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SD-WAN Can Reduce WAN Costs by Half
I’ve seen enough business case proposals and implementations of SD-WAN to be able to put a stake in the ground that SD-WAN can cut WAN costs in half. Typically, WAN costs are about 10% of an enterprise’s overall IT budget. Anytime a project can save money, improve performance, increase reliability, and provide additional security controls, it would seem that it would be a slam dunk. But just like with SIP trunking 10 years ago, there are many folks who are still reluctant to believe the magnitude of the opportunity with SD-WAN. If you talk to sourcing managers, some of them just think that issuing an RFP for traditional WAN services will save 25% and that the implementation costs to move to SD-WAN do not outweigh the risks and effort. If you talk with network engineers, they tend to see the SD-WAN opportunity only for small sites where broadband Internet can deliver enough bandwidth and replace T1/MPLS. Many do not see large sites that require greater than 500Mbps as appropriate targets for SD-WAN.
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