Large vendors are adding SD-WAN to their appliance consolidation strategy making it yet another feature in their multi-application box. Be aware of the vendor lock this introduces and don’t let this distract your SD-WAN vendor selection. This post talks about the technical and business risks associated with this strategy.
Oracle had to get its feet into the SD-WAN market and they are not the last cloud company to do so. Question is, did they make the right choice with respect to the acquisition target. Financially Talari was probably a good deal. Technically, I’m not sure.
I have a feeling this is not the last move Oracle will be required to do in order to reach a strong position in this market.
The closeness of SD-WAN becomes a real issue for service providers due to their inability to differentiate and the growing competition coming from the same vendors they are reselling. Enterprises are also realizing the risk embedded in the one vendor to rule their network approach of SD-WAN and their inability to adjust the SD-WAN based network to their needs.
SD-WAN is an overlay and therefore has less need for coordination between vendors. Only time will tell to what extent the specifications created by the MEF will be adopted by the industry. The main concern of SPs and enterprises is the closed end-to-end nature of SD-WAN solutions and the vendor lock resulting from it.
Standards are made to make things work together but must also be tied to the business interests. Standards can’t force companies or users to accept them, they need to bring value. Many standards failed because they missed this point. SD-WAN standards are still under construction. What’s going to be their focus and fate?
The offering of a complete virtual network by cloud providers to enterprises, bypassing the service provider, shouldn’t come as a surprise. This will happen through acquisition of SD-WAN vendors or self-development.
Service providers should take their destiny in their own hands when it comes to enterprise network services or they will be left to do only the plumbing work.