Alcatel-Lucent has developed a business case model that evaluates the potential savings available when an enterprise decides to choose a service provider’s managed business networking service, based on the Alcatel-Lucent MBN solution. The business case compares total cost of ownership differences between the present mode of operation and future mode of operation for a typical SME. It demonstrates potential cost savings of 22 percent for a typical SME across five categories:

MBN solution compared to do-it-yourself networking costs (links, support and administration)

Network monitoring costs (equipment and maintenance)

Personnel cost (staff reduction or re-allocation)

Downtime costs (a reduction in complexity and failures)

Server costs (consolidation leading to reduced

OPEX costs)

MASERGY: A Managed Business Networking Services Success Story

MASERGY, a privately-held global provider, offers a global Ethernet WAN service with five levels of QoS tailored to the specific needs of each enterprise customer. The MASERGY solution, called Intelligent Transport, enables enterprise customers to deliver mission-critical applications to multiple locations on a global basis using VPLS and IP-VPN technology — with the same reliability as any carrier-grade network that is deployed globally today. One key to MASERGY’s impressive success is

its strong focus on the customer. Feedback shows that MASERGY’s Ethernet WAN service — based on VPLS

— is just what enterprises want.

The foundation for MASERGY’s ground breaking suite of Ethernet WAN services is the Alcatel-Lucent 7750 Service Router (SR). The platform gives MASERGY

the power to provide business customers around the world with Ethernet hand-offs to all locations, allowing businesses to maintain the convenience and simplicity of Ethernet across their wide area network. In addition, the Alcatel-Lucent 7750 SR gives MASERGY the flexibility to offer Layer 2 VPLS, Layer 3 IP-VPN and public IP across the same Ethernet interface on separate VLANs.

Figure 5. Relative share of Year 1 savings

MBN vs. DIY

17%

Personnel

11%

Server

consolidation

40%

Network

monitoring

3%

Downtime

29%

“Since moving to VPLS, we have at least doubled the capacity at all of our locations, and in some cases it has increased 10-fold, while reducing our overall network costs by 36 percent.”

J e r ry K n au s, S ys t e m s a n d N e t wo r k A r c h i t e c t u r e ,

J e p p e s e n ( a M A S E R G Y c u s t o m e r )

Alcatel-Lucent Managed Business Networking Solution 17

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Alcatel-Lucent Managed Business Network manual Personnel cost staff reduction or re-allocation