products reach different organizations, globally. Companies such as Anuta Networks
(US) and Huawei (China) have adopted this strategy in the SDN orchestration market.

TABLE 35 EXPANSIONS, 2015–2017

Date Company Name Development

Anuta Networks, by signing new contracts in Singapore, has


November 2017 Anuta Networks (US) expanded its presence in the Asian market to increase the
demand for Network Orchestration.
Huawei announced the launch of its Network Functions
Virtualization (NFV) Open Lab in Xi’an (China). This lab is
dedicated to developing multi-vendor integration verification
January 2015 Huawei (China) capabilities and accelerating development of the open eco-
system for NFV infrastructure, platforms, and services. This
expansion helped the company continue its innovation in NFV
and SDN technologies.

10.2.3 MERGERS & ACQUISITIONS


The strategy of mergers & acquisitions was used by leading market players to expand their customer base
and enhance their technological capabilities. Key market players, such as Cisco Systems (US), Ciena
Corporation (US), Nokia (Finland), Juniper Networks (US), and Huawei Investment & Holding Co. (China)
adopted this strategy.

TABLE 36 MERGERS & ACQUISITIONS, 2015–2017

Date Approach Company 1 Company 2 Description

Cisco Systems acquired Viptela Inc., a


privately held software-defined wide area
Cisco Viptela Inc.
August 2017 Acquisition network (SD-WAN) company based in San
Systems (US) (US)
Jose. This acquisition will help Cisco Systems
expand its SD-WAN portfolio.

Nokia acquired Comptel Corporation, a


telecommunication software company, to
adopt the software strategy of Comptel and
Comptel
Nokia provide service providers a comprehensive
February 2017 Acquisition Corporation
(Finland) solution to design, deliver, orchestrate, and
(Finland)
assure communications and digital services
across the physical, virtual, and hybrid
networks.

Juniper AppFormix Juniper Networks acquired AppFormix, an


December 2016 Acquisition
Networks (US) (US) innovator in cloud operations management.

Ciena acquired TeraXion Inc. to add


Ciena
TeraXion Inc. TeraXion’s high-speed indium phosphide and
January 2016 Acquisition Corporation
(Canada) silicon photonics technologies into Ciena’s
(US)
WaveLogic coherent optical chipsets.

66
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Ciena Corporation acquired Cyan, Inc., a


Ciena leading provider of software-defined
Cyan, Inc.
August 2015 Acquisition Corporation networking (SDN), network functions
(US)
(US) virtualization (NFV), and metro packet optical
solutions.
Huawei acquired Amartus, a Dublin-based
Huawei
software developer and leading provider of
Investment & Amartus
July 2015 Acquisition SDN service solutions. This acquisition helped
Holding Co. (Ireland)
(China) Huawei enhance its competitiveness in SDN
solutions and services.
HPE acquired ConteXtream, a company that
makes software-defined networking (SDN)
Hewlett and network-function virtualization (NFV)
Packard ConteXtream software. ConteXtream's technology is based
May 2015 Acquisition
Enterprise (US) on the open source project OpenDaylight
(US) which enables existing server hardware to
virtualize functions and services for
subscribers.

Source: Press Releases

10.2.4 AGREEMENTS, PARTNERS HIPS, CONTRACTS, COLLABORATIONS


Agreements, partnerships, contracts, and collaborations together accounted for the largest share of all the
growth strategies implemented by the players in the SDN orchestration market. Major companies that have
incorporated these strategies include Cisco Systems (US), Nokia (Finland), Ciena Corporation (US), Juniper
Networks (US), Huawei (China), Hewlett Packard Enterprise (US), CENX (US), QualiSystems (US), Anuta
Networks (US), and Zymr (US).

TABLE 37 AGREEMENTS, PARTNERSHIPS, CONTRACTS, COLLABORATIONS, 2014–2017

Date Approach Company 1 Company 2 Description

Cisco Systems entered into a partnership


with BT Group to integrate its Network
November Cisco
Partnership BT Group (UK) Services Orchestrator (NSO) software
2017 Systems (US)
platform for network automation into BT's
networking offerings.
Nuage Networks, a Nokia venture focused
on software-defined networking (SDN)
China Pacific
solutions, entered into a partnership with
Nokia Insurance
October 2017 Partnership China Pacific Insurance Company (CPIC).
(Finland) Company
(China) This partnership allows CPIC to use Nuage
Networks’ Virtualized Service Platform (VSP)
in two of its data centers.
Juniper Networks partnered with Liberty
Global, an international TV and broadband
company, to deploy its vMX carrier-grade
Juniper virtual routers in Liberty Global to make the
September Liberty Global
Partnership Networks company’s broadband, telephony, and
2017 (UK)
(US) television services efficient. This Network
Function Virtualization (NFV) approach will
enable Liberty Global to achieve high-
performance and cost-effective scale in

67
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

support of voice, video, and data services


for its residential and business customers.
Juniper Networks partnered with Telefonica,
a service provider with more than 329
million customers worldwide. Telefonica
Juniper
September Telefonica selected Juniper Networks’ MX Series 3D
Partnership Networks
2017 (Spain) Universal Edge Router portfolio to
(US)
consolidate its residential and business
services onto a single end-to-end IP
infrastructure.
Anuta Networks partnered with Tata
Anuta Tata
September Communications to automate Tata
Partnership Networks Communications
2017 Communications’ IZO SDWAN offering
(US) (India)
across 130 countries with NCX orchestrator.
Anuta Networks partnered with F5 Networks
Anuta
F5 Networks to deploy its NCX orchestration platform with
August 2017 Partnership Networks
(US) F5 Networks’ Silverline to automate network
(US)
services.
Anuta Networks partnered with Technica
Corporation, a leading provider of system
engineering services, products, and
Anuta
Technica innovative solutions, to offer federal
June 2017 Partnership Networks
Corporation (US) government agencies system integration
(US)
and engineering expertise for the design
and deployment of network orchestration
solutions.
Ciena entered into a partnership with
Bouygues, an integrator of multivendor
Ciena
Bouygues networking solutions, to improve the
June 2017 Partnership Corporation
(France) efficiency, scalability, and reliability of 4G
(US)
and 5G networks using software-defined
solutions.
Ciena entered into a partnership with Ideal
Ciena Ideal Integrations, an IT consulting company, to
June 2017 Partnership Corporation Integrations deploy packet networking solutions which
(US) (Pennsylvania) enable easy access to internet connectivity
and cloud environments.

Juniper Networks partnered with Coloclue, a


non-profit association of network
Juniper
specialists, for the deployment of its vMX
May 2017 Partnership Networks Coloclue (US)
(US) Virtual Router on the NFX250 Network
Services Platform to build a next-generation
production network.

CENX entered into a partnership with


Verizon to implement an orchestrated real-
time analysis engine that aggregates IP and
February 2017 Partnership CENX (US) Verizon (US)
optical network data. This partnership will
provide service assurance for NFV
deployments.

68
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Ciena partnered with Packet Design to


accelerate the delivery of multi-layer SDN
Ciena management and orchestration capabilities.
November Packet Design
Partnership Corporation This partnership will integrate Packet
2016 (US)
(US) Design’s IP/MPLS analytics and WAN-SDN
management and orchestration (MANO)
platform with Ciena’s Blue Planet Software.
Zymr, in collaboration with Rasa Networks,
developed a Wi-Fi analytics solution that
helps network administrators detect and
November Rasa Networks resolve performance issues before end-
Collaboration Zymr (US)
2016 (US) users even notice. Zymr’s contribution to the
collaboration led to the development of a
cloud-based multi-tenant wireless network
management and orchestration system.
Ciena partnered with Dark Fibre Africa
(DFA), a provider of open-access fiber
Ciena Dark Fibre Africa
November infrastructure, to deploy its Blue Planet
Partnership Corporation (DFA) (South
2016 orchestration software for the delivery of
(US) Africa)
Ethernet services across DFA’s existing
multi-vendor networks.
Hewlett Packard Enterprise partnered with
Hewlett Arista Networks, a software-defined
September Packard Arista Networks networking (SDN) specialist, to provide
Partnership
2016 Enterprise (US) customers with breed networking solutions
(US) that are superior to legacy networking
solutions.
Hewlett Packard Enterprise partnered with
Hewlett
Samsung Samsung Electronics to provide an
September Packard
Partnership Electronics integrated network functions virtualization
2016 Enterprise
(South Korea) (NFV) infrastructure and virtual network
(US)
functions (VNF) solutions.
Broadband
Networks (US), Ciena’s Blue Orbit has added six new
Ciena Calix, Inc. (US), partners to its Blue Orbit ecosystem. The six
August 2016 Partnership Corporation Centina Systems partners are Broadband Networks, Calix,
(US) (US), Dell (US), Inc., Centina Systems, Dell, Qwilt, and Silver
Qwilt (US), and Peak.
Silver Peak (US)

Hewlett Hewlett Packard Enterprise partnered with


Packard Pica8 Inc. by adding the PicOS network
July 2016 Partnership Pica8 Inc. (US)
Enterprise operating system (NOS) to its networking
(US) SDN ecosystem.

Cisco’s NSO (Network Services Orchestrator)


has been selected as a primary partner by
Cisco Telefonica Telefonica Business Solutions, a leading
July 2016 Partnership
Systems (US) (Spain) provider of integrated communication
solutions, to improve the automation, agility,
and reliability of Telefonica’s network.

69
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

CENX, the global leader in orchestrated


service assurance and management
solutions for physical and virtualized
Brocade (US),
networks, collaborated with Brocade, Red
May 2016 Collaboration CENX (US) Red Hat (US),
and RIFT.io (US) Hat, and RIFT.io to showcase end-to-end
service management capabilities over
hybrid network infrastructure in its SDNFV
innovation lab.
Hewlett Packard Enterprise partnered with
NEC Corporation to integrate HPE and
Aruba, a Hewlett Packard Enterprise
company, with NEC’s Software-Defined
Networking (SDN) solutions. This
Hewlett
partnership is to help accelerate the
Packard NEC Corporation
April 2016 Partnership integration of NEC SDN Controllers and SDN
Enterprise (Japan)
(US) Switches with Aruba and HPE switches,
routers, wireless access points, controllers,
network management, and network access
control (NAC) products to deliver to
customers advanced voice and video
communications solutions

Anuta Networks partnered with Logicalis


Hewlett Packard and Hewlett Packard Enterprise on a proof-
Anuta
Enterprise (US), of-concept (PoC), to provide end-to-end
March 2016 Partnership Networks
and Logicalis network orchestration solution to
(US)
(US) telecommunication customers in the Asia
Pacific region.

Anuta Networks
Hewlett Hewlett Packard Enterprise partnered with
(US), Logicalis
Packard Anuta Networks and Logicalis to offer end-
March 2016 Partnership (US), and
Enterprise to-end network orchestration solution to
Hewlett Packard
(US) customers in the Asia Pacific region.
Enterprise (US)

Huawei collaborated with Linux Foundation


to launch an OPEN-Orchestrator (OPEN-O)
project. This collaborative project focuses
on integrating network functions
Huawei Linux virtualization (NFV) and SDN technologies
February 2016 Collaboration
(China) Foundation (US) through orchestration software. This
partnership helped Huawei to offer an
innovative SDN and NFV unified
orchestrator to the networking industry and
enhance its customer base.

Juniper Networks partnered with NEC


Juniper Corporation to deliver Network Functions
NEC Corporation
February 2016 Partnership Networks Virtualization (NFV) based solutions that
(Japan)
(US) allow service providers and enterprises to
gain greater service agility.

70
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Ciena entered into a partnership with Gulf


Ciena Gulf Bridge Bridge International (GBI), an integrated
September
Partnership Corporation International network service provider company. GBI
2015
(US) (GBI) (US) deploys the converged packet optical
networking solutions.
Anuta Networks collaborated with Telstra,
Australia’s largest telecommunications
Anuta
Telstra provider. This collaboration is to provide
August 2015 Collaboration Networks
(Australia) support for Telstra Cloud network
(US)
automation with the help of Anuta NCX
solution.
Abacus
Technical
Services (US),
Geode Networks Anuta Networks partnered with Abacus
Anuta (UK), Kiratech Technical Services, Geode Networks,
June 2015 Partnership Networks Srl (Italy), Kiratech Srl, Silicom Ltd., and Xantaro
(US) Silicom Ltd. Holding, GmbH to deploy these companies’
(Israel) and solutions with Anuta NCX.
Xantaro Holding,
GmbH
(Germany)

QualiSystems partnered with QualiTest to


QualiSystems QualiTest
February 2015 Partnership combine its technology with QualiTest’s
(US) (Switzerland)
services, to provide SDN/NFV networks.
QualiSystems partnered with Empowered
Empowered Networks, a leading Canadian systems
QualiSystems
October 2014 Partnership Networks integrator focused on networks, labs, and
(US)
(Toronto) data centers, to broaden the availability of
SDN and NFV networks.

Source: Press Releases

10.3 MARKET RANKING, BY KEY PLAYER


TABLE 38 MARKET RANKING FOR SDN ORCHESTRATION MARKET, 2017

Company Ranking

Cisco Systems (US) 1

Nokia (Finland) 2

Ciena Corporation (US) 3

Juniper Networks (US) 4

Huawei (China) 5

Note: The ranking has been estimated based on the respective company’s breadth and depth of product offerings; product features
and functionality; focus on product enhancement; impact on customer value, service quality & reliability; geographic footprint/
presence in emerging markets; channel strategy and fit; effectiveness of organic growth strategy; and mergers & acquisitions
strategy. The secondary research, along with in-depth primary interviews conducted with key industry leaders, has contributed to this
analysis.
Source: Annual Reports, Press Releases, Investor Presentations, Primary Interviews, and MarketsandMarkets Analysis

71
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11 COMPANY PROFILES

11.1 JUNIPER NETWORKS

11.1.1 BUSINESS OVERVIEW


Founded in 1996 and headquartered in California, US, Juniper Networks designs, develops, and sells
products and services for high-performance networks. The company enables its customers to build reliable,
secure, and cost-effective networks for businesses through automation. The company’s operating business
segments include routing, switching, and security.

Juniper Networks provides products that help address high-performance network requirements for global
service providers, cloud providers, national governments, research & public sector organizations, and other
enterprises. The company also offers customer services, which include technical support, professional
services, and education & training programs.

The company focuses on customers and partners across their market verticals, namely, telecom, cable
providers, cloud providers, national governments, financial services, and strategic enterprises. The
company provides its products to more than 100 countries in three geographic regions, namely, the
Americas, EMEA (Europe, Middle East & Africa), and Asia Pacific.

FIGURE 25 JUNIPER NETWORKS: COMPANY SNAPSHOT

COMPANY AT A GLANCE - 2016 RECENT FINANCIALS


6.00 1.02
1.01
Annual Revenue (USD Billion)

1.02
Founded : 1996 5.00

R & D (USD Billion)


1.01 1.01
Headquarters : California, US 4.00
1.01
Employees : 9,832 3.00 1.00
0.99
Revenue : USD 4.99 Billion 1.00
2.00
R&D Expenditure : USD 1.01 Billion 0.99
1.00
Ownership : Public (NYSE: JNPR) 0.99
4.63 4.86 4.99
0.00 0.98
2014 2015 2016

GEOGRAPHIC REVENUE MIX BUSINESS REVENUE MIX

9.0%
15.7%

Americas Routing
24.3%
EMEA Switching
24.8%
59.5%
66.7% Security
Asia Pacific

Source: Company Website and Annual Reports

72
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.1.2 PRODUCTS OFFERED


Juniper Networks offers an orchestration platform that delivers virtualized, managed SD-WAN, VPN, and
security network services. The company’s orchestration platform allows service providers as well as small,
midsize, and large enterprises to centralize and distribute virtual network services in a hybrid deployment
model.

Platforms offered by the company in the SDN orchestration market are listed below:

Category Platform

Platform Contrail Service Orchestration

Source: Company Website and Press Releases

11.1.3 RECENT DEVELOPMENTS


New Product Launches

Date Approach Description

Juniper Networks launched a new solution named Juniper


Contrail Security, a security and micro-segmentation solution
August 2017 New Solution Launch specifically designed to allow enterprises and Software-as-a-
Service (SaaS) cloud providers to protect applications running
in multiple cloud environments.
Juniper enhanced its NFV portfolio with Cloud CPE. This
solution provides Contrail Service Orchestration, which is a
November 2015 Product Enhancement
comprehensive management and orchestration platform that
delivers and manages virtualized network services.

Source: Press Releases

Partnerships/Acquisitions

Date Approach Company Description

Juniper Networks partnered with Liberty Global,


an international TV and broadband company, to
deploy its vMX carrier-grade virtual routers in
Liberty Global to make the company’s
Juniper Networks broadband, telephony, and television services
September 2017 Partnership (US) and Liberty efficient. This Network Function Virtualization
Global (UK) (NFV) approach will enable Liberty Global to
achieve high-performance and cost-effective
scale in support of voice, video, and data
services for its residential and business
customers.

Juniper Networks partnered with Telefonica, a


service provider with more than 329 million
Juniper Networks customers worldwide. Telefonica selected
September 2017 Partnership (US) and Telefonica Juniper Networks’ MX Series 3D Universal Edge
(Spain) Router portfolio to consolidate its residential and
business services onto a single end-to-end IP
infrastructure.

73
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Juniper Networks partnered with Coloclue, a


Juniper Networks non-profit association of network specialists, for
May 2017 Partnership (US) and Coloclue the deployment of its vMX Virtual Router on the
(US) NFX250 Network Services Platform to build a
next-generation production network.
Juniper Networks
Juniper Networks acquired AppFormix, an
December 2016 Acquisition (US) and AppFormix
(US) innovator in cloud operations management.

Juniper Networks partnered with NEC


Juniper Networks Corporation to deliver Network Functions
February 2016 Partnership (US) and NEC Virtualization (NFV) based solutions that allow
Corporation (Japan) service providers and enterprises to gain greater
service agility.

Source: Press Releases

11.1.4 SWOT ANALYSIS


FIGURE 26 JUNIPER NETWORKS: SWOT ANALYSIS

STRENGTHS WEAKNESSES
 Good industrial partnerships with service  Limited geographic presence, as the company is
providers and vendors more focused on the US

JUNIPER NETWORKS

 Significant opportunities from the shift toward  Intense competition from both the public and
cloud and network automation across verticals private companies in the SDN orchestration
market

OPPORTUNITIES THREATS

Sources: Sources: Company Website and MarketsandMarkets Analysis

74
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.1.5 MNM VIEW


Juniper Networks focuses on both, organic and inorganic growth strategies to propel its growth in the SDN
Orchestration market. For instance, in August 2017, the company launched a new solution named Juniper
Contrail Security, which is a security and micro-segmentation solution specifically designed to allow
enterprises and Software-as-a-Service (SaaS) cloud providers to protect applications running in multiple
cloud environments. In November 2015, the company enhanced its NFV portfolio with Cloud CPE. This
solution provides Contrail Service Orchestration, which is a comprehensive management and orchestration
platform that delivers and manages virtualized network services.

In September 2017, Juniper Networks partnered with Liberty Global (UK) to deploy Juniper Networks vMX
carrier-grade virtual routers in Liberty Global to make the company’s broadband, telephony, and television
services efficient. This Network Function Virtualization (NFV) approach will enable Liberty Global to achieve
high-performance and cost-effective scale in support of voice, video, and data services for its residential
and business customers. In February 2016, Juniper Networks partnered with NEC Corporation (Japan) to
deliver Network Functions Virtualization (NFV) based solutions that allow service providers and enterprises
to gain greater service agility.

75
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.2 HEWLETT PACKARD ENTERPRISE

11.2.1 BUSINESS OVERVIEW


Hewlett Packard Enterprise (HPE) was founded in 1993 as part of the split of the Hewlett-Packard
Company into two companies: HPE and HP Inc. HPE offers cutting-edge technology solutions that help
clients enhance their traditional IT. HP Inc. includes strong innovation pipeline of products across areas
such as multi-function printing, Ink in the Office, graphics, notebooks, mobile & desktop workstations, and
tablets & phablets.

HPE provides technology solutions to customers in complex multi-country, multi-vendor, and multi-language
environments. The company’s operating business segments include enterprise group, software, financial
services, and corporate investments. The company offers its services to individual consumers, SMBs, and
large enterprises. It caters to various industrial verticals, such as transportation, BFSI, communications,
education, retail, healthcare, hospitality, media, public sector, and energy. HPE has a strong global
presence across regions such as North America, South America, Africa, APAC, Europe, and MEA.

FIGURE 27 HEWLETT PACKARD ENTERPRISE: COMPANY SNAPSHOT

COMPANY AT A GLANCE - 2016 RECENT FINANCIALS


60.00 2.40
2.34
Annual Revenue (USD Billion)

Founded : 1993 50.00 2.35


2.30

R & D (USD Billion)


Headquarters : California, US 40.00 2.30
Employees : 195,000 30.00 2.25
2.20
Revenue : USD 50.12 Billion
20.00 2.20
R&D : USD 2.30 Billion
10.00 2.15
Ownership : Public (NYSE:HPE) 55.12 52.11 50.12
0.00 2.10
2014 2015 2016

GEOGRAPHIC REVENUE MIX BUSINESS REVENUE MIX


6.08% 0.01%
6.09%
Enterprise Group
39.10% US
Enterprise Services
50.80% 51.87%
UK
Software
35.96%
Other Countries Financial Services
10.10%
Corporate Investments

Source: Company Website and Annual Reports

76
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.2.2 PRODUCTS OFFERED


Hewlett Packard Enterprise provides a wide range of Software Defined Networking (SDN) applications for
optimization, visibility, and cloud orchestration that help protect networks, instantly troubleshoot issues,
and maintain centralized control.

Products/solutions offered by the company in the SDN orchestration market are listed below:

Category Product/Solution

 HPE SDN Applications


 HPE Network Optimizer
 HPE Network Protector
 HPE Network Visualizer
Product/Solution
 Cloud Orchestration
 HPE Virtual Cloud Networking
 HPE-VMware Solution
 HPE Distributed Cloud Networking

Source: Company Website and Press Releases

11.2.3 RECENT DEVELOPMENTS


New Product Launches

Date Approach Description

Hewlett Packard Enterprise enhanced two of its products, namely,


HPE Network Visualizer 1.1.18 and HPE Network Optimizer 1.4.6.
March 2016 Product Enhancement The enhanced HPE Network Optimizer 1.4.6 offers enhanced Policy-
based traffic selection and API that enable the creation tap sessions
dynamically for troubleshooting.

Source: Press Releases

Partnerships/Collaborations/Acquisitions

Date Approach Company Description

Hewlett Packard Enterprise partnered with


Hewlett Packard Enterprise Arista Networks, a software-defined networking
September
Partnership (US) and Arista Networks (SDN) specialist, to provide customers with
2016
(US) breed networking solutions that are superior to
legacy networking solutions.
Hewlett Packard Enterprise partnered with
Hewlett Packard Enterprise Samsung Electronics to provide an integrated
September
Partnership (US) and Samsung network functions virtualization (NFV)
2016
Electronics (South Korea) infrastructure and virtual network functions
(VNF) solutions.
Hewlett Packard Enterprise partnered with
Hewlett Packard Enterprise Pica8 Inc. by adding the PicOS network
July 2016 Partnership
(US) and Pica8 Inc. (US) operating system (NOS) to its networking SDN
ecosystem.
Hewlett Packard Enterprise Hewlett Packard Enterprise partnered with NEC
April 2016 Partnership (US) and NEC Corporation Corporation to integrate HPE and Aruba, a
(Japan) Hewlett Packard Enterprise company, with

77
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

NEC’s Software-Defined Networking (SDN)


solutions. This partnership is to help accelerate
the integration of NEC SDN Controllers and
SDN Switches with Aruba and HPE switches,
routers, wireless access points, controllers,
network management, and network access
control (NAC) products to deliver to customers
advanced voice and video communications
solutions.
Hewlett Packard Enterprise Hewlett Packard Enterprise partnered with
(US), Anuta Networks (US), Anuta Networks and Logicalis to offer end-to-
March 2016 Partnership
and end network orchestration solution to
Logicalis (US) customers in the Asia Pacific region.
HPE acquired ConteXtream, a company that
makes software-defined networking (SDN) and
network-function virtualization (NFV) software.
Hewlett Packard Enterprise
May 2015 Acquisition ConteXtream's technology is based on the
(US) and ConteXtream (US)
open source project OpenDaylight which
enables existing server hardware to virtualize
functions and services for subscribers.

Source: Press Releases

11.2.4 SWOT ANALYSIS


FIGURE 28 HEWLETT PACKARD ENTERPRISE: SWOT ANALYSIS

STRENGTHS WEAKNESSES
 Broad and deep end-to-end solutions portfolio  HPE legacy hardware businesses face
 Delivers innovative technological solutions to challenges as customers migrate to cloud-based
customers offerings and reduce their purchases of
hardware products.

HEWLETT PACKARD ENTERPRISE

 Transforming to a hybrid infrastructure  HPE faces legal or business disputes with


 Wide geographic diversity allows HPE to meet licensors that may threaten or lead to the
demand of customers, draw on business and disruption of inbound licensing relationships
technical expertise from a worldwide workforce,
provide stability to operations, provide revenue
streams, and access to new markets for
maturing products

OPPORTUNITIES THREATS

Sources: Sources: Company Website and MarketsandMarkets Analysis

78
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.2.5 MNM VIEW


Hewlett Packard Enterprise provides a wide range of products that help distinguish it from its competitors.
The company provides broad and deep end-to-end solutions portfolio, multiyear innovation roadmap, and
global distribution and partner ecosystem, and develops innovative financing solutions to facilitate the
delivery of its products and services to customers.

The company is majorly focused on inorganic growth strategies to propel its growth in the SDN
orchestration market. For instance, in September 2016, Hewlett Packard Enterprise partnered with Arista
Networks (US), a software-defined networking (SDN) specialist, to provide HPE customers with the breed
networking solutions that are superior to legacy networking solutions. In September 2016, it partnered
with Samsung Electronics to provide an integrated network functions virtualization (NFV) infrastructure and
virtual network functions (VNF) solutions. In March 2016, the company enhanced two of its products,
namely, HPE Network Visualizer 1.1.18 and HPE Network Optimizer 1.4.6. The enhanced HPE Network
Optimizer 1.4.6 offers enhanced Policy-based traffic selection and API that enable the creation of tap
sessions dynamically for troubleshooting.

79
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.3 CIENA CORPORATION

11.3.1 BUSINESS OVERVIEW


Founded in 1992 and headquartered in Maryland, US, Ciena Corporation is one of the prominent
companies operating in the SDN orchestration market. It is one of the leading global providers of SDN and
NFV solutions and networking technology. The company builds technologies that provide virtualization,
automation, and integration of the network. On August 3, 2015, Ciena acquired Cyan, Inc., a leading
provider of software-defined networking (SDN), network functions virtualization (NFV), and packet-optical
solutions. The company’s Blue Planet software platform offers multi-vendor network and service
orchestration as well as next-generation network management software solutions designed to automate,
orchestrate, and manage the lifecycle of virtualized services across data centers and the wide area
network (WAN).

Ciena Corporation specializes in packet networking & carrier Ethernet solutions, optical transport, software
& services, data center interconnect, SDN, NFV, submarine networking, and cloud networking. The
company has a presence in the US, Canada, the Caribbean, Latin America, Europe, the Middle East &
Africa, and Asia Pacific. Employee count at end of Ciena fiscal year 2016 is 5,555.

FIGURE 29 CIENA CORPORATION: COMPANY SNAPSHOT

COMPANY AT A GLANCE - 2016 RECENT FINANCIALS


3.00 0.45 0.46
Annual Revenue (USD Billion)

Founded : 1992 2.50 0.44

R & D (USD Billion)


Headquarters : Maryland, US 2.00 0.41
0.42
Employees : 5,555 1.50 0.40
Revenue : USD 2.60 Billion 0.40
1.00
R&D : USD 0.45 Billion 0.38
0.50
Ownership : Public (NYSE: CIEN) 2.29 2.45 2.60
0.00 0.36
2014 2015 2016

GEOGRAPHIC REVENUE MIX BUSINESS REVENUE MIX


4.8%
7.5%
North America Networking Platforms
12.4%
15.6%
EMEA
Global Services
15.1%
APAC
65.0% Software and Software-
79.6% Related Services
CALA

Source: Company Website and Annual Reports

80
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.3.2 PRODUCTS OFFERED


Ciena Corporation offers the Blue Planet platform, which provides a powerful combination of orchestration,
management, and analytics capabilities for end-to-end intelligent automation and operational agility. Blue
Planet’s industry-leading SDN/NFV orchestration capabilities help automate and virtualize network
services across physical and virtual domains to reduce operational costs by abstracting network
complexity. Blue Planet drives competitive advantage through previously unachievable levels of service
programmability.

Products offered by the company in the SDN orchestration market are listed below:

Category Product/Solution

 Multi-Domain Service Orchestration


 Blue Planet Manage, Control and Plan (MCP)
 NFV Orchestration
Product/Solution
 Blue Planet Analytics
 Blue Planet DevOps Toolkit
 Blue Planet ONOS (Open Network Operating System)

Source: Company Website and Press Releases

11.3.3 RECENT DEVELOPMENTS


New Product Launches

Date Approach Description

Ciena launched the Liquid Spectrum that helps to provide advanced


New Product
March 2017 software applications, such as performance meter, bandwidth optimizer,
Launch
liquid restoration, and wave-line synchronizer.
Ciena launched the Blue Planet Manage, Control and Plan (MCP), a new
New Product software that provides increased service agility and unified lifecycle
February 2017
Launch operations. Blue Planet MCP provides open and extensible architecture
by unifying network and service management and planning.
New Product Ciena launched the Blue Planet Analytics, which combines orchestration
January 2017
Launch with analytics to generate deep network insights through big data.

Ciena enhanced its Blue Planet network and service orchestration


Product platform with a Blue Planet DevOps Toolkit which consists of a set of
May 2016
Enhancement software development tools and community resources that allow
operators to integrate network resources.
Product Ciena’s Blue Planet provides a new set of innovative building blocks that
October 2015
Enhancement bring SDN, NFV, and service orchestration into a unified, open platform.

Ciena Corporation launched an end-to-end WAN-LAN data networking


solution based on Software-Defined principles, in partnership with Avaya
New Solution
November 2014 Inc., which is a networking solution provider company. The solution
Launch
enables the increased control of network operation for enterprises along
with increased control while delivering the on-demand services.

Source: Press Releases

81
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Partnerships/Acquisitions/Collaborations

Date Approach Company Description

Ciena entered into a partnership with Ideal


Ciena Corporation (US) Integrations, an IT consulting company, to deploy
June 2017 Partnership and Ideal Integrations packet networking solutions which enable easy
(US) access to internet connectivity and cloud
environments.
Ciena partnered with Packet Design to accelerate the
delivery of multi-layer SDN management and
November Ciena Corporation (US) orchestration capabilities. This partnership will
Partnership
2016 and Packet Design (US) integrate Packet Design’s IP/MPLS analytics and
WAN-SDN management and orchestration (MANO)
platform with Ciena’s Blue Planet Software.
Ciena partnered with Dark Fibre Africa (DFA), a
Ciena Corporation (US) provider of open-access fiber infrastructure, to deploy
November
Partnership and Dark Fibre Africa its Blue Planet orchestration software for the delivery
2016
(DFA) (South Africa) of Ethernet services across DFA’s existing multi-
vendor networks.
Ciena acquired TeraXion Inc. to add TeraXion’s high-
Ciena Corporation (US)
speed indium phosphide and silicon photonics
January 2016 Acquisition and TeraXion Inc.
(Canada) technologies into Ciena’s WaveLogic coherent optical
chipsets.
Ciena Corporation (US)
and Broadband
Ciena’s Blue Orbit has added six new partners to its
Networks (US), Calix,
February Blue Orbit ecosystem. The six partners are
Partnership Inc. (US), Centina
2016 Broadband Networks, Calix, Inc., Centina Systems,
Systems (US), Dell
(US), Qwilt (US), and Dell, Qwilt, and Silver Peak.
Silver Peak (US)

Ciena entered into a partnership with Gulf Bridge


Ciena Corporation (US)
September International (GBI), an integrated network service
Partnership and Gulf Bridge
2015 provider company. GBI deploys the converged packet
International (GBI) (US)
optical networking solutions.
Ciena Corporation acquired Cyan, Inc., a leading
Ciena Corporation (US) provider of software-defined networking (SDN),
August 2015 Acquisition
and Cyan, Inc. (US) network functions virtualization (NFV), and metro
packet optical solutions.

Source: Press Releases

82
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.3.4 SWOT ANALYSIS


FIGURE 30 CIENA CORPORATION: SWOT ANALYSIS

STRENGTHS WEAKNESSES
 Ciena’s Blue Orbit ecosystem streamlines and  Ciena exposure to the credit risks of their
integrates with more than 100 partners with customers and resellers may provide difficulty in
whom Blue Planet customers need to collecting receivables that could adversely affect
interoperate. company’s revenue and operating results
 As of December 1, 2016, Ciena had 1,588
issued US patents to protect its proprietary
technologies and product branding

CIENA CORPORATION

 In 2016, company spend USD 451.8 million on  Competitors such as Cisco, Fujitsu, Huawei,
research and development for reviewing existing Juniper Networks, Nokia and ZTE have
solution offering and prospective development of substantially greater financial, operational, and
new components, features or products, to marketing resources, and significantly broader
determine companies fit with current portfolio product offerings. They may be perceived to be a
and broader corporate strategy better fit for the procurement or network
strategies of large service providers

OPPORTUNITIES THREATS

Sources: Sources: Company Website and MarketsandMarkets Analysis

11.3.5 MNM VIEW


Ciena Corporation designs and develops hardware as well as software required for the smooth functioning
of SDN. It has invested USD 451.8 million in R&D in 2016 as an effort to improve its product offerings. The
company has a huge supply chain network that helps to promote and sell its products and solutions to
diversified customers across different geographic regions. Ciena Corporation initiates and maintains
proprietary rights to products and technologies using patents, copyrights, trademarks, and trade secret
laws.

The company focuses on both organic and inorganic strategies to enhance its growth in the SDN
orchestration market. For instance, in October 2015, Ciena’s Blue Planet was enhanced to provide a new
set of innovative building blocks that bring SDN, NFV, and service orchestration into a unified, open
platform. In June 2017, Ciena entered into a partnership with Ideal Integrations (Pennsylvania) to deploy
packet networking solutions which enable easy access to internet connectivity and cloud environments.

83
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.4 NOKIA

11.4.1 BUSINESS OVERVIEW


Established in 1865 and headquartered in Espoo, Finland, Nokia is a leading networking solutions provider
for telecom and other businesses. It is a leader in data networking and telecommunication equipment. The
company’s business segments include Nokia Networks, Nokia Technologies, and Group Common and
Other. Nokia Networks manages its business through eight centers located in Finland, Germany, the US,
Hungary, Poland, India, China, and Portugal. As of 2016, Nokia had a total employee strength of 102,687.

FIGURE 31 NOKIA: COMPANY SNAPSHOT

COMPANY AT A GLANCE - 2016 RECENT FINANCIALS


30.00 20.8% 22.0%

Annual Revenue (USD Billion)


Founded : 1865 25.00 20.0%

R & D (USD Billion)


Headquarters : Espoo, Finland 20.00 16.6% 18.0%
16.2%
Employees : 102,687 15.00 16.0%
Revenue : USD 26.13 billion 10.00 14.0%
R&D : USD 5.43 billion
5.00 12.0%
Ownership : Public (NYSE: NOK) 15.64 13.87 26.13
0.00 10.0%
2014 2015 2016

GEOGRAPHIC REVENUE MIX BUSINESS REVENUE MIX

4%
6% North America 5%
8%
30% Europe Nokia Networks
11% Asia Pacific
Nokia Technologies
Greater China
18% Group Common and Other
Middle East & Africa
27% 91%
Latin America

Source: Company Website and Annual Reports

11.4.2 PRODUCTS OFFERED


Nokia’s SDN portfolio involves technologies that make better clouds a reality.

Category Platform

 Network Services Platform


SDN Solutions  Nuage Networks Virtualized Services Platform
 Nuage Networks Virtualized Network Services

Source: Company Website and Press Releases

84
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.4.3 RECENT DEVELOPMENTS


Partnerships/Acquisitions

Date Approach Company Description

Nuage Networks, a Nokia venture focused on


Nokia (Finland) and software-defined networking (SDN) solutions,
China Pacific entered into a partnership with China Pacific
October 2017 Partnership
Insurance Company Insurance Company (CPIC). This partnership allows
(CPIC) (China) CPIC to use Nuage Networks Virtualized Service
Platform (VSP) in two of its data centers.
Nokia acquired Comptel Corporation, a
telecommunication software company, to adopt
Nokia (Finland) and the software strategy of Comptel and provide
February 2017 Acquisition Comptel Corporation service providers a comprehensive solution to
(Finland) design, deliver, orchestrate, and assure
communications and digital services across
physical, virtual, and hybrid networks.

Source: Press Releases

11.4.4 SWOT ANALYSIS


FIGURE 32 NOKIA: SWOT ANALYSIS

STRENGTHS WEAKNESSES
 Strong financial support for R&D 5.43 billion.  The company has encountered increased
 Strong customer base and large distribution burdens imposed by laws, regulators or industry
network with wide geographical presence. standards on business /adverse regulatory
/industry developments /litigation that affects
the company.

NOKIA

 Expanded network sales in verticals such as,  The company operates in a highly competitive
energy, transportation, public sector, technical environment where its competitors vary by
extra-large enterprises and webscale players industry segment and range from large
such as Google and Amazon. multinationals to SMEs.
 Rise in strategic priority to lead in high-
performance end-to-end networks with
communication service provider customers.

OPPORTUNITIES THREATS

Sources: Sources: Company Website and MarketsandMarkets Analysis

85
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.4.5 MNM VIEW


Nokia focuses on inorganic growth strategies to propel its growth in the SDN orchestration market. For
instance, in October 2017, Nuage Networks, a Nokia venture focused on software-defined networking
(SDN) solutions, entered into a partnership with China Pacific Insurance Company (CPIC), in which CPIC will
use the Nuage Networks Virtualized Service Platform (VSP) in two of its data centers. In February 2017,
Nokia acquired Comptel Corporation (Finland) to provide service providers a comprehensive solution to
design, deliver, orchestrate, and assure communications and digital services across physical, virtual, and
hybrid networks.

86
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.5 ANUTA NETWORKS

11.5.1 BUSINESS OVERVIEW


Founded in 2010 and headquartered in California,
US, Anuta Networks is a leading provider of multi- COMPANY AT A GLANCE - 2016
vendor network orchestration for branch, campus,
Founded : 2010
data center, and service provider-managed
enterprise networks. Anuta Networks orchestration Headquarters : California, US
platform (NCX) enables customers to automate and Ownership : Private
accelerate network services. Anuta NCX offers a
complete Lifecycle Service Orchestration of physical,
virtual, and hybrid networks allowing customers to
Note: This is a privately held company; hence, no financial
leverage their investments in existing network information is available in the public domain.
infrastructure and transitioning them seamlessly to Source: Company Website
the Software-Defined Networking (SDN) / Network
Functions Virtualization (NFV) environments. Anuta Networks provides deep expertise in enterprise, data
center, virtualization, network, and systems management.

11.5.2 PRODUCTS OFFERED


Anuta Networks offers a Network Service Orchestration (NCX) platform that helps network operators to
configure and automate multiple network elements. The NCX platform offers several solutions under the
SDN orchestration market as listed below:

Category Product/Solution

 Cisco IWAN Orchestration


 Application Delivery Automation
Product/Solution  Branch Network Automation
 Managed Service Provider Solutions
 IP/MPLS Network Automation

Source: Company Website and Press Releases

11.5.3 RECENT DEVELOPMENTS


New Product Launches

Date Approach Description

Anuta Networks enhanced its NCX platform with the release


January 2015 Product Enhancement of NCX 4.0 with significant enhancements for OpenStack
support, NFV support, and YANG modeling support.

Source: Press Releases

87
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Partnerships/Expansions/Collaborations/Acquisitions

Date Approach Company Description

Anuta Networks, by signing new contracts in Singapore,


November
Expansion Anuta Networks (US) has expanded its presence in the Asian market to increase
2017
the demand for Network Orchestration.
Anuta Networks (US)
Anuta Networks partnered with Tata Communications to
September and Tata
Partnership automate Tata Communications’ IZO SDWAN offering
2017 Communications
(India) across 130 countries with NCX orchestrator.

Anuta Networks partnered with F5 Networks to deploy NCX


August Anuta Networks (US)
Partnership orchestration platform with F5 Networks’ Silverline to
2017 and F5 Networks (US)
automate network services.
Anuta Networks partnered with Technica Corporation, a
leading provider of system engineering services, products,
Anuta Networks (US)
and innovative solutions, to offer federal government
June 2017 Partnership and Technica
Corporation (US) agencies system integration and engineering expertise for
the design and deployment of network orchestration
solutions.
Anuta Networks (US), Anuta Networks partnered with Logicalis and Hewlett
March Logicalis (US), and Packard Enterprise on a proof-of-concept (PoC), to provide
Partnership
2016 Hewlett Packard end-to-end network orchestration solution to
Enterprise (US) telecommunication customers in the Asia Pacific region.
Anuta Networks collaborated with Telstra, Australia’s
August Anuta Networks (US) largest telecommunications provider. This collaboration is
Collaboration
2015 and Telstra (Australia) to provide support for Telstra Cloud network automation
with the help of Anuta NCX solution.
Anuta Networks (US),
Abacus Technical
Services (US), Geode Anuta Networks partnered with Abacus Technical Services,
Networks (UK), Geode Networks, Kiratech Srl, Silicom Ltd., and Xantaro
June 2015 Partnership
Kiratech Srl (Italy), Holding, GmbH to deploy these company’s solutions with
Silicom Ltd. (Israel) Anuta NCX.
and Xantaro Holding,
GmbH (Germany)

Source: Press Releases

11.5.4 MNM VIEW


Anuta’s Network Orchestration Platform helps to design, automate, and orchestrate complex network
services for physical and virtual network devices. The company is majorly focused on inorganic growth
strategies to propel its growth in the SDN orchestration market. In November 2017, Anuta Networks
expanded its presence in the Asian market to increase the demand for Network Orchestration by signing
new contracts in Singapore. In August 2017, Anuta Networks partnered with F5 Networks to deploy NCX
orchestration platform with F5 Networks’ Silverline to automate network services. In June 2017, the
company partnered with Technica Corporation, a leading provider of system engineering services,
products, and innovative solutions, to offer federal government agencies system integration and
engineering expertise for the design and deployment of network orchestration solutions.

88
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.6 QUALISYSTEMS

11.6.1 BUSINESS OVERVIEW


Founded in 2007 and headquartered in California, US,
COMPANY AT A GLANCE - 2016
QualiSystems is the leading provider of enterprise sandbox
software for cloud and DevOps automation. Formerly known Founded : 2007
as Nibea Quality Management Solutions, the company Headquarters : California, US
changed its name to QualiSystems Ltd. in March 2007. With Ownership : Private
the help of its CloudShell platform and blueprint-based
approach, QualiSystems gives developers, testers, and
architects access to on-demand, self-service replicas of Note: This is a privately held company; hence, no financial
information is available in the public domain.
complex production environments that work on private,
Source: Company Website
public, and hybrid cloud deployments with innovative cloud
sandboxes.

QualiSystems caters to service providers, mobile operators, global enterprises, governments, military
agencies, and technology equipment manufacturers. The company has offices in Israel, North America, and
the UK, and sales and support channels in Europe and Asia Pacific.

11.6.2 PRODUCTS OFFERED


QualiSystems’ CloudShell platform helps to speed the adoption of NFV and SDN network technologies by
transforming network test labs into self-service clouds. CloudShell offers Networking companies a
standardized approach based on TOSCA to orchestrate infrastructure and foster rapid adoption of new
technologies, such as SDN, NFV, and SD-WAN.

Category Platform

Platform CloudShell platform

Source: Company Website and Press Releases

11.6.3 RECENT DEVELOPMENTS


New Product Launches

Date Approach Description

QualiSystems launched the latest version of CloudShell, named


April 2017 Product Enhancement CloudShell 8.0, with the support of Microsoft Azure and
OpenStack based cloud platforms.
QualiSystems launched the latest version of CloudShell, named
October 2016 Product Enhancement CloudShell 7.1, which introduces application deployment for
hybrid clouds with support for Amazon Web Services (AWS).

Source: Press Releases

89
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Partnerships/Expansions/Collaborations/Acquisitions

Date Approach Company Description

QualiSystems (US) and QualiSystems partnered with QualiTest to


February 2015 Partnership QualiTest combine its technology with QualiTest’s
(Switzerland) services, to provide SDN/NFV networks.
QualiSystems partnered with Empowered
QualiSystems (US) and Networks, a leading Canadian systems
October 2014 Partnership Empowered Networks integrator focused on networks, labs, and data
(Toronto) centers, to broaden the availability of SDN and
NFV networks.

Source: Press Releases

11.6.4 MNM VIEW


QualiSystems offers orchestration and automation solutions that help deliver agility, productivity, and cost
savings to data centers, converged infrastructure, software-defined networks, and test labs. The company
is focused on both organic and inorganic growth strategies to enhance its growth in the SDN orchestration
market. For instance, in April 2017, QualiSystems launched the latest version of CloudShell, named
CloudShell 8.0, with the support of Microsoft Azure and OpenStack based cloud platforms. Earlier, in
October 2016, it had launched CloudShell 7.1, an updated version of CloudShell, which introduced
application deployment for hybrid clouds with the support for Amazon Web Services (AWS). The company,
in February 2015, partnered with QualiTest to combine its technology with QualiTest’s services, to provide
SDN/NFV networks.

90
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.7 HUAWEI

11.7.1 BUSINESS OVERVIEW


Founded in 1987 and headquartered in Guangdong, China, Huawei Investment & Holding Co., Ltd. is a
global leader in information and communications technology (ICT) solutions, enterprise solutions,
consumer devices, and carrier network. The company provides a wide range of security solutions, such as
firewall and application security gateway, DDoS protection systems, anti-APT based on big data analysis,
BYOD security, cloud data center security solutions, and software-defined campus network solutions. In
security orchestration, it offers SDN orchestration and management system. Additionally, the company
offers business consulting, network integration, assurance, managed, learning, and global delivery
services. Huawei Technologies Co., Ltd. (also known as Huawei Tech), a wholly owned subsidiary of the
company, offers SDN Controller solution in the market.

Huawei operates through 4 major business segments, namely, carrier business, consumer business,
enterprise business, and others. Huawei’s clients include large as well as small-scale businesses and
enterprises and independent software clients from various verticals, including government, finance,
electric power, education, transportation, healthcare, logistics, energy, commerce & SMB, and broadcast &
television. The company has a global presence in more than 170 countries of various regions, such as the
Americas, EMEA, and APAC.

FIGURE 33 HUAWEI: COMPANY SNAPSHOT

COMPANY AT A GLANCE - 2016 RECENT FINANCIALS

80.00 14.2% 15.1% 14.6% 16.0%


Annual Revenue (USD Billion)

Founded : 1987
Headquarters : Guangdong, China 60.00 12.0%

R & D (USD Billion)


Employees : 81,144
40.00 8.0%
Revenue : USD 75.10 Billion
R&D : USD 11.00 Billion 20.00 4.0%
Ownership : Private 46.52 60.84 75.10
0.00 0.0%
2014 2015 2016

GEOGRAPHIC REVENUE MIX BUSINESS REVENUE MIX


3.3% 2.0%

8.5% 7.8%
China Carrier Business
EMEA
12.9% 45.3% Consumer Business
Asia Pacific
34.5% Enterprise Business
55.7%
Americas
30.0% Others
Others

Source: Company Website and Annual Reports

91
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.7.2 PRODUCTS OFFERED


Products/services offered by the company in the SDN orchestration market are listed below:

Category Product/Service

 Huawei’s SDN/NFV Orchestration and Management System


 OPEN-O Sun Platform
Product/Service  Huawei's ICT cross-domain service orchestration
 Huawei’s agile SDN Controller
 Huawei’s Services

Source: Company Website and Press Releases

11.7.3 RECENT DEVELOPMENTS


New Product Launches

Date Approach Description

Huawei launched OPEN-O Sun, an open source SDN and


November 2016 New Product Launch NFV orchestrator. This launch helped the company enhance
its customer base.
Huawei introduced the Agile Controller 3.0, a commercial
software-defined networking (SDN) controller based on
September 2016 New Product Launch
open source components. This launch helped the company
enhance its portfolio of SDN technology.

Source: Press Releases

Collaborations/Acquisitions/Expansions

Date Approach Company Description

Huawei collaborated with Linux Foundation to


launch an OPEN-Orchestrator (OPEN-O) project. This
Huawei Investment & collaborative project focuses on integrating network
February Holding Co. (China) functions virtualization (NFV) and SDN technologies
Collaboration
2016 and Linux through orchestration software. This partnership
Foundation (US) helped Huawei to offer an innovative SDN and NFV
unified orchestrator to the networking industry and
enhance its customer base.
Huawei Investment & Huawei acquired Amartus, a Dublin-based software
Holding Co. (China) developer and leading provider of SDN service
July 2015 Acquisition
and Amartus solutions. This acquisition helped Huawei enhance
(Ireland) its competitiveness in SDN solutions and services.
Huawei announced the launch of its Network
Functions Virtualization (NFV) Open Lab in Xi’an
(China). This lab is dedicated to developing multi-
Huawei Investment & vendor integration verification capabilities and
January 2015 Expansion
Holding Co. (China) accelerating development of the open eco-system
for NFV infrastructure, platforms, and services. This
expansion helped the company continue its
innovation in NFV and SDN technologies.

Source: Press Releases

92
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.7.4 SWOT ANALYSIS


FIGURE 34 HUAWEI: SWOT ANALYSIS

STRENGTHS WEAKNESSES
 Strong R&D investments, with 14.6% of its  Heavy revenue dependence on the Chinese
overall revenue in R&D in 2016 market, which contributed almost 45.3% of
 Significant geographic presence in almost 170 revenue in 2016
countries around the globe

HUAWEI

 Growing adoption of SDN in the North American  Emergence of new competitors in the SDN
region orchestration market

OPPORTUNITIES THREATS

Sources: Company Website and MarketsandMarkets Analysis

11.7.5 MNM VIEW


Huawei is a multinational organization offering networking & telecommunications equipment, enterprise
solutions, and professional & managed services. The company is strategically focused on strengthening its
capabilities in the form of new product development and enhancement of existing products by increasing
its R&D expenses. In 2016, Huawei invested USD 11.00 billion on R&D to focus on high-growth and high-
value opportunities. The investment was aimed at product innovation, identifying future market needs, and
designing various services & solutions.

The strategy of new product launched has helped the company expand its portfolio as well as generate
more revenue. In November 2016, Huawei launched the OPEN-O Sun, which is an open source SDN and
NFV orchestrator. In October 2013, it launched NetMatrix, an SDN/NFV Orchestration and Management
System platform, to help organizations orchestrate and manage networks, and reduce the risks of cyber-
attacks.

The company is also focused on expanding its business operations significantly by acquiring key industry
players in the SDN orchestration market. In July 2015, it acquired Amartus to enhance its competitiveness
in SDN solutions and services. Huawei concentrates on building a strong partnership network with various
industry leaders. In February 2016, it collaborated with Linux Foundation to launch the OPEN-Orchestrator
(OPEN-O) project. This collaborative project is focused on integrating network functions virtualization (NFV)
and SDN technologies through orchestration software.

93
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.8 CISCO SYSTEMS

11.8.1 BUSINESS OVERVIEW


Cisco Systems was founded in 1984 and is headquartered in California, US. The company has over 72,900
employees in over 400 offices worldwide who design, produce, and sell a broad range of technologies. The
company offers various products, solutions, and services. Products and technologies offered by the
company are grouped into categories such as Switching, Next-Generation Network (NGN) Routing,
Collaboration, Data Center, Wireless, Security, Service Provider Video, and Other Products. The company
also provides a broad range of services, which include technical, advisory, implementation, training, and
managed services. The various verticals the company caters to include financial services, healthcare,
transportation, education, retail, telecommunications, energy, public sector, and others. The company has
its presence in the Americas, EMEA (Europe, Middle East, and Africa), and APJC (Asia Pacific, Japan, and
China).

FIGURE 35 CISCO SYSTEMS: COMPANY SNAPSHOT

COMPANY AT A GLANCE - 2017 RECENT FINANCIALS

Annual Revenue (USD Billion) 60.00 6.21 6.30 6.06 7.00


Founded : 1984 50.00 6.00

R & D (USD Billion)


Headquarters : California, US 5.00
40.00
Employees : 72,900 4.00
30.00
Revenue : USD 48.01 Billion 3.00
20.00
2.00
R&D : USD 6.06 Billion
10.00 1.00
Ownership : Public (NASDAQ: CSCO) 49.16 49.25 48.01
0.00 0.00
2015 2016 2017

GEOGRAPHIC REVENUE MIX BUSINESS REVENUE MIX

15.9%
Americas 25.6%
Product
25.0%
EMEA
Service
59.1%
APJC 74.4%

Note: Year Ended July 2017, 2016 & 2015


Source: Company Website and Annual Reports

94
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.8.2 PRODUCTS OFFERED


Cisco’s Network Services Orchestrator (NSO) solution enabled by Tail-f works across all domain networks
as well as automates the services across the traditional and virtualized networks. It is one of the leading
orchestration platform deployed in several service provider networks.

Solutions offered by the company in the SDN orchestration market are listed below

Category Solution

Solution Network Services Orchestrator (NSO)

Source: Company Website and Press Releases

11.8.3 RECENT DEVELOPMENTS


Product Enhancement

Date Approach Description

Cisco Systems introduced the Layered Services


Architecture (LSA), which is an innovation to the Cisco
March 2017 Product Enhancement Network Services Orchestrator (NSO). Cisco NSO with LSA
will enable service providers the capability to manage
more than one million devices in their networks.

Partnerships/Acquisitions

Date Approach Company Description

Cisco Systems entered into a partnership with BT


Cisco Systems (US) Group to integrate its Network Services
November 2017 Partnership
and BT Group (UK) Orchestrator (NSO) software platform for network
automation into BT's networking offerings.
Cisco systems acquired Viptela Inc., a privately
held software-defined wide area network (SD-
August 2017 Acquisition Cisco Systems (US) WAN) company based in San Jose. This
acquisition will help Cisco Systems expand its SD-
WAN portfolio.
Cisco’s NSO (Network Services Orchestrator) has
been selected as a primary partner by Telefonica
Cisco Systems (US)
Business Solutions, a leading provider of
July 2016 Partnership and Telefonica
(Spain) integrated communication solutions, to improve
the automation, agility, and reliability of
Telefonica’s network.

Source: Press Releases

95
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

FIGURE 36 CISCO SYSTEMS: SWOT ANALYSIS

STRENGTHS WEAKNESSES
 Strong brand image and customer base  Decline in revenue due to many acquisitions and
 Diversified product portfolio mergers

 Strong R&D investment


 Multinational operation with over 400 offices

CISCO SYSTEMS

 Partnership with other vendors will help the  Intense competition from other major players in
company explore new opportunities and grow in the SDN orchestration market, such as HPE and
the SDN orchestration market Juniper Network
 Rising foreign exchange fluctuations

OPPORTUNITIES THREATS

11.8.4 MNM VIEW


Cisco Systems is one of the leading providers of SDN orchestration solutions. The company provides
managed, advisory, and implementation services, and delivers integrated solutions to develop and connect
networks around the world using the Internet as a medium. The company has strategized its growth by
focusing on the expansion of its client base. The company’s diversified product portfolio caters to various
verticals. The company focuses on advanced and emerging technologies, such as Cloud Computing,
Software Defined Networking (SDN), and the Internet of Things (IoT), to maintain its position in the market.

Cisco Systems has adopted organic and inorganic strategies to grow in the SDN orchestration market.
Organic growth strategies have helped the company in updating and developing its products according to
the needs of its customers. In March 2017, Cisco Systems introduced the Layered Services Architecture
(LSA), which is an innovation to the Cisco Network Services Orchestrator (NSO). Cisco NSO with LSA
enables service providers the capability to manage more than one million devices in their networks. In July
2016, Cisco’s NSO (Network Services Orchestrator) has been selected as a primary partner by Telefonica
Business Solutions, a leading provider of a wide range of integrated communication solutions, to improve
the automation, agility, and reliability of Telefonica’s network.

96
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.9 NETCRACKER

11.9.1 BUSINESS OVERVIEW


Netcracker, a subsidiary of NEC Corporation, was
founded in 1993 and is headquartered in COMPANY AT A GLANCE - 2016
Massachusetts, US. It is a global software company with Founded : 1993
a diversified portfolio of products, solutions, and
Headquarters : Massachusetts, US
services. The company’s customers include individual
consumers, small- and medium-sized organizations, and Ownership : Private

large global enterprises. Netcracker has its presence


across regions, such as North America, Europe, Asia
Pacific, and the Middle East & Africa. Note: This is a privately held company; hence, no financial
information is available in the public domain.
Source: Company Website
11.9.2 PRODUCTS OFFERED
Products offered by the company in the SDN orchestration market are listed below.

Category Product

Product Service Orchestration

Source: Company Website and Press Releases

11.9.3 RECENT DEVELOPMENTS


New Product Launches

Date Approach Description

Netcracker introduced the 2-Speed OSS/Orchestration, to


May 2017 New Product Launch
support the SDN and NFV deployment.

Source: Press Releases

97
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

FIGURE 37 NETCRACKER: SWOT ANALYSIS

STRENGTHS WEAKNESSES
 Financially stable  Less focus on inorganic growth strategies, such
 Strong brand image across the globe as partnership and collaboration specific to the
SDN orchestration market.

NETCRACKER

 Growing demand for Netcracker service  Rising pressure from mid market players
orchestration  Rising foreign exchange fluctuations

OPPORTUNITIES THREATS

11.9.4 MNM VIEW


Netcracker focuses on new product launches and partnerships to enhance its growth in the SDN
orchestration market. In May 2017, Netcracker introduced the 2-Speed OSS/Orchestration to support the
SDN and NFV deployment. In October 2017, the company extended its partnership with Vodafone
(Germany), the largest telecommunication service provider in Germany. Earlier, in August 2017, Netcracker
partnered with Red Hat, Juniper, and Dell EMC to offer Multivendor 5G-ready Virtualization Platform in
Malaysia. The above strategies have helped the company expand its product portfolio as well as build its
client base across the globe.

98
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.10 CENX

11.10.1 BUSINESS OVERVIEW


Founded in 2009 and headquartered in New Jersey US,
CENX is a leading provider of network and service COMPANY AT A GLANCE - 2016
operations software solutions. The company offers the
Founded : 2009
CENX 7 platform, which provides data & visualization,
Headquarters : New Jersey, US
real-time operation, closed-loop automation, and
interoperability; and professional services. It provides Ownership : Private
applications such as multi-domain assurance, mobile,
wireline, cloud, NFV assurance, Internet of Things, and
SD-WAN assurance. CENX has its presence in the US, the Note: This is a privately held company; hence, no financial
information is available in the public domain.
UK, and Canada. In 2014, the company launched the
Source: Company Website
Cortx Service Orchestration solutions for software-
defined networking.

11.10.2 PRODUCTS OFFERED


Solutions offered by the company in the SDN orchestration market are listed below.

Category Solution

Solution Cortx Service Orchestration suite

Source: Company Website and Press Releases

11.10.3 RECENT DEVELOPMENTS


New Product Launches

Date Approach Description

CENX launched the Cortx service orchestration suite for software-


defined networks, which brings service agility to networks migrating
May 2017 New Product Launch
to Software-Defined Networking (SDN) and Network Functions
Virtualization (NFV) while improving operations.

Source: Press Releases

Partnerships/Collaborations

Date Approach Company Description

CENX entered into a partnership with Verizon to


implement an orchestrated real-time analysis
CENX (US) and Verizon
February 2017 Partnership engine that aggregates IP and optical network data.
(US)
This partnership will provide service assurance for
NFV deployments.
CENX, the global leader in orchestrated service
assurance and management solutions for physical
CENX (US), Brocade
and virtualized networks, collaborated with
May 2016 Collaboration (US), Red Hat (US),
and RIFT.io (US) Brocade, Red Hat, and RIFT.io to showcase end-to-
end service management capabilities over hybrid
network infrastructure in its SDNFV innovation lab.

Source: Press Releases

99
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.10.4 MNM VIEW


CENX provides a wide range of products that help the company enhance its growth in the new SDN and
NFV domain. In 2014, CENX launched the Cortx Service Orchestrator for software-defined networks. CENX's
Cortx Service Orchestrator provides the needed abstraction layer for streamlined services management
across network domains and technologies. It interoperates with a broad industry ecosystem, including
leading probe and test vendors; OSS, NMS, SDN Controllers; NFV Orchestrators; and network elements, to
initiate actions and mine network big data in real-time.

In February 2017, CENX partnered with Verizon to boosts Verizon’s NFV service assurance with end-to-end
visibility. CENX will provide tools that deliver a unified view of the state of physical and virtual components
across multiple network systems and data centers.

100
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.11 VIRTELA

11.11.1 BUSINESS OVERVIEW


Virtela was founded in 2000 and is headquartered in
Denver, Colorado, US. The company was acquired by NTT COMPANY AT A GLANCE - 2016
Communications in 2014.
Founded : 2000
Virtela offers virtualized overlay network platform, Headquarters : Colorado, US
enterprise services cloud (ESC) platform, software- Ownership : Private
defined networking platform, predictive network
analytics platform, network optimization platform, and
virtelaview customer portal platform. The ESC platform Note: This is a privately held company; hence, no financial
enables the transition of branch office networking and information is available in the public domain.
security services to the cloud. Virtela gives enterprises Source: Company Website
the benefit of “asset-light” software-defined networking that delivers up to 80% cost savings in upfront
capital and 30% savings in ongoing operating expenses. Virtela’s services suite includes global managed
network, security, mobility, application acceleration, and IT infrastructure services. The company has its
presence in North America and Asia Pacific.

11.11.2 PRODUCTS OFFERED


Platforms offered by the company in the SDN orchestration market are listed below.

Category Platform

Platform Enterprise Services Cloud

Source: Company Website and Press Releases

11.11.3 RECENT DEVELOPMENTS


New Product Launches

Date Approach Description

Virtela’s SDN expertise and product capabilities have helped NTT


to launch the SD-WAN platform. The platform includes Virtela
May 2017 New Product Launch
monitoring services that enable industry users to visualize
network performance and end-user experience.

Source: Press Releases

11.11.4 MNM VIEW


Enterprise Services Cloud (ESC), the company’s Cloud Software Defined Networking (SDN) orchestration
platform, dynamically activates and configures services within minutes via Network Function Virtualization
(NFV). It provides end-to-end automation for deploying virtualized services. Virtela is uniquely transforming
global enterprise network architectures. Its SDN platform enables automatic activation and configuration
of a broad suite of NFV services, which include security (such as firewall, IPS, URL filtering), VPN tunnels,
application acceleration, and SSL VPNs. In 2014, Virtela was acquired by NTT Communications, a leading
global provider of information and communications technology (ICT) solutions. More than 500 global
enterprises have already experienced the benefits of Virtela ESC’s built-in network virtualization; developed
using Virtela’s advanced software-defined network (SDN) technologies.

101
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.12 ZYMR

11.12.1 BUSINESS OVERVIEW


Zymr was founded in 2012 and is headquartered in
San Jose, California, US. The company offers cloud COMPANY AT A GLANCE - 2016
computing solutions to global technology companies.
The company offers solutions such as cloud Founded : 2012
applications, cloud mobility, cloud orchestration, cloud Headquarters : California, US
infrastructure, and cloud security. It also offers several Ownership : Private
technology accelerators, such as SantaFe and Cabos,
to increase the cost-effectiveness and reduce the
time-to-market of cloud solutions. Zymr serves
Note: This is a privately held company; hence, no financial
verticals such as CloudTech, HealthTech, FinTech, information is available in the public domain.
RetailTech, SocialTech, and ShareTech. The company Source: Company Website
has a strong presence in countries such as the US,
Finland, and India.

11.12.2 PRODUCTS OFFERED


Zymr provides a cloud orchestration solution for service provisioning, service monitoring, and service
DevOps. The company implemented a multi-tier SDN orchestration solution that delivers Network-as-a-
Service (NaaS) using cutting-edge open-source technologies.

Products offered by the company in the SDN orchestration market are listed below.

Category Solution

Solution Cloud Orchestration

Source: Company Website and Press Releases

11.12.3 RECENT DEVELOPMENTS


Partnerships/Collaborations

Date Approach Company Description

Zymr, in collaboration with Rasa Networks, developed a


Wi-Fi analytics solution that helps network
Zymr (US) and administrators detect and resolve performance issues
November
Collaboration Rasa before end-users even notice. Zymr’s contribution to the
2016
Networks (US) collaboration led to the development of a cloud-based
multi-tenant wireless network management and
orchestration system.

Source: Press Releases

102
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

11.12.4 MNM VIEW


The cloud orchestration solution offered by Zymr helped enhance its growth in the new SDN and NFV
orchestration market. Zymr implemented a multi-tier SDN Orchestration solution that delivers Network-as-
a-Service (NaaS) using open-source technologies. The company helped build a microservices architecture-
based cloud SDN controller in Python language using Celery and RabbitMQ. The company built ecosystem
connectors for 3rd party management software vendors, such as VMware, Cisco, HP, IBM, BMC Software,
and CA Technologies. Zymr successfully implemented cloud orchestration solution at Vodafone (UK),
Silicon Valley Stealth Startup (US), Code Green Networks (US), and BlueData Software (US). The company
has invested a significant amount of its resources in building ready-to-use cloud frameworks, which it calls
technology accelerators. Zymr Cabos is an accelerator which uses various SDN controllers, and addresses
the functions of these controllers, for building SDN orchestration.

103
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

12 APPENDIX

12.1 INDUSTRY EXPERTS

“Increasing demand for cloud services, data center consolidation, and server
virtualization will drive the growth of the SDN orchestration market.”
- Chief Executive Officer
A leading SDN orchestration service provider company

“In the present competitive scenario, the automation of networks plays a crucial role in
enhancing business prospects.”
- Marketing Director
A leading SDN orchestration solution provider company

“Asia Pacific is anticipated to witness significant demand for SDN orchestration solutions
in the near future.”
- Marketing Head
A leading SDN orchestration solution provider company

104
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

12.2 DISCUSSION GUIDE


Currently, we are conducting a global study on the SDN Orchestration market. The report will provide a
comprehensive forecast analysis of the overall market, segmented on the basis of component,
organization size, end user, and region. It also provides a detailed analysis of key market dynamics, such
as drivers, restraints, opportunities, and challenges, as well as key profiles of industry players.

Name

Designation:

Company Name:

Phone No.

Email ID:

Major segments of the SDN Orchestration Market are listed as follows:


 SDN Orchestration Market, By Component
 SDN Orchestration Market, By Organization Size
 SDN Orchestration Market, By End User
 SDN Orchestration Market, By Region

SECTION I: MARKET SEGMENTATION

Q. 1. What are the percentage shares and growth rates of each of the following component segments of the SDN
orchestration market?

Component Market Share (%), 2017 CAGR (2017-2022)

Solutions

Services

(Mention, if any)

Kindly suggest other segments apart from the ones mentioned above, if any.

Q. 2. What are the percentage shares and growth rates of each of the following organization size segments of the SDN
orchestration market?

Organization Size Market Share (%), 2017 CAGR (2017-2022)

Large Enterprises

Small & Medium-sized Enterprises

(Mention, if any)

Kindly suggest other segments apart from the ones mentioned above, if any.

105
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Q. 3. What are the percentage shares and growth rates of each of the following end user segments of the SDN
orchestration market?

End User Market Share (%), 2017 CAGR (2017-2022)

Cloud Service Providers

Telecom Service Providers

Others (BFSI, healthcare, manufacturing, government,


and IT enabled services)

(Mention, if any)

Kindly suggest other segments apart from the ones mentioned above, if any.

SECTION II: REGIONAL MARKETS

Q. 4. What are the percentage shares and growth rates of each of the following regional segments of the SDN
orchestration market?

Region Market Share (%), 2017 CAGR (2017-2022)

North America

Europe

Asia Pacific

Middle East & Africa

Latin America

Kindly suggest other segments apart from the ones mentioned above, if any.

SECTION III: MARKET DYNAMICS

Q. 5. According to you, what are the key factors that are expected to drive the growth of the SDN orchestration market?

__________________________________________________________________________________________

Q. 6. According to you, what are the key factors that can restrain or challenge the growth of the SDN orchestration
market?

__________________________________________________________________________________________

Q. 7. According to you, what are the growth opportunities in the SDN orchestration market?

__________________________________________________________________________________________

Q. 8. According to you, what are the technological changes/innovations that will have a significant impact on the SDN
orchestration market?

__________________________________________________________________________________________

Q. 9. What are the top trends/technologies that you think will shape the SDN orchestration market in the next 5 years?
Why?

__________________________________________________________________________________________

106
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

SECTION IV: COMPANY OUTLOOK

Q. 10. According to you, who are the key players in the SDN orchestration market in 2017?

Q. 11. What will be the key development strategies of your company in the near future?

__________________________________________________________________________________________

Q. 12. Lastly, we would like to add your statement/paragraph about the SDN orchestration market as a quote in the
report. Can we use it?

__________________________________________________________________________________________

107
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

12.3 KNOWLEDGE STORE: MARKETSANDMARKETS’ SUBSCRIPTION


PORTAL
Knowledge Store contains MarketsandMarkets’ unique market insights. As a subscriber you have access
to all of the published titles and any new ones added over the course of the subscription period. You can
subscribe to specific number of reports or domains of your interest.

Knowledge Store enables you to:


 View & download all subscribed reports from a single, online platform
 Contact our analysts to answer any questions related to our reports or request a custom
research
 Share comments on specific reports with the other users of your organization
 Suggest titles/topics to our research teams that you would like us to cover in our future reports
 Identify reports published on the high growth markets within your industry

Get started now by requesting a demo and learning more about Knowledge store –

www.mnmks.com

MarketsandMarkets Knowledge Store Snapshot

108
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

MarketsandMarkets Knowledge Store: Information & Communication Technology

109
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

12.4 INTRODUCING RT: REAL-TIME MARKET INTELLIGENCE


Revenue Tree (RT) is an interactive platform that systematically helps users enhance revenue by identifying
high potential growth markets and track the same on a real-time basis, on a competitive, customer-centric,
and ecosystem level.

The in-built intelligence of the tool auto-identifies competitors, allied markets, market value, and
customers, and helps users identify tangible hotspots of revenue growth, both in existing and new markets.
The unique feature of RT is the ecosystem, which is linked across a wide range of industries and markets.

Features and benefits of RT:


 Visual presentation of market data
 Real-time information on market trends and developments
 Information specific to a component, organization size, end user, and region
 Competitive intelligence (by tracking developments of major players)
 Forward integration in value chain to find potential clients
 Comparison of two or more markets

110
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

12.5 AVAILABLE CUSTOMIZATIONS


Along with the given market data, MarketsandMarkets offers customizations as per a company’s specific
needs. The following customization options are available for the report:

Geographic Analysis
 Further country-level breakdown of the North America SDN orchestration market
 Further country-level breakdown of the Europe SDN orchestration market
 Further country-level breakdown of the Asia Pacific SDN orchestration market
 Further country-level breakdown of the Middle East & Africa SDN orchestration market
 Further country-level breakdown of the Latin America SDN orchestration market

Company Information
 Detailed analysis and profiling of additional market players (up to 5)

12.6 RELATED REPORTS


Sr. No. Report Title Published Date

Software-Defined Networking
Software-Defined Networking and Network Function Virtualization Market, by Component
[Solution {Software (Controller and Application Software), Physical Appliances}, and
1 August 2017
Service], End User, and Region - Global Forecast to 2022
https://www.marketsandmarkets.com/Market-Reports/software-defined-networking-
sdn-market-655.html

Software-Defined Anything Market


Software-Defined Anything Market, by Technology (SDN, SDDC & SDS), Service
(Integration & Deployment, Consulting, Managed Services), Deployment Mode (Cloud &
2 November 2016
On Premise), Vertical, and Region - Global Forecast to 2022
https://www.marketsandmarkets.com/Market-Reports/software-defined-anything-
market-19947525.html

111
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

12.7 AUTHOR DETAILS

Balaji Sreedhar With an experience of over 14 years, he has been associated with ICT research for more
than 10 years now. Prior to joining Markets and Markets, he has worked with firms like
Associate Director - Frost and Sullivan, AMI-Partners, TNS Market Research and global IT major, IBM, where
Information Communication he worked for more than 5 years and his last role saw him as Market Segment Manager.
& Technology
He holds a rich experience in the technology sector working on a number of custom and
syndicated research assignments with large Multinational Organizations.

Sameer Bhatnagar The role encompasses handling syndicated and custom research projects in the ICT
domain. Having more than 14 years of experience with 10+ years in research, Sameer
Research Manager - joined MarketsandMarkets from Forrester Research where he was working as a
Information Communication Consultant, serving the Business Technology (BT) Professionals role. The role saw him
& Technology
working on varied consulting/custom-research projects and communicating directly with
clients, internal resources (i.e., sales, research), and third-party vendors to address
queries and manage expectations to create quality deliverables. Sameer has
singlehandedly driven projects that include deliverable’s in the shape of data modeling,
trend analysis, end-user requirements, competitive profiling, etc.

Contributors Satish Matade, Associate Manager


Prashant Padghan, Senior Research Analyst
Anchal Kushwaha, Senior Research Associate
Sagar Swami, Senior Research Associate
Moushmi Shukla, Research Associate

112
December 2017 © MarketsandMarkets
SDN ORCHESTRATION MARKET - GLOBAL FORECAST TO 2022

Disclaimer: MarketsandMarkets strategic analysis services are limited publications containing valuable
market information provided to a select group of customers in response to orders. Our customers
acknowledge, when ordering, that MarketsandMarkets strategic analysis services are for our customers’
internal use and not for general publication or disclosure to third parties. Quantitative market information is
based primarily on interviews and therefore, is subject to fluctuation.

MarketsandMarkets does not endorse any vendor, product or service depicted in its research publications.
MarketsandMarkets strategic analysis publications consist of the opinions of MarketsandMarkets' research
and should not be construed as statements of fact. MarketsandMarkets disclaims all warranties, expressed
or implied, with respect to this research, including any warranties of merchantability or fitness for a particular
purpose.

MarketsandMarkets takes no responsibility for any incorrect information supplied to us by manufacturers or


users.

All trademarks, copyrights and other forms of intellectual property belong to their respective owners and may
be protected by copyright. Under no circumstance may any of these be reproduced in any form without the
prior written agreement of their owner.

No part of this strategic analysis service may be given, lent, resold or disclosed to non-customers without
written permission.

Reproduction and/or transmission in any form and by any means including photocopying, mechanical,
electronic, recording or otherwise, without the permission of the publisher is prohibited.

For information regarding permission, contact:


Tel: 1-888-600-6441

113
December 2017 © MarketsandMarkets

You might also like