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Dialogic Study: 2014 to Be a Banner Year for NFV

By Steve Anderson December 11, 2013

A new report from Dialogic suggests that 2014 is going to be a major year for network functions virtualization (NFV), and if the report's predictions pan out, a lot of businesses that didn't have it previously will be bringing NFV capability into play. While there are certainly plenty of uses for NFV technology, it's still likely to surprise some who don't quite appreciate the degree of fervor NFV is generating.

How big would the numbers get? Based on the Dialogic study, look for 80 percent of businesses to bring in some kind of NFV capability next year. Most respondents to the Dialogic study expected to put NFV to work with unified communications (UC), though some were looking to 4G and 3G in much lower numbers. This actually runs somewhat contrary to initial projections that said that NFV would probably make its start in the contact center.

Companies in the survey cited scalability and security as some of the biggest hurdles involved in bringing virtualization to current operations, which in turn poses some terrific opportunities for companies involved in selling NFV functions and programs to modify products and draw particular attention to these selling points when trying to establish the value proposition. Further points to note include the realization that 81 percent of respondents suggest that the Central Office will have a greatly reduced role in things, and that purpose-built hardware should be long-lived.

Image via Shutterstock

Expected benefits, meanwhile, relate mainly to capital expenditure and operating expenses, so those who note cost savings as part of a value proposition will likely have some sound results preaching to a choir that's expecting to hear certain points. Indeed, based on the survey, 70 percent of respondents believe NFV will make the company more operationally efficient, and 67 percent believe that NFV is a good capital investment for the long term.

The Dialogic study's clearest value is to those who deal in NFV products and services, who will now find a variety of possibilities in terms of presenting said offerings to companies that are most likely to have an impact on decision making processes. Naturally, the companies not involved in this survey may not respond the same way, but by focusing on the cost benefits of NFV, companies that sell NFV products and services are likely to strike a chord with companies who have an interest in bringing NFV systems into play. Additionally, focusing on the UC end of things should likewise have some benefit for firms, and appealing to interests in value is a great way to present products and services.

The Dialogic survey has plenty to teach about the overall impact that NFV could have on the wider field of enterprise operations, and those willing to learn from said survey should find sound success in the field as well.

Edited by Alisen Downey

Contributing NFVZone Writer

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