All right. So, let's take a look at the SD-WAN and how that provides an overlay or a controller interface, if you will, to the customer premises equipment functionality. So first of all, when we talk about software-defined WAN or SD-WAN, sometimes we overload it and we also imply everything associated with the universal virtualized CPE underneath it, and other times we like to be very specific about the separation between those two, and we're going to try and be specific at this point, but understand that the CPE comes along as part of that functionality inside our software-defined Wide Area Network. So, what it really is it's a simplification that allows us to cost-effectively discriminate traffic and control, or sometimes we talk about shaping the traffic or apply policy to the traffic from an enterprise. It's most applicable in a branch and corporate type structure from a branch office into that environment. So, if we look at the traditional architecture of those interfaces or branch itself we'd have a communications infrastructure connectivity through a traditional interface in a front-end probably buy a router of the type of device, and all their traffic 100 percent of the traffic from that branch office egresses through that router interface into a carrier provided MPLS network, most likely over a private link. But that traffic then travels the entire length of the network into a corporate data center, where that corporate data center then can identify that traffic. Well, this is traffic that's destined for some type of corporate application and it gets routed internally into a corporate network, or this is simply somebody looking to stream a YouTube video, they're doing some training and they need to do some research, and it will strip out that MPLS tagging and then trombone that traffic back out to an interface that gives access to the Internet. Now, that traffic will return back to the corporate structure, the corporate structure then will repackage that information, and then direct it back to the branch office. If you got lot of branch offices this puts a significant amount of burden on that corporate infrastructure for what's easily identified as simple internet traffic, then maybe if you had policy shaping that took place at that branch office, you could identify and discriminate, and we mean that in a good way, you could discriminate this traffic as though this is just simple video request that needs to go out in the interface or lower-cost interface on a price per bit or octet basis to the internet directly, or this is corporate traffic and it needs to have that MPLS tag associated with it and be driven deeper into the cellular network. So SD-WAN gives us the ability to do that, is to have an enhanced capability at the router interface and we may have to something other than the traditional router in order to do this. So that there are two interfaces that are available. One of them is going to be the MPLS tag, and the other is going to be internet based traffic that's not MPLS tagged. When I talk about that interface, they in fact may able to reside over the same physical channel, or in other cases they may reside over multiple physical channels, then in that case because if we dig down inside the protocol itself, we'll notice that we're talking about layer two and three tagging and the layer one can actually be common or can be unique depending on the desires in each of the business either based on capacity, or availability, or any other types of noise office. So why is this important to the enterprise? It's going to increase our flexibility that simplifies our IT operations, they can achieve rapid and more elastic development from it. At the end of the day, it's about reducing their costs for the access because as we know their traffic consumption is going to continue to increase, which implies that their costs are going to continue to increase. Moving traffic over an MPLS interfaces is more costly in some cases, significantly more costly again geographically based consideration taking into consideration than it is over a simple IP interface. This is going to drive cost reduction, business agility, faster time in the market, and at the end of the day reduce their operational expenditures at their OpEx. For the Comm service providers that may sound like it's not a good thing if you just scratch the surface there, but there's more to that. It allows them to address a disruptive threat, it allows them actually to offer services through an IP interface where they may not actually have connectivity through a broadband interface, where they can't reach to the MPLS, but they can still reach through on a broadband interface. So, it allows some COM service providers in geographies to provide services where they otherwise wouldn't be able to do that. Again, simplifying their operations, the elasticity of their deployment and a rapid deployment of those devices, as well as reducing their CPE type sparing are all drivers in the Comm service provider, and truly a good thing thats never implemented or seeing that it's a good thing which is a result in again, increased revenue, reducing their OpEx, quicker time to market. You're no longer looking at very long lead times in order to get these devices spine up particularly if they're on universal type CPE where the Comm service provider can push those applications out or have them pre-configured in an unknown set of an operation and when those ports are turned up, they can self identify and be managed from that interface. So that's the big picture. So why is it important? We can centralize control where that control is centralized from a corporate data center itself or where that control can actually be managed from the Comm service provider. It's going to be a case-by-case basis depending on the enterprise level. We will introduce a possibility of automation to control that underlying universal CPE that's in there, and addressing the business productivity that comes into play. The picture on here shows what I was describing earlier about multiple interfaces, how we can discriminate that traffic and tag it either this is the MPLS traffic and let's go deep into the core of the corporate network, or this is internet traffic and just short-circuit as quick as possible out there. One report game in statistical overview of what those drivers are, and those results are shown here in this table that's here. You'll notice that they are introducing the automation of the WAN operation, which is a significant driver even more so than that CapEx introduction. But nevertheless, it's an opportunity that we've seen that emerging and with our transformation over virtualization of this network, it's certainly an area that's prime for disruption and transformation.
