This document discusses how SDN and NFV can help service providers meet evolving customer needs and market dynamics. It provides examples of how virtualizing network functions allows for greater agility, performance, and cost optimization through centralized management of resources. Specific use cases outlined include virtualized security, mobile control, WiFi control, bandwidth on demand, and analytics reporting. The key benefits highlighted are faster service provisioning, flexible consumption models, and lower operating costs through simplification and automation.

1. CAPTURING THE SDN & NFV
OPPORTUNITY
Real Use Cases to Drive Revenue & Network Optimization
SENIOR VICE PRESIDENT, STRATEGY & MARKETING
JUNIPER NETWORKS
Mike Marcellin

2. 1 Evolving Market Dynamics
2 Meeting Customer Needs
3 Some Real Examples
AGENDA

3. MAJOR INFLECTION POINTS
80%
Cloud
% of New Enterprise
Apps Deployed in the
Cloud:
Mobile Internet
1B
Video & Content
60%
% of Broadband Traffic
that will be Streaming
Video by 2015:
Source: Gartner and IDC
2013
SMARTPHONE
PROJECTIONS
More Pressure On The Network – Innovation Is Required
Security
60%
% of IT Practitioners that
Report a “Serious” Web-
Based Attack:

4. TRAFFIC IS CONTINUING TO GROW
0
5000
10000
15000
20000
25000
30000
35000
M Series
T Series
T1600
MX
Series
Petabits Per Second Per Month
PTX
QFabric
MX 2020

5. WHO IS DRIVING TRAFFIC GROWTH?
Compute
Storage
Database
Google App
Engine
YouTube
Public Cloud
Private Cloud
Dedicated Hosting

6. AVERAGE REVENUE PER USER IS DECLINING
$50
$55
$60
$65
$70
$75
2013 2014 2015 2016 2017 2018
Business Connectivity Monthly ARPU
$ / month / firm
ARPU is expected to decline
by 18% through 2018
Source: Pyramid - Average Spend per Business per Month on All Connectivity Services

7. WHAT OUR CUSTOMERS ARE SAYING
 Need to launch new services
faster: 24 months  weeks
 Need to lower my operating
costs: reduce complexity
 Need real differentiation in the
Cloud
 Need breakthrough
approaches to security
Consistent
Theme:
Agility

8. WHICH DO YOU CHOOSE?
PERFORMANCE AGILITY
OR

9. WHY NOT BOTH?
OR
PERFORMANCE AGILITY
ORAND

10. AGENDA
1 Evolving Market Dynamics
2 Meeting Customer Needs
3 Some Real Examples

11. Globalization
Employees/Customers Dispersed Geographically
Adoption of Cloud Services
Driven By Agility, Scale, Flexible Pricing
Outsourcing
Shed Non-core Functions
Consumerization of IT
BYOD Changing IT Challenges
Security Concerns
Security is more critical than ever before across
diverse networks, applications and devices
ENTERPRISE TRENDS IMPACTING SERVICES
NEW ENTERPRISE REQUIREMENTS
 Anywhere, Anytime Service Availability
 On-Demand, Rapid Service Provisioning
 Flexible Consumption Based Pricing Models
 Performance & Maintenance SLA’s
 Self Service Capabilities

12. YOUR CLOUD OPPORTUNITY
$13
$15
$16 $17 $18
$6
$6
$7
$8
$8
$3
$4
$4
$5
$6
$21
$25
$28
$30
$32
2013 2014 2015 2016 2017
Service Provider IT Partner Vendor-Driven
Global Enterprise Cloud Revenues
$Billions by Sales Channel
Source: Analysis Mason, inCode Analysis

13. HOW DO YOU GET AGILITY AND
PERFORMANCE?
The SDN Cloud Network
Automation of policy &
management
No underlay touch /
Tenant on demand
Dynamic network
resource allocation
No forklift upgrade of
physical layer
EASIER
FASTER
FLEXIBLE
LOW RISK
Open Cloud
ORCHESTRATION
PHYSICAL NETWORK
VIRTUALIZED NETWORK
AUTOMATED SERVICE
CHAINING
Big Data for Infrastructure
ANALYTICS ENGINE
CONTROLLER Control Analytics Configuration
SDN CONTROLLER: NETWORK ORCHESTRATION
ADC, FW, IPS, Traffic
Mon, DDoS, etc.
FINANCE HR MARKETING
SecurityRouting Switching
OSS/BSS
SYSTEMS

14. SOME OPERATORS HAVE ALREADY STARTED
MONETIZING USER DATA
Outdoor Media Measurements Venue
Audience Measurements Retail Site
Analytics
Media Owners Advertisers
Retail Sponsors
Data on 86M +
Retail Customers
TARGETING VERTICALS
M2M SIM Cards
Data Plans
M2M Device Purchase Plans
Health
Utilities
Transport
Telemedicine, Home Healthcare
Emergency services mgmt
Fleet Management
Equipment Tracking
Remote Meter Reading
Monitor Power, Water & Gas

15. AGENDA
1 Evolving Market Dynamics
2 Meeting Customer Needs
3 Some Real Examples

16. SDN AND NFV CREATE NEW SERVICE
OPPORTUNITIES
SECURITY
BANDWIDTH
CALENDARING
REPORTING
&
ANALYTICS
VIRTUAL
WLAN
CONTROLLER
BANDWIDTH
ON
DEMAND
WAN
OPTIMIZATION
CLOUD
CPE

17. CURRENT CPE DEPLOYMENT
EACH SITE COSTLY
Dedicated Appliance Per Site
Layer 3 Routing, Firewall, CGNAT On Premise
Higher Capital Expense
Complexity Results In Higher Maintenance Costs
SERVICE PROVIDER EDGE
L3 CPE L2 CPE
Management
Appliances
(Probe, FW,…)
ENTERPRISE SITES
L3 CPE L2 CPE
Management
Appliances
(Probe, FW,…)


18. MOVING TO THE CLOUD
L2 CPE
ENTERPRISE SITES
L2 CPE
SELF SERVICE PORTAL
Service
Complex
SERVICE PROVIDER EDGE
MAXIMUM OPTIMIZATION
Simple L2 Device On Premise
Virtual CPE’s on MX 3D Router
MX 3D Based FW, CGNAT
Central, Cloud Based Self Service Portal

19. VIRTUALIZED SECURITY SERVICES AT THE
EDGE OR IN THE CLOUD
Enterprise &
Management
System
vGW Virtual
Gateway
JunosV Firefly
Junos Space NMS
Internet
Hypervisor
DELIVERS COMPREHENSIVE PROTECTION IN A SCALABLE, FLEXIBLE MODEL

20. VIRTUALIZED MOBILE CONTROL
SGSN / MME
 10M active users
 32 ATCA chassis
 3 zones (11 ATCA
per zone)
 300K subscribers
per chassis
 10M active users
 54 VSE appliances
(27+27 backup)
 3 zones (1 MX 3D/zone)
 3.3M users per MX 3D,
400K users per VSE
Financial Benefits
 54% lower TCO
 65% lower OpEx
 53% lower CapEx
Operational Benefits
 73% less environmental cost
 72% less operator training cost
 63% OA&M cost
Development Time & Cost
 46% faster initial deployment
 61% less initial deployment cost
 87% faster capacity additions
 92% less capacity addition cost
SGSN/MME
Traditional Mobile Control Gateway Virtual Mobile Control Gateway
MCG
ATCA
chassis
JunosV App Engine
MX3D
X86
appliances

21. Customer Premise Service Provider
VIRTUALIZED WIFI (WIRELESS LAN)
CONTROL
End Users
Streamlined Managed WLAN Services
For service providers offering managed WLAN
Allows configuration changes with less difficulty
Rapidly scale resources to match customers’ demands.
MX960
SBR C3000
WLA532
Virtualized
WLC
EX4500 / EX4200
Virtual Chassis
EX4500
Virtual Chassis
SSPortalLDAP
Server
Junos Space
Ringmaster
Internet
Authentication Services Network Management

22. DELIVERING BANDWIDTH ON DEMAND
End Users in Enterprise
Office Have a Burst in
Bandwidth Request
Carrier Allows Additional Bandwidth
Request and Adjusts Bill for Video
Conferencing Service
Receiving
Application
Dynamic
Policy
Routing
DRIVES SPEED, ACCURACY AND EFFICIENCY IN BANDWIDTH USAGE

23. BANDWIDTH CALENDARING AND NETWORK
SLICING FOR QUALITY OF EXPERIENCE
GLOBAL NETWORK VIEW
DELEGATION
GREATER REDUNDANCY
ENSURE BETTER CALENDARING
Enterprise
Schedules Session
Successful Delivery
PCE
PCC

24. BETTER REPORTING AND ANALYTICS
THROUGH VIRTUALIZED ENGINES
TIMELY INSIGHT, REDUCED COST, IMPROVED SCALE
NETWORK USERSTORAGE
REPORTING &
PRESENTATION ENGINES
J-FLOW, DPI,
BGP, NETFLOW
DATA EXTRACTION REPORTING STORAGE

25. NEW APPROACH - NFV
SSLVPN
OTHERSERVICES
DPI
CARRIERGRADENAT
CDN
PEROUTER
FIREWALL
IT IS EASY TO START WITH NFV
SGSN/GGSN
MESSAGE
ROUTER
WAN
ACCELERATION
BRAS
TESTER QoE
MONITOR
RADIO ACCESS
NETWORK
NODES
OLD APPROACH – NEW SERVICE
NEEDS A NEW BOX
JunosV App Engine
CLOUD
X86 SERVER
X86
LINECARD
Video/ VOIP Monitoring
CARRIER
GRADE NAT
DPIPE ROUTER
CDN
SSL VPN
Traffic Monitoring
CUSTOM
ROUTING
APPLICATION
FIREWALL
LOAD
BALANCING

26. MUCHAS GRACIAS !