Survey: Convergence Momentum Continues Dramatic Increase for Enterprises
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Survey: Convergence Momentum Continues Dramatic Increase for Enterprises Tuesday June 1, 9:00 am ET Nortel Networks Introduces New Blueprint to Enable Deployment of Converged Network
LOS ANGELES--(BUSINESS WIRE)--June 1, 2004--Nortel Networks (NYSE:NT - News; TSX:NT - News) today announced survey results that show businesses that are deploying or planning to deploy converged networks are at unprecedented levels. The comprehensive survey, conducted by Mindwave Research this spring, featured 430 members of the International Nortel Networks Users Association (INNUA) attending the upcoming Global Connect 2004 conference on June 6-10. Key results show that more than 27 percent of respondents have already deployed a converged networking infrastructure and a full 79 percent of businesses have converged or plan to converge the disparate elements of their communications networks within five years.
"Converged networks are being implemented at an aggressive pace for businesses of all sizes in all economic sectors. Put simply, companies recognize the emerging applications, cost savings and productivity enhancements enabled by a single networking infrastructure and are poised to realize these benefits," said Malcolm Collins, president, Enterprise Networks, Nortel Networks.
The top three cited benefits are the ability to deploy integrated applications with greater ease (42 percent); minimizing costs and complexity associated with moves, adds and changes (35 percent); and the ability to deploy enhanced voice functions (34 percent). The most pressing challenges are that the cost benefits are not perceived as being compelling enough at this time (48 percent), lack of budget (47 percent) and the requirement of systems to manage and troubleshoot IP voice quality (42 percent).
For Wireless local area networks (WLAN), only ten percent of respondents have rolled out a WLAN infrastructure enterprise-wide; but a substantial 55 percent have deployed a limited WLAN or plan to within the year. Increasing employee productivity through mobility was the top reason cited for deploying WLANs and the biggest challenge was weakened security. From a security perspective, network and data security was the most significant challenge for 20 percent of respondents.
To meet the emerging customer needs as defined in the INNUA user study, Nortel Networks will formally unveil at Global Connect 2004 its new Architecture for the Converged Enterprise (ACE). ACE will provide customers with the building blocks to implement a converged infrastructure that is easy to manage, secure and efficient.
"Realizing the true potential of a converged network requires up-front planning and a realistic assessment of the existing infrastructure. Simplifying an organization's communications isn't simple and these capabilities cannot be switched on by deploying a few boxes here and there. ACE will provide the means for companies to determine how to get from where they are now to where they need to be to take full advantage of convergence, regardless of which network equipment suppliers they choose," said Aziz Khadbai, general manager, Local Premise Solutions.
ACE will provide the means for companies to increase the productivity of their workforce or constituent community, change their business infrastructure dynamically to respond to market changes and most importantly, to effect these changes in a secure manner. The attributes of security in ACE reach beyond industry standards, providing the foundation to help industries such as healthcare, government and financial services ensure compliance with federal regulations and standards. Complementing ACE is a step-by-step blueprint that allows customers to adopt convergence at their own pace, utilizing their existing networking equipment where possible.
"Across the globe we have shipped more than 50 million enterprise telephony lines and more than 50 million Ethernet ports. It is from this unique vantage point that we will establish the industry's blueprint to enable convergence and help enterprises leverage emerging technologies such as SIP, WLAN, SSL-VPN and more," said Collins. |