Network as a Service: Trends and Innovations

Network as a Service: Trends and Innovations

Taylor Grenawalt

Director,  Research & Insights

July 6, 2023

8 Minutes

As enterprises continue to adopt cloud-based technology solutions and seek to optimize operational and technological efficiency, there has been a growing prioritization of flexible and scalable networking solutions among businesses across industries. As a result, Network as a Service (NaaS) has emerged as a compelling alternative to traditional network infrastructure design, deployment, and maintenance.

 

What is Network as a Service?

Network as a Service technologies represent the cloud tools that allow businesses to access, operate, and utilize network services without the need to build, own, or maintain the physical networks and supporting infrastructure.

Often provided on a subscription basis, NaaS allows enterprises to replace on-premise and legacy networking hardware with software services that can run network functions with a simple internet connection. Along with programmable and software-defined networking (SDN) capabilities, NaaS providers may also or alternatively offer network hardware rental, often supplemented with operational and maintenance services.

In either model, Network as a Service represents an efficient, scalable, cost-effective solution for businesses seeking to outsource networking and security functions and replace legacy networking tools.

 

What are the Business Functions of Network Services?

“In an environment characterized by cloud computing, remote work, and mission-critical networking needs, NaaS technologies represent an efficient solution for achieving improved network performance and reliability.” - Partho Mishra, CEO, Ramen Networks

The following represent some of the primary business use cases and functions of network services:

Routing is the process of directing data packets from one network to another. Networking technologies use routing protocols to identify the most efficient path for data packets to travel across the network.

Switching represents the forwarding of data packets from one device to another on the same network. Switching protocols are used within networking to determine the end device for forwarding incoming data packets.

Load Balancing distributes network traffic across multiple servers or devices to minimize overload risk. These tools serve to distribute traffic, ensuring optimal network performance and reduced downtime risk.

Quality of Service mechanisms prioritizes network traffic based on traffic importance.

Network Security includes firewalls, virtual private networks (VPNs), intrusion and detection tools, and other solutions designed to prevent and protect against network security threats.

Redundancy is the duplication of network components or infrastructure. Networking technologies incorporate redundancy features to ensure uptime and an operational network environment.

Monitoring & Management tools enable the optimization of network features, the efficient resolution of identified issues and risks, and the efficient operation of network services.

 

How has Networking and Network Infrastructure Evolved Over Time?

Early Networking

During the early days of enterprise networking, businesses built their own internal network infrastructure facilitating digital business connectivity between branches, business units, and devices. This form of networking infrastructure, traditionally built by internal IT teams or external network operators, required the deployment and maintenance of various hardware and software systems that interacted to provide and support the network infrastructure.

visual of a city and the network usage that naas vendors and naas enables across different networking components vs legacy network configurations

With this approach, businesses would need to design and deploy various hardware systems to access and utilize networking features, often requiring heavy upfront investment and ongoing maintenance needs. This was both cost-prohibitive and a technological barrier to startups and small- and medium-sized businesses (SMBs). 

Many enterprises employing early networking technologies often built their own internal corporate networks that facilitated the connection between geographically disparate offices and business units. In doing so, they would need to configure wide area networks (WAN), which connect computers and offices over long distances, deploy networking hardware and software at each location, and establish dedicated multiprotocol label switching (MPLS) solutions to facilitate network connection between each location.

 

The Rise of SDN and Virtualization

Following the early days of networking technology, software-defined networking (SDN) and network function virtualization (NFV) emerged and catalyzed networking innovation and advancement.

SDN represents a type of networking architecture that separates the control plane from the data plane in a network – separating how network traffic is routed (control plane traffic is sent to a device or generated on a device) from actual network traffic forwarding (data plane traffic is forwarded through a device). This approach facilitates greater network control and flexibility, as the control plane for network devices, such as routers and switches, is centrally managed through software solutions.

Alongside SDN, network function virtualization has been a meaningful driver behind network technology development. The NFV architecture concept utilizes virtualization technology to replicate and replace the traditional hardware and software technologies that enable network services, such as routers, switches, and firewalls. The deployment of NFV solutions has allowed enterprises to achieve greater network efficiency, automation, and adaptability without needing hardware components or maintenance.

 

Modern Network as a Service Solutions

Driven by SDN, NFV, and related technological advancements and accompanied by the quickening pace of cloud migration, NaaS has come a long way since the hardware-intensive days of the past. Network service solutions today often incorporate various network functions and tools, providing enterprises with a holistic and efficient means of deploying and managing internal networks.

Modern NaaS solutions and their development and advancement also benefit from various technological trends. Automation capabilities enable greater network efficiency and scale while supplementing IT resources and capacity. Furthermore, NaaS functionality extends network infrastructure to allow for greater device management, monitoring, and optimization in an environment of growing IoT device connectivity.

 

What are the Business Benefits and Advantages of Using Network as a Service Technologies?

  • Replacement and Consolidation of Legacy Networking Tools
  • Network Infrastructure Scalability and Flexibility
  • Simplified and Integrated Network Management
  • Hardware Investment and Maintenance Cost-Savings
  • Automated Network Orchestration and Services
  • Optimized Network Operations

 

The Network as a Service Landscape

Network as a Service Market map showing the naas vendors including service provider and naas provider that help enable enterprise customers with naas services for networking capabilities

Wide Area Networking (WAN)

This segment of NaaS allows organizations to connect their geographically dispersed offices and data centers and access cloud-based applications and services.

Packet Fabric’s offerings include point-to-point connectivity, multi-cloud routing, hybrid cloud connectivity, and custom networking solutions.

Aryaka is a provider of managed SD-WAN, multi-cloud networking, and managed SASE offerings.

Cato Networks’ platforms include converged cloud-native services that securely and optimally connect all branches, data centers, people, and clouds

Senet provides IoT connectivity architecture, low-power wide area networking, and network connectivity services and solutions.

Versa Networks, available via the cloud, on-premises, or as a combination, connects enterprise branches, teleworkers, and end users securely and reliably to the applications in the cloud or data centers.

Open Systems operates a secure SD-WAN and SASE platform that helps organizations connect and protect their distributed networks.

Fortinet manages a comprehensive network security platform and product portfolio, including orchestration, SD-WAN, and SASE capabilities.

Aruba Networks offers an end-to-end orchestration and automation platform for the entire network – from branch to data center, wired and wireless LAN to WAN

Cisco Meraki boasts a variety of networking products and hardware, including smart IoT solutions, cloud-managed access, secure SD-WAN, and LAN controllers and solutions.

Arista Networks manages a comprehensive suite of networking solutions, including cloud networking, enterprise WAN, and data center networking products.

Apcela provides cloud connectivity and networking solutions, SD-WAN and professional networking services, and managed cloud and network security.

Local Area Networking (LAN)

This segment of NaaS focuses on providing organizations with on-premises networking solutions to connect their local devices and infrastructure.

Ramen Networks is a NaaS provider that offers secure and quickly deployable wireless network coverage in uncarpeted enterprise environments.

Nile‘s simplified NaaS offering, driven by AI optimization, resilient architecture, and redundant reliability, handles all of an enterprise’s network operations.

Aruba Networks offers an end-to-end orchestration and automation platform for the entire network – from branch to data center, wired and wireless LAN to WAN.

Extreme Networks provides a cloud-managed LAN solution that includes wired and wireless access points, switches, and network analytics tools.

Ubiquiti Networks’ portfolio includes various LAN products, including operating systems, hardware, and other networking solutions.

Juniper Networks operates Mist AI, which leverages AI/ML to optimize and simplify operations across wireless and wired LAN and SD-WAN domains.

Cisco Meraki boasts a variety of networking products and hardware, including smart IoT solutions, cloud-managed access, secure SD-WAN, and LAN controllers and solutions.

Data Center Networking

This segment of NaaS provides organizations with a way to manage and automate their data center networks.

Arista Networks manages a comprehensive suite of networking solutions, including cloud networking, enterprise WAN, and data center networking products.

NVIDIA’s data center network offerings include switches, digital twin capabilities, network operating systems, and network operations tools.  

Apcela provides cloud connectivity and networking solutions, SD-WAN and professional networking services, and managed cloud and network security.

DriveNets operates a networking platform comprised of software-based cloud-native networking solutions, multiservice networks, network orchestration, and data center network interconnectivity.

Megaport’s offerings include multi-cloud connectivity for optimized environment and application performance and management and data center interconnectivity solutions.

Multi-Cloud Connectivity

This segment of NaaS provides organizations with a way to connect and manage their multiple cloud environments. It refers to the delivery of networking services and capabilities for connecting multiple cloud service environments.

Apcela provides cloud connectivity and networking solutions, SD-WAN and professional networking services, and managed cloud and network security.

Arista Networks manages a comprehensive suite of networking solutions, including cloud networking, enterprise WAN, and data center networking products.

DriveNets operates a networking platform comprised of software-based cloud-native networking solutions, multiservice networks, network orchestration, and data center network interconnectivity.

Alkira provides a cloud-based NaaS platform that enables organizations to connect their multi-cloud environments, unify and connect their sites and users, and automate network management.

Megaport’s offerings include multi-cloud connectivity for optimized environment and application performance and management and data center interconnectivity solutions.

Equinix software-defined interconnection and network offerings enable users to create robust hybrid multi-cloud architectures.

Arrcus manages a comprehensive network solution portfolio, including flexible multi-cloud networking tools to simplify network management and cloud connectivity.

Prosimo is a platform delivering autonomous multi-cloud networking solutions that integrate various cloud services for networking, performance, security, and observability.

Conclusion and Looking Forward

The evolution of Network as a Service technologies presents an attractive opportunity for modern enterprises. As a networking game-changer, NaaS offers a viable, innovative alternative to the traditional complexities and cost-intensive nature of network infrastructure deployment and maintenance. It effectively replaces and consolidates legacy networking tools, providing scalable, flexible solutions while offering integrated network management.

NaaS, buoyed by advancements in software-defined networking and network function virtualization, delivers notable benefits beyond cost savings. Automated orchestration services allow businesses greater control over their networks, thereby optimizing network operations. From routing and switching to quality of service mechanisms and network security, NaaS addresses modern businesses’ general networking requirements.

Ultimately, NaaS presents an evolution in networking technology and a revolution in how businesses approach, manage, and utilize their network services. It promises a future where network performance and reliability are no longer luxury ideals but achievable, scalable realities for businesses of all sizes and industries. Through NaaS, the enterprise networking landscape is rapidly transforming, delivering profound efficiency and operational benefits.

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