A San Francisco-based networking startup scored a partnership with Ericsson to deliver what it is calling a software-defined core (SD-Core) network to enterprises. Mode, which earlier this month emerged from stealth mode, says its routing technology offers a new approach to SD-WAN that can intelligently shift traffic in milliseconds and dynamically adjust to network changes and traffic flows.
The company was founded by two Cornell computer scientists, Nithin Michael and Kevin Tang, who developed the Mode Halo routing technology. Mode Halo is used to create an SD-Core to give enterprises private network reliability and quality of service that they can then combine with SD-WAN and last-mile internet.
The company recently raised $16 million in Series B funding led by GV with a grant from the National Science Foundation. That funding comes on top of an $8 million Series A round led by NEA in 2017. Mode said that the National Science Foundation evaluated Mode Halo in its testbed and found a 300-percent increase in throughput at the lowest possible delay between hosts in New York and Sunnyvale, Calif.
Ericsson is using Mode’s SD-WAN product as an overlay for its edge compute network, which it calls its Unified Deliver Network (UDN). By combining Mode’s routing algorithms with UDN Ericsson can create a private core network and offer it as a cloud service. Ericsson says this gives customers better performance than a traditional private network.
Ericsson’s UDN is live in 30 countries and the Mode SD-Core is available for beta testing with customers.
Ericsson said that this partnership with Mode will help foster the next wave of edge technologies. According to a 2018 report by Orbis Research, the global cloud private network market is expected to reach $35.73 billion by the end of 2022, growing at a compound annual growth rate (CAGR) of 14.77 percent between 2016 and 2022.