SDN and NFV: What's the difference?

As businesses shift towards digital transformation daily, the adoption of Software-Defined Networking (SDN) and Network Functions Virtualisation (NFV) has become essential.

These innovations are not just reshaping how networks are managed; they are also enabling greater flexibility, scalability, and security. This article covers the difference between NFV and SDN and their implications for businesses looking to optimise their network infrastructure. Keep reading to see a comparative analysis of NFV vs. SDN!

What is SDN (Software-Defined Networking)?

SDN is a modern approach to managing networks. It separates the control plane (the decision-making part of the network) from the data plane (where actual traffic flows). In traditional networks, each device, like a router or switch, controls traffic routing and forwarding, making management complex.

With SDN, the control plane is centralised in a network controller (a software-based system), allowing for easier network management and better efficiency. The controller communicates with devices using standard protocols. This centralised setup simplifies traffic control and makes the network more flexible.

What is NFV (Network Functions Virtualisation)?

NFV is a technology that replaces traditional network hardware, such as firewalls and routers, with Virtualised Network Functions (VNFs). Instead of using dedicated hardware devices, you can run these functions as software on standard servers. This allows for more scalable and flexible network management.

For instance, you can deploy or scale network functions without installing new hardware. This helps you save costs on physical equipment and makes it easier to adjust network resources based on demand.

NFV is commonly used in combination with SDN to build more adaptable, efficient, and cost-effective networks. By virtualising key functions, you gain more control over how the network operates and can quickly respond to changes in business needs.

SDN and NFV difference

SDN and NFV are modern networking technologies that improve network agility, flexibility, and efficiency. However, the difference between NFV and SDN are:

Aspect	SDN (Software-Defined Networking)	NFV (Network Functions Virtualisation)
Architecture	Separates the control plane (decision-making) from the data plane (actual data movement). Centralised control.	Virtualised network functions (like firewalls and load balancers) run on standard servers.
Scope	Focuses on controlling and managing network traffic flows.	Focuses on virtualising and managing network functions.
Deployment	Requires specialised network hardware (like SDN-enabled switches and routers).	It can be deployed on regular x86 servers, reducing hardware costs.
Functionality	Provides centralised, programmable control over network traffic.	Virtualises tasks like routing, switching, and firewalling as software-based virtual functions.
Management	Managed by a centralised controller for easier network traffic control.	Needs advanced tools for managing and orchestrating Virtual Network Functions (VNFs).
Standards	Defined by the Open Networking Foundation (ONF), uses the OpenFlow protocol.	Defined by the European Telecommunications Standards Institute (ETSI).
Network abstraction	Abstracts the network infrastructure from the control plane, enabling easier management of the overall network.	Abstracts network functions from the physical hardware, allowing independent deployment and management.
Service delivery	Enables dynamic allocation of network resources based on demand.	Allows network functions to be quickly deployed and scaled based on service needs.

How SDN and NFV complement each other?

While Software Defined Networking vs Network Function Virtualisation have their differences, they also complement each other by using virtualisation (creating virtual versions of network components) to simplify how networks are managed. Here's how:

• SDN focuses on separating network control from data. This allows you to control the entire network from a central point, making it easier to manage traffic and make changes as needed.

• NFV virtualised specific network functions, like firewalls or load balancers, and runs them on standard hardware instead of expensive, specialised devices. This reduces costs and increases flexibility.

Together, SDN and NFV help you use generic hardware with open software for better control and management. SDN manages the network centrally, while NFV provides the virtualised functions that work with SDN's centralised control.

For example, network management tasks like monitoring, traffic analysis, and load balancing can be improved when you use both SDN and NFV. SDN provides the framework, and NFV delivers the functions that work within this structure.

In simple terms, SDN provides the “brains” for controlling the network, while NFV adds the “tools” needed to run the network efficiently. This combination makes your network more flexible, cost-effective, and easier to manage.

Benefits of SDN vs NFV

SDN offers several key advantages that can improve network management and efficiency, such as:

• Improved network performance: By separating the control plane (where decisions are made) from the data plane (where data flows), SDN allows you to optimise network traffic, leading to better performance and reliability.

• Centralised management: You can manage the entire network from a single location, making controlling and configuring large networks easier. This eliminates the need to manage each network device individually.

• Reduced costs: SDN lets you use standard, lower-cost switches, reducing hardware expenses. It also helps lower operational costs by automating many network management tasks, reducing manual effort.

In contrast, NFV focuses on virtualised network functions, offering distinct advantages for network deployment and scalability. These include:

• Lower costs: You don't need specialised hardware for network functions. NFV uses standard servers, which reduces hardware costs. It also automates network management, lowering operational expenses.

• Agility and flexibility: NFV makes networks more flexible by enabling you to deploy and scale network functions (like firewalls or load balancers) immediately. This helps you roll out new services faster than traditional networks.

Use cases for SDN & NFV

Let’s dive into some key use cases highlighting how SDN and NFV are applied in real-world scenarios.

Use cases for SDN (Software-Defined Networking)

SDN is transforming the way networks are managed. By separating the network control layer from the physical hardware, SDN offers increased flexibility and efficiency. Here are some key use cases:

• Greenfield deployment: SDN is often the best choice when setting up a new network, such as a corporate Wide Area Network (WAN) or a service provider network. It allows for easy management of different types of traffic and ensures Quality of Service (QoS) requirements are met. If you are creating a network that requires flexibility and scalability, SDN is ideal.
• Tech refresh: As technology evolves, older network hardware and software need to be updated. A tech refresh allows you to replace this ageing equipment with new SDN-compatible technology. This not only improves performance but also reduces reliance on specific vendors. Emphasising software that works on standard hardware (Commercial Off-The-Shelf or COTS) can enhance your network's capabilities.
  For example, a prominent semiconductor and electronics equipment provider adopted IZO™ SDWAN to combine MPLS and internet connectivity, forming a hybrid WAN solution. This improved network stability, reduced costs by 15%, and ensured business continuity, allowing the company to scale with increasing demands.
• Network migration: Networks often need to adapt as businesses grow or change locations. Deploying SDN can facilitate this transition when moving a network segment. Using an SDN gateway, you can connect both traditional (legacy) and SDN-managed parts of the network, simplifying management and ensuring continuity.
  For instance, Baker & Baker, a European bakery manufacturer, experienced significant network reliability issues that affected production and SAP operations. By implementing IZO™ SDWAN, the company reduced outages, improved performance, and enabled seamless real-time data exchanges, significantly enhancing their operational efficiency.
• Network transformation: A leading Indian banking giant modernised its complex WAN architecture using IZO™ SDWAN. Legacy routers were replaced with Software-defined wide area network (SD-WAN), offering centralised configuration and monitoring, improved traffic routing, and optimised bandwidth utilisation. The new SD-WAN system delivered enhanced performance for critical applications while ensuring scalability to support over 4000 branches. The transition helped reduce costs, future-proofed their setup, and made it easier to adopt cloud-based applications.
• Merger and divestiture: When companies merge, their networks must integrate. If both networks use SDN, unifying policies are straightforward. However, you can gradually incorporate SDN capabilities if one network does not support SDN. In such cases, managing how different networks communicate is essential, often using gateways to bridge the two systems.
• Hybrid cloud: Many businesses adopt a hybrid cloud strategy, combining on-premises (local) data centres with public cloud services. SDN facilitates efficient traffic management between these environments, allowing you to control data flow more effectively. A virtual SDN controller can help manage application traffic seamlessly, improving overall network performance.
  For instance, a leading baking product company utilised IZO™ SDWAN to support their cloud-first growth strategy. The customised network with hybrid WAN components boosted bandwidth and application performance across multiple regions, ensuring 99.999% uptime and high availability for their cloud-based systems.

Use cases for NFV (Network Functions Virtualisation)

NFV allows network services to run on virtual machines rather than physical hardware. This shift enables greater efficiency and scalability. Here are some prominent use cases:

• Network virtualisation: Telecom companies primarily use NFV for network virtualisation. By decoupling hardware from software, they can create virtual networks that run on software instead of physical devices. This flexibility helps providers improve network services, reduce costs, and innovate more quickly. Examples include using virtual instances for DNS (Domain Name System) and firewalls.
• Mobile Edge Computing (MEC): MEC combines NFV with mobile edge computing to enhance performance. NFV allows edge devices like radio towers to execute network functions and services more efficiently. With 5G networks, MEC leverages NFV to reduce latency (delay), enabling faster and more reliable connections.
• Orchestration engines: NFV simplifies the management of network services through orchestration engines. These automated systems help coordinate the connections between network functions, reducing human error and downtime. Centralised orchestration enables better policy management and visibility across the network.
• Video analytics: Video analytics has become essential with the rise of IoT (Internet of Things) devices. NFV can improve video analysis by processing data closer to where it is generated, reducing the time and bandwidth needed for data transmission. This is particularly valuable for applications sensitive to delays, such as surveillance and real-time monitoring.
• Security: Security solutions are evolving with NFV. Virtual firewalls and other security functions can be deployed quickly and efficiently in a virtualised environment. This approach allows for centralised control, making it easier to enforce security policies across the network.
• Network slicing: Network slicing is a technique that divides a physical network into multiple virtual networks, each optimised for different applications. NFV plays a crucial role in this process, allowing resources to be allocated based on specific requirements. This enables tailored services and improves efficiency across various sectors.

Challenges and considerations

While SDN offers many benefits, there are several challenges to consider:

• High initial costs: Deploying SDN can be expensive due to the need for specialised switches and controllers. This might make it difficult for smaller businesses to implement SDN.

• Complex management: Managing an SDN setup requires advanced tools, which can add complexity. You'll need expertise to properly manage and orchestrate the network, which can be challenging for teams without experience in SDN.

• Security risks: With SDN's centralised architecture, the controller (the system managing network operations) becomes a single point of failure. If attackers target the controller, it can lead to serious security issues for the entire network.

Similarly, NFV also faces some hurdles when it comes to deployment and management:

• Deployment issues in some environments: Deploying NFV might be more difficult in certain industries with strict regulations, like finance or healthcare. This could limit its use in environments where strict compliance is necessary.

• Complex orchestration: Managing virtual network functions (such as virtual firewalls or routers) can be more complicated than traditional hardware management. NFV requires advanced orchestration tools to ensure smooth operation.

Future trends in SDN and NFV

Here are some significant trends to watch:

Increased adoption of Network Virtualisation

The shift toward network virtualisation is gaining momentum as organisations seek greater flexibility and scalability. By decoupling network functions from physical hardware, businesses can achieve:

• Dynamic resource allocation: On-demand resource allocation optimises performance and reduces costs.
• Streamlined network management: Centralised control simplifies management, monitoring, and troubleshooting.

Enhanced interoperability

There will be a stronger emphasis on interoperability as SDN and NFV mature. Organisations will prioritise solutions that integrate seamlessly with existing infrastructure, leading to:

• Standardised protocols: Common standards will facilitate communication between different vendors and devices.
• Multi-vendor environments: Companies can mix vendors to select the best solutions for their needs.

Focus on security

As network resources expand, security will be paramount. Organisations must invest in robust security measures to protect their infrastructure, including:

• Automated security protocols: Automation will help identify and mitigate security threats in real time.
• Partnerships with security experts: Collaborating with specialists like Helixstorm provides access to advanced security tools without excessive costs.

Emphasis on edge computing

The rise of edge computing will significantly influence SDN and NFV. Key trends include:

• Decentralised network architecture: Processing data closer to the source minimises latency and enhances performance.
• Enhanced network services: NFV will allow organisations to deploy network functions at the edge, optimising efficiency.

Adoption of AI and Machine Learning

Integrating Artificial Intelligence (AI) and Machine Learning (ML) will revolutionise network management, enabling:

• Predictive analytics: AI can anticipate potential network issues, allowing for proactive management.
• Intelligent resource management: ML algorithms will optimise resource allocation for better performance.

Growth of network slicing

Network slicing is gaining traction as businesses seek tailored network solutions. This technique enables:

• Customisation for diverse applications: Organisations can create specialised networks for critical applications, ensuring adequate resources and bandwidth.
• Improved user experience: Isolating network traffic enhances performance for specific user groups.

Conclusion

As SDN (Software-Defined Networking) and NFV (Network Function Virtualisation) continue to redefine the future of network management, understanding their roles in transforming modern infrastructure is crucial for businesses.

By focusing on key trends such as virtualisation and enhanced security, organisations can build more agile, scalable, and efficient networks. The distinction between SDN vs NFV in IoT is vital, especially as these technologies shape the way businesses approach connectivity in the IoT and other modern applications.

To stay ahead of the curve, businesses should consider integrating cutting-edge solutions like IZO™ SDWAN Managed Services. With our 99.8% first-time-right deployment rate, we help companies streamline their network transformation journey, offering optimised SD-WAN solutions that reduce Total Cost of Ownership (TCO) by over 25% and pre-empt more than 95% of incidents.

Moreover, our tailored, end-to-end managed services and the powerful TCx platform ensure seamless, secure, and scalable network management across your organisation. So, explore how IZO™ SDWAN can maximise your network's performance and transform your connectivity experience.To explore the endless opportunities with SDN and NFV, request a demo or schedule a conversation with our experts today.