This forecast study explored the technological, economic, and regulatory implications of Software-Defined Networks (SDN) and Network Functions Virtualisation (NFV). It finds that SDN and NFV will play an important role in the future telecommunications landscape with the most important usage scenarios being Virtualisation of Mobile Core Networks, Virtualisation of Content Delivery Networks and Virtual Network Platform as a Service.
Focussing on these usage scenarios, the study describes corresponding Capital Expenditure and Operating Expenditure reductions. While cost reductions–ranging between 3.7% and 9% of total cost–are significant, they appear to be somewhat lower than expectations presented in industry outlooks
As regards the regulatory implications of SDN and NFV, the present study shares the Body of European Regulators for Electronic Communications' view that it is premature to make any specific recommendations. However, the experts involved in this research clearly highlighted access (to virtual networks) regulation as the most likely area where new rules may be necessary.
Expected exploitation of the results
The study was useful on providing insights of the role of SDN/NFV in the next Research and Innovation Programme (2018-2020) as well as in confirming that it would be premature to consider these technologies under the review of the regulatory framework for electronic communications.