CASE STUDY

Semiconductor Rapidly Designs and Procures SD-WAN Solution, Saving $2M

Smart SD-WAN design and RFP management modernizes connectivity for 75 global sites

The Challenge: Global SD-WAN Modernization

As one of the world’s top semiconductor suppliers, this company is on the leading edge of innovation, and when IT leaders needed to ensure their corporate IT network could support the company’s vision for digital transformation, they turned to Tangoe for help.

Previously, the IT team was balancing the needs of two separate IT networks spanning 75 global locations with telecom services from two different carriers. As those contracts neared renewal, company leaders knew it was time to upgrade their telecom infrastructure into a single environment optimized by software-defined wide area networking (SD-WAN) technology. Their vision: more bandwidth, greater network resiliency, and cost savings.

The IT leaders were confident in SD-WAN but were in unchartered territory when it came to designing a solution that could maximize savings without sacrificing network performance. Plus, the team needed help executing a procurement strategy that could quickly lock in low prices for network connectivity services including dedicated internet access. In tackling those challenges, they leveraged Tangoe’s Advisory Services, which has deep telecom management experience and negotiates more than 400 contracts annually.

6 Month
RFP process
$2M

savings

2.4X

more bandwidth

1,082

hours productivity
gains

The Solution: SD-WAN Design & RFP Management

SD-WAN modernization involves deep network discovery, service requirements, and forward-thinking, especially from a financial perspective. That’s why solution design and planning were vital steps in the process. Moving to SD-WAN doesn’t always equate to savings. In fact, it could mean a rise in costs if the

solution design isn’t optimized to rebuild network connectivity in ways that strike the right balance between price and performance.
Tangoe’s holistic approach helped define the company’s current state and future requirements, protecting the network’s most critical functions but also optimizing for cost savings wherever possible. In getting a clear view of their existing network environment and its associated costs, the company was able to identify with intimate detail what their future state would look like, which legacy wireline services would transition to dedicated internet access, and how the SD-WAN solution would deliver on expectations as well as cost efficiencies.

In taking the reins, Tangoe embarked on a six-month process to:

  • Account for all service needs on a site-by-site basis, pinpointing opportunities to drive network performance and savings together as one strategy
  • Map requirements into a procurement process, asking the right questions and targeting the right bandwidth speeds in the RFP
  • Narrow nine service providers down to one, negotiating the best terms at the best price

The Outcome: $2M in Savings and Rapid Procurement

Tangoe determined an optimal SD-WAN solution design, suggested industry-leading providers to pursue, and ran a comprehensive RFP strategy across nine carriers. After multiple rounds of negotiations, an agreement was reached to deliver over $2M in telecom savings over three years.

In 6 months, the semiconductor went from concept to securing a cost-effective SD-WAN solution with global connectivity services. The new SD-WAN solution saved the team 1,082 hours in productivity and consolidated a fragmented network environment while delivering 2.4 times more bandwidth. Today, it lays the groundwork for the company’s future digital innovation.

Explore More Resources