Pure-Play Virtualization For Rural BroadbandChoice. Agility. Performance.
© 2016 ADVA Optical Networking. All rights reserved. Confidential.2
ADVA Optical Networking Today
Network innovator – Speed for customers – Trusted partner
Our LEADERSHIP#1 Ethernet access devices3 global#1 Enterprise DCI4 in EMEA; #2 global#2 Metro WDM5 in EMEA#2 Network synchronization6 global
Our NUMBERS EUR 442 million revenue1
>1,700 employees2
Our CUSTOMERSHundreds of carriersThousands of enterprises
1) Annual 2015; 2) March 31 2016: 1724; 3)&5) IHS Infonetics Research, 4) Ovum 6) ADVA Optical Networking internal estimates
HeadquarterOfficeRepresentative
© 2016 ADVA Optical Networking. All rights reserved. Confidential.3
Innovation Overview
CLOUD&
MOBILITY
FSP 3000 CloudConnect™Shipping in Q1 2016Specifically designed for DCI marketMost compact and scalable product Open optical line system
Access to USD 4 billion NFV market Enabling choice, performance, agility
Most advanced and comprehensive solution
Transforming the industry and expanding our competitive advantage
ConnectGuard™Complements secure optical DCI leadership Fixed and mobile user secure cloud access
Encrypted Ethernet connectivity
Access device industry firsts: SFP-based timing excellence Rubidium-based timing with unique holdover algorithm
© 2016 ADVA Optical Networking. All rights reserved. Confidential.4
Our Hardware, Software and Services
Cloud interconnectCloud access
Service delivery and assurance
Metro/Core Distribution and hosting
Business continuity
Cloud and OTT services
Connecting, extending and assuring the cloud
Synchronization delivery and assurance
Cloud Extension
© 2016 ADVA Optical Networking. All rights reserved. Confidential.5
Network Virtualization in Rural Broadband
© 2016 ADVA Optical Networking. All rights reserved. Confidential.6
Future of Rural Broadband• Rural broadband providers face an uncertain future of federal funding
• Changes in Universal Service Funding make it difficult to obtain funding or recoup high costs of servicing low-density, remote locations
• Rural broadband providers need new technologies and strategies to build revenue, reduce costs and gain operational efficiencies
• Rural broadband providers need strategies for competing and partnering with larger providers and/or public-owned providers
• Network virtualization provides many advantages for communication service providers and it can be particularly beneficial for rural broadband providers
© 2016 ADVA Optical Networking. All rights reserved. Confidential.7
Network Virtualization = Greater Profitability• Virtualization replaces today’s expensive custom hardware
appliances with software-based virtual network functions (VNFs) running on low-cost and open commercial off-the-shelf servers
• Network functions virtualization (NFV) and software defined networking (SDN) provides service agility, network flexibility and performance
• To reap the true rewards of NFV and SDN, rural broadband provides need to focus on pure-play NFV and SDN architectures
• NFV can help rural broadband providers drive new business today and set them up for continuous innovation in the future
© 2016 ADVA Optical Networking. All rights reserved. Confidential.8
What Can You Do With NFV?• Compete with larger communications providers in neighboring urban areas
• Automation of network and service operations provide significant reduction in costs and an opportunity to be more competitive on price
• Quickly define and deploy new services while eliminating the need for truck rolls and hands-on access to configure remote network equipment • Including cloud-based managed services such as security, firewall, VPN, database, PBX, etc.
• Personalize end-customer experience through granular network orchestration and management
• License software on a pay-as-you-go or pay-as-you-grow scale• Eliminate need for huge upfront investment• Minimize financing on upgrades or expansion
© 2016 ADVA Optical Networking. All rights reserved. Confidential.9
What is Pure-Play Virtualization?Pure-play virtualization enables users to realize the benefits of the cloud by replacing closed appliances with their choice of software that can be hosted anywhere in the network on their choice of open hardware.
© 2016 ADVA Optical Networking. All rights reserved. Confidential.10
Pure-Play Enables Choice!
• Hardware suppliers• Brand• Compute power and memory• Features (NEBS, power, redundancy)
• Software VNF suppliers• Ability to change as needed• Including swapping out ECE
• Deployment location• Cloud / data center• Central office• Service edge• Service chains between the above
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Benefits of Pure-Play: Choice of Software
Pure-play virtualization allows users to:• Pick best-of-breed VNFs from a variety of suppliers• Use different VNFs for same function with differing performance, features and
price points• Replace VNFs as needed without requiring any hardware changes or truck rolls• Deploy new VNFs on a common hardware architecture
Start:1 VNF
Later:2 VNFs
Even later:2 VNFs, 1 replaced
Firewall X
Firewall X
Firewall Y
Firewall Z
Firewall Y
Later still:3 VNFs, 1 new
Firewall Z
Firewall Y
Router A
© 2016 ADVA Optical Networking. All rights reserved. Confidential.12
Benefits of Pure-Play: Choice of Hardware
Pure-play virtualization allows customers to:• Let the application dictate the hardware requirements• Leverage the wide array of available COTS servers• Ride the Moore’s law curve of increasing compute power and efficiency
Residential Gateway
Deep Packet Inspection
Intrusion Detection
Content Delivery/ Cache
Encryption
Application Acceleration
Load Balancer
Network Address Translation
Network Firewall
RouterSIP Gateway
Test Set
Basic Traffic Management
Traffic Management
Digital PBX
Session Border Controller
Choose any platform or brand
© 2016 ADVA Optical Networking. All rights reserved. Confidential.13
Benefits of Pure-Play: Choice of Location
Pure-play virtualization provides choice in deployment locations:
Metro edge/central office
x86
Virtual functions
Service edge
Virtual functions
Datacenter/core/metro
Cloud ordatacenter
VNFs placed where needed, based on:
x86 Server
• Edge/CPE: low entry cost, resources scale with services• CO/POP: reduced cost, increased speed, migration
• Datacenter: lowest cost, highest scalability• Chained: best of all worlds
Virtual functions
• Service requirements (security, latency, bandwidth)• Resource availability
• Preference (customer or operator)
© 2016 ADVA Optical Networking. All rights reserved. Confidential.14
Our Approach to Pure-Play Virtualization
To be considered pure-play virtualization, a solution must incorporate the following four components:1. Completely open architecture
• Including hardware and software2. Open carrier-class orchestration
• Supports a variety of VNFs with internal or external VNFM3. Comprehensive ecosystem of VNFs
• Both 3rd party and open source4. High-performance virtual switching and Carrier Ethernet
• Enables single-box deployment anywhere in network
© 2016 ADVA Optical Networking. All rights reserved. Confidential.15
Ensemble Use Cases
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Customer problem• Limited operational automation in appliance-
based solutions• Proprietary and incongruent management
requirements for appliances• Limited flexibility for new service introduction• Multiple boxes required for each new customer
Challenges• Locked into expensive, proprietary appliances• Service activation tied to new ‘boxes’, truck-rolls• Easily change service offering over time• Operational efficiencies across service
management
Use Case: Enterprise Service Delivery Challenges
Service provider
Router
Firewall
NID
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Use Case: vE-CPE NFV-Based Service DeliverySolution• Ensemble Connector for Carrier Ethernet and high
performance virtual hosting:• Accelerated vSwitch• Supports DPDK enabled VNFs
• VNFs from any supplier can be deployed• Standard server-based, can be multi-purposed for
different service offerings
Benefits• Rapidly launch new services, drive new revenues,
reduce costs (over time)• Real-time, low-touch service deployment and
activation• Subscriber self-provisioning capability for new
services
ADVA FSP 150vSE or ProVM or COTS
Service provider
© 2016 ADVA Optical Networking. All rights reserved. Confidential.18
Inject new services into existing Layer 2 and 3 VPNs running over existing MPLS networks, CPE deployments – without modifying existing infrastructure!
Use Case: Upgrade Existing MPLS Networks
MPLS backbone
Layer 3VPN
Ability to derive incremental, value-added service revenue from existing customers with minimal cost and operational overheads
Data center
© 2016 ADVA Optical Networking. All rights reserved. Confidential.19
Use Case: Virtualized Networks
Enables operators to join the fray by delivering NFVIaaS along with Carrier Ethernet connectivity
Enables overlay service providers or enterprises to manage their own network without buying or managing hardware
To this:
From this:
Provider YEAD
Provider X FSP 150 vSE
Customer
Provider Y FSP 150 ProVM
or vSE
Provider XVNFs
Customer
Provider XVNFs
© 2016 ADVA Optical Networking. All rights reserved. Confidential.20
DartPoints Use Case – Micro Datacenter
Multi-tenant building
Co-locate with end-users to provide network and secure cloud services
Gatewayrouter
Customer 2FSP 150 vSE
Customer 1FSP 150 vSEPublic
Internet
Micro data center DartPoints
NOC
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Use Case: SD-WANSD-WAN management layer
IP/MPLS IP/MPLS
Branch
BranchVNF
Connector
VNF
VNF
Connector
VNF
ADVA FSP 150 vSE
ADVA FSP 150vSE
HQ
VNF
Connector
VNF
ADVA FSP 150 ProVM
NFVO(Ensemble Orchestrator)
SDN Control(Ensemble Controller)
Cloudmanager
REST
PE
IP
(MPLS in IP)
PE
PE
PE PE
On-netOff-Net
Gateway Connector
Xeon Intel Server
Provides flexible and secure network overlay to deliver IP connectivity to customers on-net as well as out of region
VRF
© 2016 ADVA Optical Networking. All rights reserved. Confidential.22
Ensemble Active Customer EngagementsService provider Application/
use caseEnsemble
OrchestratorEnsemble Analytics
Ensemble Connector
FSP 150 VSE
FSP 150 ProVM
Masergy Prem-based virtual CPE Yes YesDartPoints DC virtualization Yes Yes Yes
Tier 1 fixed (US) CO virtual Service Yes Yes YesTier 1 fixed (US/EMEA) Virtual CPE/SD-WAN Yes Yes YesTier 1 cable MSO (US) Virtual CPE Yes Yes
Tier 1 fixed/mobile (CALA) Virtual CPE Yes Yes Yes YesTier 1 fixed/mobile (EMEA) Virtual CPE Yes Yes Yes Yes
Tier 1 fixed (US) Virtual CPE/SD-WAN Yes Yes Yes YesTier 1 fixed (US) Virtual CPE Yes Yes
Tier 1 fixed (US/APAC) Virtual CPE Yes Yes Yes YesTier 1 fixed (APAC) Virtual CPE Yes Yes Yes Yes
Tier 1 cable MSO (US) Virtual CPE Yes Yes YesTier 2 fixed (US) Virtual CPE/SD-WAN Yes Yes Yes
Tier 1 cable MSO (US) Virtual CPE Yes YesTier 2 fixed (APAC) Virtual CPE Yes Yes Yes
Tier 1 fixed/mobile (APAC) Virtual CPE Yes Yes YesTier 1 fixed (EMEA) Virtual CPE Yes Yes Yes
© 2016 ADVA Optical Networking. All rights reserved. Confidential.23
Solution integrators
Comprehensive Ecosystem - HarmonyVNF providers Technology partners
© 2016 ADVA Optical Networking. All rights reserved. Confidential.24
Vendor VNF category ProductRouter, vADC, vEPC 5400, 5600 vRouter, vEPC, vADC
Encryption vCEPFirewall FortiGateFirewall Security Gateway Virtual EditionRouter VSR 1000
WAN Optimizer Ipanema WAN Optimization Router vMX
Core IMS, SBC Clearwater IMS, Perimeta SBCFirewall VM-Series for KVM
DPI DeepflowWAN Accelarator SteelHead
SBC SBC Software EditionSmall Cell Gateway SmGW, seGW
Tier 1 NEP (via VNFM) vEPC vMME, vS/PGWTier 1 NEP (via VNFM) vIMS vIMS, Open TAS
Testhead Test Center Virtual with DPDK
Current VNF LibraryVNF category Product
Firewall Untangle
Firewall pfsense
IP PBX Asterisk
Packet crafter, traffic generator and analyzer Ostinato
Proxy server Squid proxy
Router Vyos
UCS SIPxecs
3rd party Open source
Benefits of Virtualization in Rural BroadbandSavings, service agility, flexibility
© 2016 ADVA Optical Networking. All rights reserved. Confidential.26
Primed for Innovation
“Our rural broadband clients are a passionate, motivated group and they will innovate. We’re going to be challenging them to find new and better ways of providing services with NFV. We fully expect these Tier 3 providers will create new ways to complete on service level and price without a lot of investment.”
Tory Richtmyer, Mid-State Consultants
© 2016 ADVA Optical Networking. All rights reserved. Confidential.27
Challenges With NFV• Current hardware-centric culture and staff skill set
• Training and some staff augmentation to become Agile/DevOps• Overhead is reduced as new technology facilitates more remote
support and maintenance• Engineering and support services providers will adapt by adding
software techs and keeping them trained on the newest offerings
• Fear of expense and unknown• New software licensing schemes and lower-cost hardware reduces risk• Partnering with engineering firms and vendors is critical• Overture Total Cost of Ownership Calculator and Agility Model
• Vetted with service providers of all sizes and areas• Provides a solid estimate of savings and new service revenue
© 2016 ADVA Optical Networking. All rights reserved. Confidential.28
Total Cost of Ownership Calculator
© 2016 ADVA Optical Networking. All rights reserved. Confidential.29
Summary• NFV brings real benefits to rural broadband providers
• Operational efficiencies and savings• New service innovation to grow revenue• Flexibility for quick and cost-effective changes• New pay-as-you-go licensing models lessening financial risk for
upgrades and expansion• Lower overhead costs with fewer truck rolls and “zero-touch” activation,
upgrades and maintenance• Choice of software. Choice of hardware. Choice of location. Choice to
change.
Thank you!
Mike HeffnerSenior directorTechnical product marketing
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