Expanding business models of managed wave services with Adaptive Networks
It goes without saying that no other method of network transport has ever surpassed the speed and performance that is delivered over optical networks. The many innovations in optical communications form the backbone of the robust, reliable, high capacity networks that connect our world. But what is less talked about are the billions in revenues that stem from innovative business and service models delivered over optical networks as managed connectivity services (aka managed wave services). Ciena’s Niloufar Tayebi details what can happen to evolve managed wave services in the era of Adaptive Networks.
By Niloufar Tayebi – Let’s step back in time to take a snap-shot of what service interfaces have previously thrived in managed wave service offers. In a managed wave service, the service provider is able to offer a wide range of client service interfaces: Ethernet, SONET/SDH, DWDM, storage area networking (SAN) interfaces and more.
For these managed wave services, the client is handing off an interface that is required to transport payload connecting two data centers in complete transparency without protocol conversion. This is done by either using a dedicated wavelength over DWDM or through the use of OTN containers (aka ODU).
With the growth of traffic and cost-per-bit declining, client interfaces are now evolving to higher bit rates – as happened with the evolution from SONET/SDH clients to 10Gbps clients – but also expanding in client protocols that supported 10Gbps, such as ODU-2 and 10GE.
One natural path for evolving a managed wave service is to continue the path of offering higher rate, with more emphasis on 100GE and ODU-4 client interfaces. Today it is common to look at a managed wave service and see 100GE and ODU-4 /100Gbps clients supported. With the ongoing reduction of cost-per-bit and higher rate transport, offering managed wave services at higher than 100Gbps client support also makes economic and technical sense.
Ciena’s market intelligence and global consulting teams have been tracking the market size of managed wave services. Their findings show 10GEoDWDM managed wave services are mature services contributing to 60% of managed wave service offers, while 100GEoDWDM managed wave services are the fastest growing wave services at a 30% CAGR. more>
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