MetTel and VeloCloud: SD-WAN Demand Growing at Healthy Clip

Cloud WAN

Software-defined wide area networking (SD-WAN) is becoming the standard for networking – rather than MPLS – in many industry circles.

MetTel and VeloCloud, which partner together to provide the technology, released statistics that show demand for SD-WAN growing at a fast rate.

MetTel's Ed FoxMetTel said its SD-WAN-related customer engagements increased by a factor of three last year. It also reports 70 percent growth for the technology’s demand in 2017. VeloCloud reports supporting more than 50,000 sites.

The companies cited an IDC report that SD-WAN’s compounded annual growth rate will exceed 90 percent through 2020.

“SD-WAN is suddenly the silver bullet of communications transformation for the tap-the-app environment and the quickest way for IT, operations, finance and procurement leaders to meet their financial and performance metrics,” said Ed Fox, chief information officer and vice president of network services for MetTel.

Retailers, manufacturers, automotive suppliers, transportation agencies and waste-management companies comprise the list of SD-WAN projects that MetTel said is surging.

Dave Mitchell, vice president of MetTel’s agent channel, said an increasing number of agents and their customers are starting conversations about SD-WAN deployment.{ad}

“No longer do agents need to worry about either/or for their embedded base. They can protect their existing commission revenue on their existing customers’ MPLS network while augmenting the customer’s network with a solution that pays high-percentage commissions while getting the customer a high-performance network for a fraction of the cost of upgrading their existing infrastructure,” Mitchell said.

The companies also referred to an Ovum survey that predicted the technology to be launched by “all major providers globally as it becomes a leading contender for traditional standalone MPLS replacement” in 2017.

“The increasing demand for bandwidth and the flexibility to increase and decrease bandwidth in more real time has created the need for network services that allow increasing use of both business internet services, driving new hybrid WAN configurations and new software that enables this flexibility,” said Mike Sapien, Ovum’s principal analyst of enterprise services.

Michael Wood, VeloCloud’s vice president of marketing, said SD-WAN is “leveling the playing field” in the wide area networking space and positively impacting partners.

“SD-WAN and its high return on investment is enabling channel partners to generate new revenue as reliable national and global network providers and increase their business through value-added cloud services insertion,” Wood said.

VeloCloud CEO Sanjay Uppal talked to us recently about how a new round of funding will add support and training for the vendor’s channel partners.

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