Enabling Digital Transformation with Alcatel-Lucent Enterprise’s Network-as-a-Service Solution

IT & DATA MANAGEMENT RESEARCH,
INDUSTRY ANALYSIS & CONSULTING
Enabling Digital Transformation
with Alcatel-Lucent Enterprise’s
Network-as-a-Service Solution
Shamus McGillicuddy
Senior Analyst
Enterprise Management Associates
Sauveur Baruch
Business Programs Director
Alcatel-Lucent Enterprise

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Slide 2 © 2018 Enterprise Management Associates, Inc.
• Enabling Digital Transformation with Alcatel-Lucent Enterprise’s
Network-as-a-Service Solution On-Demand webinar is available
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Featured Speakers
Shamus McGillicuddy, Senior Analyst, EMA
Shamus has more than 10 years of experience in the IT industry, primarily as a journalist
covering the network infrastructure market. At Enterprise Management Associates (EMA),
he is the senior analyst for the network management practice.
Sauveur Baruch, Business Programs Director, Alcatel-Lucent Enterprise
Sauveur has more than 25 years’ experience in the telecommunication industry working for
Alcatel-Lucent Enterprise Network Business Division and in the past for Alcatel-Lucent
Enterprise Communication Business Division as R&D leader and Product Line Manager for
Communication Solutions. Sauveur is now in charge of solution marketing activities as
Business Programs Director for Network Cloud & Services offers.

INDUSTRY ANALYSIS & CONSULTINGSlide 4 © 2018 Enterprise Management Associates, Inc.
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Enabling Digital Transformation
with Alcatel-Lucent Enterprise’s
Network-as-a-Service Solution
Shamus McGillicuddy
Senior Analyst
Enterprise Management Associates

Agenda
• Digital Technologies are Disrupting Networks
• Network Teams are Overwhelmed
• A New Approach to Building and Operating Networks

Digital Technologies
are Disrupting Networks

Digital Enterprises Require Infrastructure Flexibility & Agility
DIGITAL ENTERPRISES ARE
ADOPTING TECHNOLOGIES
THAT DISRUPT NETWORKS
• MOBILITY
• CLOUD
• INTERNET OF THINGS
THE NETWORK MUST ADAPT
• SECURE NEW DIGITAL TECHNOLOGIES
• DELIVER QOE
• EUE DRIVES DECISION-MAKING FOR
30% OF NETWORK MANAGERS
• ACCOMMODATE GROWTH AND
CHANGE

Network Disruptor: Cloud
• Cloud adoption exploding
• Public cloud is source of 44% of enterprise network traffic
• New cloud challenges
• QoS management
• Security and access policy controls
• Modern cloud apps demand modern networks
 Cloud-based storage and backup
 Collaboration and video apps
 Virtual desktops

Network Disruptor: Internet of Things
IOT IS MAINSTREAM
• 87% OF NETWORK TEAMS DELIVER IOT
CONNECTIVITY
• 77% OF IOT PROJECTS GENERATE SIGNIFICANT
TRAFFIC
• RESOURCES MOST CHALLENGED
• NETWORK SECURITY INFRASTRUCTURE (47%)
• BANDWIDTH (30%)
• IP ADDRESS MANAGEMENT (30%)

Network Disruptor: Mobility
Mobility is the new normal
• BYOD is everywhere
• Device density is exploding
• User expectations for Wi-Fi is high
Wi-Fi change is constant
• From 802.11n to 802.11ac
• From 11ac Wave 1 to Wave 2
• 802.11ax is coming
• As Wi-Fi bandwidth expands, Ethernet
must grow, too

Network Teams are Overwhelmed

The Network Team Needs Help
Must
respond to
digital
disruption

Network Teams Struggle to Keep Pace With Digitization
Network managers have no
time for new projects
• Fighting fires: End users report
40% of network before NOC
detects them
Network downtime is common
• 15% network managers see
several outages per day
• 24% see several per week
71%
of work day
focused on
fixing
problems

The Long List of Network Projects
Network initiatives that dominate network team
decision-making
• Network security (47%)
• WAN optimization (40%)
• Data center network automation/orchestration (37%)
• Data center SDN (35%)
• WLAN upgrades (33%)
• SD-WAN (33%)
• Ethernet bandwidth upgrades (27%)

People and Budget Crunch
#2 challenge (24%) to networking success:
Budget and staff shortage
• Budget constraints inhibit network project success
• Skill shortages
 Enterprises are training network personnel on new tech
 SDN
 Software development
 Analytics
 IT best practices (ITIL)

INDUSTRY ANALYSIS & CONSULTINGSlide 17 © 2014 Enterprise Management Associates, Inc.
Cost Control is Essential to Enterprise Networking (1)
49%
42%
38%
34%
25%
24%
13%
Reduced downtime
Improved end user/customer satisfaction
Reduced operational expenses
Reduced capital expenses
Increased direct support of new business initiatives
Improved SLA compliance
Increased innovation within IT
Top Business Benefits of Network Operations Success

• Network management software also adds overhead
(OpEx or CapEx)
• Network operators focus are focused on optimizing the
costs of management tools
• Top business requirement for network management software
1. Integration with other IT management products (37%)
2. Ease of use (37%)
3. Low maintenance cost (35%)
4. Low TCO (33%)
5. Rapid ROI (31%)
Cost Control is Essential to Enterprise Networking (2)

A New Approach to Building
and Operating Networks

Traditional Network Consumption Model: Static & Expensive
• Capital investment in infrastructure
• Support and services purchased separately as operational expense
• Additional line items for management software, etc.
• CapEx overhead and acquisition complexity leads to static
networks
• Difficult to scale capacity
• Slow to adopt new technology

Understanding Network-as-a-Service
Network hardware, software, and support and services bundled as OpEx
• Pay as you go subscription model
• Subscription fees based on installed capacity or consumed capacity
Subscribe instead of buy
• No need to finance
Cost and complexity of change goes away
• Subscribe to new tech, new capacity when needed

Network-as-a-Service Can Ease Digital Disruption
Shift costs from CapEx to OpEx
Integrated services and support reduces overhead
Bundled management systems simplifies operations
Faster access to new technologies

Financial Benefits of Network-as-a-Service
• Pay as you go means lower up-front expenses
• No separate line items for warranties and support
• No separate line item for management software
• If capacity requirements shrink, remove infrastructure from service,
reduce subscription free accordingly

Network-as-a-Service Redefines
Network Flexibility
• Add Ethernet bandwidth with no-cost
switch upgrades
• Upgrade to latest generation of Wi-Fi as it
becomes available
• Instant access to newest technology
• Swap out obsolete hardware at no added
cost
• Upgrade to cutting edge software without
additional license fees

Final Thoughts
• Networks are the foundation of digital enterprises
• Digital technologies like IoT, mobility & cloud disrupt networking
• Network-as-a-service offers solutions to digital disruption
• Hardware, software & services bundled
• Shift from CapEx to OpEx
• Pay for the capacity you need, not what you have
• Adopt new network tech faster

26
NETWORK-AS-A-SERVICE
as a Cost-Effective, Efficient, and Scalable Alternative to
Purchasing or Leasing Networking Equipment
EMA-ALE Webinar February 15th, 2018
Sauveur BARUCH
Business Program Director
Cloud & Services Offers
Network Business Division
sauveur.baruch@al-enterprise.com

LAN/WLAN Networks - Trends
1/ Mobility, IoT &
Security
2/ Digitalization
BUY
BUILDUSE
INVESTMENT
STRATEGY
HYBRID
CPECLOUD
DEPLOYMENT
STRATEGY
3/ Shift to Cloud
The 3 Main Drivers

28
LAN/WLAN Networks - Challenges
Always ON
 Network scale, adaptability
and guaranteed uptime
 Pressure on network due to
digitalization, mobility and
IoT proliferation
 Containing security threats
proliferation is vital
 Leveraging new technologies
ResourcesBudget Visibility
 Lack of IT resources, do
more with less
 Geo-distributed locations
with no IT at all on sites
 Lack of end-to-end visibility
 Make network simple and
easy to operate
 Need to capture and
employ analytics for
business outcomes
 Proactivity
 Budget constraints inhibit
network project success
 Continued pressure to
reduce capital &
operational expenses while
keeping up with technology
innovations
IT TEAMS can not address these challenges, they struggle to keep “lights on”

LAN/WLAN Networks – Customer Profiles
Mobile workers
off-site
40%
Time a year for
students at school
Focusing on
Core business acceleration
25%
Convention Center/ Stadium
occupancy
Clinics, Schools, Hotel Chains
with limited IT and multi-
locations
70%
Hotel Bed
occupancy rate
Businesses are changing, “On-demand & Cloud” economy for industries is … EVERYWHERE
Pressing financial
priorities
Simplified management
solution and network
element latest and greatest

30
NoD
Network-On-Demand
• LAN & Wi-Fi Network On-Premise
• Subscription-based model, “Pay-
As-You-Go”
More options to accelerate the transition to Cloud Services
Network-as-a-Service – The Umbrella
With ALE, “Network as-a-service” is a differentiating playground for all!
Proactive Lifecycle Management
• LAN & Wi-Fi inventory, asset management
• SaaS model from Cloud
• Freemium based model, Zero cost
Cloud PALM
OmniVista® Cirrus
• LAN & Wi-Fi Network
Management
• SaaS model from Cloud
• Subscription-based model, “Pay-
As-You-Go”
Cloud Network-
Management

31
Network-as-a-Service – NoD key Capabilities
NoD
Network-On-Demand
• LAN and Wi-Fi Subscription-based SaaS
model
• No upfront payment, consumption-
based or installed-capacity-based.
• Align your IT costs to your business
needs & Pay-As-You-Go
• Built-in HW & SW warranties and
support
Consumption-based
model.
Usage-based
invoicing
Capacity-Installed-
based model.
Flat-rate invoicing
Align your LAN & Wi-Fi IT costs to your business needs
OmniSwitch® LAN switches & Alcatel-Lucent OmniAccess® Wireless Access Points

32
AQUISITION
• 100% OPEX, no upfront payment for a
complete LAN & Wi-Fi network
• All hardware & software licenses are included
Network-as-a-Service – NoD key Benefits
ACCOUNTING
• Subscription-based OPEX model
• Consumption-based or capacity-installed-
based, Pay-As-You-Go
• Align IT costs to your business needs
TECHNOLOGY
• Network infrastructure provisioned,
on premise
• Always latest ALE best of breed
products & technologies
ELASTICITY
• Rapid network elasticity, up &
down capacity aligned to
resource needs
EDUCATION
• Quick education and rapid adoption• No separate line items
• Full built-in support for hardware and
software (365*24*7 SLA)
• Free next-business-day replacement
of faulty equipment
WARRANTIES & SUPPORT

33
Cloud based inventory and asset
management.
Live access to Networks’ essential lifecycle
information
Automated service support renewing
Freemium commercial model
PALMNOD
Network-On-Demand
LAN and Wi-Fi Subscription-based model
(Consumption or capacity based).
Align your IT costs to business needs.
All inclusive (Equipment, Management,
Support)
Network-as-a-Service – OmniVista® Cirrus key Capabilities
OmniVista Cirrus
• Optimal quality of experience and data analytics
• SaaS Model - operated by ALE staff on Cloud
• No appliance, aero deployment/zero footprint
• Smart access anywhere, at anytime on any device
• Align your IT costs to your business needs & Pay-As-You-Go
• Hardware and software warranties and support are included
Cloud Network-
Management
Full LAN & Wi-Fi Network Control from the Cloud
OmniAccess®
Stellar (Wi-Fi)
OmniSwitch®
(LAN Switches)
Secured
Internet
Pure Web Techno
Hosted on
Public Cloud
On-
Premise
On-Premise

EASE OF MANAGEMENT
• Anywhere, anytime, any device using a
standard web browser
• New tech adoption accelerator
CLOUD BASED SERVICE
• SaaS model, zero footprint, no physical or
virtual appliance on customer site
• Ready and operational within a minute
• Up & down elasticity from cloud (1 to 5000
devices)
REDUCE RISKS
• Effective troubleshooting tools
• Secured & data privacy regulation, resilient from
Cloud
• No separate line items for warranties and support
(hardware and software support 365*24*7 SLA)
• Free next-business-day replacement of faulty
equipment
INVESTMENT
PROTECTION• Same existing Alcatel-Lucent devices
portfolio to manage, same hardware and
software
• Lower TCO based on “Pay-As-You-Go”. OPTIMAL EXPERIENCE
• Reporting engine & built-in business
performances
• Great user experience (unified LAN/WLAN
management)
• End-to-end visibility from remote central
point even if the network is spread out in
multiple sites
Network-as-a-Service – OmniVista® Cirrus key benefits

35Live access to Networks’ essential lifecycle information (in Freemium)
Network-as-a-Service – PALM key Capabilities
• Device inventory and asset management as a learning
machine
• Live access to network’s essential lifecycle information
• SaaS model / operated by ALE Staff
• Zero deployment/zero footprint
• Freemium commercial model
PALM
PALM Asset
Management
Support
Renewal
Case
Status
Smart
Upgrade
Adviser
Network
Health
Analytics
Fleet
Dashboard

EASE OF MANAGEMENT
• Detailed network inventory
• Easy to understand colors for product
life cycle and details on hardware,
software as well as support services
REDUCE RISKS
• Ensure network elements are
latest and greatest
SIMPLIFIED BUDGET
PLANNING
• Ample advance warning
• Proactive budget plan
SAVE TIME / MONEY
• Gather inventory and lifecycle
information easily
• Instant support entitlement
TRUSTED ADVISOR
• Refresh outdated products
• Ensure network is high performing and
secured
CLOUD BASED SERVICE
• SaaS model, zero footprint, pure ALE Cloud
application
• Freemium commercial model (free of charge
to customers)
• Instant activation service from Web
• Smart access anywhere, anytime, any device
Network-as-a-Service - PALM key Benefits

Alcatel-Lucent Enterprise’s
strategy is
Verticals, IoT and Cloud.
Our Cloud NaaS offer is unique,
the market is trending this way.
We’re changing how businesses
buy technology.
How they deploy it.
Use it.
Leverage it.
TO CONCLUDE
5 x VERTICALS
IoT, MOBILITY & SECURITY
PALM
CLOUD & BUSINESS SERVICES
Alcatel-Lucent’s Network Strategy (Vertical, IoT & Cloud)

38
Thanks for your
time and your
attention
sauveur.baruch@al-enterprise.com

39
linkedin.com/company/alcatellucententerprise
twitter.com/ALUEnterprise
facebook.com/ALUEnterprise
youtube.com/user/enterpriseALU
www.al-enterprise.com

Question and Answer: Log Questions in the Q&A panel
located on the lower left-hand corner
To learn more about the Alcatel-Lucent Enterprise NaaS Solution, please visit:
https://www.al-enterprise.com/en/perspectives/strategies/network-as-a-service

Enabling Digital Transformation with Alcatel-Lucent Enterprise’s Network-as-a-Service Solution

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