Our Next Generation Network · 2014. 8. 26. · for moving forwards Page 3 Page 4 Page 5 Page 6...

Our Next Generation Network

talktalkbusiness.co.uk/ournetworkIn association with

1 Executive summary

2Why you need a Next Generation Network

3 The importance of responding to emerging trends

4Meeting future enterprise network needs

5 Key benefits of Next Generation Networks

6 Readying your network for the future

7 What are your networking options

8Key considerations for moving forwards

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9 ReferencesPage 14

talktalkbusiness.co.uk/ournetwork

Over the last few years, the pace of development in IT has changed the face of the industry forever. Just a few years ago, most internet connections were still on dial-up, mobile phones could do little more than send text messages and the majority of enterprises were still relying on tried and tested technologies.

However, the speed of advancement over the last two to three years has been remarkable. Improvements in data connections and networking capabilities mean more of our lives than ever are now online, with this having major effects on both consumers and businesses.

As a result of the increasing strain being placed on the nation’s communication systems, it is essential that enterprises ensure their solutions are ready for the next generation of networking. Data connections will need to be able to meet these increasing demands and be able to cope with whatever further developments take place over the next few years.

But deciding how to proceed could be a difficult decision for many firms. Companies will need to evaluate their options for next generation networks carefully in order to ensure the solution they go for will enable them to remain competitive for years into the future.

1Executive summary


Figures from IT analysis firm Gartner project worldwide IT spending will surpass $3.6 trillion (£2.24 trillion) in 2012, with the pace set to increase further in 2013, which may lead to a shift in how businesses are using their networks. Growing use of high-bandwidth applications and technologies such as cloud computing, VoIP and videoconferencing are placing greater strain than ever on the infrastructure needed to keep companies running smoothly.

For example, figures from International Data Corporation (IDC), global spending on public cloud services is set to rise from $40 billion this year to nearly $100 million by 2016. The enterprise videoconferencing market is also set to increase by 18.7% in 2012. As a result of trends such as these, businesses can expect to greatly increase the amount of bandwidth they are using for everyday activities.

But one of the problems for a large number of these firms at the moment is they are still relying heavily on legacy systems that have been in place for many years. Recent research estimates UK companies are wasting thousands of pounds a year by maintaining and supporting these outdated systems. Many of the solutions used by businesses in the UK are based on decades-old technology that was never originally envisaged to carry anything more complex than voice traffic.

They have a limited capacity to handle advanced data and this is quickly running out, as the volume and type of information enterprises are dealing with is growing exponentially. IDC estimates demand for wireline and mobile data will increase from 9,665 petabytes per month in 2010 to 116,539 petabytes per month in 2015, so it is essential companies have the technology in place to handle this explosion in data.

2Why you need a Next Generation Network


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If companies study their options carefully and choose solutions that are right for their business, selecting a suitable next generation network provider that can handle all their demands will be a key first step on a path to success for the next decade or more. However, if they get it wrong, they are likely to find themselves playing catch-up to their rivals, with their operations hindered by ineffective solutions.

As there are a range of options available for improving a firm’s networking capabilities, it is likely to be a significant challenge to many organisations to get this right. Advanced all-IP solutions are one way they can ensure they are agile enough to be set for the coming years, as being ready for the next generation of networking services will mean the ability to respond quickly to what is happening in the tech world. Therefore, flexibility and scalability should be key priorities for any business that is looking to futureproof its network.

Solutions such as cloud computing and hosted services will also be high in the thoughts of many IT managers looking for ways to adopt next generation networks. The emergence of key trends such as the cloud, big data and social applications will require new ways of doing business, both in how companies connect with customers and how they manage their internal networks.

As the pace of change shows no sign of letting up, it will also be vital that the solutions companies opt for are able to adapt to meet the differing demands of any new developments in the coming years.

3The importance of responding to emerging trends


“As the rate of technological change keeps accelerating, we will see more change in the next three years than we’ve seen in the last ten.” Andy Lockwood, Product and Marketing Director, TalkTalk Business

“Today’s workers expect a greater degree of flexibility and collaboration than in the past, and the ability to use a range of new devices and applications. All-IP networks provide the strong underlying infrastructure necessary to take full advantage of these new trends and technologies.” Andy Lockwood, Product and Marketing Director, TalkTalk Business

One of the biggest changes that has taken place in the enterprise IT sector over the past few years has been in the way businesses run their networks and data centres. Options such as the cloud have led to new opportunities for companies to improve their operations in this area. This means moving from legacy systems to advanced all-IP network solutions that can handle all the data traffic a firm generates will be an essential part of readying a business for these developments.

Because a greater number of operations will be hosted off-site, speed and reliability of data centre connections will be critical to the future success of enterprises. As these sit at the core of business networks, the entire business may suffer if these are not up-to-date. With legacy systems, upgrading these can be a serious challenge for companies, but with a next generation network, the futureproofed solutions and high quality of the service delivered eliminates many of these problems.

TalkTalk Business’ data centre sits at the heart of the UK’s largest all-IP network. With 800Gbps of available connectivity, customers will be able to transfer massive amounts of network data to and from the internet without expensive interconnects or high bandwidth costs. Its location also offers built-in resilience and means it is directly connected to the UK-wide next generation network.

Enterprise-grade all-IP solutions are designed specifically to meet the high demands of businesses, with features such as traffic prioritisation management, fault diagnostic tools and scalability. The technology treats all information - including data, voice and video communications - as packets of data that can either be given equal weight or prioritised as required.

This is likely to be a key issue many enterprises will have to deal with due to the rapidly changing demands they will face in the coming years. IBM has predicted that future data centres will need to respond to specific usage requirements, project future capacity requirements and enable users to access data when and where they need it7. Therefore, the networks underpinning this will need to be flexible and intelligent enough to respond swiftly to the changing landscape and be agile enough to handle major changes in capacity requirements. As a result, futureproofing networks now so they can cope with these needs will be essential.

4Meeting future enterprise network needs


“Many events have affected the data centre services market in the past two years, with symptoms of a traditional market at the tipping point from maturity to reinvention or decline.” Claudio Da Rold, Vice President and distinguished analyst, Gartner

“Too many enterprises are still relying on network connections that are not on Business Grade technology. This hinders the deployment of new applications and results in companies being unable to make the best use of their data centre solutions.” Andy Lockwood, Product and Marketing Director, TalkTalk Business


“Having the right next generation network architecture allows businesses to build their convergence strategy and start to integrate data and voice into one single network, saving time and improving efficiency.”Kaspersky/B2B International survey, August 2012

Fast, reliable networks will be crucial in the coming years because of the fact many businesses are set to incorporate high-bandwidth solutions, as well as adding tools such as cloud computing, hosted services and video to their strategies. Research by TalkTalk Business and IDG suggests nearly half of UK enterprises have already adopted cloud tools for some of their operations, with customer satisfaction among these firms standing at 94%8, while figures from Cisco suggest nine out of ten UK IT decision makers say the cloud is on their agenda this year - up from just 52% in 20119.

Therefore, it is clear that having strong networks in place to handle the added traffic these tools will result in is a must if businesses are to be successful. But in addition to faster speeds and security for the future, there are several key benefits of next generation networks over legacy systems.

Scale and reachThe ability to receive consistent, high-quality coverage wherever a business is located is one of the key benefits of a next generation network. This is especially important for enterprises operating over multiple sites, as it is vital they are able to connect to the same infrastructure at the same quality.

Adopting a next generation network from a single supplier that can guarantee reach wherever a business needs it not only simplifies operations, as it not only eliminates the need for multiple service level agreements from different operators, but it can also save money.

5Key benefits of next generation networks


CostA central priority for many firms is the reduced costs that are associated with networking solutions. Partnering with a single supplier can save a large amount of money through consolidation of networks and reduced need for duplicate connections that may be seen through a patchwork infrastructure from multiple providers.

Enterprise-grade next generation network services also offer much better value than legacy networks and other less specialised solutions in terms of the speed and quality of service firms receive for their money. In the SME sector, for example, 70% of firms still use residential-grade broadband services, rising to nearly 80% in some industries10.

This is costing businesses in the UK £89 million a month, based on 8.5 million hours of staff downtime as a result of poor-quality connections. Being able to rely on advanced networks also means companies can focus on their key priorities in order to improve revenue, without spending time worrying about their infrastructure.

FlexibilityAs well as this, flexibility and scalability will be a top concern for businesses. In particular, those expecting a temporary increase in traffic will need the ability to respond quickly and scale their solutions up in order to meet these demands. So if a business is preparing a key product launch or a major advertising campaign to boost its profile, being able to increase the capacity of a network to increase demand will be vital.

Equally, the ability to ramp down operations after such periods of activity are over will also be important. Without this capability, businesses are likely to find they are paying over-the-odds for a level of service they do not need.

Reliability and securityNo business wants to see their network go down, as any time spent without a data connection results in lost revenue. This could be a constant worry for enterprises running outdated legacy systems. Therefore, next generation networks are designed to protect against any interruptions, offering businesses a 99.999% availability to ensure their operations can continue at all times.


Next generation networks with robust security measures can also protect against cyber attacks that may threaten to take a business’ systems offline. Research by PwC has warned the cost of cyber attacks on UK businesses costs the country billions of pounds annually, with one in seven large companies targeted by hackers in the last year11. This means having backups and redundancies in place to minimise these risks is essential.

Intelligent bandwidth and traffic management solutions can also prioritise a firm’s data, allowing users to make sure any vitally important information is able to be delivered as quickly as possible, without suffering from problems such as intermittent connections, buffering and restricted bandwidth.

SupportAlthough networking solutions run in the background and may never be noticed by end users if they are working correctly, there are an indispensible part of a business. This means that if there is an issue, it needs to be resolved as quickly as possible before it has a chance to make an impact on a firm’s bottom line.

Therefore, it will be essential firms select a network provider that can provide them with support and information on their current status and performance levels in real-time, such as via online monitoring portals. Service level agreements that include comprehensive support guarantees can be highly useful to firms looking to upgrade their network.

“41% of businesses acknowledge themselves less than ready to face cyber-threats, with data theft, fraud and industrial spying all typically conducted via cyber attacks.” Kaspersky/B2B International survey, August 2012

As the last few years have demonstrated, it can be difficult to predict what the future will hold for the economy. The recession that began back in 2008 has proved to be longer and deeper than many experts had forecast, with the situation still highly uncertain.

Therefore, the scalability that is inherent in next-generation networks will be hugely important to many firms. As the economy recovers and firms look to expand again, the ability to easily add new office locations to their network and increase their traffic capacity to meet the demands of a growing business will be a huge benefit to firms.

The high speeds offered by next generation networks also play a key role in futureproofing firms and ensuring they are prepared for future tech developments. Increased use of tools such as videoconferencing, applications and documents hosted in the cloud and larger data packets mean enterprises will have to have capabilities in place to cope with this.

Growing businesses are likely to see their data usage requirements increase exponentially over the next few years as new technologies move from being nice-to-have extras to business essentials. Therefore, firms that cannot scale their networks to meet these requirements will struggle to keep up.

6Readying your network for the future


Cisco expects global internet traffic to reach

966exabytesper year by 2015

2010 2011 2015

242

368

966

...4 times the current level

As every business is different, there are a range of solutions available for enterprise users. A managed MPLS IP VPN solution offers a high degree of flexibility and could therefore be ideal for companies that will need to scale their operations up and down on a frequent basis. However, there is still a range of other next generation networking options available, so all businesses should be able to find a solution that is tailored to their unique requirements.

An Internet VPN is a solution that is ideal for carrying traffic between sites in different locations. This is a cost-effective way to handle heavy traffic loads and short-term contracts make it a sensible choice for businesses with rapid site acquisition needs, as well as those looking to manage temporary sites. Up to 30 sites can be networked using these solutions, making it useful for firms that need a quick, flexible way of joining sites together and connecting them to the wider internet.There are also private network solutions, which are tailored to firms with fewer sites and a less extensive geographical scope. Like internet VPNs, they are well-suited for companies that need to transfer large amounts of data between sites reliably and securely. The private communications between sites are another key advantage that is likely to be a priority for firms where high levels of security are vital.

7What are your networking options?


70%of small firms were still using residential broadband in 2011, despite their ill-fitting nature


Because of the pace of advancement in network technology and the tools businesses will need to use in the coming years, IT personnel looking to upgrade their capabilities must look beyond any short-term benefits they expect to see as a result of the changes. Firms that do not seek to secure their networks for the future are likely to be left behind by their rivals and face having to make further large-scale investments a few years down the line in order to catch up.

As the technology landscape has already changed significantly in the space of the last few years, it is difficult to predict what the state of the industry may be in five or ten years’ time. Businesses looking to upgrade their networks to next generation services therefore need to consider several key questions when looking at their options to make sure they are ready for the future.

Does the solution have the reach to meet your needs?The geographical extent of a next generation network is one of the first things that needs to be considered when investigating an upgrade, particularly if a business has multiple sites spread out over a wide area.

If their provider cannot offer a high-quality service to all of these, businesses may have to turn to other partners in order to connect their entire network, resulting in greater complexity and higher costs.

Is the network scalable? Firms that only invest in options to meet their current capacity requirements will be at a disadvantage if their circumstances change and they are unable to react swiftly to adapt their network capacity to meet new demands.

Can traffic be controlled?The ability to manage data traffic will be important in ensuring businesses are able to deliver a fast experience to customers and prioritise business-critical applications when needed, such as videoconferencing traffic.

8Key considerations for moving forwards


What next generation networks are available?TalkTalk Business offers the largest next generation network solution in the UK, with advanced services available to 99% of the UK population. However, it is important businesses evaluate exactly what they can expect to receive at each of their sites so they understand their potential capabilities.

Will the network be secure?Because of the additional threats being faced by enterprises online on a daily basis, it is important any network is protected against data breaches. This means examining what protections are built-in to the network and putting in place robust policies within an organisation.

Solutions to ensure reliability and business continuity at all times also need to be investigated when looking for a provider.

Is it ready for the future?By partnering with a quality network provider, customers can rest assured they will benefit from any future upgrades to the network that can improve their ability to provide high-quality services to users.

“Any solution must convince you with its future proof credentials, scalability and business competence.”Andy Lockwood, Product and Marketing Director, TalkTalk Business

Gartner: Gartner Says Worldwide IT Spending On Pace to Surpass $3.6 Trillion in 2012 (07/12)

IDC: IDC Forecasts Public IT Cloud Services Spending Will Approach $100 Billion in 2016, Generating 41% of Growth in Five Key IT Categories (09/12)

IDC: Worldwide Enterprise Videoconferencing Market to Reach Almost $3.2 Billion in 2012, According to IDC (03/12)

K3 Managed Services: Fifty Per Cent Of UK Businesses Waste Money On IT Support (08/12)

IDC: Power Users Drive Worldwide Internet Broadband Bandwidth Demand, According to Research from IDC (03/12)

Gartner: Gartner Says Data Center Services Market Shows Regional Differences in the Move Toward the Cloud (03/12)

IBM: IBM zEnterprise EC12 and the next generation data center, ZDNet (08/12)

TalkTalk Business: Hosted solutions with more flexibility and resiliency

Cisco: Cloud usage now mainstream as benefits and barriers evolve – a third of businesses now see cloud as ‘critical’ (06/12)

TalkTalk Business: Large business broadband

PwC: Rising security breaches cost UK plc billions in the last year, shows new PwC/Infosecurity Europe survey (04/12)

Kaspersky: Cyber-threats set to become number one business risk (08/12)

This white paper was written by NewsReach on behalf of TalkTalk Business, 2012.

9References


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