VMware’s Intention to Acquire VeloCloud…

The announcement of ’s intention to acquire signals the broadening of the story. is a solution that offers , security, , and other business outcomes for . It should not be considered just an MPLS replacement for the with savings on costs.

At a core level, both NSX and VeloCloud’s products are based on an overlay network, which offers the flexibility to treat a logical network separately from the physical network, and this core concept has been popularized for many years via MPLS. Ironically, it’s the perceived lack of flexibility and costs of MPLS that have become the initial drivers for the popularization of SD-WAN, which promised to modernize the branch networks and WAN.

VMware’s NSX Everywhere plan is similar to Cisco’s plan since it enables the core data center networks to reach out into other locations such as a public cloud.

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