Both Verizon and AT&T announced NFV-related services for enterprises this week, but they are taking different approaches.
On Thursday, Verizon Enterprise Solutions announced the availability of its Virtual Network Services, which are designed to provide enterprises with virtual functions, such as WAN optimization, firewalls and routers on demand. Verizon Communications Inc. (NYSE: VZ)'s initial Virtual Network Service packages are security, WAN Optimization and SD-WAN services. (See Verizon Launches Virtual Network Services.)
On Monday, AT&T Inc. (NYSE: T) launched its NFV-based Network Functions On Demand service, which enables enterprises to use an x86-based appliance to deploy virtual network functions (VNFs) at various locations across 76 countries. AT&T is offering virtual routing, virtual security and virtual WAN optimization. (See AT&T Offers Network Functions On Demand... Sort Of.)
For AT&T, Verizon and the industry at large, the promise of VNFs is replacing more expensive dedicated, proprietary hardware with virtualization in networks.
Light Reading editor-at-large Carol Wilson noted that Verizon and AT&T were taking different paths to VNFs. Verizon Enterprise Solutions has partnered mainly with traditional vendors, such as Cisco Systems Inc. (Nasdaq: CSCO) and Juniper Networks Inc. (NYSE: JNPR), while AT&T is bent on largely developing its architecture. (See Verizon's Next With VNFs.)
Earlier this year, a Telco Transformation poll asked: "What's the best way for communications service providers to roll out NFV in their networks in 2016?" Coming out on top in the poll was "Use their own teams to mix NFV solutions from best-of-breed vendors" at 31%, while "Use a systems integrator to blend NFV solutions from multiple vendors" placed second with 22%. (See TT Poll: CSPs Should Use Their Own Teams for NFV.)
— Mike Robuck, Editor, Telco Transformation