Nuage Company Overview

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Nuage Company Overview

Nuage Networks — Overview

Nuage Networks is owned by Nokia since 2016 and has approximately 272 employees. Its target market includes small and midsize businesses, enterprises, and service providers. A complete overview of this company is provided below.

Overview

  • Nuage Networks is a privately held company, located in Sunnyvale, California, that offers cloud management to cloud service providers and large enterprises through an SDN solution that "seamlessly connects the data center and wide area network."
  • Their solution is backed by Nokia’s IP/Optical Networks business, which gives it the power to provide service to "the world’s biggest clouds."

History

  • Nuage Networks was founded in 2012 by Sunil Khandekar. It was created to empower customers "to finally deliver on the true promise of the cloud."
  • Before founding Nuage, Khandekar was part of Alcatel-Lucent, which later launched Nuage Networks as an "internal startup project" to help develop "an automated software overlay for the company’s infrastructure."
  • After Nokia acquired Alcatel-Lucent in 2016, Nuage Networks also became part of Nokia.

Products and Services

Products
  • With SD-WAN 2.0 for enterprise networks, customers can transcend WAN connectivity and enable IT services across the network.
  • Their Nuage Networks Virtualized Services Platform (VSP) helps customers optimize their data center, cloud, or software-defined WAN operations, as well as automate security policies and remediation.
  • The 210 WBX running Nuage Networks software is the industry’s leading 1 RU data center gateway supporting software-defined networking (SDN).
  • The company's 7850 Network Services Gateway enables branch office networking in Cloud IT environments and integrates into the Virtualized Network Services (VNS) solution.
  • Nuage also offers the Virtualized Services Assurance Platform (VSAP) to enable Enterprise IT to operationalize their virtual environments.
  • The Virtualized Network Services (VNS) help customers transform a network into an intelligent and automated infrastructure.
  • Their Telco Cloud solution eases users' transition to cloud-centric service delivery with "high levels of service resiliency, redundancy, and scalability."
Services

Employees

  • According to RocketReach, the company has an estimated 272 employees.

Target Market

  • Nuage's target market includes small and midsize businesses, enterprises, service providers, government entities, and data centers.

Value Proposition

  • Nuage Networks is committed to bringing a combination of "groundbreaking cloud technologies" and high-quality networking expertise, hence providing incremental improvement.
  • According to the company, they also bring "radically new thinking and pick up where others have left off" to ensure that the data center and wide area network have a quick response to demand without boundaries.

Nuage Networks — SWOT Analysis

Nuage Networks is a leader in SD-WAN solutions with over 70 services provider partners across the world. However, its parent company has recently had major revenue losses. A complete SWOT analysis of this company is provided below.

Strengths

  • Nuage has a reputation of being "deployed in VMWare" by major companies like BBVA, CenturyLink, and China Mobile.
  • Nokia, through a partnership with Asavie, will extend the reach of Nuage Network's SD-WAN 2.0 solution to include enterprise mobile and IoT devices, making the first SD-WAN solution for desktop, mobile and IoT devices.
  • The company's SD-WAN 2.0 is "the industry's only automated and secure services platform for the delivery of enterprise IT services across any network and cloud."
  • Along with Versa and Infovista, Nuage was the first to obtain the Metro Ethernet Forum's (MEF) SD-WAN Certification by meeting new standards, which included "SD-WAN virtual connection, at least two SD-WAN user-to-network-interfaces (UNI), and an SD-WAN virtual connection endpoint at each UNI."
  • Nuage Networks now has over 70 service provider partners with which it provides SD-WAN services to more than 700 enterprises.
  • Nuage's SD-WAN and VNS has slowly and steadily increased its revenue and leadership within the industry. It is the only solution that has remained consistent, not changing its product philosophy or market approach. Its SD-WAN revenue increased 125% year over year and stepped from #6 to #4 in "overall market share position."

Weaknesses

  • Despite its growth and recognized leadership, Nuage is still behind CISCO, which holds almost 47% of the SD-WAN infrastructure market, making $638 million in SD-WAN infrastructure sales in 2018.
  • Nokia, Nuage's parent company, had a seven million euros net loss in 2019.
  • Also, Nokia has been involved in a recent lawsuit that aims to "recover damages for Nokia investors." The lawsuit claims that Alcatel-Lucent S.A., acquired by Nokia, maintained "insufficient internal controls" and was non-compliant in its business practices and, after the acquisition, Nokia maintained insufficient internal controls of Alcatel's businesses, making the company at risk of criminal and civil penalties.

Opportunities

  • The revenue of the SD-WAN market is expected to present a 58% growth and reach $17 billion by 2025. This growth is driven by the increasing adoption of SD-WAN solutions among enterprises to simplify network management, which can be a big opportunity to increase sales of Nuage's SD-WAN 2.0.
  • The increased demand for cloud solutions due to enterprises' and service providers' changes in their on-premises data center workloads to improve efficiency, is leading to the expansion of SD-WAN solutions. This trend can also be an opportunity to increase their sales.
  • According to a study, 30% of businesses are planning to adopt SD-WAN within the next year, this could be another great opportunity for the company.

Threats

  • Cloud technology makes data more available and interconnected, making it extremely vulnerable to different threats, including data breaches and leaks, loss of data, and cyber attacks.
  • According to a recent study, SD-WAN solutions are presumed to have the following threats: outdated software, out-of-band management, and compromised VNF, among others. These threats can cause a lack of protection against brute-forcing passwords, web UI leaks software versions, and lack of protection against CSRF for REST AP, among other problems.
  • About 75% of SD-WAN adopters lack confidence in their networks after implementing digital transformation due to the problems they encounter during the process. Issues found by businesses include cloud connectivity and security. This lack of confidence poses a threat to the SD-WAN industry.
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