Rayno Report: SDN/NFV to Drive Carrier LSO Software Market to $2.75B by 2019

Survey indicates global operators want to invest in provisioning, orchestration, and support software for dynamic services.

Mar 02, 2015, 08:24 ET from Rayno Media Inc.

BOZEMAN, Mont., March 2, 2015 /PRNewswire/ -- The Rayno Report's premium research division has released its second report of six planned for 2015, "Service Provider Lifecycle Service Orchestration (LSO) Overview and Market Forecast," which indicates that the market for LSO software could reach $2.75B by 2019. This growth will be driven by the continued rise in SDN and NFV within the carrier infrastructure.

The 32-page report, produced by Rayno Media Inc. and distributed by The Rayno Report (www.raynoreport.com/premium_research) indicates there is strong demand from service providers to increase the agility and flexibility of dynamic enterprise data services. They see the deployment of next-generation LSO software, which handles integrates orchestration, fulfillment, control, performance, assurance, usage, analytics, security, and policy of enterprise networking services, as the way to do that.

The findings of the report are based on a joint survey, "Emerging Dynamic 'Third Network' Services & The Role of LSO," conducted with the MEF. Through the survey and individual interviews, the Rayno Report collected data from professionals at more than 60 service providers around the world.

Some additional findings:

  • The LSO market will emerge by merging and integrating technologies in existing Operation Support Systems (OSS), SDN and NFV markets, along with a new class of native LSO software.
  • Software Defined Networking (SDN) and Network Functions Virtualization (NFV) will be key drivers of LSO.
  • Global operators have expressed skepticism that existing OSS and BSS systems are ready to take on the emerging SDN/NFV landscape, according to the LSO Market Survey.

R. Scott Raynovich, Chief Analyst of the Rayno Report and the author of the report, said the findings of the research were conclusive and powerful.

"Our research indicates the global telecom carriers without a doubt have now 'seen the light' in the power of the cloud model and they want to invest in technology that gives them more dynamic provisioning, management, and monitoring of network services," said Raynovich.

"The communications industry is transitioning toward the delivery of more dynamic connectivity services over more automated and interconnected networks," said Stan Hubbard, Director of Communications and Research at the MEF.  "The MEF is defining LSO capabilities and supporting APIs that will help overcome OSS challenges that stand in the way of realizing the full benefits of SDN- and NFV-enabled networks. Our joint survey with the Rayno Report provides insight into the pace of change and key obstacles to overcome along the way."

Companies mentioned and/or discussed in this report: Alcatel-Lucent, Amdocs, Anuta Networks, CENX, Ciena, Cisco Systems, Cyan Networks, Ericsson, Glue Networks, Infovista, Netcracker, Oracle, Overture Networks, Siaras, UBIqube, and WebNMS.

The report is available immediately for a single-user license of $850 at http://raynoreport.com/premium_research/. For multi-user enterprise licenses, please inquire at sales@raynoreport.com.

About the Rayno Report:

The Rayno Report (http://www.raynoreport.com) covers innovation and investment in the connected world, with an emphasis on the convergence of communications and cloud services. We publish exclusive analysis and research for an influential audience of thousands of thought leaders, investors, and executives in the financial and technology markets. Through our marketing partners we reach millions of business professionals, investors, and technology buyers around the world.

Our global research draws on partnerships with the leading analysts in specific fields, interviews with experts in global technology and investment markets, and online data analysis. In 2015, The Rayno Report will publish six premium independent research reports on the topics of Cloud WAN Services, LSO, SDN, NFV, and Cloud Security. The premium research is available to subscribers at http://www.raynoreport.com/premium_research

About the MEF:

The MEF is the driving force behind the $70+ billion global market for Carrier Ethernet services and technologies and the defining body for LSO (Lifecycle Service Orchestration) standards that underpin emerging Third Network services with CE 2.0, SDN, and NFV.  An industry alliance consisting of 220+ member organizations based in 43 countries, the MEF operates through a powerful collaborative framework of service providers, network solutions suppliers, and other stakeholders to achieve CE 2.0 and LSO development and globalization objectives.

MEF's flagship work is CE 2.0, including specifications, operational frameworks, and certification programs for services, equipment, and professionals. Visit www.metroethernetforum.org for more details on these programs. 

Building on fourteen years of success with Carrier Ethernet, the MEF is now focused on development of LSO with APIs to enable paradigm-shifting agile, assured, and orchestrated services over more efficient, automated networks. The MEF's vision for the transformation of network connectivity services and the networks used to deliver them is referred to as the "Third Network," which combines the on-demand agility and ubiquity of the Internet with the performance and security assurances of CE 2.0. For information on the Third Network and LSO download the MEF's Third Network Vision & Strategy White Paper and Third Network Lifecycle Service Orchestration (LSO) Vision White Paper.

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SOURCE Rayno Media Inc.