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At a Glance
From humble beginnings of low bandwidth to today's gigabit speeds, this ebook reflects significant advancements in technology, shifting from fixed-line infrastructure to internet-based models, offering flexibility and cost efficiencies to help inform your investments during a network modernisation.
As the landscape continues to evolve with wireless solutions like Space X’s satellite project, connectivity has become ubiquitous, revolutionising societal norms and business interactions. Through strategic interventions and technological innovations, businesses have leveraged connectivity to enhance operations and reduce costs, demonstrating the transformative power of technology in today's interconnected world.
Procuring and implementing new network technologies is no small feat. In this ebook, we dive deep into the various factors that influence purchasing decisions and use real-world case studies to determine what leaders must prioritise for a successful network modernisation.
A Short History of Network Modernisation
Summary
The story of network modernisation dates back to the 1980s and 1990s, a time when connectivity was primarily focused on serving larger corporations, marking the initial steps towards a more inclusive network ecosystem. Initially confined to major enterprises, the landscape gradually broadened, laying the groundwork for the evolution of connectivity technologies over five decades. From modest beginnings with bandwidth as low as 9.6 kilobits to today's era of gigabit speeds, the progression illustrates significant advancements in network technology, shifting from fixed-line infrastructure to internet-based models, offering greater flexibility and cost efficiencies for organisations seeking global connectivity.
The landscape of connectivity continues to evolve, characterised by a shift towards wireless solutions, as seen in initiatives such as Space X’s satellite proliferation project, aiming to provide global connectivity through innovative wireless technologies. This wireless paradigm not only expands the reach of connectivity but also underscores a relentless pursuit of ubiquitous access, spanning corporate and individual domains alike. From the early days of corporate networking to today's era of widespread connectivity, this journey reflects a commitment to harnessing the power of technology to connect and empower individuals and organisations, transforming the way we conduct business and interact with the world.
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Key Insight
Embracing wireless solutions can extend connectivity's reach, fostering ubiquitous access across corporate and individual domains.
Market Trends & Emerging Technologies
Part 1: Market Forces Driving Change
The prevailing market trends influencing organisational connectivity strategies reveal two key themes. Firstly, the transition to cloud services, exemplified by the widespread adoption of Software as a Service (SaaS) and platforms like Azure and AWS, is reshaping connectivity approaches, necessitating increased bandwidth and optimised internet access. Secondly, the rise of hybrid working dynamics, accelerated by the COVID-19 pandemic, is prompting cost optimisation strategies as organisations reconsider the necessity of extensive office infrastructure in favour of remote working arrangements.
Moreover, operational challenges due to the scarcity of skilled networking professionals are leading organisations to seek support from managed service providers (MSPs) to manage complex underlay networks. Heightened tolerance for downtime, particularly in industries like manufacturing, underscores the need for resilient network infrastructure, while a focus on cost optimisation drives efforts to reduce network expenditure through solutions like Software-Defined Wide Area Networking (SD-WAN). These trends reflect the evolving nature of connectivity strategies, demanding adaptation and innovation to meet the changing demands of the digital era.
Part 2: Innovations Reshaping Networks
The dynamic evolution of connectivity is driven by pioneering technologies reshaping network solutions.
Dense Wave Division Multiplexing (DWDM) has transformed long-haul networking, enabling data transmission rates of up to 400 gigabits per second (Gbps) on private connections and facilitating highly resilient network architectures adaptable to changing requirements. Moreover, mid-mile optimisation solutions offer cost-effective approaches to enhancing network performance over intermediate distances, while Low Earth orbit (LEO) satellite connectivity extends broadband access to remote regions with low-latency, high-speed connectivity, providing resilience against terrestrial network disruptions.
These advancements highlight the transformative potential of modern connectivity technologies, empowering organisations with enhanced capabilities to meet the evolving demands of the digital era.
Key Insight
DWDM, fibre broadband, 5G, mid-mile optimisation, and LEO satellites can all enhance network efficiency, reduce latency, and unlock new growth opportunities. Therefore, a strategic procurement tailored to your organisation's needs is essential to stay competitive.
Perfecting Your Procurement Strategy
Part 1: Navigating the Landscape of Suppliers
When procuring network infrastructure, businesses encounter diverse supplier options, including global ISPs, offering extensive coverage but potentially higher costs beyond their territories; infrastructure operators and dark fibre suppliers, catering to bespoke connectivity needs; regional ISPs, balancing expertise and pricing for specific geographical areas; local ISPs, providing cost-saving opportunities but requiring scrutiny for network capacity and potential risks; and aggregators, streamlining procurement by consolidating contracts from various providers.
Navigating this landscape requires careful consideration of factors like coverage, service quality, cost, and contractual complexities, with engagement across multiple suppliers optimising network capabilities while mitigating risks and leveraging cost efficiencies.
Part 2: Key Business Drivers in Procurement
When embarking on network procurement, it's vital for businesses to first understand their specific needs, with key considerations including cost optimisation, technological advancements, complexity management, and service level agreements (SLAs) to effectively enhance their connectivity infrastructure. Transitioning to new solutions in today's market requires efficient cost optimisation strategies to ensure a robust financial rationale, alongside adapting to rapid technological advancements and the evolving demands of modern enterprises.
Managing complexity in operations and contracts becomes increasingly crucial, particularly for multinational corporations, emphasising the simplification of contracts and consolidation of services to mitigate operational complexities effectively. Clients also prioritise tailored SLAs and improved availability to enhance user experience, necessitating custom solutions supporting various connectivity options. Additionally, considerations in procurement include assessing infrastructure resilience, peering agreements for efficient cloud-based services, last-mile diversity for enhanced resilience, evaluating international connectivity capacity, and streamlining billing and contractual processes to reduce organisational overheads.
Part 3: Maximising Your Cost Optimisation
Cost optimisation in connectivity relies on a strategic approach focusing on three key areas to ensure optimal performance while maximising cost efficiency. Firstly, bandwidth management serves as the cornerstone, requiring meticulous assessment of bandwidth requirements and traffic patterns to determine optimal capacity, with options like optimisation techniques crucial in regions where bandwidth costs are a significant concern, such as countries where each additional megabit incurs substantial expenses.
Secondly, exploring alternative connectivity options, especially transitioning to internet-based connectivity and leveraging middle mile technologies or tier one ISPs, can yield substantial cost savings without compromising performance, particularly in markets where traditional MPLS services are prohibitively expensive.
Moreover, architecture transformation presents an opportunity for significant cost optimisation, with companies transitioning from traditional MPLS to hybrid WANs or SD-WAN architectures benefiting from cost savings and the ability to implement WAN optimisation techniques, crucial in markets with high bandwidth costs. By re-evaluating connectivity policies and routing mechanisms, organisations can prioritise critical traffic over lower-cost circuits, segregating non-essential traffic onto high-capacity broadband connections to optimise costs without compromising the performance of mission-critical applications.
Key Insight
Navigating the complexities of network infrastructure procurement demands strategic evaluation of a diverse supplier ecosystem, ensuring alignment with operational needs, cost considerations, and performance expectations. Informed decision-making is paramount to unlocking the full potential of digital infrastructure, enabling businesses to achieve optimal performance and cost efficiency in the evolving digital landscape.
Success Stories
Part 1: Regional Studies
When navigating diverse global landscapes, businesses encounter unique challenges and opportunities in enhancing connectivity infrastructure. In one European country, a retail client faced challenges with connectivity across multiple sites, leading to a cumbersome support model and delays in issue resolution due to the multi-layered infrastructure. Seeking modernisation, they aimed to boost capacity, consolidate suppliers, and improve support efficiency. Through an innovative approach, we enhanced network capacity, improved support, and contained costs, laying a robust foundation for future growth.
In the Middle East, a customer's presence across 12 locations necessitated leveraging the country's diverse ISP landscape for network resilience. Although this approach may incur slightly higher costs, the benefits were significant. Conversely, a global business transitioned away from costly MPLS networks to another approach which achieved substantial cost reductions without compromising performance. Read the full chapter to discover more about each client and the strategy we used to help them succeed.
Part 2: Tangible Outcomes
In this section we explored more case studies, digging into the tangible metrics around different kinds of projects.
In a Central American country, StableLogic collaborated with a customer to overhaul their network infrastructure across multiple sites, resulting in a significant increase in bandwidth and reduction in costs. The transition not only enhanced network capacity but also achieved a remarkable reduction in network costs.
Similarly, in Southeast Asia, StableLogic addressed connectivity challenges for a customer managing numerous sites by implementing a dual connectivity model that utilised SD-WAN technology. This strategic shift significantly boosted bandwidth capacity, reduced downtime, and slashed costs. For more case studies, and exact figures and results, download our ebook to read the full chapter.
Part 3: StableLogic's Performance Testing Tool
StableLogic offers a performance testing tool that deploys network-agnostic agents on-site where users are located, in data centres or cloud platforms, and across the internet. Tests conducted across different countries and for various customers revealed significant enhancements in real-life throughput, reductions in latency, and notable reductions in packet loss, leading to improved user experience.
Post-migration, the simplified design resulted in enhancements in application and website performance, along with reductions in errors such as packet duplication and reordering. The Mean Opinion Score (MOS) showed significant increases, surpassing the threshold of four and indicating good network performance, which extended to voice and video quality, highlighting the tangible benefits of StableLogic's solutions in optimising network efficiency and end-user satisfaction.
Key Insight
Through strategic interventions and technological advancements like SD-WAN, you can deliver tangible improvements in network infrastructure, cost reduction, and resilience, emphasising the importance of understanding regional factors for optimal performance.
Concluding Thoughts
The pursuit of connectivity remains a central theme in contemporary business strategies, necessitating a holistic understanding of business drivers, market dynamics, and performance metrics to drive meaningful transformation and stay competitive in today's interconnected world.
By understanding the context of today's innovation, combined with real-world case studies demonstrating success for global businesses, you can discern the key considerations that unlock network potential across all companies. Read the full ebook to discover what they are.
We recommend bringing on experts from the global connectivity industry to help guide your network modernisation. Here at StableLogic, we are able to offer you guidance on implementing a world-class strategy because we have led projects like these for over 30 years.
We are a completely independent consultancy, meaning we are not partial to any supplier. We run procurements fairly and impartially, giving every vendor equal consideration while balancing our expertise and the best interest of you, our client. We can assist in every phase of your network modernisation, depending on your requirements.
Please do get in touch if our expertise could assist your next global connectivity project.