Leading Global Retailer Saves $25 Million in Hard ...

Jun 26, 2024, 12:00 ET

New In-Depth Analysis and Futuriom Report Find Aviatrix Customers are Achieving Measurable ROI by Addressing Core Cloud Networking Challenges

SANTA CLARA, Calif., June 26, 2024 /PRNewswire/ — Aviatrix^®, the cloud networking expert, today unveiled results of a rigorous analysis of real-world cloud cost savings of a leading global retail customer. In addition to a $25 million in hard dollar savings in data processing compared to native constructs, an analysis of the added costs of full-time employee hiring avoidance and reduced risk of cloud network cyber incidents revealed significant estimated added savings.

Echoing this analysis, a new report this week, “Driving Cloud Automation with Observability, AIOps, and NetDevOps,” from leading cloud technology analyst firm Futuriom, said: “In interviews with Aviatrix customers, we have found they are using the Aviatrix multicloud networking (MCN) platform to combine and automate cloud functions including MCN, Network Address Translation (NAT) gateway services, and Distributed Cloud Firewall (DCF) security services to achieve a measurable ROI. With a distributed, integrated approach, Aviatrix has demonstrated with customers that it can reduce overall cloud compute, network, and security costs.”

Aviatrix’s groundbreaking approach to cloud networking is rooted in an expansive understanding of the evolution of networking – from privately-owned data centers filled with specialized hardware to the era of virtualization and cloud computing. Coupled with unparalleled depth of technical expertise within each of the leading cloud service providers (CSPs), Aviatrix is uniquely capable of enabling enterprises to streamline cloud and networking operations, garner visibility and control, and create business scalability and agility.

The Evolution of Networking

Prior to the mid-2010s, organizations were tethered to complex, device-heavy data centers, demanding significant management but offering granular control and rich functionality. The introduction of software defined networking (SDN) sought to streamline this with software on standard hardware – challenging due to entrenched vendor loyalties and departures from traditional IT models. A shift to CSPs in 2015 promised scalability and resilience, compelling enterprises to migrate to cloud-specific applications. However, as users encountered disparate cloud vendors, they also had to use corresponding networking solutions (load-balancers, security solutions, etc.), from different vendors. This ultimately resulted in a disjointed cloud networking stack – a significant shift from the cohesive control once possible in private data centers.

The historical perspective has led to three core networking challenges in the new cloud landscape that successful enterprises must navigate today:

The C * S Problem – As the number of cloud and data center providers (C) and networking services within each cloud (S) grows, the complexity of managing and integrating them also rises multifold. This leads to a more fragmented and cumbersome networking environment, making it difficult for customers to achieve seamless interoperability and efficient network management.

Aviatrix addresses this challenge by offering “network of one” simplicity – tapping the full range of networking services across each provider, without requiring additional vendor dependence, and full-time employees with provider and service-specific technical expertise to manage the network.
Lack of Granularity & Control – Third-party cloud providers needed to control the entire networking stack and want to streamline complexities for the user’s sake, in the name of simplicity. However, this control also introduces a level of opaqueness, especially in the granularity of data flows and APIs, that can prove challenging for operations teams – from management to troubleshooting.

Aviatrix delivers a robust routing data plane to their customers, putting fine-grained context back in the hands of enterprise cloud and networking teams. Its interface, CoPilot, makes full visibility possible in and across clouds, empowering troubleshooting and improving security.
Inefficient Cloud Cost Structures – Cloud network data processing and egress fees are a material component of cloud costs. They are both difficult to understand and inflexible. These cost structures not only hinder scalability and data portability for enterprises, but also provide decreasing returns to scale as cloud data volume increases which can impact organizations’ bandwidth. By using IT budget for baseline cloud provider networking infrastructure, enterprises are constrained in their investments in the strategic, higher-level services CSPs provide, such as AI or large language models (LLMs).

Aviatrix enables enterprises to streamline their hard costs and soft costs, creating scalability and business agility. By reducing dependency on native constructs, organizations also improve their power and freedom to leverage resources across providers.

Leading Retailer Savings Analysis

In the detailed analysis of its leading retail customer, Aviatrix demonstrated several areas of hard dollar and potential cost savings based on solving these core networking challenges.

By solving the C * S Problem Aviatrix found it was able to save the customer $400,000 in cloud network full-time employee hiring avoidance based on projected growth of the retailer’s cloud footprint. As organizations increasingly struggle to find and hire candidates with the necessary cloud skills for their initiatives, there are unspecified additional hard and soft costs associated with finding and retaining these employees that were not quantified in this analysis.
Giving granularity and control back to the retailer translated into a $210 million+ potential risk avoidance of cloud network cyber incidents, when estimated in line with data from the Cybersecurity and Infrastructure Security Agency (CISA).
Addressing inefficient cloud cost structures, Aviatrix calculated a total of $25 million annual savings ($30 million in savings, less Aviatrix annual costs of $5 million) from network data processing costs over cloud-specific constructs. It also found an estimated $5 million in projected cost avoidance in the form of 4,500 added NAT gateways. These savings can now be reallocated to higher order services like AI and LLMs.

“Aviatrix was founded on a deep understanding of the networking industry’s history and a vision to the future where cloud is business-critical – a tradition we’re proud to continue with the top innovators in the field that comprise our team today,” said Doug Merritt, Chief Executive Officer at Aviatrix. “We are at a tipping point where many enterprises are realizing the complexities that come with leveraging a needed hybrid landscape of multiple clouds, owned data centers and critical edge networking deployments. They need both the deep and unique technical capabilities we have been developing as well as a more predictable and affordable cloud networking landscape. It’s exciting to see the volume and scale of companies joining this movement and achieving the cost and risk benefits that our customers are familiar with as pioneers in cloud networking. Cloud networking professionals are seizing this moment to help their organizations increase their cloud networking efficiencies for a multitude of benefits, including lowering costs to help fund the wave of generative AI initiatives that organizational leaders are demanding.”

To see the full analysis of Aviatrix’s retail customer, view the case study here. To download Futuriom’s report, “Driving Cloud Automation with Observability, AIOps, and NetDevOps,” visit this link. You can learn more about the Aviatrix Cloud Networking Platform on https://aviatrix.com.

About Aviatrix
Aviatrix^® is the cloud networking expert. We’re on a mission to make cloud networking simple so companies stay agile. Trusted by more than 500 of the world’s leading enterprises, our cloud networking platform creates the visibility, security, and control needed to adapt with ease and move ahead at speed. Combined with the Aviatrix Certified Engineer (ACE) Program, the industry’s leading multicloud networking and security certification, Aviatrix empowers the cloud networking community to stay at the forefront of digital transformation. Learn more at www.aviatrix.com.

SOURCE Aviatrix