Network Functions Virtualization NFV
NFV = Network Functions Virtualization.
It is a technology through which network functions that traditionally ran on dedicated hardware equipment (routers, firewalls, load balancers, VPN appliances, etc.) are virtualized and can run on regular servers (x86, blade servers), in the form of software.
How NFV works
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Instead of buying a physical firewall or a dedicated router, you have a software application (VNF – Virtual Network Function) that runs on a server.
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Multiple such functions can be hosted on the same hardware resources through virtualization.
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Everything is orchestrated and managed through management platforms (e.g. OpenStack, VMware, Kubernetes for containerized functions).
Examples of virtualized network functions
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Firewall
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Virtual router
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Load balancer
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NAT (Network Address Translation)
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IMS / VoIP core functions (in telecom)
NFV advantages
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Cost reduction – you no longer need expensive hardware.
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Flexibility – you can quickly launch a new network function through software.
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Scalability – resources can be dynamically scaled up or down.
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Automation and integration – functions can be managed together with SDN for intelligent networks.
In short: NFV = moving network functions from dedicated hardware → to software running on virtual servers.
Difference from SDN
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SDN = separates and controls network traffic through software.
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NFV = replaces network hardware with virtual software applications.