U.S.telecom behemoth, Verizon Communications Inc. (VZ - Free Report) has integrated Versa Networks to its software defined networking (SDN) solutions.
Notably, the company’s motive is the expansion of managed services to a broader segment of small and medium businesses in response to rising demand for virtualized services.
In fact, Verizon’s SDN solutions platform includes software-based networking, cloud-based end-user management and virtualized security services that is used to simplify branch network architectures.
Interestingly, this telecom behemoth will use in its existing SD-WAN services, Versa Networks’ Versa FlexVNF (virtual network functions) Software, which combines networking and security functions in a single software to provide a suite of Layer 3 to Layer 7 IP services built on a cloud-native, multitenant software platform.
Moreover, Verizon will help clients to condense complexity and manage costs by virtualising various components of a branch office. Additionally, public and private network connectivity management, wireless connectivity, multisite network support, application based quality of service and multilayered securities are considered to be other different components.
We note that Verizon’s SD-WAN vision has already gained market recognition.
Recently, to upsurge SD-WAN service, Verizon allowed customers access to a new library of VNFs based on Cisco System Inc.’s (CSCO - Free Report) Virtual Managed Services (VMS) platform.
Furthermore, the company inked a managed services deal with Ericsson (ERIC - Free Report) of late, wherein the latter will be deploying Verizon's Managed Software Defined Wide Area Network (SD WAN) for its corporate IT. The contract includes virtualized security services and Managed Enterprise Radio Access Network (E-RAN) solutions. Per the deal, Ericsson will utilize virtualized network functions (VNFs) as a utility in a pay-as-you-go model.
Earlier this year, Verizon’s rival firm CenturyLink Inc. (CTL - Free Report) also decided to offer managed enterprise services in association with Cisco Systems Inc.’s subsidiary, Cisco Meraki, in an effort to establish itself in-cloud infrastructure and hosted IT solutions arena designed for enterprise customers.
Share price of Verizon increased 6.4%, outperforming the industry’s gain of 0.7% in the last three months. The company currently holds a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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