German Companies Lead European SDN Adoption

Enterprises recognize software-defined networks as essential for meeting core functionality and security requirements, ISG Provider Lens® report says

FRANKFURT, Germany--(BUSINESS WIRE)-- The demand for modern, secure, cloud-enabled enterprise networks is rising among German companies as they align their digital strategies with international trends and evolving business needs, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a global AI-centered technology research and advisory firm.

The 2025 ISG Provider Lens® Network — Software-Defined Solutions and Services report for Germany finds that German organizations are increasing their adoption of software-defined networking to improve performance, security and connectivity while minimizing operational cost. Over the past two years, system integrators and network providers have contributed to this trend by delivering flexible solutions and consumption-based managed services models that address enterprise demands. Germany’s position as one of the largest national consumers of software-defined wide area network (SD-WAN) solutions is reinforced by a strong provider ecosystem and growing requirements for standardized, scalable networking across global operations.

“SD-WANs are increasingly seen as crucial for digital advancement among German companies,” said Jon Harrod, partner and network advisory lead at ISG. “This technology enables enterprises to update their networks without the need to replace all existing hardware.”

German enterprises are simplifying operations and making networks more adaptable through the adoption of SD-WAN solutions to accelerate network transformation, the report says. These solutions enable centralized cloud-based management, automate network functions and offer real-time analytics. They also allow organizations to streamline resource management and reduce complexity, thereby avoiding frequent hardware replacements.

A major driver behind this transformation is the rapid migration to cloud and multicloud environments. Enterprises in Germany are using SDN solutions to make cloud transitions with minimal disruptions, ISG says. The technology’s ability to manage multicloud environments while ensuring comprehensive network oversight has been key to its widespread adoption. Software-defined networking also benefits companies by enabling secure data transfer across varied platforms and making it easier to deploy and optimize cloud-native technologies.

As organizations in Germany adapt to new environments, security becomes even more critical, the report says. Software-defined networking enables companies to integrate advanced security functions, such as encryption, access controls and threat detection, either alone or as part of broader secure access service edge (SASE) frameworks. Simultaneously, adoption of new technologies, including AI, generative AI and machine learning, demands flexible and adaptable network infrastructures. SDN solutions deliver these capabilities, providing superior management, real-time adaptability and automation.

“German companies that use advanced edge computing and 5G technology services benefit from the seamless and secure integration that software-defined networking offers,” said Dr. Kenn Walters, global principal lead analyst, ISG Provider Lens Research. “When these services are managed externally, organizations can do less training and fewer software upgrades, focusing instead on strategic objectives.”

The report also explores other SDN-related trends in Germany, including the increasing adoption of usage-based pricing models, particularly among small to medium enterprises, and the integration of SD-WAN within SASE in larger enterprises.

For more insights into SDN-related challenges faced by enterprises in Germany, along with ISG’s advice for addressing them, see the ISG Provider Lens® Focal Points briefing here.

The 2025 ISG Provider Lens® Network — Software-Defined Solutions and Services report for Germany evaluates the capabilities of 39 providers across four quadrants: Managed SD-WAN Services, SD-Networks Transformation Services (Consulting and Implementation), Edge Technologies and Services (Including Private 5G), and Secure Access Service Edge (SASE).

The report names Accenture, Deutsche Telekom, Logicalis, Orange Business and Wipro as Leaders in all four quadrants. Computacenter and Vodafone are named as Leaders in three quadrants each. Axians, Colt, HCLTech, Tech Mahindra and Verizon Business are named as Leaders in two quadrants each, while BT, CANCOM, GTT and Riedel Networks are named as Leaders in one quadrant each.

In addition, HCLTech is named as a Rising Star — a company with a “promising portfolio” and “high future potential” by ISG’s definition — in two quadrants.

In the area of customer experience, HCLTech is named the global ISG CX Star Performer for 2025 among SDN providers. HCLTech earned the highest customer satisfaction scores in ISG’s Voice of the Customer survey, part of the ISG Star of Excellence™ program, the premier quality recognition for the technology and business services industry.

Customized versions of the report are available from Computacenter, Deutsche Telekom and GTT.

The 2025 ISG Provider Lens® Network — Software-Defined Solutions and Services report for Germany is available to subscribers or for one-time purchase on this webpage.

About ISG Provider Lens® Research

The ISG Provider Lens® Quadrant research series is the only service provider evaluation of its kind to combine empirical, data-driven research and market analysis with the real-world experience and observations of ISG’s global advisory team. Enterprises will find a wealth of detailed data and market analysis to help guide their selection of appropriate sourcing partners, while ISG advisors use the reports to validate their own market knowledge and make recommendations to ISG’s enterprise clients. The research currently covers providers offering their services globally, across Europe, as well as in the U.S., Canada, Mexico, Brazil, the U.K., France, Benelux, Germany, Switzerland, the Nordics, Australia and Singapore/Malaysia, with additional markets to be added in the future. For more information about ISG Provider Lens research, please visit this webpage.

About ISG

ISG (Nasdaq: III) is a global AI-centered technology research and advisory firm. A trusted partner to more than 900 clients, including 75 of the world’s top 100 enterprises, ISG is a long-time leader in technology and business services that is now at the forefront of leveraging AI to help organizations achieve operational excellence and faster growth. The firm, founded in 2006, is known for its proprietary market data, in-depth knowledge of provider ecosystems, and the expertise of its 1,600 professionals worldwide working together to help clients maximize the value of their technology investments.

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Press Contacts:

Philipp Jaensch, ISG

+49 151 730 365 76

philipp.jaensch@isg-one.com

Matthias Longo, for ISG

+49 152 341 464 63

matthias@longo-pr.de

Source: Information Services Group, Inc.