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December 2015, IDC #US40653915e
IDC MarketScape
IDC MarketScape: Worldwide Enterprise WLAN 2015–2016 Vendor Assessment
Nolan Greene Rohit Mehra
THIS IDC MARKETSCAPE EXCERPT FEATURES: FORTINET-MERU
IDC MARKETSCAPE FIGURE
FIGURE 1
IDC MarketScape Worldwide Enterprise WLAN Vendor Assessment
Source: IDC, 2015
Please see the Appendix for detailed methodology, market definition, and scoring criteria.
©2015 IDC #US40653915e 2
IDC OPINION
This IDC study represents the vendor assessment model called the IDC MarketScape. This research
is a quantitative and qualitative assessment of the characteristics that explain a vendor's success in
the marketplace and help anticipate the vendor's ascendancy. The study assesses the capability and
business strategy of 12 of the top enterprise wireless LAN (WLAN) vendors. This evaluation is based
on a comprehensive framework and a set of parameters expected to be most conducive to success in
providing enterprise WLAN solutions, during both the short term and the long term. As the enterprise
WLAN market is highly competitive and relatively mature, all vendors performed relatively well in the
study. Key findings include:
The enterprise WLAN market continues to see consistent growth and compelling innovation.
These overarching trends overlap with unprecedented developments in wireless speeds, RF
innovation, and wired and wireless interoperability, as well as a greater level of choice for end
users in terms of delivery model.
Organizations of all sizes, across segments and verticals, are increasingly shifting wired
network workloads onto wireless as well as leveraging wireless and mobility to improve
customer engagement and bring new products and services to market.
Although the enterprise WLAN market is inching toward maturity, there are still opportunities
for growth including greenfield deployments in areas such as retail and large public venues,
where WiFi is increasingly used to engage customers, as well as modernizing back-office
operations. Verticals such as education and healthcare still command a major share of the
overall market, with some regional and country-level variances. There are still tremendous
growth opportunities in emerging markets as well.
As small to midsize businesses realize greater need for enterprise-grade WLAN solutions,
vendors are targeting the midmarket and SMB space unlike never before, primarily through
cloud-managed and integrated control models.
Across all segments and verticals, enterprise IT is evaluating the role of the cloud in
networking. Cloud-managed WLAN models can help reduce physical infrastructure and
improve operational agility. In distributed enterprises with centralized IT operations, cloud-
managed models can be what makes enterprise-grade WLAN possible.
Enterprise WLAN vendors are beginning to realize and evangelize the potential of IoT as a
growth opportunity, along with SDN and open standards, to bring more efficiency to the
campus network.
The momentum behind unified wired and wireless networking incrementally grows. Pure-play
WLAN vendors are increasingly joining forces with wired networking vendors to offer best-of-
breed solutions with varying degrees of management integration, joint R&D, and channel
synergies.
M&A activity has been rife in this industry, with four deals (Extreme Networks–Enterasys
Networks, Zebra Technologies–Motorola Solutions' Enterprise business, Aruba Networks–
Hewlett Packard Enterprise (HPE), and Fortinet–Meru Networks) having closed since the
publication of the preceding IDC MarketScape: Worldwide Enterprise WLAN 2013–2014
Vendor Analysis (IDC #243354, September 2013).
©2015 IDC #US40653915e 3
IDC MARKETSCAPE VENDOR INCLUSION CRITERIA
This research includes analysis of 12 of the largest enterprise WLAN vendors spanning IDC's research
coverage and with global or regional importance. This assessment is designed to evaluate the
characteristics of each firm — as opposed to its size or the breadth of its services. It is conceivable, and
in fact the case, that specialty firms can compete with multidisciplinary firms on an equal footing. As
such, this evaluation should not be considered a "final judgment" on the firms to consider for a
particular project. An enterprise's specific objectives and requirements will play a significant role in
determining which firms should be considered as potential candidates for an engagement.
In total, 12 firms were evaluated in this IDC MarketScape. They are (in alphabetical order): ADTRAN,
Aerohive Networks, AirTight Networks, Cisco (including Cisco Meraki), D-Link, Extreme, Fortinet-Meru,
Aruba-HPE, Huawei, Ruckus Wireless, Xirrus, and Zebra. For inclusion in this IDC MarketScape,
vendors had to demonstrate two years of general worldwide availability of a standards-based WLAN
portfolio and should have reached a critical mass of shipments and/or revenue.
ESSENTIAL BUYER GUIDANCE
Organizations must consider near- and long-term needs for the 802.11ac standard. Some
vendors have announced their plans to release Wave 2 802.11ac access points (APs), with a
few shipping. Other vendors have yet to announce availability of Wave 2–capable APs. IDC
recommends that organizations evaluating new WLAN infrastructure should consider their
needs for 802.11ac. Organizations for which their current 802.11n deployments are not
meeting business needs should consider an immediate upgrade to 802.11ac. For
organizations with WLAN infrastructures that are meeting today's needs, IDC recommends
waiting until a broader set of Wave 2–capable platforms are available. This time frame will vary
according to vendor but will happen in 2016. In addition, when upgrading to Wave 2,
organizations may need to upgrade their cabling and switching infrastructure; a good reseller
or integrator can guide this process.
Cloud-managed network models continue to become more common and have grown in
capability. Small to midsize organizations and "distributed enterprise" (organizations with a
centralized IT and dispersed remote locations) often find that cloud-managed WLAN allows for
an accessible, enterprise-grade delivery model. Cloud-managed WiFi is generally more opex
oriented than capex oriented and can be a viable option for organizations seeking greater
operational agility and centralized policy controls.
There are a number of architectural options for enterprise WLAN. These include physical
controller based, virtual controller, cloud managed, and APs with integrated control. There are
strong cases to be made for all of these, and final decisions should be made based on
individual business needs. In any case, it may be worthwhile to consider vendors with flexible
architectural models as business needs change.
In choosing an enterprise WLAN solution, organizations must consider the possibilities for
creating additional business value from the technology. New WLAN applications for customer-
facing location-based services (LBS), network analytics, and in-venue WiFi–enabled tools are
leading to new monetization opportunities in retail, hospitality, healthcare, education, and other
verticals.
It is important to consider the security capabilities of any WLAN solution. While all solutions
profiled in this document will meet the minimum security requirements of most organizations,
IT decision makers should look at advanced security needs, support for vertical-specific
©2015 IDC #US40653915e 4
protocols and compliance needs, and level of integration offered with non-WLAN security
tools.
Support and services from vendors, resellers, integrators, and managed service providers
(where applicable) cannot be overlooked in the vendor selection process. Good vendors,
resellers, integrators, and managed service providers will provide competent guidance through
the RFP, installation, and training processes while being accessible for ongoing support
throughout the infrastructure's life cycle. This is especially important for organizations with lean
internal network staff.
The networking industry's move to greater support for open source and multivendor initiatives
like SDN will begin to have impact in enterprise WLAN in the medium term. Organizations
should determine their strategies around SDN and open networking and choose a WLAN
vendor with an aligned strategy.
To assist in the vendor selection process, organizations, IT, and end users are encouraged to
utilize the visual graphic in this IDC MarketScape research (refer back to Figure 1), along with
the vendor text profiles, to help in developing a short list of potential enterprise WLAN vendors
to consider for their WLAN deployment project(s).
VENDOR SUMMARY PROFILES
This section briefly explains IDC's key observations resulting in a vendor's position in the IDC
MarketScape. While every vendor is evaluated against each of the criteria outlined in the Appendix,
the description here provides a summary of each vendor's strengths and challenges.
Fortinet-Meru
Fortinet-Meru is rated as a Major Player in this IDC MarketScape. Meru Networks, one of the oldest
established vendors of 802.11 technology, was acquired in July 2015 by network security vendor
Fortinet. Both vendors offer a range of WLAN APs and controllers. At this time, the combined entity is
selling both portfolios — Meru and FortiAP, as well as applicable controllers. In addition, both portfolios
have offered a cloud-managed option, Meru with XPress Cloud and Fortinet with FortiAP-S.
Meru's greatest differentiation comes from the company's single-channel architecture, where individual
channels are layered into a "super channel." This aims to reduce the complexity of channel planning,
security associations, and application segmentation. Meru is the only vendor in this IDC MarketScape
to offer this type of technology. Historically, Meru has found strength in higher education, healthcare,
and hospitality. Meru has also been an early mover in SDN-enabled WLAN, releasing the first
OpenFlow-ready WLAN controller in 2014.
Fortinet's WLAN products are differentiated through integration of the FortiGate network security
platform (where control resides). FortiAP combines WLAN access, firewall, VPN gateway, WIPS, and
Web filtering and application control, among other capabilities, into a single appliance. FortiAP-S offers
similar security capabilities inside the AP managed via the cloud without the need for a controller.
Fortinet WLAN solutions have typically been targeted to the enterprise branch, K–12 education, and
distributed enterprise (retail, QSR, and consumer finance, among others). Fortinet also has a line of
switching equipment, providing some capabilities with regard to unified wired and wireless access.
Both Fortinet and Meru's control platforms can be deployed on a VM.
Future success of Fortinet-Meru deployments depends on execution of the integration strategy. The
individual portfolios are highly complementary. Meru brings unique a RF architecture, SDN innovation,
©2015 IDC #US40653915e 5
and the knowledge and legacy that come with being one of the oldest pure-play WLAN vendors to
Fortinet's security leadership and tremendous business resources. Integrated security is becoming
more important in enterprise networking, and SDN is gradually garnering more interest for campus
deployments. These are among the factors that can position Fortinet-Meru for success.
Strengths
Integrated security requirements are increasing across enterprises. Fortinet has the ability to
offer a fairly comprehensive set of embedded security capabilities in future iterations of the
combined portfolio.
Fortinet-Meru is in a strong position financially, holding no long-term debt. This bodes well for
future WLAN development.
Historically, Meru has been one of the companies best attuned to the unique issues affecting
individual verticals. If this type of vertical alignment can be extended to Fortinet's targeted
verticals, it should yield great benefits.
Fortinet offers 24 x 7 support in all regions.
Challenges
The ultimate strategy for combining the two portfolios is not completely clear. Fortinet-Meru
will be challenged to support legacy customers during the integration process.
Prior to acquisition, Meru had been struggling with a loss of market share and footprint.
Compared with many vendors, Fortinet-Meru is relatively thin in terms of breadth and depth of
managed service provider and carrier offerings.
APPENDIX
Reading an IDC MarketScape Graph
For the purposes of this analysis, IDC divided potential key measures for success into two primary
categories: capabilities and strategies.
Positioning on the y-axis reflects the vendor's current capabilities and menu of services and how well
aligned the vendor is to customer needs. The capabilities category focuses on the capabilities of the
company and product today, here and now. Under this category, IDC analysts will look at how well a
vendor is building/delivering capabilities that enable it to execute its chosen strategy in the market.
Positioning on the x-axis, or strategies axis, indicates how well the vendor's future strategy aligns with
what customers will require in three to five years. The strategies category focuses on high-level
decisions and underlying assumptions about offerings, customer segments, and business and go-to-
market plans for the next three to five years.
The size of the individual vendor markers in the IDC MarketScape represents the market share of each
individual vendor within the specific market segment being assessed.
IDC MarketScape Methodology
IDC MarketScape criteria selection, weightings, and vendor scores represent well-researched IDC
judgment about the market and specific vendors. IDC analysts tailor the range of standard
characteristics by which vendors are measured through structured discussions, surveys, and
interviews with market leaders, participants, and end users. Market weightings are based on user
©2015 IDC #US40653915e 6
interviews, buyer surveys, and the input of a review board of IDC experts in each market. IDC analysts
base individual vendor scores, and ultimately vendor positions on the IDC MarketScape, on detailed
surveys and interviews with the vendors, publicly available information, and end-user experiences in
an effort to provide an accurate and consistent assessment of each vendor's characteristics, behavior,
and capability.
Market Definition
Enterprise WLAN
IDC breaks wireless LAN (WLAN) infrastructure into three segments: WLAN equipment, WLAN
connectivity, and WLAN IT services. This IDC MarketScape competitive analysis is primarily focused
on the WLAN equipment category but looks at other segments to deliver complete enterprise wireless
solutions.
Product Class
The WLAN equipment category is segmented into enterprise and consumer infrastructure:
Enterprise: Enterprise-grade access devices are WLAN access devices designed for use in
multiaccess point systems or for standalone deployments and typically have a rich and
upgradeable feature set. There are two types of enterprise-class access point (AP) devices:
independent (traditional) and dependent. Deployments are in building or outdoor.
Consumer: Consumer-grade access devices are products designed for small-office/home
office (SOHO) and consumer (residential) deployments. Access points and gateways/routers
with WLAN functionality that sell for under $200 are typically included in this category.
Product Category
Controller/switch: Access point controllers typically manage access to the network, load
balance users, enforce security policies, and provide a number of higher-level network
services. This functionality is typically packaged in a Layer 2 or 3 edge or core controller,
integrated in an Ethernet LAN switch, or an appliance. These are products designed to
integrate a WLAN infrastructure with a wired Ethernet network through automating WLAN
access point configuration and RF management.
Access points: This category includes equipment that acts as an intermediary between the
wired and wireless part of the network by receiving and transmitting 802.11 packets. The
packets are sent over a set of predefined bands in the 2.4GHz and 5GHz radio spectrums to
and from associated wireless client devices. Access devices are connected to the wired
network either directly through Ethernet cables or via wireless connections to other access
devices. WLAN may also be used for establishing LAN-to-LAN bridges that usually involve
providing connectivity between buildings without the use of cabling. The current generation of
APs have one or more (typically two) radios with the 802.11n standard but are backward
compatible to support legacy 802.11a/b/g protocols. Increasingly, WLAN vendors are
introducing APs that support the emerging 802.11ac standard.
Independent (traditional) AP: Independent (in-building, standalone) access points, or
traditional access points, include network processing hardware, are set up and configured with
standalone configuration tools, and have a full feature set that allows them to operate as
independent endpoints on the wired network.
Dependent AP: Dependent access points ("thin" or "light" or "managed" or "in-building-thin"
access points) rely on a centralized controller or alternate management and control platform
(integrated, cloud based, or virtualized) for operation and management. They may be lighter in
©2015 IDC #US40653915e 7
terms of onboard network processing hardware, although that difference has started to erode
recently as controller-based architectures are also being deployed using alternate centralized
or decentralized solutions for provisioning and managing network parameters and policies.
Gateways/routers: Gateway/routers are networking devices that connect local area networks
(LANs) at home or SOHO environments to wide area networks (WANs) or other LANs. The
WAN connectivity can be provided through cable modems, DSL modems, or a cellular/mobile
network.
Strategies and Capabilities Criteria
The importance of a vendor's characteristics to project success and relevance of the particular issue
combined with IDC's opinion about the impact those elements have on the selection of firms implies a
unique weighting of these elements when evaluating a vendor's overall strategy and capability to
address market opportunity and realizing market success (see Tables 1 and 2).
In addition to the criteria for success having varying weights, IDC believes the aggregate criteria
(offering, go to market, and business) should also be weighted. Table 3 illustrates the relative weights
used in this analysis.
TABLE 1
Key Strategy Measures for Success: Worldwide Enterprise WLAN Vendors
Strategies Criteria Market-Specific Subcriteria Definitions
Subcriteria
Weights
Offering strategy
Functionality or
offering road map
Future plans for offering functionality are well aligned with current and future
customer needs and with priority customer segments.
2.5
Delivery model Plans are in place for support of offering delivery model(s) that will match the
shifting preferences of customers for adoption/consumption in the next five years
and allow them to successfully capture revenue flow as it shifts among different
delivery models (e.g., packaged software versus SaaS).
2.0
Cost management
strategy
Strategies for developing and producing the supplier's offering lead to competitive
offering costs and support competitive pricing, customer engagement, and future
opportunities.
1.0
Portfolio strategy The offering is well supported and enhanced by a portfolio of complementary
offerings offered by the company or its ecosystem of partners.
2.0
Range of services
strategies
Vendors may be rated on adoption and plans for contract terms, licensing, and
pricing arrangements that customers want to see in the future as well as the level
and range of support and tools that will be provided by the vendor to support the
demands of clients in the near future.
1.0
Future integration
strategy
In the enterprise WLAN market, integration primarily refers to how the WLAN
portfolio interoperates with the wired switching element of the network
infrastructure. In particular, this refers to the unified management of wired and
wireless in a single vendor or multivendor infrastructure. This also can refer to
support for SDN open networking standards.
1.5
Offering strategy total 10.0
©2015 IDC #US40653915e 8
TABLE 1
Key Strategy Measures for Success: Worldwide Enterprise WLAN Vendors
Strategies Criteria Market-Specific Subcriteria Definitions
Subcriteria
Weights
Go-to-market
strategy
Pricing model The supplier's pricing model strategy is directly aligned with customers' preferences
for payment (e.g., license, service, per seat, per transaction).
2.5
Sales/distribution
strategy
The sales/distribution strategy is aligned with the way customers want to buy the
offering (e.g., online, offline, direct, indirect).
2.5
Marketing strategy There is a robust game plan/strategy for all relevant facets of marketing (e.g.,
brand development, promotion, demand generation) that matches where revenue
is predicted to flow over the next five years.
2.5
Customer service
strategy
Strategy effectively retains customers and continues to innovate in customer
retention and service areas, with the implication that the company will be able to
achieve the level of service and support demanded by customers over the next
three years, or as a low-cost provider, the company has a plan in place for
customer service that will be universally embraced.
2.5
Go-to-market strategy
total
10.0
Business strategy
Growth strategy Management has a strong formula for growth for the company and one that aligns
well with the market trends anticipated over the next three to five years. This
includes the forces of the M&A landscape over the next three to five years and their
potential to add value to the WLAN portfolio or pose a threat to its long-term
viability.
2.0
Innovation/R&D pace
and productivity
The innovation model of the company maximizes its potential to generate market
value.
4.5
Financial/funding
model
The strategy of the company for generating, attracting, and managing capital
maximizes its potential for creating market value.
1.0
Employee strategy The strategy of the company for attracting, motivating, and retaining talent
maximizes its opportunity for creating market value.
1.0
Other business
strategies
Partnerships with complementary technology vendors, the channel, and service
providers will be developed and maintained in a way that adds value for both the
vendor and its end customers.
1.5
Business strategy
total
10.0
Source: IDC, 2015
©2015 IDC #US40653915e 9
TABLE 2
Key Capability Measures for Success: Worldwide Enterprise WLAN Vendors
Capabilities Criteria Market-Specific Subcriteria Definitions
Subcriteria
Weights
Offering capabilities
Functionality/offering
delivered
Current offerings, architectures, methodologies, and best practices match directly
with current customer needs and with current vendor skills to deliver maximum
customer benefit.
3.0
Delivery model
appropriateness and
execution
The offering is delivered today in the way(s) that matches customers' preferences
for adoption/consumption.
2.0
Cost competitiveness The cost structure for this offering is competitive yet supports the flexibility required
to adjust to the pricing models that customers want today.
1.0
Portfolio benefits
delivered
The offering is well supported and/or enhanced by a portfolio of complementary
offerings.
2.0
Range of services Range of services should include the geography component when appropriate.
Vendors may be rated on typical contract terms and pricing arrangements as well
as rated on the level of implementation support and tools provided. Measurements
may include cost, implementation issues/cost, and pricing arrangements.
1.0
Integration Integration primarily refers to how the WLAN portfolio interoperates with the wired
switching element of the network infrastructure. In particular, this includes the
unified management of wired and wireless in a single vendor or multivendor
infrastructure. This also can refer to support for SDN open networking standards.
1.0
Offering capabilities
total
10.0
Go-to-market
capabilities
Pricing model options
and alignment
The supplier's pricing model is directly aligned with customers' preferences for
payment (e.g., license, service, per seat, per transaction).
2.0
Sales/distribution
structure and
capabilities
The sales/distribution organization is aligned with the way customers want to buy
the offering (e.g., online, offline, direct, indirect).
2.0
Marketing There is a robust game plan for all relevant facets of marketing (e.g., brand
development, promotion, demand generation), and the vendor is able to execute
on this plan in the near term.
2.5
Customer service Customer service effectively retains customers and demonstrates innovation in
customer retention and service areas or is a low-cost provider that executes a plan
for customer service that will be universally embraced.
2.5
Other go-to-market
capabilities
Vertical offerings strategy includes the future ability of the vendor to market
products that are relevant to target customers and in line with the vendor's
competencies.
1.0
Go-to-market
capabilities total
10.0
©2015 IDC #US40653915e 10
TABLE 2
Key Capability Measures for Success: Worldwide Enterprise WLAN Vendors
Capabilities Criteria Market-Specific Subcriteria Definitions
Subcriteria
Weights
Business
capabilities
Growth strategy
execution
Management is executing well on its formula for growth for the company. This
includes the forces of the current M&A landscape and their potential to add value to
the WLAN portfolio or pose a threat to its long-term viability.
2.5
Innovation/R&D pace
and productivity
The company's pace and productivity of innovation are generating market value. 3.0
Financial/funding
management
The company is generating, attracting, and managing capital to create market
value.
2.0
Employee
management
The company is attracting, motivating, and retaining the necessary talent to create
market value.
1.0
Other business
capabilities
Partnerships with complementary technology vendors, the channel, and service
providers are developed and maintained in a way that adds value for both the
vendor and its end customers.
1.5
Business capabilities
total
10.0
Source: IDC, 2015
TABLE 3
Aggregate Criteria Weighting for Worldwide Enterprise WLAN Vendors
Weighting
Strategies Criteria Capabilities Criteria
Offering 4.0 5.0
Go to market 3.0 3.0
Business 3.0 2.0
Total 10.0 10.0
Source: IDC, 2015
©2015 IDC #US40653915e 11
LEARN MORE
Related Research
IDC MaturityScape: Enterprise WLAN (IDC #US40211115, December 2015)
IT's 3rd Platform Drives Need for Network Innovation (IDC #259317, September 2015)
Market Analysis Perspective: Worldwide Enterprise Communications Infrastructure, 2015 (IDC
#259364, September 2015)
Worldwide WLAN 2Q15 Market Share Update (IDC #259193, September 2015)
The Next Wave of 802.11ac WiFi Is Coming: What Enterprise IT Needs to Know (IDC
#256787, June 2015)
Worldwide Enterprise WLAN 2014–2018 Forecast (IDC #252694, December 2014)
Synopsis
This IDC study provides an assessment of the capabilities and business strategies of 12 vendors in the
worldwide enterprise WLAN market for 2015–2016.
"There is a vast range of enterprise WLAN options speaking to the many needs of the market," says
Nolan Greene, research analyst, Enterprise Network Infrastructure. "The 802.11ac standard, cloud-
based delivery models, network analytics and value-added services, and technology partnerships are
bringing about new possibilities for organizations to fulfill business objectives through the WiFi
network. This IDC MarketScape can be helpful to organizations that are considering a move to a new
enterprise WLAN solution, including new deployment options."
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