Software Defined Networking from IBM_Next Generation Network Agility_ White Paper

Software defined networking
in the new business frontier
The key to meeting next-generation agility, innovation and
application demands
IBM Global Technology Services
Thought leadership white paper
Networking Services

2 Software defined networking in the new business frontier
Contents
2 Introduction
2 Business trends driving the need for network change
4 The value of software defined networking in a software
defined environment
6 SDN fundamentals
9 The roadmap to SDN
10 IBM knows networks
11 Conclusion
Introduction
Today’s enterprise networks fuel the way people live, work and
play, yet their ability to push out the rising volume of data and
applications in real time and meet expectations for ubiquitous,
secure access is increasingly in jeopardy. The pervasiveness
of cloud computing along with the escalating demand for
mobility, social collaboration and analytics continue to place an
enormous strain on enterprise networks. Too often, innovative
development can be stalled for weeks waiting for provisioning
of network services. The cumulative effect can be devastating
for the business.
Highly interactive applications and volatile traffic patterns
demand a network infrastructure that is more agile, more
adaptable, and more in sync with the business it supports.
The need for instantaneous, elastic connectivity across the
enterprise is no longer just an option; it is the table stakes
for a successful business. Whether organizations are actively
pursuing growth opportunities or reductions in IT cost and
complexity, they need a network that is automated, intelligent
and optimized for seamless operation within an increasingly
virtualized and hybrid IT environment.
Software defined networking (SDN) is answering the need for
agility by transforming hardware-intensive legacy networks
into fully programmable, software-driven networks that
streamline operations and the delivery of new services. SDN
creates a centrally managed network that can dynamically sense
and respond to changing workload requirements. Its ability
to automate and orchestrate network services dramatically
reduces complexity, enabling network resources to be deployed
with the same speed as server and storage. This promotes more
innovative development and speeds time to market for new
applications and services, allowing the business to capture new
opportunities and grow revenue.
This paper explores the cloud-era technologies that are
driving the move to SDN, the implications for the enterprise,
and the exceptional business benefits when SDN is deployed
holistically as part of a software defined environment (SDE).
The paper presents IBM’s point of view and outlines the way
forward for SDN transformation.
Business trends driving the need for
network change
For decades, organizations have relied on the underlying
network to link systems and facilitate the transfer of
information. The network’s role as an agent for IT is without
question, with virtually every job, transaction and operation
depending on it. But today it is the network’s role as an agent
for the business that is far more compelling.

Networking Services 3
New technologies—cloud, mobility, social communications
and big data analytics—are reshaping how business gets done
while creating new opportunities for innovation and growth.
The network plays a vital part in enabling these technologies,
which have intensified the demand for bandwidth, throughput
and connectivity anytime, anywhere via any device. Hybrid
IT and the Internet of Things (IoT) are racheting up these
network pressures even further. The massive surge of IoT data
from ordinary things like appliances, roadways and pipelines
will revolutionize business intelligence and decision-making,
but only if the network can handle the volume of connected
devices—which is expected to reach 32 billion by 20201
.
Likewise hybrid IT, hailed as a gateway to infrastructure
agility, cannot succeed without a capable network to support
it. The orchestration of application workloads and data across
cloud and traditional domains depends on the underlying
network infrastructure.
The performance of cloud-era technologies mandates
a network that is integrated, agile and secure, able to
accommodate rapidly changing workload demands flexibly
and dynamically. Such a network can be a growth engine for
the business by:
• Increasing agility and speed to market for innovation and
capitalizing on new opportunities
• Replacing complexity and risk with operational efficiency
• Enhancing the user experience for greater customer loyalty
and retention
The problem is that most corporate networks simply weren’t
designed for this new business environment. Traditional
networks weren’t designed to support the current proliferation
of devices and interactive communications channels, massive
bursts in demand, and applications running anywhere (on
premises or in the cloud). Today’s users want the freedom and
flexibility to connect when, where and how they please, and
they expect fast and secure access to services and information
when they do. All of these converging forces are focusing new
attention on the network and forcing organizations to take a
long, hard look at the underlying infrastructure.
The fact is, most networks are highly inefficient, poorly
utilized and comprised of expensive, specialized appliances
sized for peak capacity. They require a great deal of manual
adminstration, with controls typically embedded in each
hardware device. Because each device is configured separately,
the process of modifying or expanding the network for new
capabilities, workloads or users is time consuming, personnel-
intensive and costly.
The ripple effect of these inefficiencies on the rest of the
IT infrastructure can stifle new development. The flow of
innovative ideas and the deployment of new applications and
services are slowed when the network lacks agility. Whereas
virtualized compute and storage resources can be spun up
almost instantaneously in support of new applications and
changing business conditions, network resources (including
switches, firewalls and load balancers) can take weeks or
months to provision, costing the organization time, money,
and in many cases opportunity. The delays often lead business
users to go around IT to provision their own development
infrastructures in the cloud. While this practice, known as
shadow IT, addresses the needs of individual business units,
it poses considerable risks for the enterprise, complicating
operations, security and compliance.

Security is also hampered by manual network administration.
When deployed applications and services require firewall rules
or access controls to be changed, reconfiguring each network
device can be an arduous and complicated task, putting the
business at risk.
Moreover, when the network fails, the user experience
invariably suffers. When expectations for reliable, secure
connectivity and seamless communication are not met, users
are likely to abandon a website and go to a competitor. In some
cases, a company’s reputation and relationships with customers
can be irreparably damaged.
The network is a critical linchpin for business agility and
growth. By enabling the cloud-era technologies that drive
the development of innovative new applications and business
models, the network can help grow the bottom line. As the
conduit for information and analytics, the network delivers
critical intelligence to inform decision-making, improve
operations and performance, and identify new market
opportunities. While most organizations cannot afford to wipe
the slate clean and build a new network from scratch, new
architectures and approaches are needed to support the rapidly
evolving environment in which the enterprise must operate.
Software defined networking (SDN) is one of those approaches.
SDN is reenergizing the networking space because it fulfills
the promise of an agile networking environment. It removes
the network as a bottleneck to innovation and new service
deployment. It makes the network completely programmable
and able to operate with the same fluidity as software defined
servers and storage. With SDN, switches, routers, and even
whole architectures are capable of dynamically adapting to
changing workload conditions in real time.
Software defined networking answers
the need for a more dynamic, flexible
network infrastructure.
The value of software defined networking
in a software defined environment
SDN is a technology and a philosophy that is changing the
way networks are designed, managed and operated. But its
capabilities and benefits increase substantially when it is
integrated holistically with software defined compute and
storage resources in a software defined environment (SDE).
Software defined environments represent the next generation
of infrastructure automation and agility. With SDE, the IT
infrastructure is completely programmable and application-
aware. Every process is driven by software, eliminating the
need for manual administration. The infrastructure operates
in a more adaptive manner, dynamically and intelligently
responding to application requirements and adjusting to
change as it happens. SDE breaks down the server, storage
and network silos that typically slow responsiveness. It
works across domains to marry the best resources to each
application workload, based on a variety of factors, including
the characteristics of the application, resource availability and
service-level policies.

This holistic orchestration of resources is one of the
hallmarks of SDE. SDE depends on the integration of
compute, storage and networking resources. All three
domains need to be virtualized and automated with software-
driven programmability to enable the kind of orchestrated
provisioning, configuration and management required for a
truly agile IT environment.
Orchestration and automation are centralized in a software-
driven control layer, which leverages predefined templates to
optimize resources for each application workload (see SDE
Model at right). The templates spell out best practices for
how resources should be provisioned and configured, ensuring
that mission-critical production workloads receive priority
access to premium resources and are assigned more stringent
access controls. This allows developers to focus on building
new applications instead of provisioning and configuring the
underlying infrastructure.
Application workloads aren’t tied to specific systems. They run
on the most appropriate combination of hardware, whatever
and wherever that might be. The benefits of this dynamic,
adaptive IT environment include:
• Orchestrated infrastructure provisioning in minutes
• Fast application deployment, enabled by
predefined templates
• Continuous infrastructure optimization and reconfiguration
to respond to unpredictable cycles of demand using
DevOps automation
• Centralized cross-domain management of hybrid
IT resources
The network no longer has to stand in the way of a simpler,
more adaptive, responsive infrastructure. SDN enables the
realization of a fully orchestrated and managed IT environment.
SDE model. In a software defined environment, control is abstracted from the
hardware. It resides instead in a software-driven control layer that orchestrates
resource provisioning and management.
Automation and orchestration
Virtualized infrastructure functions
Business
applications
Software-driven control layer
Physical infrastructure layer
Network Storage Compute
Application layer
API API
Resource abstractions

SDN fundamentals
In a traditional network infrastructure, each switch decides
where traffic should be sent, and it forwards the traffic based
on those decisions. With SDN, these two functions have
been decoupled from one other. The switch still forwards the
traffic, but determining what is sent and to whom is shifted
to a centralized control point, a programmable interface that
automates network management and control, commonly
referred to as the SDN controller.
The SDN controller is aware of what all the nodes on the
network are doing. It logically centralizes network intelligence,
integrating the information and controls for all of the network
switches into a common fabric. Instead of manually setting
individual switch controls, network administrators can
configure settings network-wide using a centralized console.
When network changes need to be rolled out, they don’t have
to be implemented in piecemeal fashion on individual devices.
They can be deployed cohesively, with the software deploying
changes uniformly to all of the devices that need them.
Moreover, changes can be deployed to multivendor switching
equipment using a single interface.
In addition, network administrators have the flexibility to
redirect network traffic as conditions change. The controller
not only simplifies their job by reducing complexity, it enables
the network to better support the needs—and speed—of the
business, however unpredictable they may be.
Vital benefits for business
In a 2014 survey, IDC found that the top drivers for SDN
consideration and deployment were “new application
workloads, virtualization and cloud.”2
SDN’s ability to scale
and reconfigure the network for new capabilities, applications
and users makes it well suited to address these and other
important business objectives.
Agility. SDN’s ability to spin up network services much faster
than traditional networks turns what is currently a weeks-
long provisioning process to minutes. In particular, SDN
makes it easier to connect to and leverage cloud resources
for developing and testing new applications (Use case #1).
Innovative new applications, services and business models
can be brought to market at an extremely accelerated rate,
enabling organizations to capture opportunities and enhance
revenue ahead of competitors (Use case #2). By providing an
agile, open environment for development, SDN encourages
the broadest base of users to collaborate, build and market
applications. Moreover, existing applications that may have
been developed at substantial cost are easier to monetize with a
more capable network.
Use case #1: Burst to the cloud for application scalability and
new innovation
Traffic volatility is a fact of life for most companies. By shifting
applications and services to the cloud, it is possible to cost-
effectively acquire the additional server capacity needed. But
bursting requires a network that is ready to handle the
alternate flow of traffic. SDN is capable of rerouting traffic and
quickly autoscaling to meet the fast-changing demands of
cloud bursting.

Use case #2: Improve speed to market to increase revenue
and business growth
SDN enables organizations to establish a collection of
reusable network templates that can be used to deploy
virtualized networks with all the requisite capabilities (switches,
firewalls, load balancing and more) already automated and
orchestrated. When new applications are ready to be deployed
into production, the templates enable appropriately outfitted
virtualized networks to be provisioned in a matter of minutes.
Reduced risk. SDN-enabled automation and forwarding
decisions improve the security posture of the network by
allowing for more granular, zero-trust network security.
While legacy networks enable perimeter security around the
data center, SDN allows finer-grained security controls to be
wrapped around trust zones, applications and individual virtual
machines. Each asset and user can have its own security profile
based on macro-level policies that define the appropriate
level of protection. Such micro-segmentation allows for the
more effective application of security measures like firewalls
because the underlying rules—which can number into the
tens of thousands for a single organization—are easier to
manage. Modifications are made centrally and then pushed
out so that any asset or user with that profile gets updated
automatically. Policies are enforced as applications and services
are deployed, and policies are removed as those same services
are decommissioned. SDN frees organizations from having
to manually find and modify every instance of a firewall rule.
Furthermore, SDN makes it possible to establish a distributed
firewall system, which can mitigate vulnerabilities in the event
the perimeter firewall is breached or an application exploited
(see Use case #3).
Enhanced user experience. SDN creates a network
environment that is capable of responding to elevated customer
expectations for availability, resilience and responsiveness. It
also is an enabler for the agile platform that allows analytics
to turn massive volumes of network, application and customer
data into actionable business insights. More and more, these
insights are being employed to enhance the user experience.
Operational efficiency. As the scale and complexity of
the network increases, so does the need for visibility and
management. SDN provides both by centralizing and
automating management and control. This not only simplifies
troubleshooting and traffic re-routing, it enables entire service
chains (that is, all of the network services required for a given
application flow) to be provisioned and reconfigured from a
single control point. Long-standing network limitations to IT
efficiency and overall productivity can be overcome.
Use case #3: Protect internal data center traffic with a
distributed firewall
SDN enables more targeted protection while simplifying firewall
administration. Instead of relying on a conventional perimeter
firewall to protect the entire data center, organizations can
create a distributed firewall system, adding virtual firewalls
to protect each virtual machine. This additional layer of
firewall security mitigates a breach in one virtual machine
from leapfrogging to another. In addition, SDN automation
and centralized control enable administrators to quickly view,
modify and curb network activity to limit the chances of a
breach in the first place.

Cost efficiency. SDN offers the potential to significantly
lower current operating costs. Automation and centralized
control reduce the time spent provisioning and managing
the network. By expanding processing capacity, network
virtualization lessens the need for additional capital spending
while enabling considerable savings in power, cooling, cabling
and real estate. SDN also lessens the need for purpose-built
appliances, enabling the virtualization of network functions
like load balancing on lower-cost commodity servers. In
addition, running multiple functions on the same server
platform reduces the degree of over-capacity needed than
when the same infrastructure is deployed using function-
specific hardware appliances.
Network virtualization
Network virtualization is integral to SDN. SDN virtualizes
and abstracts network services (constructs, segmentation and
security) from the physical network infrastructure and defines
them in software, making the network programmable.
In a 2014 survey by SDNCentral, flexibility was cited as the
number one benefit of network virtualization, followed by
operational cost savings, agility and scalability.3
Network
virtualization also allows isolation between virtual instances,
whether for compliance, containment, or just to keep
development, test and production environments from
interacting. It is crucial to containing security risks and
maintaining data privacy in multitenant environments.
There are two approaches for virtualizing the network. The
fabric-oriented approach focuses on operating the network
hardware (fabric) with greater programmability and efficiency.
It is usually done as part of major refresh, and it involves
modifying or purchasing new physical switches. The more
popular and cost-effective approach is to create virtual overlay
networks (software abstractions) on top of the existing physical
network. Overlay virtualization can be deployed incrementally
as needed without any changes to the physical network.
The resulting virtual networks and the applications that run
on them are logically isolated so they can be individually
programmed and managed. Virtual networks speed time to
market for new applications because they allow the creation
of identical virtual development, testing and production
environments, which streamlines promotion from one
environment to the next.
Network functions like load balancing, firewalls and intrusion
detection systems can also be virtualized. Instead of running
these functions on dedicated network appliances, network
function virtualization (NFV) deploys these capabilities
as software on virtual machines. This reduces equipment
costs because it allows network functions to run on standard
commodity hardware. Once virtualized, these functions are
more accessible to the applications that need them.
Fabric-oriented, overlay and network function virtualization
approaches are complementary and can be used individually
or together. SDN as an architectural approach optimizes what
these virtualization techniques can accomplish. It provides
the dynamic intelligence and orchestration that continuously
optimizes the utilization and delivery of virtualized network
resources and the flow of data across the network infrastructure.
IBM SDN reference architecture
As interest in SDN has mounted, the demand to integrate it
into existing network designs has produced a complex array
of technologies and deployment options. IBM has worked
with many of the SDN solution providers to understand the
capabilities and the limitations of these products. We have
incorporated much of this knowledge and experience into a
reference architecture designed to help organizations navigate
the SDN marketplace.

Currently, IBM has defined 16 use cases (such as micro-
segmentation) and more than 100 requirements to help
adapt SDN to different client environments. Requirements
include the need to align network security policies to the
new SDN-driven capabilities, perhaps leveraging metadata
from virtual machines in addition to the standard IP address
segmentation rules.
IBM assets like the reference architecture help clients
determine the best way to use SDN technologies to solve
their organization’s challenges. They explain how to get SDN
technologies up and running quickly and with minimal churn.
The reference architecture provides IBM services professionals
with a blueprint for SDN and for assisting clients with SDN
strategy and design. It helps simplify solution design, shorten
the time to deployment and reduce risk by aligning the
solution to business priorities.
The roadmap to SDN
For the majority of organizations, the business case for SDN
has become clear. A recent survey from Juniper Networks
and Wakefield Research found that 53 percent of IT leaders
already have plans to adopt SDN and 74 percent of them
expect to deploy it in the next year. While those numbers
reflect solid momentum, only 27 percent of the companies
surveyed report being completely ready to adopt SDN.4
The IT infrastructure is continuously changing, becoming
more virtualized, automated, cloud-enabled and hybrid.
With so many moving parts, adding any new technology
can be difficult. That makes SDN readiness vital, and there
are many considerations to take into account. Certainly, the
business drivers must be well understood to make sure SDN
can satisfactorily address current priorities. Business agility
should be front and center among them. The advantages of a
self-provisioning, self-adjusting, fully programmable network
cannot be overstated.
Organizational readiness is imperative. SDN does not merely
improve current networking, it necessitates an entirely new
perspective of networking and IT. However, if current network
operations are ingrained, networking personnel might not see a
reason to change, especially if nothing is fundamentally broken.
They may be concerned about the relevance of their skills
and resist change. Readiness needs to address these concerns,
and it should include training to encourage the mastery of
the new technologies, including the programming, scripting
and application programming interface (API) skills needed to
facilitate the transition to an automated network. Opportunity
awaits those that embrace SDN and develop this knowledge.
IDC found that 53 percent of enterprises foresee SDN as a
means to deploy networking personnel to higher-level tasks,
including network analytics, orchestration and virtualization.5
SDN adoption will necessitate greater collaboration between
the groups that provide network services today. For example,
those that support network security must collaborate
closely with those that provide network services for servers,
middleware and applications. Establishing a tighter linkage
between network teams, other IT infrastructure teams and
application groups is especially important because it allows
network behaviors to be tied to business priorities. It facilitates
automation and orchestration within an overall SDE context,
and that is the basis for improved agility and efficiency.
Infrastructure readiness is another fundamental prerequisite
for SDN. Networking personnel should assess the stability
and resilience of the infrastructure and its maturity in terms
of automation and virtualization. The full value of SDN is
achieved through integration with software defined compute
and storage domains. When the entire infrastructure has
the intelligence to sense and respond to changing workload
requirements and orchestrate resources holistically, the
benefits of SDN are the greatest.

IBM’s transformation methodology
SDN is not a technology that has to be implemented all at
once. It can be implemented gradually, automating parts of the
network as required by the organization. Network overlays are
a leading option for incremental deployment because they do
not significantly disrupt existing operations.
IBM’s three-step transformation methodology helps clients
leverage their existing network in the creation of a software
defined network:
• Strategize and plan. IBM networking consultants begin
by assisting clients in the development of a software defined
network strategy. We start with an in-depth assessment
of current workloads, management and infrastructure to
gauge enterprise readiness. Current maturity levels are
examined in processes relevant to SDN and SDE, including
virtualization, automation, integration and security. These
network design services help identify the issues inhibiting
network agility and determine where improvements are
required to ready the infrastructure and the organization.
Recommendations are often aimed at linking networking
operationally, technically and organizationally with other
parts of the enterprise, including operations, security and
application development and management.
• Consolidate and virtualize. Consolidation and
virtualization eliminate redundancies and improve the
scalability of the existing network hardware while reducing
the need for future capital expenditures. IBM networking
experts help clients identify redundancies and decide which
devices can be retired. They help clients determine the best
virtualization technology for their needs and help apply
those technologies in their network environment.
• Automate and optimize. The automation of initial
provisioning and orchestration tasks introduces
foundational agility improvements. Following SDN
implementation, IBM enables optimization through IT
operations analytics, which visualizes the network to
maximize network performance, improve response time for
applications and enhance the user experience.
IBM knows networks
IBM knows what it will take to modernize and optimize the
network architecture for the new business frontier. In the
age of cloud, mobility and the Internet of Things, where
hyperscale computing is the norm, agility is essential and
software defined technologies and virtualization provide the
path for attaining it. IBM has years of experience designing
and integrating these capabilities into network infrastructures
with the people and expertise needed to transform networks
for cloud-era performance and availability.
IBM SDN services are not just designed to build a better
infrastructure and simplify operations. They are designed to
improve our clients’ business outcomes by increasing their
agility and speeding time to value for new innovation and
service delivery. We design our solutions to meet the needs
of the organization, allowing clients to leverage their existing
infrastructure investment. We offer independent, objective
advice and solution design, helping clients navigate the maze of
SDN technology providers.

IBM consultants leverage proven methods and reference
architecture for SDN strategy and design, then provide
clients with the flexibility to choose how and where it will be
implemented. We offer a full suite of implementation services
or tools for clients who choose to do it themselves. At our
Network Innovation Centers, we can build, integrate and test
client SDN solutions before they are actually implemented in a
production environment. In these labs, we bring together all of
the products from leading network providers to determine the
best technologies and deployment options for each client and
ensure a more seamless, hardened deployment later.
Fully integrated SDN solutions can be deployed to a client’s
data center, an external provider site or a cloud, and we have
a library of templates to streamline network automation and
orchestration. Once SDN is up and running, we can provide
monitoring and management services onsite or remotely. We
provide services for every stage of the SDN life cycle.
At IBM, we don’t believe the network is best served as a
siloed operational domain. SDN’s greatest potential lies in
its convergence with software defined compute and storage,
when all enterprise infrastructure resources can be dynamically
orchestrated across domains and data centers. IBM delivers
technologies and services to enable this kind of holistic
orchestration and management by enabling organizations to
break out of their silos, embrace the software defined value
proposition and benefit more fully from the business agility
promise of SDN, SDE and the cloud-era technologies
they support.
IBM leads our clients through a
transformational roadmap that includes
SDN strategy, architecture, design,
deployment and operations. We provide the
capabilities, experience and expertise to help
clients transform their existing network
infrastructures and maximize the benefits
of a software defined environment.
Conclusion
Now more than ever, the network is the connective tissue for
the enterprise, but the needs of the business have surpassed
the network’s capability to serve it. Rapidly rising demands for
cloud-based mobility, social media and big data services require
a new approach, one that can sense traffic and reconfigure
the network automatically for new workloads and business
conditions. SDN is that approach.
The business advantages of a dynamic, intelligent and highly
automated and virtualized network environment are significant
and include more innovation, faster time to market, and better
security. The transition to SDN requires thoughtful strategy
and design to prepare the organization and the infrastructure.
IBM offers the knowledge, experience and services to help
develop the necessary skills and facilitate the transformation.

For more information
To learn how IBM is helping organizations transform
the network for greater agility, please contact your IBM
representative or IBM Business Partner, or visit
ibm.com/services/networking
© Copyright IBM Corporation 2015
IBM Global Services
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Somers, NY 10589
Produced in the United States of America
July 2015
IBM, the IBM logo and ibm.com are trademarks of International
Business Machines Corporation in the United States, other countries or
both. If these and other IBM trademarked terms are marked on their first
occurrence in this information with a trademark symbol (® or TM), these
symbols indicate U.S. registered or common law trademarks owned by
IBM at the time this information was published. Such trademarks may
also be registered or common law trademarks in other countries. Other
product, company or service names may be trademarks or service marks
of others. A current list of IBM trademarks is available on the web at
“Copyright and trademark information” at
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This document is current as of the initial date of publication and may
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THE INFORMATION IN THIS DOCUMENT IS PROVIDED
“AS IS” WITHOUT ANY WARRANTY, EXPRESS OR
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data and will vary and may be less than stated.
1
IDC, “The Digital Universe of Opportunities: Rich Data and the Increasing
Value of the Internet of Things,” IDC #1672, April 2014.
2
IDC, “SDN Momentum Builds in Datacenter and Enterprise Networks,”
IDC #250288, August 2014.
3
SDNCentral, “Network Virtualization Report: 2014 Edition,” 2014.
4
Juniper Networks and Wakefield Research, “The SDN Progress Report,”
July 2014.
5
IDC, “SDN Survey: Big Changes for Datacenter Networking Operations and
Personnel,” IDC #224599, June 2014.
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