Report: Cisco, NSN well-positioned in growing SDN market

Software Defined Networking and Network Functions Virtualization are shaping up to fundamentally change the nature of the telecom industry, according to ABI Research, with the NFV market to reach $6 billion (€4.5 billion) by 2018. The research firm said Nokia Solutions and Networks (NSN) and Cisco are best positioned to take advantage of this market growth. NSN has taken leadership in virtualising its Liquid Core network with commercial ATCA and HP servers, and is most aligned with NFV. Cisco, with its nascent server business, is also positioned to exploit this trend, as its ASR5xxx software should readily port, ABI added. "The changes in business practices will enhance both top line and bottom line financial results much more than just cost reductions," said ABI analyst Joe Hoffman. "In the long run, operators embracing SDN/NFV will outrun their competitors with a much faster service velocity." Release