U.S. revenue is estimated at more than $282 million for Managed SD-WAN services in 2018, according to a new report from Vertical Systems Group covering service migration, network connectivity and market sizing.
This figure is based on billable U.S. customer sites and WAN access connections installed and under management.
A Managed SD-WAN Service is defined as a carrier-grade network offering for enterprise and business customers, which is managed by a network operator, and delivered over a Software Defined Network (SDN) service architecture that has separate control (overlay) and data (underlay) planes. Not included in this analysis are DIY (Do It Yourself) SD-WAN solutions purchased directly from an SD-WAN technology supplier or a systems integrator.
“Carrier-grade Managed SD-WAN Services in the U.S. began to generate notable revenue in the second half of 2018. Prior to this, most providers supported customers with pilot SD-WAN services that were not substantively monetized,” said Rick Malone, principal of Vertical Systems Group. “For 2019, we expect a major boost in revenue with network operators fully ramped up to sell, deliver and support Managed SD-WAN Services. Moreover, a key driver for managed services is the growing appreciation that migration to SD-WAN is considerably more complex than the promise of ‘easily deployed’ plug-and-play DIY solutions.”
Providers actively selling Managed SD-WAN services in the U.S. include the following companies (in alphabetical order): Aryaka, AT&T, CenturyLink, Cogent, Comcast, Fusion Connect, GTT, Hughes, Masergy, MetTel, Sprint, Verizon, Windstream and Zayo. Other network operators throughout the world offer or plan to offer Managed SD-WAN Services in the U.S. market.
https://www.verticalsystems.com/2018/12/05/sd-wan-tops-282m/
