SD-WAN Value Blog Part 2: Managed Service Provider Opportunities to Drive Value

Joel Stradling – Research Director, Business Network and IT Services

Setting the Scene with Research

The first of this two-part blog series can be read here: SD-WAN Value Blog, Part 1: Evolving the WAN to Drive Customer Experience TransformationJanuary 5, 2018.

In the below pie-chart (source: GlobalData Multi-Client Survey, October 2017), we asked a large pool of multinationals the following question:

Do you have a managed services provider (MSP) who helps operate your network?

74% said ‘yes’, while the remaining 26% said ‘no’.

Our conclusions for the majority 74% positive response is that this is driven by the need for an integrated portfolio of services and fast responses for adjustments, maintenance, and repairs. We understand from respondents that network complexity is a hassle that they struggle to cope with, and that with digital transformation paths this complexity is only compounded.

We also think that this 74% penetration gives MSPs an ideal platform from which to expand into existing accounts with more services. SD-WAN implementations are a great vehicle for this, with central orchestration and more deeper management functions more effective for flexible real-time changes – including technical ones to network nuts and bolts and commercially with more pay-as-you-go and ‘as-a-service’ options. This opens up opportunities for service providers to move up the value chain in various areas, including for example professional services. In the same Multi-client Survey, the following graph demonstrates the types of partners that businesses use for. Continue reading “SD-WAN Value Blog Part 2: Managed Service Provider Opportunities to Drive Value”