Cisco begins to support VeloCloud's cloud-based SD-WAN through funding round investment


Cisco appears to be taking an interest in alternate software-defined WAN technologies. The networking vendor's investment arm is part of a funding round of cloud SD-WAN VeloCloud.

VeloCloud recently completed a $27 million Series C funding round led by March Capital Partners. Other investors in this round included Cisco Investments and existing investors New Enterprise Associates and Venrock. It's great news for VeloCloud, which positions itself as the cloud SD-WAN vendor, but it's also an interesting move by Cisco, which to date has concentrated its SD-WAN efforts on appliances.

Cisco and VeloCloud take completely different approaches to SD-WAN. Cisco has stuck to all-in-one appliances at the branch office, whereas VeloCloud has put its controller in the cloud, with only small pieces of hardware at the branch.

What will be interesting to see is if this investment has any change on Cisco's strategy. According to the VeloCloud press release, Cisco is integrating its Intelligent WAN SD-WAN product with VeloCloud's technology. Jeff Reed, vice president and general manager of Cisco's enterprise infrastructure and solutions group, noted in a statement that the company "is committed to open networking, and interoperability with the VeloCloud solution will provide our joint customers with additional enhancements for application and cloud services performance."

VeloCloud is growing its vendor partnerships list, which now includes Cisco, BroadSoft, Equinix, Hewlett Packard Enterprise, IIx Console, Intel, VMware, Websense and Zscaler.

For more:
- read the press release

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