Network Virtualization issues from a telecom operator perspective

Index 01 IST WARD Project 02 Network Virtualization from an operator’s perspective 03 Challenges

4 WARD Project General Information n 4 WARD Project: Combination of clean-slate approaches to

4 WARD Project Network Virtualization within 4 WARD Project Virtualization has gained sufficient momentum

4 WARD Project Network Virtualization objectives and activities Instantiating Virtual Networks On Demand n

4 WARD Project Network virtualization architectural roles Infrastructure provider and virtual network provider roles

4 WARD Project Network virtualization heterogeneous scenario In the real world, horizontally specialized players

Network Virtualization from an operator’s perspective Rationale Network Virtualization To introduce the data center

Network Virtualization from an operator’s perspective Brainstorming of potential, future-term implications. Operational excellence Realistic

Network Virtualization from an operator’s perspective Self-reselling network operator n The typical approach of

Network Virtualization from an operator’s perspective Vnet leasing as the next generation VPN n

Challenges for Core Network Virtualization Virtual Nodes and Virtual Links in the core network

Challenges for Core Network Virtualization Link Virtualization with MPLS n A two level virtualization

Conclusion n Virtualization has a strong potential (at least to move research forces) to

TELEFÓNICA I+D © 2008 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal

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Network Virtualization issues from a telecom operator perspective. Outcomes from IST 4 WARD Project TELEFÓNICA I+D Version 1. 0. Date: June, 9 th 2009 TELEFÓNICA I+D © 2008 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal

Index 01 IST WARD Project 02 Network Virtualization from an operator’s perspective 03 Challenges for Core Network Virtualization 04 Conclusions TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal 2

4 WARD Project General Information n 4 WARD Project: Combination of clean-slate approaches to address the Network of the Future: — Let 1000 Networks Bloom: co-existence of a multitude of interoperable network. — Let Networks Manage Themselves: self-managed networks. — Let a Network Path Be an Active Unit: Customized and selfconfigurable transport services (resilience, mobility, multi-path, security, compression, performance). — Let Networks Be Information-Centric: information objects and services are mobile and distributed throughout the network. Project duration 1. 1. 2008 – 31. 12. 2009 Size: around 23 M€ Consortium: 37 partners http: //www. 4 ward-project. eu/ Aims at supporting a family of dependable and interoperable networks providing direct and ubiquitous access to information following a clean slate approach n According to Paulo de Sousa (European Commission), “ 4 WARD is more than a simple project, it is a long term research program… it is the European main initiative to design Future networks”. TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal 4

4 WARD Project Network Virtualization within 4 WARD Project Virtualization has gained sufficient momentum as one of the key paradigms for future networking Within 4 WARD, an architecture for network virtualization is being developed. n Use virtualization as basis for an innovationfriendly, open architecture! n. Co-existence (separate, but interworking where desired) n. Easier deployment of new networks in the future n Systematic approach to network virtualization The aim is to enable the co-existence of heterogeneous network architectures over a common infrastructure, to foster the development of Future Internet paradigms. TID’s goal is to achieve a technology transfer and to work out virtualization scenarios with fundamental assumptions from antransfer operator’s new revenues TID’s goal is to achieve a technology andperspective: to work out virtualization generation income) and operational excellence (OPEX/CAPEX). scenarios with(net fundamental assumptions from an operator’s perspective. TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal

4 WARD Project Network Virtualization objectives and activities Instantiating Virtual Networks On Demand n Objectives: — To define the architectural approach to provision virtual networks on a shared infrastructure — To develop the technologies that enable scalable instantiation and inter-operation of different networks on a shared infrastructure — To demonstrate dynamically provisioned virtual networks in parallel using shared networking resources TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal

4 WARD Project Network virtualization architectural roles Infrastructure provider and virtual network provider roles might be merged n The virtualization ecosystem in 4 WARD consists of three different players: n Infrastructure provider: it owns the physical resources, partitions them into isolated virtual resources (by means of different methods) and offers them to virtual network providers. — Virtual network provider: it “leases” slices of virtualized infrastructure from different infrastructure providers to compose complex virtual networks, and subsequently sells it to a virtual network operator. — Virtual network operator: it deploys its preferred architecture on top of the virtual network (i. e. it implements appropriate protocol stacks) and operates the network on its own. TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal

4 WARD Project Network virtualization heterogeneous scenario In the real world, horizontally specialized players would coexist and interwork with vertically integrated operators TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal

Network Virtualization from an operator’s perspective Rationale Network Virtualization To introduce the data center virtualization techniques into the core network to support the concurrent operation of different networks on a single, shared infrastructure. Concept How it works? Routers are “sliced” into virtual nodes. Virtual nodes and links are composed into Vnets to fulfil specific requirements. Technology Rationale Research-driven Industry-driven Within the research community, virtualization has become a key enabler for the “Future Internet”: it will potentially allow the rapid deployment of new network architectures and protocols. Some vendors are already unveiling virtualization-enabling products (e. g. Juniper’s TX Matrix Plus / JCS 1200). Benefits, oportunities and threats for an operator are still not clear. TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal Each Vnet can be engineered to carry a specific service or can be rented to a third party. Vnets are isolated from each other in terms of Qo. S and control.

Network Virtualization from an operator’s perspective Brainstorming of potential, future-term implications. Operational excellence Realistic Business Models Single Network, Multiple Services Enabling the seamless deployment of whole new networks over a common IP infrastructure. VNet renting service to different Business Units, or network sharing in emerging markets. Potential new revenues Allowing TCO reduction. Dedicated VNets to third parties Open garden: net- neutral added value access services (e. g. for P 2 P networks) VNO (VNet Operator): complete VNet selling to a third party (ej. Google). Search for income sharing. TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal Disruptive Business Models Changes in the Value Chain Cost optimization in case of regulatory separation of business and infrastructure operator. Network Externalization: Freeze network investment and become a VNet operator. Future Internet Services Support for new Internet Architectures and interconnection models. Event-driven global VNet creation (e. g. soccer world championship). VNet renting to specialized micro-operators (e. g. user generated networks).

Network Virtualization from an operator’s perspective Self-reselling network operator n The typical approach of “logical infrastructures” is role splitting… n …an alternative would be network provider’s internal operational separation. — Multiple networks over the same infrastructure. — The operator keeps the control of the value chain. — Rapid service/architecture deployment (reduced time-to-market). Per application Network Planes Internet Network Service Provider IT-services Media-services Physical Network Infrastructure Provider n Might have been a good thing e. g. for mobile but… isn’t it too late? n What about statistical multiplexing? Do we lose it? n Doesn’t this approach go against the rule “postpone non needed investments”? Virtualization might anyway just become a new configurable feature of future IP routers TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal

Network Virtualization from an operator’s perspective Vnet leasing as the next generation VPN n n What is the difference to current VPN services? — Routing capability? — Reconfigurability and control by the user? — Capability to deploy new architectures? (is this realistic? ) Network Operator Where is the business model? Which kind of charging? Cheaper or more expensive than current VPNs? — Which would be the marging for the infrastructure provider? — Isn’t it usually cheaper to deploy your own core network? — Is a service-oriented income sharing feasible at all? © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal Vnet X Core Network Not clear business model yet. Maybe in the long term? 13 Network Operator Infrastructure & Network Service Provider — TELEFÓNICA I+D Network Operator

Challenges for Core Network Virtualization Virtual Nodes and Virtual Links in the core network n Virtual Nodes in the core: — Virtual nodes would be deployed both at the edges (to provide Po. Ps) and in the core (to provide routing capability). — Router management and configuration would be leased to the Vnet client (e. g. to perform its own routing or Qo. S decisions). — Router providers are starting to develop virtualization products Highly Virtualizable core IP nodes (e. g. Juniper announced a new “core virtualization” strategy with the TX Matrix Plus, Feb 09) n Virtual Links in the core : — — IP/MPLS core Virtualizable IP edge nodes Virtual links can be instantiated as transport paths between IP edge nodes source and destination (e. g. control protocol). From a transport point of view, several link virtualisation techniques (e. g. ATM, 802. 1 q, MPLS) could be used. If each node in the end-to-end path maintains a session state, potential scalability issues may arise. A How to assure Qo. S and isolation within Vlinks? Scalability and isolation (Qo. S) challenges for link virtualization TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal Physic Virtual al link node Substrate interface node 15 C B Virtual link aggregate

Challenges for Core Network Virtualization Link Virtualization with MPLS n A two level virtualization technique would be desired to solve the scalability issue — A virtual link aggregate merges all virtual links which follow a common path between source and destination virtual nodes. Awareness of virtual links is only required from end points. — Core routers perform virtual link aggregates forwarding. Edge nodes perform termination of virtual link aggregates and virtualisation. Physical link Virtual link aggregate / Virtual path n But… how to deal with link isolation? Are current Qo. S strategies enough? Do they scale? n Alternative approaches on how to proceed : — Design a VNet-specific link virtualisation solution from scratch: solving scalability & Qo. S issues. — Adapting and extending available solution (e. g. MPLS) taking VNet requirements into account. — Use available solutions (e. g. MPLS) unchanged (with the identified limits). TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal 16

Conclusion n Virtualization has a strong potential (at least to move research forces) to play a key role in the Future Internet. n Key messages from an operator’s perspective: n — Business use cases for a telecom operator are far from being clear. — There are potential scalability and Qo. S challenges in the deployment of Virtual Networks in current core networks. 4 WARD aims at providing both demonstration facilities and developing realistic business cases for network virtualization from an industrial perspective. TELEFÓNICA I+D © 2007 Telefónica Investigación y Desarrollo, S. A. Unipersonal 18