Publication date:

January 2022
Author:
Sameer Ashfaq Malik

Network Simplification
in the Digital Era
Through Distributed
Disaggregation

Commissioned by:

Brought to you by Informa Tech

Omdia commissioned research, sponsored by Arrcus and UfiSpace

Contents
Market catalyst and Omdia’s view 1

Distributed disaggregated network solutions smoothly take flight 2

Conclusion: An analyst view 9

Appendix
 Network Simplification in the Digital Era Through Distributed Disaggregation 01

Market catalyst and Omdia’s view

Omdia commissioned
Simplifying research,
networks in thesponsored by Plume
digital era
Communication service providers (CSPs) have not been affected by the pandemic as much as other
industries due to the urgent need for connectivity to support remote working, remote learning, and
entertainment. To meet this unprecedented demand, the telco industry had to accelerate
infrastructure improvements and as a result has outperformed expectations for 2021 with strong
growth potential for 2022 and beyond.
CSPs agree that they need to go for immediate massive network transformation and are now much
more motivated to ask for a larger menu of choices for their digital transformation journey, choosing
a simplified, end-to-end, open disaggregated, intelligent network to lead the way.

Omdia’s view: Transport network disaggregation is key to open networking

Omdia observes that CSPs need to move away from the status quo of proprietary solutions through
better network orchestration, more freedom of choice, price competitiveness, and service agilities
with smooth operational efficiencies. The emerging white-box vendor community, which was always
ignored and considered an outsider because of its neophyte technical, operational experience, and
product lifecycle management, is receiving more attention from CSPs and large enterprises as a
replacement of choice for the existing proprietary vendor solutions.

Market dynamics: Disaggregation market outlook and observations

Overall, the disaggregated transport network ecosystem is prospering and expanding with the inclusion
and active participation of emerging white-box community vendors and CSPs. However, tier-1 CSPs in
Europe, the Middle East, Africa, and North America appear to be determined to go further along the
disaggregation path and set milestones for other CSPs and internet service providers (ISPs).
The following messages have been concluded about the ongoing market dynamics and fluidity:
• Open disaggregated transport networks are strategically imperative for the upcoming 5G-based
era of industrial automation, enterprise digitalization, data centers, and internet-peering
gateway implementations
• Market traction and adoption of disaggregated transport networks have taken off well, and
more extensive deployments will be expected for converged IP edge, core, aggregation, and
access in 2022, 2023, and onwards
• Incumbent vendors do not want to sound defensive or appear to be too critical of
disaggregation, and have begun supporting the notion of “network disaggregation,” as its
perceived challenges such as service and support, interoperability between white-box and
network operating system, added management complexity, etc., have already been addressed
by the industry (OCP, EANTC, etc.)
• CSPs should highlight the importance of open transport disaggregation and have a “must
comply” attitude in their RFXs. Unfortunately, open transport networks are currently confined to
the CSPs that lead some industry alliances

© 2022 Omdia. All rights reserved. Unauthorized reproduction prohibited.

 Network Simplification in the Digital Era Through Distributed Disaggregation 02

• Disaggregation is a big trend that started a decade ago and is now getting full support on CSPs’
discussion agendas, and the next five years is a potential timeframe for deep market penetration
ofcommissioned
Omdia transport network
research,disaggregation
sponsored by Plume

Distributed disaggregated network solutions

smoothly take flight
Open and disaggregated transport network solutions are gaining wider market traction and quickly
gaining the attention of CSPs with promising results. Tier-1 CSPs are steering the whole ecosystem
and working with the emerging white-box system vendor community to implement carrier-grade,
open, and disaggregated cloud-architecture-based solutions.

Industry backdrop: What is wrong with the traditional chassis?

Efficiency, flexibility, faster innovation, and freedom of choice were always a dream for CSPs that still
remains unfulfilled. CSPs are struggling to decide whether to opt for small chassis to save on capex
but face limited growth or capital-intensive large chassis to meet their increasing networking
demands from future service applications in a 5G-enabled digital era. For CSPs, such limitations as
well as less freedom of choice, closed-door vendor innovation, and weak multi-vendor
interoperability not only bring significant cost pressures, but also tie their hands from enabling quick
network upgrades and next-generation network transformations.
The distributed, disaggregated transport networking phenomena is revitalizing the CSP dream by
addressing the associated challenges of the monolithic, proprietary black-box chassis. The traditional
monolithic chassis that had promised the integrated proprietary hardware and firmware package
from a single vendor is no longer considered a viable choice in the transformation toward a 5G-
enabled digital era due to its limitations of vendor lock-ins with controlled and closed product
innovations.

How is the “secret sauce” of distributed disaggregated chassis (DDC) changing the transport
networking landscape?
CSPs are very aware that the recent exponential surge in data demand and broad modalities of
severe latency-sensitive 5G use cases such as industrial automation require continuous technological
evolution for next-generation digital transformation. However, striving for consistent network
growth has been hindered by the proprietary, controlled hardware equipment and software facing
immense pressure in 5G open RAN, transport, and core network deployments. In addition, the
service providers’ dependency on a specific vendor’s vertical, monolithic hardware with their
proprietary networking software for traffic steering and automation demands a high cost of
expansion and constrains their network scalability journey.
In the digital era, no one technology leads, but rather it is the best breed of technologies that work
together to enable quick time to market of new services. CSPs have already formed many industry
alliances and research groups to revolutionize the whole networking ecosystem, where distributed
and disaggregated platforms foster out-of-the-box innovation and re-architect routing systems
based on the separation of hardware and software planes. They are convinced that success in the
© 2022 Omdia. All rights reserved. Unauthorized reproduction prohibited.
 Network Simplification in the Digital Era Through Distributed Disaggregation 03

digital era lies in network simplification. This is possible only by breaking traditional proprietary
monolithic chassis into distributed state-of-the-art, bare-metal white-box systems within a CLOS-
based architecture.
Omdia commissioned research, sponsored by Plume
The combined efforts of CSPs with the white-box vendor community have proved fruitful and offer
full freedom of choice, capex reductions, and less dependence on proprietary vendor solutions for
network simplification. The development of the distributed, disaggregated chassis (DDC) was the
result of such a symbiotic relationship.
Figure 1 quite clearly exhibits the difference between a traditional monolithic chassis and a modular
DDC from an architectural perspective and explains how different functional units are simplified by
the DDC. The most important thing to note from the figure is that, in a traditional vertical chassis it is
quite difficult to upgrade scale and upsize all the routing and switching components because
everything is strongly glued to one motherboard and locked within one chassis. Any component
upgrade or upsizing from a functionality or capacity perspective leads to a change of other
connected units on the motherboard and resources, including fans and power supplies. This leads to
poor scalability and high upgrading costs for CSPs at a time when they are looking for network
simplification and agile transformation.
Figure 1: Distributed disaggregated chassis vs. traditional chassis

Distributed Disaggregated Chassis vs Traditional Chassis

Traditional Distributed Disaggregated
Chassis Chassis (DDC) DDC solving problems faced by customer at
the edge and core networks:
• Pay as you grow model
• Scalability and flexibility
• Fostering innovations, future proof

DDC enabling solution development for

software developers:
• Distribute hardware components
• Disaggregate software from hardware
Optical Cables
• Create a platform for multiple applications
• Provide an open networking environment

Leading to more customer benefits:

• More selection for services
• Simplify hardware model selection
• Reduce capex and opex

Source: UfiSpace

In the DDC, each component is well distributed into a standalone functional unit with its own
associated cooling fans, power supplies, CPU, and chipset. This brings ease, flexibility, and a higher
level of scalability at a time when network simplification is key for next-generation network
transformation.
© 2022 Omdia. All rights reserved. Unauthorized reproduction prohibited.
 Network Simplification in the Digital Era Through Distributed Disaggregation 04

CSPs are set to reap the benefits of DDCs in the digital era
Pay-as-you-grow customizations and high scalability with open network operating systems are
amongcommissioned
Omdia some of the noticeable
research, benefits
sponsored that CSPs are aiming to reap from DDCs for their next-
by Plume
generation network transformation.

• DDCs solve problems of transport edge and core networks by truly realizing the industry’s dream
of open transport network disaggregation
• The pay-as-you-grow model for network expansion is a distinctive benefit of DDC
• Network scalability and flexibility with effective port utilization, low power consumption, and
easy network upgrades result from disaggregating software and distributing hardware
• Smaller product footprints ensure a huge reduction in network operating costs
• DDCs foster robust innovations with future-proof, open, and efficient architectures with reduced
cost-per-bit routing for core and edge networks
• DDCs enable solution development and a prospering ecosystem for open-stack software
developers
• Hardware components such as line cards and fabric cards are fully distributed and disaggregated
into standalone, easy-to-manage white boxes
• DDCs fulfill CSPs’ dreams of faster innovation in the 5G era by uncuffing vendor lock-ins and
providing freedom of choice to select the best vendors and opt for the best disaggregated
components
• DDCs provide an open, agile platform for 5G-enabled digital services in multiple use cases and
applications
• TCO is optimized by simplifying hardware model selection for future network expansion

Figure 2 below gives an in-depth analytic comparison between a traditional vertical monolithic
chassis and a distributed, disaggregated routing chassis.

© 2022 Omdia. All rights reserved. Unauthorized reproduction prohibited.

 Network Simplification in the Digital Era Through Distributed Disaggregation 05

Figure 2: Comparison between the traditional vertical monolithic chassis and the DDC
Comparing Vertical monolithic chassis Distributed disaggregated chassis (DDC)
Omdia commissioned research, sponsored by Plume
parameters

Chassis A vertical, traditional chassis system typically comes
disaggregation with proprietary hardware components and
software. It usually takes a lot of resources and time
for third-party integrations and deploying new add-
ons such as line cards or fabric cards. In a monolithic
chassis all components such as fabric cards, line
cards, and controllers are locked within the chassis
and connected to a single backplane.
A disaggregated chassis separates the software
and hardware, so CSPs have full freedom of
choice in choosing the best-of-breed open
standard software and hardware components
that can work together to maximize their
benefits. DDCs distribute the functions into
standalone white boxes, which break the
backplane limitations and lead to very large
capacities. Any add-on of new components such
as fabric or line cards are connected in a CLOS
topology, instead of plugging into the “main
board” directly.

TCO optimization Limited competition and choice of selection leads to More freedom of choice leads to higher market
high-cost investments with less chance of TCO competition that in return brings greater cost
optimizations. savings and TCO optimizations for CSPs.

Capacity Monolithic chassis capacity expansion is tied with
expansions physical hardware limitations, vendor roadmap
availability, and readiness of compatible proprietary
software versions. Third-party integration also needs
an extensive and challenging testing phase, and the
chance of full interoperability is still limited.
Addition of new nodes for further capacity
expansion is quite easy. Service capacity is no
longer limited by the physical dimensions of the
chassis.

Reliability Due to limited availability and low multi-level Due to the interconnected architecture of a DDC,
redundancy, the reliability of the system is very much there is higher availability and more multi-level
dependent on only one vendor. redundancies with no single points of failure
present.

Openness It is not fully open and needs proprietary, closed Fully compliant with open standards to easily
network operating system, network automation, and integrate with any network operating system
other hardware components. (NOS), network automation, and orchestration
tools.

Operational A vendor proprietary monolithic system requires Easy system integration with simpler network
efficiency rigid network operations and specific training on control and operations.
vendor proprietary equipment.

Investment High-quality network resiliency and transformation Reduces initial investment and opex costs
attached to big capex investment and ongoing opex because of the pay-as-you-grow-style network
costs required to operate monolithic proprietary expansions. Open networking solutions bring
chassis and network operating solutions. scalability and simplicity.

Interoperability It is not easily interoperable with other vendor
equipment due to closed and proprietary systems.
CSPs always have a problem in regional network
integration and cross-vendor traffic management
and automation.
A DDC is easily interoperable with third-party
equipment due to its use of open network
standards.

Source: Omdia

© 2022 Omdia. All rights reserved. Unauthorized reproduction prohibited.

 Network Simplification in the Digital Era Through Distributed Disaggregation 06

Three-layer modular disaggregated network software architecture

As the architecture needed for the next generation of CSP services evolves, there is a dire need for a
distributed,
Omdia disaggregated
commissioned networkby
research, sponsored platform
Plume with relevant and adjacent services to holistically
interconnect enterprise data centers and cloud provider infrastructure.
Tier-1 CSPs are seeking a modular, open software architecture that can support distributed,
disaggregated networking, while offering network openness and massive levels of scalability. More
than just a NOS, they are looking for a converged networking and computing edge stack with a
foundational software-centric architecture for the next generation of services. Their expectations
can be boiled down to a three-layer modular stack with each layer ensuring the following capabilities
are available in their next-generation networks:

• Transport networking layer – the bottom layer ensures the foundational networking capabilities
through its open operating model for underlying IP routing networks with massive scale needed
for the 5G-enabled digital era. It also provides seamless abstraction of the underlying IP routing
hardware by providing security features and traffic engineering for running routing protocols
such as IPv4/IPv6-enabled OSPF/ISIS with BFD, MP-BGP, LDP (LDP over RSVP), RSVP-TE, segment
routing over MPLS, segment routing with IPv6 data plane (SRv6), network slicing, and multicast
modes such as PIM-SM
• Cloud-connected layer – the middle layer ensures multi-domain overlay connectivity across
different CSP-managed clouds, 5G networks, and hyperscale cloud providers
• Analytics and network automation layer – the top layer ensures AI-enabled deep network
insights, visibility, and big-data-based intent automation for underlying third-party routing
networks. This top layer is unique compared to the proprietary analytics layer because it can
orchestrate third-party devices based on open API procedures and can support SDN, telemetry,
SNMP, NETCONF, RESTCONF, OpenConfig YANG models, BGP LS, PCEP, etc.

Figure 3 shows a good example of a three-layer stack that has gained good industry traction as it
meets the CSP demands for network openness, simplicity, and offers a flexible, scalable architecture
for connecting services anytime, anywhere.

© 2022 Omdia. All rights reserved. Unauthorized reproduction prohibited.

 Network Simplification in the Digital Era Through Distributed Disaggregation 07

Figure 3: Connected Edge Architecture for telecommunication service providers

Omdia commissioned research, sponsored by Plume

Source: Arrcus

To further elaborate on the platform architecture, the foundational networking layer should be
powered with an open network operating system that provides a hardware abstraction layer and
adapts easily to different hardware platforms.

An open network operating system (NOS) is the kingpin in the network disaggregation realm
In the digital era, there is great potential for programmable, massively scalable, virtualized, and open
stack distributed IP routing NOS to operate and support CSPs in transforming their networks.
Tier-1 CSPs are convinced that the power of the open network operating system is a fundamental
shift into a new networking era because of its open integration and capability to solve the long-
pending challenges related to network scalability and flexibility. These agile, cognitive, and elastic
capabilities are the distinctive features of a NOS solution that is helping network operation teams
overcome the challenges of an inflexible and vendor-locked proprietary system.
A disaggregated NOS is a carrier-grade solution that has become the favorite choice among CSPs for
their network transformation. It seamlessly supports the multitude of hardware choices with real-
time third-party network automation, traffic visibility, and security. This open disaggregated NOS
architecture aims to deliver the best performance at a massive scale with deployment flexibility and
supports the enablement of open integration in multiple use cases, spanning edge to cloud-based
data centers and scale-out network switching and routing backbones for internet peering. To keep
their networks flexible and scalable as they enable demanding 5G services, CSPs would greatly
benefit from zero-touch discovery and provisioning features on DDC. They would allow their
network operation teams to load, configure, operate, and troubleshoot the distributed components
of DDC as a single logical box, with the control plane cluster acting as a single point of control and
management, thus giving the look and feel of a traditional chassis without any of its drawbacks.
Figure 4 is an example of how the control plane cluster can manage up to 192 DDC line cards.

© 2022 Omdia. All rights reserved. Unauthorized reproduction prohibited.

 Network Simplification in the Digital Era Through Distributed Disaggregation 08

Figure 4: Distributed disaggregated router components

Omdia commissioned research, sponsored by Plume

Control Plane Cluster Control Plane Cluster
§ Commodity multi-core x86 server
§ Runs control & management planes

Underlay Connector
§ Layer 3 fully managed switch
Underlay Connector § Out-of-band (OOB) control & management connectivity

Fabric Card
§ Single-Ramon or Multi-Ramon platforms
1 13 § Future-proofed to support any next-generation silicon
Fabric Card Line Card
...
Line Card
... ▪ Jericho2 or Jericho2C+ platforms
1 2 191 192
▪ Future-proofed to support any next-generation silicon

Source: Arrcus

CSPs that used to spend massive capex on upgrading their vertical monolithic chassis just for
scalability and flexibility are now looking to adopt such a solution as their mainstream choice for
running network services. The primary motivation and advantage for these CSPs would be to achieve
a low cost-per-bit by deploying a distributed, disaggregated router with a carrier-grade open NOS on
merchant silicon. With more scalability and ease of deployment, CSPs can stay competitive and be
prepared for the daunting explosion of network traffic to come from 5G and next-generation
services.
From an application point of view, CSPs that are adopting such a three-layer modular stack
architecture can smoothly integrate with 5G cloud-native applications and other network services
using L2VPN, L3VPN, EVPN, SR-MPLS, SRv6, etc. This will allow CSPs to run any new application
anytime, anywhere during their transformation to a 5G-enabled digital era.

Use case: Deploying disaggregated core routers for 5G and converged IP edge in the cloud era
Many use cases show how CSPs are trying to achieve network simplification through a distributed
disaggregation paradigm. Many different options are under consideration for making the best use of
network disaggregation within different scenarios.
The emerging white-box community, including bare-metal DDC providers, is working closely with
open NOS providers to create a complete, integrated solution for CSPs. Next-generation IP/MPLS
and SRv6-enabled core routing backbones and converged IP edge for peering with other internet
service and content providers are the top use cases for CSPs. Already, tier-1 CSPs in North America
are at various stages of deploying DDCs in their networks.
An additional benefit CSPs have come to appreciate from the DDC is the use of a common hardware
and software architecture when deploying open networking solutions throughout their network. The
DDC is deployed as a standalone router and can be deployed in varying chassis sizes depending on its
© 2022 Omdia. All rights reserved. Unauthorized reproduction prohibited.
 Network Simplification in the Digital Era Through Distributed Disaggregation 09

position within the network, as shown in Figure 5. This uniform architecture simplifies the
management of the network as well as inventory management, spare parts management,
maintenance, and future service development.
Omdia commissioned research, sponsored by Plume
Figure 5: Unified architecture across the network

Source: UfiSpace

Conclusion: An analyst view

There is no doubt that a disaggregated, distributed open architecture is gaining strong market
traction with CSPs, who are aware that network disaggregation is a developing paradigm and has
strong potential to uncover the reality of open transport networks. CSPs’ dependency on proprietary
vendors for software features, development speed, costly hardware equipment for expansion, and
high operational costs has finally been stretched to its limits and has pushed CSPs to find help in the
form of a fully open disaggregated, distributed chassis for their network deployments in the 5G era.
CSPs are now thriving by encouraging compliance in the open disaggregation part of their project
RFXs with strong confidence in distributed platform vendors fostering out-of-the-box innovation.
This will revolutionize the edge and core routing systems by separating the hardware and software
planes and distributing their functions into standalone white boxes.
CSPs are positive about the ecosystem development of network openness, despite knowing the
natural challenges of any new solutions. They have given a warm welcome to the emerging white-
box hardware and software vendor community for their hard work in introducing innovative, open,
distributed, and disaggregated transport network solutions for their network simplification in the
digital era.
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 Network Simplification in the Digital Era Through Distributed Disaggregation 10

Appendix

Author

Sameer Ashfaq Malik

Senior Principal Analyst, Service Provider
Network Switching and Routing
askananalyst@omdia.com

© 2022 Omdia. All rights reserved. Unauthorized reproduction prohibited.

 Network Simplification in the Digital Era Through Distributed Disaggregation 11

Get in touch Omdia consulting

www.omdia.com Omdia is a market-leading data, research, and consulting business
askananalyst@omdia.com focused on helping digital service providers, technology companies, and
enterprise decision-makers thrive in the connected digital economy.
Through our global base of analysts, we offer expert analysis and strategic
insight across the IT, telecoms, and media industries.

We create business advantage for our customers by providing actionable

insight to support business planning, product development, and go-to-
market initiatives.

Our unique combination of authoritative data, market analysis, and

vertical industry expertise is designed to empower decision-making,
helping our clients profit from new technologies and capitalize on
evolving business models.

Omdia is part of Informa Tech, a B2B information services business

serving the technology, media, and telecoms sector. The Informa group is
listed on the London Stock Exchange.

We hope that this analysis will help you make informed and imaginative
business decisions. If you have further requirements, Omdia’s consulting
team may be able to help your company identify future trends
and opportunities.

About UfiSpace
UfiSpace provides end-to-end open networking solutions for data centers,
mobile operators, broadband operators, and cloud service providers. Our
dedication to our customers has brought UfiSpace to the forefront of 5G
innovation with worldwide deployments of our open disaggregated
platforms including cell site gateways, aggregation switches, core routers
and edge routers. With a vertically integrating supply chain, we deliver
high quality and cost-effective open networking solutions with the goal of
accelerating industry growth and lowering the costs of 5G deployments
for our customers.

Web: www.ufispace.com
Contact: sales@ufispace.com
LinkedIn: https://www.linkedin.com/company/ufi-space-co-ltd/
Twitter: @UfiSpace
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 Network Simplification in the Digital Era Through Distributed Disaggregation 12

About Arrcus
Arrcus was founded to enhance business efficiency through superior
network connectivity. The Arrcus Connected Edge (ACE) platform offers
best-in-class networking with the most flexible consumption model at the
lowest total cost of ownership. The Arrcus team consists of world-class
technologists who have an unparalleled record in shipping industry-
leading networking products, complemented by industry thought leaders,
operating executives, strategic partners, and top-tier VCs. The company is
headquartered in San Jose, California.

Contact: networkdifferent@arrcus.com
Web: www.arrcus.com
LinkedIn: https://www.linkedin.com/company/arrcus-inc
Twitter: @arrcusinc

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 Network Simplification in the Digital Era Through Distributed Disaggregation 13

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