White Box Mania Distracts Everyone And Wreaks Havoc On Investments
I’m getting inundated with briefing requests from vendors either coming out with their own white box offerings or somehow supporting the white box market. While white box network solutions provide great value for some industries, more than likely, they are not for your infrastructure but for specific industries such as web scale or high-frequency trading companies. The network world is fragmenting into industry-specific solutions, and the era of Swiss Army knife network hardware is over (see figure below). Mainstream vendors are freaking out because that was their bread and butter. Now they have to figure out who they want to serve. Some uncertain vendors are placing chips on all the squares of the network roulette table; this strategy is a losing proposition for everyone.
Don’t get me wrong. White boxes/bare-metal solutions have their place, but be cautious of the irrational exuberance over this new trend. Resources are finite. The vendors chasing tail lights will at some point have to give up and lock down on a particular path. Activist firm Elliott Management has rattled the cages of some high tech firms and has basically said, “You are killing investors’ return by not simplifying and focusing.” Personally, this might not mean much if you aren’t an investor. However, as an infrastructure and operations professional, you should be concerned about solutions existing a year or two down the road from shotgun-approach vendors; worse yet, you get the effects of a mile-wide, inch-deep investment, which means the solution lags on getting the investments needed to help your company succeed today.
Vendors will have to choose the type of customer they serve, and the earlier they do it, the better for you. Luckily, Arista Networks, Aruba Networks, Aerohive Networks, and Motorola Solutions have by-passed the strategy to cater to all and are being selective on a few industries or areas to help customers get more value out of their network investments. To get more information on the fragmentation of the networking industry and details on industry-specific network specifications, please read my report Customer-Centric Strategies Require Business-Centric Network Hardware.