Huge potential predicted for IP-VPN in new economy
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The market potential for Internet protocol - virtual private network (IP-VPN) services - is enormous, but providers must do some heavy lifting to deliver high-performance systems.

“IP-VPN services will be a central enabler of the new millennium economy, characterized by integrated global enterprises, electronic commerce, and just-in-time production,” said Henry Goldberg, senior analyst with In-Stat’s voice and data service.

Cahners In-Stat Group forecasts that the number of branch offices of US companies and telecommuters will rise considerably over the next couple of years. “Both trends will help boost demand for IP-VPN services,” Goldberg said. “However, providers will definitely need to take the appropriate measures in order to capitalize on this opportunity.”

IP-VPN services provide customers cost-effective global connectivity for:
• intra-company site-to-site (intranet) communications
• remote access for telecommuters and mobile workers
• extranet links to suppliers, customers and business partners.

The report, Outsourced IP-VPN Services: Current Offerings and Emerging Directions, features a synopsis and comparison of leading IP-VPN service providers’ offerings and the solutions supplied by their networking equipment vendors. The critical challenges that face service providers and equipment vendors are outlined, and recommendations are made on directions for developing the greatest market opportunity. The report also describes the drivers for end users to outsource their VPNs to service providers and highlights the key service provider offerings that can boost market demand.

Cahners In-Stat Group


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