How 10 popular SD-WAN startups survive in the cracks

The SD-WAN market is very hot. Large enterprises such as Cisco, VMware, AT&T, Citrix, etc. have launched SD-WAN solutions, occupying a large market share. However, there are also start-ups among them. The participation of start-ups makes the entire SD-WAN market more refined and perfect.

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Large companies are giving SD-WAN new momentum through acquisitions and are quickly grabbing the market: Cisco acquired Viptela for $610 million; VMware acquired VeloCloud for $449 million; NTT acquired Virtela for $525 million; Riverbed, an early leader in WAN optimization, acquired Ocedo (for an undisclosed price) to help it manage the transition to a software-defined future. According to research firm IHS Markit, the current SD-WAN market leaders are VMware (VeloCloud), Aryaka (founded in 2009; still private), Silver Peak (founded in 2004; still private) and Cisco (Viptela).

However, there are also some outstanding startups that are making steady progress in the SD-WAN market, pushing SD-WAN forward and grabbing market share. We have counted 10 foreign SD-WAN startups:

1. BigLeaf Networks

Founded: 2012

Funding: $7 million

Headquarters: Portland, Ore.

CEO: Joel Mulkey. Prior to Bigleaf, Mulkey served as CIO and network architect at Freewire Broadband.

What they do: Provide cloud-based SD-WAN for distributed enterprises.

BigLeaf's SD-WAN service is designed to accelerate cloud-based applications, detect performance issues in real time, and automatically adjust traffic patterns as new applications log in. BigLeaf's core cloud access network relies on intelligent dynamic load balancing technology to respond to new cloud deployments in real time and change Internet performance to ensure users' cloud experience is optimized.

Key difference: "Unlike typical SD-WAN vendors that optimize a limited number of cloud providers like Microsoft and Amazon, Bigleaf can optimize traffic from any technology delivered as a service," Aaron Kaffen, BigLeaf's vice president of marketing, wrote in an email. "Our site-to-cloud architecture connects your site directly to our purpose-built Internet backbone, allowing us to optimize all upload and download traffic. We also sync with over 1,000 cloud applications for further optimization."

Kaffen also noted that some competitors rely on manual policy enforcement and policy-based configuration. In contrast, BigLeaf is able to automatically detect priority application traffic and ensure it is routed over the best connection.

Competitors include: Aryaka, VMware (VeloCloud), Cato Networks

Clients include: New Season, Vern Fonk, Grit Technologies and Array Health

2. Cato Networks

Year of establishment: 2015

Funding: $70 million

Headquarters: Tel Aviv, Israel.

CEO: Shlomo Kramer, who previously co-founded Check Point Software and Imperva

Business scope: Provide cloud-based SD-WAN services.

Cato's SD-WAN service, Cato Cloud, connects all of an enterprise's network elements, including branch locations, mobile workers, and physical and cloud data centers, to a global, encrypted SD-WAN in the cloud. After consolidating all WAN and Internet traffic in the cloud, Cato applies a set of security services to protect the traffic.

Cato Cloud consists of two complementary layers: Cato Cloud Network and Cato Security Services. Cato Cloud Network is a global, geographically dispersed network of PoPs interconnected by multiple Tier 1 carriers.

Cato also offers Cato Security Services, a managed suite of network security capabilities built into the network. Current services include firewall/VPN, secure gateway, advanced threat prevention, cloud and mobile access protection, and network forensics.

Key differentiator: Cato’s advantage over competitors is that it has converged SD-WAN and security capabilities into a cloud software stack to protect all traffic, mobile, cloud and other Internet traffic, according to a Cato spokesperson.

Competitors include: Aryaka, VMware (VeloCloud), Cisco (Viptela), and Silver Peak

Clients include: Sanne Group, DSM Sinochem Pharmaceuticals, AdRoll and Paysafe

3. CloudGenix

Year founded: 2013

Funding: $57 million

Headquarters: San Jose, Calif.

CEO: Kumar Ramachandran. Prior to founding CloudGenix, Ramachandran held leadership positions in product management and marketing for Cisco's branch routing and WAN optimization business units. Prior to Cisco, he managed applications and infrastructure for large companies such as Citibank and Providian Financial.

Business scope: Provide enterprise SD-WAN services.

CloudGenix's AppFabric allows enterprises to define how their WAN should work for each application. AppFabric is an application-aware platform that understands network and application factors to improve the overall user experience. This enables CloudGenix to route traffic based on business needs.

Key Differentiators: According to a CloudGenix representative, what sets them apart from other vendors is that “AppFabric is application-aware and takes into account network health and performance metrics in addition to application health and performance metrics.

CloudGenix also relies on an "API-first approach," which allows enterprises to simplify and automate their enterprise WAN.

Competitors include: Cisco (Viptela) and VMware (VeloCloud)

Clients include: Chase, Columbia Sportswear, Restoration Hardware, Macy's and Home Point Financial

4. Mode

Year founded: 2013

Funding: $24.3 million

Headquarters: San Francisco, California

CEO: Paul Dawes. Dawes previously served as CEO of icontrol, which Comcast acquired in 2017. Before that, he led the sales team at Liberate, which went public in 1999.

What it does: Operates a private global network as a service.

Mode refers to its service as a “global MPLS cloud.” Mode works with SD-WAN edge devices to direct their traffic to the software-defined core network. Mode’s routing efficiency enables it to provide reliable MPLS as well as flexible, elastic, and affordable cloud services.

Key differentiators: Mode differentiates itself from competitors through its "software-defined core," which provides MPLS-like reliability as a cloud-based service, according to a Mode representative. Mode works with any SD-WAN service, providing "affordable QoS connectivity."

Competitors include: Aryaka and Cato Networks

Customers include: Ericsson

5. SimpleWAN

Year founded: 2014

Funding: SimpleWAN received a $250,000 grant from the Arizona Innovation Challenge in 2017, but declined to disclose other funding.

Headquarters: Phoenix, Arizona.

CEO: Erik Knight. Prior to SimpleWAN, Knight was the founder and CEO of COMVOICE, which he sold to Jive Communications in April 2014.

What it does: Provides a networking suite that combines SD-WAN, managed WiFi, security and other services.

SimpleWAN offers up to 1 Gbps throughput, a built-in intrusion prevention firewall, multiple access points for enterprise-grade WiFi, automatic HIPAA and PCI compliance, diagnostics and monitoring, and other enterprise network services.

Key difference: According to SimpleWAN, its advantage is that it offers many services from one box. SimpleWAN offers plug-and-play configuration, the ability to add multiple locations from a smartphone, and features intelligent network protection that automatically updates to protect against new threats.

Competitors include: Meraki, VMware (VeloCloud), Barracuda and Fortinet

Clients include: Napa, Domino's Pizza, Toyota, Chevrolet, SuperShuttle and Meineke

6. Speedify

Year founded: 2014

Funding: Undisclosed

Headquarters: Philadelphia, Pa.

CEO: Alex Gizis, formerly CEO of Nomadio

What it does: Provides SD-WAN services that bond WiFi, cellular, Ethernet and other connections into one combined link to provide greater bandwidth.

Speedify provides standalone software applications for computers and mobile devices that use channel bonding technology to combine multiple Internet connections simultaneously into a single secure pipe. The resulting connection provides greater efficiency, redundancy, and automatic failover protection.

Key difference: Unlike other SD-WAN providers, Speedify offers a client-side solution that requires no hardware. It is also the only SD-WAN solution available for both individuals and businesses.

Competitors include: Peplink, Mushroom Networks, and Viprinet

7. Turnium Technology

Year founded: 2017

Funding: Undisclosed

Headquarters: North Vancouver, BC

Chairman: Johan Arnet, formerly CTIO of Multapplied Networks

Business scope: Provide SD-WAN services based on channel bonding technology.

Turnium Edge takes multiple connections (DSL, Cable, MPLS, etc.) and bonds them together for increased speed and performance. According to Turnium, its cloud-based service “intelligently manages your network, delivering over 99% uptime, providing visibility into critical data, and keeping you informed of bandwidth needs.”

Key differentiators: Turnium relies on channel-bonding technology rather than its own backbone, and it focuses on specific industry verticals, including education, finance, and retail.

Competitors include: Meraki, VMware (VeloCloud), and Speedify

8. Versa Networks

Founded: 2012

Funding: $111.9 million

Headquarters: San Jose, Calif.

CEO: Kelly Ahuja. Prior to Versa, Kelly worked at Cisco for 18 years as senior vice president of the Service Provider Business, Products and Solutions Division.

Business scope: SD-WAN and SD-Security services.

For enterprises, Versa offers software-defined branch (SD-Branch) services, SD-WAN with layered security, managed networking and security services. For service providers, Versa offers SD-Router and SD-Security services.

Key differentiators: According to a company spokesperson, Versa Networks’ key competitive advantage is the “completeness of its Cloud IP Platform,” which enables it to deliver “SD-WAN with integrated security to define the branch.” Versa offers an “automated solution that delivers simplified SD-WAN, application experience routing, and integrated next-generation security, delivering secure multi-cloud and enterprise branch dynamic connectivity within a single unified software platform.”

Competitors include: Cisco (Viptela), CloudGenix and VMware (VeloCloud)

Clients include: CapitalOne, CenturyLink and VerizonVrayo Systems

9. Year of Establishment: 2017

Funding: Undisclosed

Headquarters: Dun Laoghaire, Ireland

CEO: Alexander Belenky, who is also managing partner and co-founder. Belenky was previously head of key account sales at Google Ireland.

What they do: Provide SD-WAN services for autonomous cars, public transportation connectivity and drone telemetry.

Vrayo's multi-channel VPN bonding software VtrunkD combines multiple links into a single channel. It relies on complex algorithms to manage, simulate and measure the feedback loop of the network. Vrayo claims that this can achieve high network performance in a wide range of deployment scenarios, media types and network conditions.

Key differentiator: Vrayo's channel bonding software is focused on a few key transport verticals. Vrayo also sees its software as a foundation for entering the edge computing market. Competitors include: Speedify and Turnium

10. Zenlayer

Year founded: 2014

Funding: $10 million

Headquarters: Los Angeles, California and Shanghai, China

CEO: Joe Zhu, formerly senior vice president of ChinaCache

Business scope: Provide SD-WAN services to global enterprises.

Zenlayer’s SD-WAN service provides an interconnected network that can reach more than 80% of Internet-connected users worldwide in less than 25ms, according to a representative from the company. Zenlayer also offers managed hosting, colocation, on-demand bare metal servers and edge computing services.

Key differentiators: According to Zenlayer, it differentiates itself by offering “elastic, bursty bandwidth to protect against unexpected events. Instant provisioning of existing PoPs, and massive DDoS protection capabilities of 1Tbps+.”

Competitors include: Aryaka, Megaport, Versa Networks, Cato Networks

Clients include: UCloud, Catchpoint, Tencent, Linkedin