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NFV and Next Generation Service DeliveryChris ThompsonDirector of Product Management

April 20th, 2015

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ADTRAN Overview

Innovative & Agile

Engineering Team

Customer

Partnership Model

Integrated World

Class Supply Chain

Industry-Leading

Financial

Performance

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Customer Profile

All names and logos on this slide are properties of the respective owners

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Political &

Regulatory

Environment

Application &

Technology

DemandsCompetitive

Environment

Pace of Change in

Broadband

Networks

DOCSIS 3.1

Drivers for Change in Our Industry

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Evolution to a Cloud Culture

Physical Content Online Content Cloud Services

Local Storage

No - DownloadOne Time Download

Local Storage

Cloud Storage

Regular Repeated

Downloads

Bandwidth & Service Consistency Increasingly Important

Kbps Mbps 10Mbps 100Mbps Gbps

1990 2000 2005 2010 2013 2020

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Bandwidth Consumption

0

20

40

60

80

100

120

140

2014 2015 2016 2017 2018

EB

Consumer Video Consumer File Sharing

Business Web and Other Data Consumer Web and Other Data

Business Video Business File Sharing

Source: Cisco VNI 2014

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Top 10 Peak Period ApplicationsNorth America, Fixed Access – Downstream Percentage

34.21%

13.19%11.65%

3.64% 3.42% 3.40% 2.85%1.99% 1.90% 1.74%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Netflix YouTube HTTP iTunes SSL BitTorrent MPEP Facebook Amazon

Video

Hulu

Netflix and YouTube alone

contribute nearly 50% of

all downstream traffic!

Source: Sandvine 1H 2014

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More Than VideoWearables, 3D Manufacturing,

Nanotechnology, Robotics, The Internet of

Everything, Human Genomics, Artificial

Intelligence

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Fiber Access(GPON, NGPON2, P2P

10G, etc.)

Metro Transport(Nx10/100G)

The

Cloud

FTTB/

FTTdp

vCPE

vRG

Distributed metro data centers: – Cloud pushing closer to the customer as distributed caching

systems pushed closer to the edge (e.g., Netflix caching)

– 85% of all traffic is projected to stay within the metro

– Cloud-based applications emerging to consume higher

bandwidth (e.g., 4K HDTV, 4K HD gaming, biz services, etc.)

Cloud Pushing Closer to the Edge

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Drivers and Enablers

• What do providers want? - Service agility & automation- User-enabled services- Intelligent networks- Lower opex and capex

• How do operators get what they want?- Transition to open, software-centric networks- Real-time network programmability

• Key technology enablers- Software defined networking (SDN) for end-

to-end network programmability and optimization of networking devices

- Network functions virtualization (NFV) moves hardware-centric functions into software that can run on general compute infrastructure

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Agility & Data Center Architectures

Transition to software-centric networks

– Virtualization used whenever possible by

moving functions out of purpose-built

hardware and into general compute resources

– Functions available via App Store model

Service orchestration

– Physical and virtual resources allocated real-

time through orchestration systems

– Flexible APIs required

– User-enabled services via portals

Service providers transitioning to agile

models

– Embracing of Agile and DevOps development

principles

– Rapid release cycles for service flexibility

Open networks

– Multi-vendor software functions

– Programmable networks through open APIs

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Open-Sourced Software

“Standards efforts take time and products built on standards take longer to reach

the market. Open Source software offers the opportunity to accelerate

deployment timeframes and the standards development process.”

Source: NFV Open Platform Formation Discussion

“In 2007, 80% of those surveyed by Gartner cited cost as the primary driver of

their open source use. Today [2014], 80% of those surveyed cite the "high

quality“ of open source as the primary reason for using it.”

Source: http://readwrite.com/2014/04/07/open‐source‐software‐cost-recruiting‐participation

“One of the benefits we [PayPal] see in an open development model is leveraging

the intellectual mindset of people who are outside of our company - across the

world - who have this passion.”

Source:http://www.openstack.org/user‐stories/paypal/

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Open

Innovation

Software

Defined

Networks

Network

Functions

Virtualization

Creates competitive

supply of innovative

applications by

third parties

Creates network

abstractions to

enable faster

innovation

Reduces CAPEX, OPEX,

space and power

consumptionSource: ETSI

SDN & NFV are independent technologies that may or may not be used

together, but maximize value when deployed together

SDN & NFV Relationship

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IP Forwarding: All network elements exchange routing

information across the data plane via dynamic routing

protocols (RIP, OSPF, BGP, IS-IS, etc) and make

forwarding decisions on a per-hop basis.

Routing

Protocols

Early Days of Core IP Networks

Early Core Routing Networks

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MPLS Switching: IP lookups performed at the edge, switching

in the core. Introduced optional control and data plane

separation, but control plane still used mix of dynamic protocols

(LDP, I-BGP, OSPF-TE, etc).

LER LER

LSR

Transition to MPLS Switching in Core Networks

Transition to MPLS Switching

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SDN ControllerControls how all network elements forward packets. Provides centralized,

abstracted view of the overall network. Runs in high-compute data center.

Data Plane

Control Plane

Open APIs for config (e.g.,

NETCONF) and forwarding

(e.g. OpenFlow)

Business and Network Applications(customer portals, topology views, network

applications – QoS monitoring, PM reporting, etc.)

Network Orchestration(coordinates and controls allocation of all

network resources)

Open APIs

Flexibility to introduce new services, reconfigure based on global

policy; Global visibility; Reduced OPEX

Evolution to SDN

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SDN & NFV Principles Deliver

Traditional WLAN

Service definition and data flow

coupled at the controller

WLAN Controller Access Points

Management Plane

Control Plane

Data Plane

Physical / MAC Layer

vWLAN

• Service definition and user control separate from the data flow

• Access point optimized for data forwarding

• Service definition and user control in software in a virtual machine

Access PointsHypervisor

Management Plane

Control Plane

Data Plane

Physical / MAC Layer

REST

APIs

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Virtual Enterprise CPE Use Case

NFV NID

Network Functions

Virtualization

Infrastructure

Benefits

• Centralizes VNFs in the cloud

• Increases provider agility and by

enabling expansion of business

services through service chaining

• Lowest cost solution for

Greenfield NFV installations

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Distributed NFV (D-NFV)

Network Functions

Virtualization

Infrastructure

Benefits

• Open architecture supports VNFs from

multiple vendors on premises

Cloud Extension Appliance

• Bolsters cloud service offerings by

providing on-premises compute and

storage resources

• Maximum Flexibility – deploy VNFs

and applications in the optimal location

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• Data center servers contain the Openstack

controller, networking node(s) & compute

node(s)

Distributed NFV Architecture

Service Provider Data Center

Sydney

Melbourne

• Remote NetVanta Cloud Extension Devices

contain Openstack compute nodes and are

managed just like the data center compute nodes

Fiber or Copper Access(GPON, NGPON2, VDSL2, G.

fast, P2P 10G, etc.)

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vRG

vCPE

CEA

Metro Regional

(Nx100G)

Hyperscale

Data Center

Distributed

Compute

Node

vBNG

Service Orchestration

and ControlAnalyticsAutomation TopologyPortals

VNFs

VNFs

VNFs

Metro Edge

(Nx10/100G)

Next Gen Network Architecture

Distributed computing enables efficient allocation

of cloud resources

vRG

vCPEVNFs

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Metro Transport(Nx100G)

The

Cloud

Data Center VNFs

D-NFV CPE

Billing System

Service Orchestration

Virtualized Network Functions

Service Activation

Request

Network Orchestration – building services

across multiple network elements between cloud

and subscriber

NFV Orchestration – mapping

virtual resources to compute nodes

in data center or customer edge

Service Chaining – mapping logical

flow of virtual and physical resources

Combining SDN and NFV

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SDN and NFV are game changing technologies that have already begun to alter our perspective on network and service design

These technologies, combined with automation and orchestration, will allow service providers to become more agile, to differentiate and will enable them to compete in our cloud culture

Software Defined Access Networks, distributed compute resources and virtualized network functions will allow providers to dynamically grow, alter and manage the network and the cloud

ADTRAN will continue to provide industry leadership and innovation while continuing to endorse open and standards-based next generation networks

Summary

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