Telecommunication Software Trends for 2016 and Beyond: The Economic and Market Impact of NFV and SDN

Home News Appledore Blog Telecommunication Software Trends for 2016 and Beyond: The Economic and Market Impact of NFV and SDN

By: Patrick Kelly As we close off  2015, many clients are looking ahead to economic and technology trends of 2016 and beyond. In the telecommunication sector a 10 year outlook might be more prudent as history provides us with guide posts that show just how long it takes to implement disruptive technologies that fundamentally change business models. The Internet and IP technology took more than a decade to transform the ICT sector. As we look to the future NFV and SDN will bring tremendous business benefits that will also bifurcate the market and create economic dislocation for CSPs and suppliers. The shift from purpose built hardware to a hybrid virtualized network will reach a crossover point in 7 years. Appledore Research Group forecast that the total addressable market for Cloud Management solutions at $7.3 Billion in 2025. CSPs cannot wait to accrue the benefits of virtualization. This means that operations must transform more rapidly than the network itself, allowing for more agile methods. We are optimistic about the potential of the Telco Cloud. At the same time, we are concerned that the industry will follow its historical path, investing in new technology, but under-investing in the business model changes, operational […]

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